China-based e-commerce giant Alibaba group has released its fourth quarter financial report which shows the company’s significant development in international expansion.
According to opi.net, its global commerce wholesale business reached RMB1.5 billion (US$ 219 million) in sales volume, an 8% increase comparing to last year. It is partly due to the revenue from value-added services offered to its online B2B importers and exporters.
For the whole group, it has reported a 60% growth on last year in the fourth quarter sale, climbing to RMB 38.6 billion (US$5.6 billion).
Alibaba has already surpassed Walmart to become the world’s biggest retailer, although it doesn’t actually sell anything of its own. There is a young and growing middle class of approximately 300 million in China, increasingly interested in buying products of international brands. Figures suggest that around $4.6 trillion cash were reserved across Chinese households.
Based on its strategy to sustain long-term international growth, Jack Ma, the lead founder and Executive Chairman of Alibaba Group, was convinced that, by 2020, cross-border e-commerce sales in China will reach more than $150 billion.