Alibaba warns of e-commerce revenue hit on coronavirus epidemic concerns



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Alibaba warns of e-commerce revenue hit on coronavirus epidemic concerns

On Thursday, the 13th of February 2020, Alibaba Group Holding Ltd., the Chinese e-commerce Goliath which controls roughly 65 per cent of China’s much-monopolized e-commerce activities, had made an announcement saying that the Chinese provider of b2b and b2c sales through its e-commerce platform had been anticipating a steep drop at its revenues from its e-commerce businesses during the first quarter of the year amid a fast-spreading coronavirus outbreak, remarking the latest to join a string of companies exposed to China trading which had already forecasted grave losses over the first quarter this year.

Besides, according to Alibaba Group Holding Ltd.’s Thursday’s (February 13th) statement, the company was anticipating a hit at its sales mostly due to a mass-scale disruption at its supply chains and deliveries, while in some of the provinces of China including the isolated Central Hubei, the epicentre of the virus outbreak, workers remained utterly reluctant to get out of their houses in the wake of a deadly droplet virus spurring up a chorus of death across the Chinese winds.

Meanwhile, adding that most of the Alibaba e-commerce goods that rely on physical deliveries would likely to be the heaviest hits amid labour shortages and would prod a decline in revenues this quarter, Alibaba Finance Chief Maggie Wu said following Thursday’s (February 13th) Alibaba announcement, “We like other businesses are not immune to supply and demand. Their recovery and long term success will translate to long term growth for Alibaba Group”.