The Chinese tech giant’s restructuring comes as it faces increasingly fierce competition, economic slowdown and regulatory blows.
Alibaba Group Holding Co., Ltd. said it is restructuring its international and domestic e-commerce businesses and will appoint a new chief financial officer.
The changes announced on Monday come at a time when Alibaba is facing multiple unfavorable factors, including increased competition, economic slowdown and Regulatory crackdown.
Alibaba said that it will set up two new departments to accommodate its main e-commerce business-international digital commerce and China digital commerce, in order to become more agile and accelerate growth.
The International Digital Commerce Department will be responsible for Alibaba’s wholesale business for overseas consumers, including AliExpress, Alibaba and Lazada. The department will be led by Jiang Fan, who was the president of Taobao and Tmall Market.
Alibaba will place its domestic commerce business in China’s digital commerce sector, which will be led by Alibaba’s founding member Trudy Dai.
Toby Xu, the company’s deputy chief financial officer, will succeed Maggie Wu as chief financial officer from April; his appointment is described as part of the company’s leadership succession plan.
Xu joined Alibaba from PricewaterhouseCoopers three years ago and was appointed as Deputy Chief Financial Officer in July 2019.
As the chief financial officer, Wu, who helped lead the public listing of three Alibaba-related companies, will continue to serve as executive director of Alibaba’s board of directors.
The Hong Kong-listed stock of the e-commerce giant fell 8% in early trading, following Friday’s decline in the United States. The stocks of Chinese companies listed in the United States fell due to fears of stricter domestic regulatory review following the introduction of the plan in the United States. Didi Global will delist from the New York Stock Exchange.
Last month, Alibaba lowered its forecast for annual revenue growth to the slowest rate since it went public in 2014, and saw its banner event, the online shopping festival Singles’ Day, grow at the slowest rate ever. Despite record sales.