Alibaba announced on Tuesday that Chief Financial Officer Maggie Wu will not take over the acquisitions and investments arm of the Chinese e-commerce group. The internal reshuffling has been translated by industry analysts as a preparation move for the firm's Hong Kong listing.
According to CNBC, a statement signed by CEO Daniel Zhang revealed that the "organization upgrade" had to be carried out as the company continues to explore investment opportunities.
Under the new administrative arrangement, Wu will be supported by Executive Vice-Chairman Joe Tsai. No other details about Tsai's assistant role were explained by Alibaba but analysts said the arrangement could help boost plans to improve investment ventures.
Among the latest huge advancements within the Chinese retail giant is the scheme of boosting investments through a potential $20 billion listing in Hong Kong. The listing is expected to entice other New York-listed companies to move to home turf.
Alibaba's New York listing made $25 billion - still the biggest worldwide in funds raised under a single listing. The second filing is expected to urge other Chinese companies to move back home, in familiar grounds, and stronger opportunities around investments.
Alibaba has already been investing heavily in other segments outside e-commerce. The recent ventures that the firm indulged in are cloud computing, artificial intelligence, big data, and other related technologies.
For some analysts, venturing outside online retail was necessary as figures indicate that the e-commerce realm is starting to weaken. The company's statement regarding Wu's additional role also noted that the reshuffle was made to "guarantee innovation."
Investments in other tech branches are necessary for growth as e-commerce activities weaken both domestically and globally. To curb the potential impact of weakening online retail units, Alibaba Cloud announced its entry to Brazil.
The Brazil venture offers AliCloud for Chinese and Brazilian businesses through representation from Brazil's UOL Diveo. The core focus of the project is to help companies from both countries transition to digitization.
It is expected that the reshuffle will help Alibaba tap into various channels of investment in other countries including Brazil and hopefully other regions in the west.
The reshuffle also came following announcements that Alibaba Cloud is not stopping in its goal of tapping into global waters. Late last month, the company said it is collaborating with global working space operator WeWork to cater to foreign businesses trying to penetrate the Chinese market.
Industry analysts are expecting to see the company further expanding its reach and influence in the global community through partnerships in technology and other segments involving cloud computing and innovative deals.
