Alibaba and JD.com Battle for Hong Kong Shoppers, Stocks Slid After Stimulus Rally [Yahoo! Finance]
Alibaba Group Holding Limited American Depositary Shares each representing eight Ordinary share (BABA)
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Source: Yahoo! Finance
The companies waived delivery fees for certain orders and boosted related services like local product returns in Hong Kong, SCMP reports The stocks are trading lower Thursday after a rally led by China's stimulus plans Alibaba committed 1 billion yuan ($142 million) to boost its online retail platform Taobao's offerings in Hong Kong. This is part of a campaign to ship orders above 99 yuan for free to one of the city's more than 800 self-pickup stations. JD.com earmarked 1.5 billion yuan to roll out new services in Hong Kong, including free door-to-door deliveries for specific orders above 299 yuan. E-commerce consultant Jacob Cooke told SCMP that Hong Kong's proximity and relatively low e-commerce penetration rate make it an attractive growth market. Cooke also flagged the higher cost of operating in Hong Kong, which poses a challenge in efficiently scaling logistics. Due to lackluster domestic demand, Alibaba and its rivals had already waged a price war in China in the e
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