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Ali Baba

Ali Baba, which is one of the largest E-Commerce companies in the world is set to operate in Pakistan.  What it means is that the local ventures are going to be facing really tough time from now. It is a well-known fact that after the initiation of CPEC, Chinese influence is going to increase in Pakistan, and that would mean more and more Chinese organizations are going to start their operations in Pakistan. Now, E-Commerce was an industry which was still in its infancy in Pakistan and as per some estimates, there is a volume of about $ 1 billion that is still needed to be capitalized.

Alibaba Group’s Executive Chairman, Jack Ma, and Pakistani Prime Minister signed the first MOU between Ali Baba and Pakistan would mean that tough times are ahead for E-Commerce in Pakistan.  Pakistani E-Commerce players are concerned about the sort of impact it would be having on their business. But they have to blame themselves if Ali Baba is able to consolidate itself in Pakistan. It is an obvious fact that international food brands, such as KFC and Pizza Hut were not able to sustain themselves in Pakistan due to the quality of the competition that local companies were providing was quite stiff. 

Ali Baba

On the contrary, the sort of service that local players were offering was far from ideal. Regular service delays, customer complaints and increasing number of irate customers meant that these local players were not able to present their case in as a strong manner. The case of Kaymu also reflected badly on the state of Pakistani E-Commerce market.

Pakistani people though would be quite pleased as world’s largest E-Commerce platform working in Pakistan would mean that the choice and options that they have at their disposal are going to increase by quite a fair margin. That would also mean increased employment opportunity for the local population as well.

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