Why China’s Alibaba keeps its distance from logistics arm Cainiao

cpenler-alibaba_62154393

© Cpenler

By Alex Lennane

23/09/2016

An interesting article from Bloomberg on Alibaba’s logistics arm, Cainiao Smart Logistics Network. An unprofitable business, 47% owned by Alibaba, Cainiao expects to remain unprofitable for some time as it builds a massive delivery network. Cainiao’s CEO recently noted that the company needed investors who were not expecting short- or even medium-term payback. And Alibaba does not want the cost dragging down its margins. But, as this article points out, the SEC is not quite so understanding.

Read more...

Comment on this article

You must be logged in to post a comment.

Topics

Alibaba Cainiao e-commerce The e-commerce equation CBRE ProLogis Warehousing & logistics

Most Read

MSC Aries now bound for Iran, and crisis will be 'a catalyst for higher rates'

Urgent call for breakdown of cargo onboard as General Average declared on Dali

Hong Kong drops out of world's top 10 busiest container ports

Iranian troops seize MSC box ship while Somali pirates net $5m ransom for bulker

Flexport is 'back on track' – now it needs to start growing again

Bottlenecks and price hikes as airlines now avoid Iran airspace

Capture of MSC Aries will further drive up Indian export costs

Iran may now pose a threat to multimodal supply chains via Dubai

Cargo flows through Dubai delayed by flooding, with 300 flights cancelled

How crazy is this: DSV goes hostile on Expeditors or CH Robinson?

Carriers look to short-term gains over blanking, as Red Sea crisis props up rates

Looks like rain: Panama Canal Authority eyes return to normal service

EXCLUSIVE: Kuehne + Nagel shockwaves in APAC

Sustainability concerns don't show on shippers' procurement radar

Talk of Schenker, Flexport et al – and a meagre lunch for forwarders

CMA CGM Air Cargo finally launches transpac services