11.09 - Alibaba experiences changes.
Sudden changes in Alibaba CEO seat are going to bring a lot of changes into the policies of the company.
One of the biggest and most reliable companies in all of Asia have had a very sudden and quiet change in the CEO seat that was barely noticed by the trading society. Although changes like that barely go along unnoticed by the shares and investors alike. Right now we are at the verge as the new CEO of the company can start making changes around the company and there can be consequence for trading society.
Jack Ma – former CEO decided to step down in order to focus on his charity work. Now his seat will be occupied by Daniel Zhang who will start his duties in 2019 when everything is in order.
With all of the trouble in the Asian region Alibaba was one of the few conglomerates that is really reliable and quiet consistent in its prices and policies. But now there is no way of telling whether the situation in Asian region is going to change or stay the same. There is a huge possibility that Daniel Zhang is not going to stand up for saving the old policies and ways of the company. After all this relatively new to Alibaba executive has been known to shake things up in his department, so why not shake them up in the company as a whole?
And there is a high chance that we as traders are going to love the policies of the new CEO. The changes made by Zhang have already reflected in 87 percent gain which brought Alibaba’s market cap to $420 billion. After all Zhang is known for his innovative vision when it comes to the finances. But now Alibaba has a lot more to worry about as well.
With Amazon’s popularity and enormous next to trillion dollars’ worth of a market cap it will be hard for Alibaba to attract investors and even hard to make them stay. Who wants to keep on investing in Asian companies that is going to come under American sanctions when there is an all-American company that is not going to suffer at all with offices All around the world functioning on the verge of perfection?
That is the question that Alibaba is going to have to answer in the nearest future. and we want to see positive results, because that is something that the markets desperately need right now.
Have you been paying attention to the car manufacturers around the world? A lot of them are going to be affected by the American tariffs in the nearest future unless all of them come up with unique ideas for the traders and investors to attracted to them. And it seems that such decisions were found.
For example, Japanese Lexus has already come up with another quite luxurious product that is certainly going to find its auditorium and attract attention to the conglomerate. Yachts. LY 650 ids the first water vehicle the production of which is going to be launched by Lexus soon and the prototype of which was already presented to the public will hopefully help Lexus gain as much of the share prices as possible in the nearest future, because the more price is gained, the more chances that the company is going to withstand all the American restrictions.
German Mercedes is also not standing in one place. The German giant presented Vision Urbanetic driverless vehicle prototype. It is a kind a computerized platform on which a cargo or passenger module could be installed. All and all a very solid project that fully incorporates into the driverless automobiles boom that we can see right now. In general Europe is not going to be as hardly affected by the American sanctions as was previously thought but there is no harm in trying to build as much protection from the sanctions as possible.
What does it all tell us? Well, that while American tariffs are harmful in many ways, there are some ways they can be very useful for boosting the economies of the countries that they are imposed against. Of course, damage cannot be undone by simply launching one new innovative product. This has to go with the whole complex of different strategies. And for us traders that means a lot of new possibilities to see the growth of the well-known and loved by us shares and companies
- by Anna K.