The Rise of Small Businesses as Told by Jack Ma

The battle for economic advantage between China and US is a widespread news that is also well accepted by many. Very few would dare to actually suggest solutions to change this. Indeed, there are different issues that surround this rivalry. First and foremost, the “Chinese invasion” of US businesses, but really, this is something the US policy makers would have to answer to as the law opens up doors for China to enter and be competitive with US companies. This could be either company stake acquisition or public bidding for government projections, both which the Chinese have been an aggressive one. The second battle between the two superpowers would be their strength in manufacturing. The US has always wanted to re-shore all manufacturing activities back home in order to both provide local jobs and also avoid feeding China with an edge in this sector. Not to mention some very sensitive topics such as the south china sea and the Nanking massacre disputes.

As for the solution, there is no single one to solve all of these. On the other hand, strengthening the connection between the two countries might be able to alleviate the situation. Currently, e-commerce is the new way of doing business. This is the main platform for businesses in the united states to tap the Chinese market and vice versa. It is an effective medium to cater to the market demands for both countries, even without the physical presence of these businesses to the foreign country. Alibaba is one of the biggest names known for the e-commerce business, one of the pioneers of small business’ product selling online. Jack Ma, the founder of Alibaba believes that this is the best way to connect the US and China – to continue strengthening the platform for small businesses to grow. According to Jack Ma, the US President Trump, although vocal about being aggressive towards the issue of economic rivalry with China, will also set the issue aside later on. He said that this was only a topic for the elections and will die down at a later time when the US already transitions to the new administration. He is a strong supporter of small businesses and believes that in time, these entities will rise even more and cause the decline of sales for other big companies. This could happen for different reasons such as the management centralization and quality control of small businesses, and their continuous efforts to maximize the use of internet and online business stream. In addition to this, Jack Ma also aims to create one million jobs out through supporting small businesses. Although, he was not clear where this number may be reached.

Currently, Alibaba has won their customers in China and the whole of Asia. However, unlike Amazon that has penetrated the market effectively worldwide, Alibaba has not yet reached its peak in Middle America. This is something that CEO Jack Ma is currently facing and aiming to solve through positioning the platform for small businesses both in China and the US to succeed. The result is more than just the numbers it brings for both economies in terms of how much profit these businesses made. Through the platform like Alibaba who helps small businesses, it allows a lower-class American to buy products that are cheaper compared to those that are available locally. This would also mean that an average earning Chinese Citizen may already buy American branded products that he prefers. Regardless of any political issues between US and China, there will always be a common ground, something that can drive improvements in their relationship – this is the market for each country from the other.