Alibaba's Taobao Eyeing Letao Acquisition to Build Up its B2C Mall

Previously, at the fifth anniversary celebration of Taobao, Jack Ma, chairman of the board of directors of Alibaba Group, once revealed that the profit model of Taobao charging for transactions was resisted by online merchants. Therefore, Taobao tried to break through the profit bottleneck with a B2C model. The task of Taobao and Alibaba in the next 5 to 10 years is to create a large and mature e-commerce ecological chain. However, insiders pointed out that due to Taobao breaking the traditional channel relationship chain, the execution of Taobao's B2C policy was not smooth. Many people inside Taobao have resigned, and Jack Ma personally supervised Taobao, adjusting its B2C strategy, mainly targeting large vertical B2C companies. Letao just meets this requirement. Insiders revealed that Taobao's acquisition of Letao is likely because it values Letao's position in the field of online sales of children's toys, and believes that children's toys can become one of the breakthrough points of Taobao's B2C Mall, laying a good foundation for the full-scale rollout of Taobao's B2C Mall.