SHANGHAI: Alibaba co-founder Jack Ma announced on Monday he would step down as head of the pioneering Chinese e-commerce large in 12 months, a departure already drawing comparisons to the retirement of overdue Apple founder Steve Jobs.
Analysts stated the early withdrawal of fifty four-12 months-vintage Ma, the charismatic face of a employer that has revolutionized how and what China’s people eat, will assignment Alibaba to carry on Ma’s imaginative and prescient amid rising competition.
But like Apple’s transition to contemporary boss Tim Cook, Alibaba’s CEO and anointed successor Daniel Zhang is much less magnetic than his predecessor however has confirmed an capable steward due to the fact effectively taking the operational reins years ago, they said.
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“Day-to-day operations-wise Alibaba will no longer be affected that an awful lot. But considering that he’s (Ma) the face of the organisation, people can also lose a bit little bit of religion,” stated Jackson Wong, associate director with Huarong Securities in Hong Kong.
“But, wherein Jobs died, Ma is anticipated to stay on in an advisory function, so there shouldn’t be an excessive amount of impact.”
Ma — who grew to become 54 on Monday — said in a declaration he will function govt chairman until his 55th birthday before passing the torch to Zhang.
“I will paintings intently with Daniel to ensure a smooth and successful transition,” Ma said.
Ma, who has expressed a preference to follow inside the philanthropic footsteps of Microsoft founder Bill Gates, said he might remain on Alibaba’s board till 2020.
“The one issue I can promise all of us is this: Alibaba became never approximately Jack Ma, but Jack Ma will all the time belong to Alibaba,” he said.
A former English teacher, Ma began Alibaba in 1999 in his apartment inside the eastern city of Hangzhou — where its headquarters continue to be — building an e-commerce colossus and turning into one of the international’s richest men and maximum recognizable figures in China.
Ma’s net worth is more than $40 billion, in step with the Bloomberg Billionaires Index, and Alibaba, which has stocks listed in New York, become valued at $420.Eight billion as of final Friday.
Alibaba sought to reassure investors over the exchange, with Ma saying he had “complete self assurance” that a management team in location for years will “win support from customers, personnel and shareholders”.
Jeffrey Towson, an creator, equity investor and Peking University commercial enterprise professor, stated Ma turned into “by no means a technology guy” anyway and that his crew-constructing abilities depart Alibaba in first-rate form.
“He’s always been building crew and culture, by no means technology, so he’s made himself useless,” Towson said.
“Is the internal subculture already so ingrained that it’s an Alibaba culture, now not a Jack Ma way of life? I assume that’s come to be proper.”
With his impish grin, Ma in latest years has largely acted as a globe-hopping ambassador, inclusive of playful antics along with dressing up as Michael Jackson for a dance routine at a company gathering ultimate 12 months, while leaving Alibaba’s jogging to others.
Analysts said agency shares could face short-term pressure.
But even as Alibaba loses an iconic figurehead, the brains stay with Zhang, analysts introduced.
It’s largely been below the greater reserved Zhang’s stewardship that Alibaba’s two principal e-commerce platforms, Taobao and Tmall, have became coins cows as different palms like digital payments have also flourished, they stated.
With Zhang as CEO, the corporation has endured to wow buyers each area with sterling sales increase.
“Tim Cook can’t innovate like Steve Jobs however he has grew to become Apple into one of the global’s biggest organizations in a manner Jobs by no means should,” Towson stated.
“So they query is: can Daniel Zhang be Tim Cook?”
The news comes with Alibaba’s cyber-dominance beneath mission from opponents like Tencent, JD.Com, and different upstarts.
But Alibaba is pouring investment into new initiatives to increase its atmosphere and stake out turf in new territory consisting of bricks-and-mortar retail, cloud computing, AI, digital media, films, the grocery area, meal deliveries and marketing.
Alibaba did no longer specify Ma’s destiny plans, however the former teacher has made increasing get admission to to education a pet challenge.
“I still have masses of dreams to pursue. Those who realize me realize that I do now not like to sit idle,” he said.
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