Chinese company Alibaba to target consumers in the US

Alibaba, the Chinese ecommerce company that has long connected US brands to Chinese suppliers, now wants to help sell goods to American ­consumers.

The company, which is poised for a flotation that analysts say could value it at more than $100 billion (€73 billion), announced yesterday it would launch its first majority-owned ecommerce venture in the US.

Two of Alibaba's US subsidiaries, Vendio and Auctiva, will launch a business-to-consumer site called 11 Main. Alibaba described it as a boutique ecommerce platform selling "interesting quality products" from "handpicked shop owners".

The move is Alibaba’s latest to seek more sources of growth. Alibaba’s sites control 80 per cent of China’s ecommerce. Revenues from those sites in the last quarter grew more than half to $1.78 billion, though the rate of growth has since slowed. – ( Copyright The Financial Times Ltd 2014)