Alibaba Group Holding Ltd (BABA)’s Evil Branding On U.S. Television by the Main Street

Even though Alibaba Group Holding Ltd (NYSE:BABA) might not have emerged on the e-commerce scene in U.S. yet, but Jack Ma’s beloved company is already facing opposition from the Main Street market in U.S. In an article on The Hill, Martin Matishak analysed the latest campaign by an Alliance of retailers seeking U.S. government’s protection from the possibly upcoming price cutting of Alibaba.

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Main Street has allied to to push the Marketplace Fairness Act, which is primarily concerned with sales tax for online businesses, something which is lacking in the current regulatory environment. The small businesses feel that they will be wiped out if appropriate measures against e-commerce giants like Alibaba Group Holding Ltd (NYSE:BABA) are not taken.

According to Matishak the Act has been facing resistance from Republican lawmakers, including House Speaker John Boehner (Ohio), House Judiciary Chairman Bob Googlatte and Senator Ted Cruz.

While the politicians have claimed that they need more time to study the matter in detail, the Alliance is running their campaign in full swing on both cable television and Sunday political talk shows. The only e-commerce company explicitly mentioned in the promotion of sorts is Alibaba Group Holding Ltd (NYSE:BABA). This paints a picture that America will soon be taken over by the Chinese companies, and the process has just started with the IPO of the world’s largest e-commerce business this year.

It is noteworthy that such a campaign never surfaced for years when the likes of Amazon and eBay have been operating. The fear of China taking over was perhaps seen as a characteristic that could be cashed in by the Alliance.

It is still very debatable whether Alibaba Group Holding Ltd (NYSE:BABA) should make an entry into the U.S. e-commerce scene, when there is still plenty of growth opportunity in China, and a much less competitive environment. The advertised sufferings of Main Street seem to be very misdirected.

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