Certainly, what we see across all merchants is a strong desire to get back to business. They want to have a bumper year in 2023 to make up for everything they lost over the past 3 years. That’s certainly a shared hole across the board for all the merchants. Of course, since the resumption of normalcy, if you like, it’s only been a short time. It’s just been about 0.5 month. So we do need to keep our eyes on how the ongoing picture continues to develop. But certainly, we are optimistic about continued improvement in the situation. The other part of your question had to do with market competition and price look, price subsidies are nothing new. Every couple of days, somebody out there comes up with a bright idea to try to engage in heavy price subsidies in order to win more opportunities and turn around their business.
But I think if you take a clear-eyed look at history, nobody, no player ever has managed to achieve that kind of turnaround by relying on price subsidies. What it takes really is technology innovation which in turn, empowers business model innovation. At the end of the day, it’s really about merchants being able to provide to consumers the best products at the best prices in a way that is sustainable in the long term so that the merchant can make a return and continue to invest in a sustainable cycle. So Alibaba has a lot of experience in empowering merchants to do that. We also have experience in utilizing platform mechanisms to enable sustainable growth. And as Toby said in his script, we have deep pockets with USD 55 billion in cash. So we can continue to leverage these approaches to create value for users and maintain our leadership in the market.
Operator: The next question is from Eddie Leung from Bank of America Merrill Lynch.
Eddie Leung: Yes. My question has to do with local services. We understand that there’s been a turnaround in unit economics and has positive UV continuing to improve. But at the same time, we understand that there are various short-form video platforms that are also now investing heavily in local services, and this could lead to further changes in the competitive landscape. So I’m wondering if you could talk to us, please, about your strategy for local services going forward to continue to maintain and strengthen that leadership position.
Toby Xu: Well, when it comes to local services, as you know, there are really 2 different kinds of services, to-home and to-storm or to-destinations because the store is one kind of positive destination. So starting with the destination, any media platform, be it short-form video or other kind of media, can find ways to develop to-destination business in the context of local services. They can promote a local destination, be it a store or something else through their media offering. They can allow consumers to place an order. But when it comes to fulfillment, you still have to physically go to the store to fulfill your order. So certainly, any media has any kind of influence with an audience can find opportunities to do that to drive traffic to a physical location like a store.
But Alibaba has opened up a whole new paradigm on the to-destination front with the important transformation and very successful transformation of Amap that we’ve succeeded in realizing over the past few years, taking it from simple map tool to Amap and location-enabled offering that spans search discovery and fulfillment. And today, Amap has achieved very high penetration in a whole range of categories that we’ve talked about from ride hailing through to hotel reservations through to gas stations and indeed finding electric charging facilities for new energy vehicles. And I don’t think that’s something that any other kind of media platform, any media platform could accomplish. Now the other piece, when we talk about local services is to home and Olam is part of that section of local services.
