Alibaba Group (NYSE:BABA) announced that it is merging its domestic and international eCommerce operations into a single unit and named Jiang Fan as CEO.
The move comes as Alibaba’s platforms have come under pressure both in China and overseas due to rising competition, notably from domestic rival PDD Holdings.
The new unit, called Alibaba E-commerce Business Group, will integrate the Taobao and Tmall Group, Alibaba International Digital Commerce, 1688 Marketplace, Idle Fish and other e-commerce operations.
Jiang, who currently leads the company’s international eCommerce unit, will report directly to Alibaba CEO Eddie Wu Yongming.
“The e-commerce industry in China and around the world is entering a new era, and the global supply chain capabilities, fulfillment capabilities, and consumer service capabilities will determine the future competitive landscape,” Wu wrote in a note to employees.
Alibaba’s US-listed shares traded lower following the announcement, down 1.3% at $85.65 late morning on Thursday.