Alibaba Membership With IACC Suspended

Alibaba will still continue to implement the policies and strategies discussed in the crackdown operation under its previous coalition with IACC.

Alibaba Group Holding Limited and counterfeit goods seems like to go hand in hand. For a very long time, the company has been battling the fake items on its online marketplaces however it failed to completely eliminate them. Time and time again, customers and luxury group owners such as Burberry have been complaining regarding the fact that their products are being sold online at lower prices than usual. A couple of weeks ago, the Chinese e-commerce giant assured to tighten its policy for the luxury goods and the goods that belong to the luxurious brands.

For that matter, Alibaba Group also joined hands with the International AntiCounterfeiting Coalition (IACC) in order to launch a crack down operation on counterfeit goods. The company described counterfeiting as a difficult and industry wide issue but Alibaba does not own only one but several marketplaces and a couple of them were being alleged for having fake goods. However one bad news in its progress is that its coalition with the IACC has been suspended last week. The South China Morning Post reported the news but also mentioned that the online retailer will continue its efforts in eliminating fakery.

Alibaba said in a statement released on its online newspaper SCMP that the membership suspension will not affect the implementation of its policies for this crackdown operation. The biggest online shopping platform of China has vowed to be in touch and work together with luxurious brands, government, and the industry in order to battle its one of the major issues.

The Chinese tech giant has said to continue implementing the IACC Market Safe Expansion Programme which deals in taking down knock-offs that had been identified on its retail marketplaces at a fast pace. Alibaba added, “The only way to solve the counterfeiting problem was “through strong industry collaboration, and we believe that intermediaries, like Alibaba, must be an integral part of the solution”.

The fake goods are not only damaging the reputation of Alibaba but of China and its economy as well. The economy is already facing a major downfall and the company, for long, has been trying to clean its slate. Its new tightened policies would be very effective once they are implemented from May 20. The new policy states that the luxurious goods’ seller will have to upload a proof of authentication of its purchase before placing a list on the online marketplace. It will be on Alibaba then to either accept or reject the seller’s good.