Chinese Regulators have fined Alibaba a record $2.8bn after finding that the commerce group had abused its market dominance. The penalty comes after Jack Ma’s company had been the subject of an anti-trust investigation which found that since 2015 Alibaba had forced merchants to sell exclusively on its Tmall and Taobao online shopping platforms.
Critics of China like to say that China is Copybook Capitalism – doing what the West does + regulating the Capitalists. Wrong. China controls the Capitalists, prevents them from exploiting their market role to take advantage of the Chinese consumer. The Chinese Regulator exists to protect the Chinese Consumer. The Western Regulator exists to protect the Western Capitalist. The difference is considerable.
China is in uncharted territory. No country has been this far along the road to Socialism. This is a class struggle with a difference. The Capitalists can get rich in China but Don’t Break The Rules. Capitalism in China works for Socialism – that is a significant difference and for this new concept to be successful the Party has to be the #1 power. The West does not understand.