Alibaba Group Holding Ltd. has announced a 2 billion yuan ($281 million) investment to establish a nationwide network of Taobao-branded convenience stores. This initiative is designed to bolster its on-demand delivery and instant commerce business, Taobao Shangou, intensifying its rivalry with competitors like JD.com and Meituan. Rather than building new outlets, Alibaba will partner with existing neighborhood shops, upgrading them with its digital infrastructure, branding, and supply chain technology. The program aims to connect local retailers to Alibaba's broader ecosystem, including its wholesale platform 1688.com and inventory management services. The initial rollout has already begun in cities like Hangzhou and Nanjing, with plans to expand to over 200 cities across mainland China. This move comes amid fierce competition in China's local commerce market. The announcement noted that BABA shares were trading approximately 1.07% lower in premarket on Monday, November 3, 2025.