For the past few years Chinese e-commerce company, Alibaba, has been battling accusations that their products are counterfeit. In order to hopefully end these rumors and regain their reputation, the brand is beginning to make amends, starting with luxury goods giant, Kering.
Back in 2015, Kering—which owns brands such as Gucci and Saint Laurent—sued Alibaba for charging counterfeit goods that were sold on the e-commerce website. According to The New York Times, Kering had decided to drop the lawsuit and the two companies resolved their differences.
In an effort to prevent this from happening again in the future, both companies have joined together with law enforcement to fight against the sale and distribution of counterfeit goods. The companies have formed a task force that will make of use of Alibaba’s technology in order to find any fakes.
Alibaba is most likely showing signs of change due to having a long-time rep of being a platform for vendors to sell fakes. In 2016, the Office of the United States Trade Representative even placed them on a list of “notorious markets” for counterfeit goods.
Alibaba was said to be using highly advanced technology in order to track down any fakes that may be sold. According to a report submitted to the United States trade representative last year, the company assured that its systems could scan up to 10 million product listings a day. These scans have allowed the company and law enforcement to take down about 380 million suspect listings in one year.
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While this may be the case, systems can still sometimes be prone to error. Despite this, the company is continuing to rally in for American vendors for its platforms. Company Jack Ma, even hosted a conference in Detroit and met with President Trump in order to show they’re making an effort to change.