|So 2300 out of 140,000 vendors were engaging in fraud. That is around 1.6% of all vendors on Alibaba were bad and total fraud is for $1.7 million only. That the CEO of company has resigned is a good example of difference in business culture and ethics in the USA and in China. In 2008 when a bunch of big American banks went bankrupt, not even a single bank CEO resigned on his own. Many were sacked by their boards because they were just not willing to accept responsibility for their decisions that led to losses worth several hundred billion dollars for their banks, customers, employees, investors as well as governments around the world. |
Here the CEO of a major Chinese internet company is accepting responsibility. To me it doesn't looks like a bad thing.