$Alibaba(BABA)$ Chinese stocks are a very interesting class of stocks. For it to flourish, companies have to fulfill 2 criteria: be in line with Chinese government policies and have a sound business plan.
Being in line with Chinese government policies encompasses many aspects. From common prosperity to certain social agendas that the government might be trying to promote, the company has to promote a certain way of living that the Chinese government is trying to steer the country in the direction of. Company leaders likewise also have to have a pro-government stance in order for the company to flourish. Currently, $Alibaba(BABA)$ seems to have once again gained the favour of the Chinese government, however, it remains to be seen if this is something that would continue for the longer term, given the direction that it's leaders might be taking.
In conclusion, it is impt to both assess the company's business model, as well as have a good understanding of the Chinese government's stance, before investing in Chinese stocks. $Alibaba(BABA)$ has been stable at its current price levels in recent months, and looks set to rise, should the holiday sales results be favourable. One must not forget, however, the current state of the Chinese economy, with it's large property company defaults, as all these might put downward pressure on the outlook of $Alibaba(BABA)$
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