At Alibaba's Lazada, coronavirus measures become the latest culture conflict

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At Alibaba's Lazada, coronavirus measures become the latest culture conflict
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Singapore-based Lazada's latest coronavirus measures have led to widespread anger among staff and illustrate how Alibaba’s business practices have sometimes played poorly abroad and hindered its overseas ambitions by QiZHAI f_potkin

), staff are furious over demands they submit health reports daily and other coronavirus-prevention steps seen as too invasive, highlighting a long-running culture clash with management from China.

Lazada has also asked Singapore employees to wear masks at work, contrary to guidance from authorities, and has also considered urging employees to refrain from attending religious gatherings, they said. “How does the company use the information gathered daily? Nobody is able to explain,” said one of the employees, expressing concern that Lazada might pass on the information to governments.

Once the top e-commerce firm in Southeast Asia when Alibaba first invested, Lazada has now fallen behind rivals in a fast-growing market of 650 million Southeast Asia consumers across six countries, according to market researchers. The request that employees at Singapore headquarters wear masks resulted in many queries as it runs counter to guidance from Singapore authorities who recommend masks only if feeling unwell.

“All personal data collected from the daily health check-in program shall be processed in accordance with the local data privacy laws,” said an updated version reviewed by Reuters.According to sources, senior Lazada executives from China have often been quick to impose what has worked for the mainland Chinese market with little regard to local needs or sensitivities in Southeast Asia’s fragmented markets.

Alibaba does not break out Lazada’s financial performance or disclose market share, but market researchers say Lazada now lags Singapore-based Shopee, which is backed by Alibaba arch-rival Tencent Holdings Ltd .

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