What happened: Newly listed e-commerce company Pinduoduo recognizes the problem of knock-offs and said it’s going to fight it. Huang Zheng, founder and CEO of the company, credited Alibaba’s efforts in fighting fakes and this helped other companies learn how to deal with the same issue. He also said the problem of counterfeiting is the stage that all e-commerce companies go through.
Why it’s important: Pinduoduo is known for running large campaigns with low-priced products, many of which are accused of counterfeiting. Fighting against knock-offs will earn the company reputation, but the question is whether Pinduoduo will be able to provide quality products at low prices as to retain their consumers.