In the fast-paced arena of digital commerce, Alibaba, tickered as BABA, isn’t content to sit on the sidelines. The company is doubling down on its Alibaba International Digital Commerce Group (AIDC) offerings, a segment that is hitting soaring high notes thanks to the stellar performance of platforms like Lazada, AliExpress, Trendyol, and Alibaba.com.

One standout play in Alibaba’s playbook is its recent partnership with the prestigious UEFA EURO 2024 tournament. Alibaba.com has clinched the title of the tournament’s official international business-to-business (B2B) e-commerce provider. The international e-commerce retail arm, AliExpress, has also scored big, securing the exclusive global e-commerce partnership for UEFA EURO 2024.

As part of this winning deal, Alibaba.com is gearing up to assist small and medium-sized enterprises (SMEs) with a variety of initiatives. These include special deals, giveaways, and advanced sourcing tools aimed at boosting sales, particularly for soccer-related merchandise, a move set to score big in the SME playbook.

The Alibaba ship is set to sail to new shores, with expectations brewing high that the UEFA partnership will catapult its popularity among SMEs in Europe. Alibaba.com has been steadily fortifying its standing among SMEs through various initiatives. Most recently, Alibaba.com launched the Alibaba Guaranteed platform, a game-changer simplifying B2B cross-border trade for SMEs by ensuring supply chain reliability.

In the fourth quarter of fiscal 2024, the AIDC segment recorded revenues of RMB 27.45 billion ($3.8 billion), showcasing a robust year-over-year growth of 45%. No stone is being left unturned by Alibaba to ensure the triumphant trajectory of AliExpress. The company is leveraging synergies between AliExpress and Cainiao’s cross-border logistics operations to bolster AliExpress’ delivery services, enhancing customer experience and market position on the global stage.

As Alibaba strategically expands its presence in the global e-commerce market through stellar initiatives like the UEFA partnership and AliExpress expansion, a showdown ensues. The e-commerce market, as per Statista, is readying itself to generate revenues of $4.12 trillion in 2024, with projections soaring to $6.48 trillion by 2029, spelling a tantalizing growth opportunity for Alibaba.

However, the path to victory is riddled with challenges. From competitive pressures to mounting expenses, macroeconomic uncertainties, and pesky foreign exchange fluctuations, Alibaba finds itself in the midst of a fierce joust. The company faces stiff competition from industry stalwarts like Amazon, eBay, and JD.com, who are all fervently working to fortify their foothold in the cutthroat global e-commerce arena.

Amazon is making waves with its robust Prime program, stellar distribution network, expanding fulfillment channels, and burgeoning ties with third-party sellers. Meanwhile, eBay is upping its game with initiatives like the Luxe Line, catering to luxury item sellers and providing a premium selling experience.

JD.com is on the offensive, expanding its international express delivery service and winning kudos for its efficient logistics solutions, which are proving to be a hit among SMEs.

Though Alibaba’s shares have not kept pace, returning a modest 1.2% in the year-to-date period, trailing behind industry growth, the company remains a formidable player in the game. Its shares may lag behind Amazon, eBay, and JD.com, but its prowess in the international commerce retail business remains unwavering.

The company, tagged with a Zacks Rank #3 (Hold), is trading at a considerable discount with a forward 12-month P/E of 9.34X in contrast to the industry’s 25.25X, showing there may be value to uncover.