Charlie Munger recently admitted that investing in Alibaba was a mistake because he underestimated the level of competition it faced as a retailer in the ecommerce space. This is true, as there are now several prominent ecommerce sites in China, including JD.com, Pinduoduo, Vipshop, Douyin, Kuaishou, and Xiaohongshu. The barrier to entry is not as high as some may believe, as new players continue to emerge and show promise. Let’s talk about Pinduoduo in particular. Pinduoduo, launched just 8 years ago, has managed to carve a space for itself in the highly competitive ecommerce industry in China. Despite being a latecomer, it has now become the third-largest ecommerce player in China, after JD.com and Alibaba, both of which have been around for more than two decades. Pinduoduo found a niche of serving the less well-off consumers in the third- and fourth-tier cities, using group buys and lower prices to attract more people to use the platform....