Baidu (Nasdaq:BIDU) is about to release earnings. Ponder this Bear Case Scenario:
Baidu has made large investments in mobile but does not seem to be monetizing them very quickly.
Active expansion of non search activities will distract management and lower overall margins. The question becomes what is the core competency.
Alibaba offers pay for performance search on C2C and B2C. Taoboo and Tmall respectively. All of which are popular with small businesses.
Some questions about the advertising reach. Is it large enough to keep attracting new users.
George Gutowski writes from a caveat emptor perspective.