Alibaba Group Holding Ltd (NYSE:BABA) is one of the most talked-about tech companies on Wall Street, with its $25 billion IPO in 2014 registering as the largest in history, and its position as the largest e-commerce company in China making it one of the most exciting prospects on Wall Street.

But all is not well within the halls of BABA. Founder Jack Ma, in a letter to his staff, let members know they would not receive the red envelopes of bonus cash customarily given out in celebration of the New Year.

According to reports, Ma wasn’t satisfied with Alibaba’s most recent quarter, which he saw as lackluster even though BABA saw double-digit growth.

So should investors remain sanguine about the company or head for the hills? Here are three things to consider:

BABA Is Plagued by Problems

Alibaba.com is one of several e-commerce platforms BABA operates, coming together in an online marketplace of buyers and sellers spanning the globe. The problem is that disreputable vendors have inundated BABA with counterfeits, some companies claiming as much as 80% of their merchandise on the sites was fake.

Alibaba’s counterfeit problem is notorious and grew to such a level it caused the Office of the United States Trade Representative to take notice – and action. In 2011, the agency placed BABA on its list of notorious markets. However, through intense lobbying and attempts at reform, BABA was removed in 2012.

The Chinese government itself has taken issue with Alibaba’s lax standards when it comes to its sites. Last month, China’s State Administration for Industry and Commerce made public a white paper that detailed unscrupulous practices it claims BABA engages in.

According to the white paper, BABA not only allows the proliferation of counterfeit goods on its sites but engages in bribery and the selling of prohibited weapons.

BABA Is Hard to Figure Out

The many platforms of BABA range from sites concerned with retail to travel to cloud computing. But getting your head around the ins and outs of the relationships BABA has with its vendors can be perplexing.

Keep in mind, Alibaba doesn’t actually sell anything; the company makes money from commissions and advertising. Still BABA has been described as opaque, some of its practices concealed and its many connections hard to pin down.

China’s Economy Has Lost Steam

In 2014, China’s economy grew 7.4%. Not bad by some measures, but when an economy is accustomed to seeing double-digit growth, it can be concerning. In fact, China’s growth rate last year was the lowest it’s been in 25 years.

And things may not turn around quickly, according to economists. It’s been forecast that the downturn in China’s economy will continue until at least 2016. In January, the International Monetary Fund predicted that China will only grow 6.8% in 2015, a target below what Beijing is expected to announce.

BABA is one of the biggest tech companies in the world and it’s growing. According to its Q4 earnings report the company had revenue of $4.2 billion, an increase of 40% over the same period the year before. But Alibaba’s problems with counterfeit products and corruption have given investors reason to question the company’s health going forward.

While Alibaba doesn’t have to worry as much about competition from Western e-commerce brands like Amazon.com, Inc. (NASDAQ:AMZN) and eBay Inc. (NASDAQ:EBAY), it’s heavy reliance on China can be a double-edged sword.

And given the trouble in China lately, it’s one investors need to watch closely.

As of this writing, Will Emerson did not hold a position in any of the aforementioned securities.