The future of e-commerce in China
Publication Date: January 2000
Publisher(s): East-West Center
Topic: Business (Business operations and practices)
Economics (Economic policy, planning, and development)
Media, telecommunications, and information (Electronic data processing, transmission, and retrieval)
China has the resources, the means, and the motivation to be a central player in the global e-commerce industry but is lagging far behind other countries in terms of market size and scope. Particularly significant is the dearth of business-to-business transactions, which have been growing by leaps and bounds elsewhere. The key reasons for China's e-commerce problems include an insufficient grasp by entrepreneurs of the complexity and dynamics of e-business, obstacles to web access and e-banking, inadequate supply and delivery systems, and security concerns. It is therefore imperative that the Chinese government provide high-level policy coordination and support for e-commerce development, and e-commerce must be a central element in future development strategies. Clear government policies and regulations are needed to address a host of emerging e-commerce issues, especially those surrounding commercial contracts, taxation, and new modes of foreign investment. Finally, government must institute training programs at national and local levels to provide computer-related education.