China's E-Commerce Becomes RealityIn the past several years, e- commerce in China was just a beautiful picture, but now it has become a reality.A nationwide survey found that China had more than 1,100 consumer related e-commerce websites by the end of the first quarter this year. Though China's e-retailing sales volume totaled 55 million yuan last year, accounting for merely 0.018 per thousand of the country 's total retail sales, the survey predicted a 500 percent growth this year. What you can see with your eyes confirms this. Every day there are two or three new websites conducting e-commerce, extending the scope of their services, from economically developed south and coastal China to the inland areas. The payment system, which used to be considered as one of the fatal factors hindering e-commerce development in the country, is now improved. On-line payment has become reality for banks including the Bank of China, the Merchants Bank, and the Construction Bank of China. Among all the e-retailing websites, 8848.net is the most popular among Chinese Internet users, and more than 300,000 varieties of commodities are available at the site. Its sales volume last November was 12.5 million yuan, and the figure was increasing month by month. "China now has nearly 10 million Internet users, which means we have nearly 10 million potential buyers across the country," said Wang Juntao, founder of the website. Many computer and software manufacturers are also taking the opportunity to present their latest e-commerce products in China. Since last September when Microsoft unveiled its e-commerce strategy in China, it has launched a series of promotional activities here. Though expecting a bright future, Chinese experts warn that e- commerce is still at the very preliminary stages and still face bottlenecks, such as authentication, payment, delivery and related laws and regulations. "It needs the cooperation of all parts of society to promote the rapid development of the e-commerce," said Wu Jichuan, Minister of Information Industry. A survey made by Computer and Microelectronics Industry Development Research Center and CCIDNET Consulting shows that only 20.3 percent of Internet users have on-line shopping experience, and only 40 percent of them are satisfied with on-line transactions. More than 80 percent of Chinese Internet users worry about the security of on-line transactions. "I have visited more than one-tenth of these websites, but so far, I have not spent a nickel on-line," said Chen Xiaoxing, an Internet surfer. This attitude indicates that making money through Internet retail sales is still difficult. As one website owner said, websites are spending rather than making money right now. But the situation is improving, and the Ministry of Information Industry is now busy promulgating the basic framework for the development of e-commerce and related laws and regulations. Its latest idea is a forum on e-commerce beginning on May 25 in 10 major cities including Shanghai and Guangzhou. |
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