Whatâ€™s the worldâ€™s largest and fastest-growing e-commerce market? Itâ€™s China, with over 800 million
Internet users, and accounting for over 50 percent of global retail e-commerce sales (projected to be
nearly 60% by 2021). Chinaâ€™s mobile payment market is a whopping 11 times the size of the U.S. market.
The volume of online sales in China now exceeds that in the United States. E-commerce is predicted to
account for 40.8 percent of all retail sales in China by 2021.
Chinese e-commerce is very mobile: By the end of 2018, more than 75 percent of ecommerce sales in
Chinaâ€”over $1 trillion worthâ€”were transacted via a mobile device. M-commerce accounted for 81.6
per-cent of Chinese e-commerce sales in 2017. Payment for both online and in-store sales via mobile
phone services such as WeChat is sweeping the country. According to iResearch Consulting Group, a
Chinese firm, mobile payments in China totaled $9 trillion in 2016, compared to $112 billion in mobile
payments that same year in the United States. China has also become the worldâ€™s largest mobilepayment
Tencentâ€™s WeChat, with over 900 million active users, is the dominant mobile platform in China.
Retailers and brands have found that capturing the consumerâ€™s attention typically requires operating
within the WeChat environment on the WeChat plat-form, as opposed to building a direct-to-consumer
mobile app. Retailers such as Estee Lauder, Coach, and Gap run their loyalty programs within the
WeChat app, and conduct customer relationship management (CRM) on the WeChat platform itself.
Max Factor built a new social CRM system on the WeChat platform. It created a detailed customer
database with 36 categories of tags using online and offline data. Max Factor now use real-time data to
send personalized messages based on different stages of the customer life cycle via WeChat.
Credit cards never became widely used in China. Until recently, discretionary spending was not really
possible for many Chinese, and there has been a long-standing cultural aversion to debt. On top of that,
the government made it difficult for companies such as Visa Inc. and Mastercard Inc. to set up shop.
E-commerce has given Chinaâ€™s digital consumers access to products from overseas, and a notable share
of consumers appears to be taking advantage. Cross-border shoppers appear to prefer items that are
either too expensive or too scarce domestically.
The most popular categories of goods Chinese purchased online include apparel, food and beverages,
household products, consumer electronics, appliances, and personal care products. Food, luxury, and
sports and wellness products are key categories for future growth. Chinese online shoppers tend to be
young, urban, and highly educated. They are much more consumption-oriented than older generations,
which were shaped as savers by different political and economic circumstances. Younger shoppers are
more willing to spend.
Social media is an important channel for initiating online purchases. About 45 percent of Chinese
consumers use social media to discover new products, 54 percent to review and comment on products,
and 25 percent to purchase directly through a social channel. Retailers and brands need to build and
participate in social communities and engage with customers on social platforms.
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To some extent, e-commerce is replacing shopping in physical marketplaces in China, and will comprise
42 percent of growth in private consumption by 2020, according to Boston Consulting and AliResearch.
For this reason, superstores such as Walmart and Carrefour have shut down a number of stores.
It sounds like there are opportunities galore for global companies that want to sell into the Chinese ecommerce
market. Not so easy. China may be the worldâ€™s largest and fastest-growing e-commerce
market, but it is also one of the most difficult for foreign firms to penetrate. E-commerce in China is
crowded and hyper-competitive, and the country is not entirely open for online business.
First, thereâ€™s whatâ€™s called the Great Firewall of Chinaâ€”a combination of legislation and technologies to
regulate the Internet domestically in China. China blocks access to select foreign websites (such as
Google, Snapchat, Facebook, Twitter, and the New York Times) and can slow down cross-border Internet
traffic. China limits access to foreign information sources, blocks foreign Internet tools such as Google
search and mobile apps), and requires foreign companies to adapt to domestic regulations. A new
cybersecurity law that went into effect in June 2017 requires security checks on foreign companies and
forces firms to store key data in China. For example, Apple works with a local Chinese company to store
Chinese data from its iCloud service at a data center in southwest China.
The Great Firewall has also impacted Chinaâ€™s internal Internet economy by nurturing domestic
companies and reducing the appeal of products from foreign Internet companies. The Great Firewall
fosters trade protectionism that has allowed China to grow its own Internet giants: Tencent, Alibaba,
and Baidu. Tencent is one of the worldâ€™s largest Internet and technology companies, as well as its largest
and most valuable gaming and social media company. It also owns the majority of Chinaâ€™s music
services. Alibaba Group Holding is a multinational e-commerce, retail, Internet, AI, and technology
conglomerate that pro-vides consumer-to-consumer, business-to-consumer, and business-to-business
sales services via web portals, as well as electronic payment services, shopping search engines, and
data-centric cloud computing services. Baidu provides Internet search services in China and
internationally along with transaction services, such as Baidu Deliveries, Baidu Mobile Game, Baidu
Wallet, and Baidu Maps.
China has its own version of many popular foreign e-commerce businesses, such as weibo.com (Twitter),
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Youku Tudou (YouTube), WeChat (Facebook), and Ctrip (Orbitz and others). Alibaba has outmaneuvered
eBay, and Uber had to sell its Chinese business to a local rival. The Internet behind the Great Firewall
can be considered a â€œparallel universeâ€ to the Internet that exists out-side. According to a report on
Internet freedom published by Freedom House, a U.S. pro-democracy group, China ranked last among
the countries of the world for Internet openness.
There are costs for gaining entry to the Chinese market. Initial deposits can range from $8,000 to
$25,000, annual service fees from $5,000â€“$10,000, and commissions on sales revenue around 5%. Other
costs can include being required to use approved agencies in the production of storefronts and sales
information as well as guaranteed stock availability and stock location. Agency fees alone can run into
many thousands of dollars. Chinese Internet filter technical requirements can make operating difficult,
and may force firms to find alternatives to the services technology companies rely on outside China.
It is possible to work with businesses that allow Chinese consumers to purchase from international
brands, without the brand having to have a Chinese presence. For example, Xiaoshongshu (Little Red
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Book) features a mobile app that allows customers to select products from key foreign markets and pay
the company for them. Xiaoshongshu then sources these products for the customer.
Some other points to keep in mind: Although China heavily regulates the Internet, most Chinese are not
that interested in bypassing government filters to visit foreign websites such as Google or Facebook.
China has an array of domestic websites to fill the void. Even when foreign websites arenâ€™t blocked,
Chinese competitors usually prevail because so many people are using their products that they become
indispensable. Internet calling and messaging apps such as Skype and WhatsApp are accessible in China,
but theyâ€™re often no substitute for Chinese products in the Chinese market. In China, Tencentâ€™s WeChat
app is far more popular than Skype, WhatsApp, and Slack.
Once a new technology or business model appears, the Chinese can quickly adapt it to the local market.
Oppo and Vivo, Chinaâ€™s first and third smart-phone brands by market share in 2016, appeal to young
people and residents in smaller, less-wealthy cities. Their phones look like iPhones and have many of the
same features, but they cost less than half the price of an iPhone. While Oppo and Vivo have doubled
their Chinese market share, Appleâ€™s has fallen by 13 percent to the fourth position.
To keep up with increasing demand from smaller urban and rural areas, online retailers are seeking to
expand logistics infrastructure and services. For example, Cainiao, the logistics arm of Alibaba, owns
180,000 express delivery stations for the shipment of products and has recently expanded its fresh food
distribution centers across China. Logistics remains a major challenge as Chinese e-commerce players
attempt to reach more customers over wider geographic regions. Chinaâ€™s logistics system is far from
efficient, with insufficient warehouse space and trucking routes throughout the country. Chinaâ€™s
package-delivery business has been growing 30 per-cent annually, but thatâ€™s not fast enough to keep up
with demand. The scarcity of high-quality logistics providers in China often burdens e-commerce firms
with late deliveries, damaged and lost parcels, slow collect-on-delivery (COD) processes, poor return
procedures, and no special services such as installation or the ability to try on purchases. These
inefficiencies add considerably to e-commerce operating costs and erode profit margins.
Adapted from Laudon & Laudon (2020), Management Information Systems, Case Study Chapter 15.
- What are the cultural, technical, and organizational obstacles for foreign firms that want to do
online business with China? (Include a separate paragraph for each of these components
(cultural, technical, and organization â€“ with subheadings.)
- Describe how the factors you noted in question 1 impede organizations from setting up ecommerce sites or
conducting business in China? (Include a separate paragraph for each of
these components â€“ with subheadings.)
- What steps could your company take to facilitate a successful e-commerce presence in China?
Provide a full explanation.
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- Conduct research, and based on that research, describe e-commerce opportunities in China.
Provide evidence for your assertions.
- In general, what major factors are driving the internationalization of business?
- How has/will current (e.g., COVID-19) and potential pandemics influence e-commerce growth
globally. (Provide evidence to support your assertions.)
Text review of this article: This page of the article has 2111 words. Download the full form above. The United States is home to probably the most famous and productive chronic executioners ever. Names, for example, Ted Bundy, Gary Ridgeway, and the Zodiac Killer have become commonly recognized names because of the horrendous idea of their wrongdoings. Perhaps the most productive chronic executioners in American history is John Wayne Gacy. Nicknamed the Killer Clown on account of his calling, Gacy assaulted and killed at any rate 33 adolescent young men and youngsters somewhere in the range of 1972 and 1978, which is one of the most elevated realized casualty checks. Gacy's story has become so notable that his violations have been included in mainstream society and TV shows, for example, American Horror Story: Hotel and Criminal Minds. Criminological science has, and proceeds to, assume a significant part in the addressing of the case and ID of the people in question. John Wayne Gacy's set of experiences of sexual and psychological mistreatment was instrumental in provoking examiner's curiosity of him as a suspect. John Wayne Gacy was brought into the world on March 17, 1942, in Chicago, Illinois. Being the solitary child out of three youngsters, Gacy had a stressed relationship with his dad, who drank vigorously and was frequently damaging towards the whole family (Sullivan and Maiken 48). In 1949, a worker for hire, who was a family companion, would pet Gacy during rides in his truck; in any case, Gacy never uncovered these experiences to his folks inspired by a paranoid fear of requital from his dad (Foreman 54). His dad's mental maltreatment proceeded into his young grown-up years, and Gacy moved to Las Vegas where he worked momentarily in the emergency vehicle administration prior to turning into a funeral home specialist (Sullivan and Maiken 50). As a morgue orderly, Gacy was vigorously engaged with the treating interaction and conceded that one night, he moved into the casket of a perished teen kid and stroked the body (Cahill and Ewing 46). Stunned at himself, Gacy gets back to Chicago to live with his family and graduates from Northwestern Business College in 1963, and acknowledges an administration learner position with Nunn-Bush Shoe Company. In 1964, Gacy is moved to Springfield and meets his future spouse, Marlynn Myers. In Springfield, Gacy has his subsequent gay experience when a colleague shakily performed oral sex on him (London 11:7). Gacy moves to Waterloo, Iowa, and starts a family with Myers. Notwithstanding, after consistently undermining his significant other with whores, Gacy submits his originally known rape in 1967 upon Donald Vorhees. In the coming months, Gacy explicitly mishandles a few different adolescents and is captured and accused of oral homosexuality (Sullivan and Maiken 60). On December 3, 1968, Gacy is indicted and condemned to ten years at the Anamosa State Penitentiary. Gacy turns into a model detainee at Anamosa and is allowed parole in June of 1970, an only a short time after his condemning. He had to migrate to Chicago and live with his mom and notice a 10:00PM check in time. Not exactly a year later, Gacy is accused again of explicitly attacking a young kid yet the adolescent didn't show up in court, so the charges were dropped. Gacy was known by numerous individuals locally to be an ardent volunteer and being dynamic in local area legislative issues. His job as "Pogo the Clown" the jokester started in 1975 when Gacy joined a neighborhood "Cheerful Joker" comedian club that consistently performed at raising money occasions. On January 3, 1972, Gacy submits his first homicide of Timothy McCoy, a 16-year old kid making a trip from Michigan to Omaha. Guaranteeing that McCoy went into his room using a kitchen blade, Gacy gets into an actual fight with McCoy prior to cutting him consistently in the chest. In the wake of understanding that McCoy had absentmindedly strolled into the live with the blade while attempting to get ready breakfast, Gacy covers the body in his unfinished plumbing space. Gacy conceded in the meetings following his capture that slaughtering McCoy gave him a "mind-desensitizing climax", expressing that this homicide was the point at which he "understood passing was a definitive rush" (Cahill and Ewing 349). Right around 2 years after the fact, Gacy submits his second homicide of a unidentified youngster. Gacy choked the kid prior to stuffing the body in his wardrobe prior to covering him (Cahill 349). In 1975, Gacy's business was developing rapidly and his hunger for young fellows developed with it. Gacy frequently attracted young fellows under his work to his home, persuading them to place themselves in cuffs, and assaulting and tormenting them prior to choking them (Cahill 169-170). A large portion of Gacy's homicides occurred somewhere in the range of 1976 and 1978, the first of this time occurring in April 1976. A considerable lot of the adolescents that were killed during this time were covered in an unfinished plumbing space under Gacy's home. For the rest of the killings, Gacy confessed to losing five bodies the I-55 scaffold into the Des Plaines River; notwithstanding, just four of the bodies were ever recuperated (Linedecker 152). In December 1978, Gacy meets Robert Jerome Piest, a 15-year old kid working at a drug store and offers him a task at Gacy's firm. Piest educates his mom regarding this and neglects to restore that night. The Piest family documents a missing individual's report and the drug specialist advises police that Gacy would doubtlessly be the man that Jerome addressed about a task. When addressed by the police, Gacy denied any contribution in Piest's vanishing. Nonetheless, the police were not persuaded, and Gacy's set of experiences of sexual maltreatment and battery incited the police to look through his home. Among the things found at Gacy's home were a 1975 secondary school class ring with the initials J.A.S., various driver's licenses, binds, dress that was excessively little for Gacy, and a receipt for the drug store that Piest had worked at. Throughout the span of the following not many days, specialists got numerous calls and tips about Gacy's rapes and the baffling vanishings of Gacy's workers. The class ring was in the long run followed back to John A. Szyc, one of Gacy's casualties in 1977. Futhermore, after analyzing Gacy's vehicle, agents found a little group of filaments looking like human hair, which were shipped off the labs for additional investigation. That very night, search canines were utilized to distinguish any hint of Piest in Gacy's vehicle, and one of the canines demonstrated that Piest had, truth be told, been available in the vehicle. On December 20, 1977, under the pressure of steady police reconnaissance and examination, Gacy admits to more than 30 homicides and illuminates his legal advisor and companion where the bodies were covered, both in the unfinished plumbing space and the stream. 26 casualties were found in the unfinished plumbing space and 4 in the stream. Gacy is captured, indicted for 33 homicides, and condemned to death by deadly infusion. He endeavored a craziness supplication yet was denied, and was executed on May 10, 1994. There were a few criminological markers that examiners used to attach Gacy to the homicides. A portion of these include fiber investigation, dental and radiology records, utilizing the disintegration cycle of the human body, and facial reproduction in distinguishing the people in question. Specialists discovered filaments that looked like human hair in both Gacy's vehicle and close to the unfinished plumbing space where the bodies were covered. Notwithstanding these hair tests, specialists additionally discovered strands that contained hints of Gacy's blood and semen in a similar territory. Blood having a place with the casualties was found on a portion of the filaments, which would later straightforwardly attach Gacy to the wrongdoings. The strands in Gacy's vehicle were dissected by scientific researchers and coordinated Piest's hair tests. Moreover, the pursuit canines that confirmed that Piest had been in Gacy's vehicle demonstrated this by a "demise response", which told agents that Piest's dead body had been within Gacy's vehicle. Out of Gacy's 33 known casualties, just 25 were ever decisively recognized. A significant number of Gacy's casualties had comparative actual portrayals and were consequently difficult to recognize by absolutely asking people in general. To distinguish the people in question, agents went to Betty Pat Gatliff, a pioneer in legal science and facial recreation. Facial reproduction is the way toward reproducing the facial highlights of a person by utilizing their remaining parts. Certain facial highlights, for example, facial structures, nasal design, and generally speaking face shape can be helpful in recognizing a casualty even long in the afterlife. By utilizing these highlights, and with the assistance of program, legal specialists can make a picture of an individual's face, which is instrumental in distinguishing casualties after their bodies have rotted. Facial reproduction should be possible in a few measurements. Two-dimensional facial recreations is utilized with skull radiographs and depend on pre-demise photos and data. Notwithstanding, this isn't really ideal on the grounds that cranial highlights are not generally obvious or at the correct scale (Downing). To get a practical and more precise portrayal of the casualty's face, a craftsman and a legal anthropologist are generally vital (Downing). Three-dimensional facial recreation is finished by models or high goal, three-dimensional pictures. PC programs can make facial reproductions by controlling checked photos of the remaining parts and use approximations to reproduce facial highlights. These will in general deliver results that don't look counterfeit (Reichs and Craig 491). Once in a while, examiners will utilize a strategy called superimposition as a method for facial reproduction. Lamentably, it's anything but a generally utilized strategy, as it expects agents to have some information about the character of the remaining parts they are managing. By superimposing a photo of a person over the skeletal remaining parts, examiners can check whether the facial highlights line up with the anatomical highlights, permitting them to recognize a casualty. On account of John Wayne Gacy's casualties, specialists had the option to utilize facial recreation to recognize nine of the bodies found in the unfinished plumbing space. The accompanying realistic shows the facial recon>GET ANSWER