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China: E-commerce benefits both sides, but there is hidden danger
Soon after the internet became popular, e-commerce became a new form of shopping. This is particularly visible in the fast-paced development of the distribution industry in the last few years. E-commerce has become the first choice for consumers in China where the pace of life has become faster and faster. However, we must be aware that while e-commerce brings profit and tangible benefits to consumers and businesses, the development of e-commerce also faces many problems and hidden dangers.
The main benefit of the fast-paced development of e-commerce for consumers is, first, the convenience of staying at home. The "shop window" is available at home, without limitations of time or place. Second, product data is more complete online. While shopping the consumer can select between products that are in store and products that are currently sold out. Third, the price of products online is generally lower than the price of products in stores. Apart from all this, the integrated service from ordering and buying products to delivery at home is simply more convenient.
Convenient payment method
Businesses also benefit from the development of e-commerce. On the one hand, e-commerce lowers the business costs of labor, storage, etc. This leads to an increase in profits. On the other hand, merchants are able gain a better understanding of consumer demand for certain products through observation of the sales volume of single items in the web shop. This enables them to make rational predictions of upcoming product trends, and based on changes in sales volume they can adjust their marketing strategy in time.
Varied agricultural products
However, while e-commerce brings profits and tangible benefits to consumers and businesses, the development of e-commerce also faces many problems and hidden dangers. One main problem is the difference between a product picture in the web shop and the actual product that is purchased and delivered. Consumers can only rely on pictures and recommendations for similar products. They have to make an instinctive decision, and afterwards it all depends on the trustworthiness of the web shop. The large-scale web shops, like JD, are generally trustworthy, but the trustworthiness of smaller web shops is more difficult to determine. Apart from this, there is also the question of delivery. When weather conditions are poor, it can easily take a week or longer before the purchased product is delivered to the consumer.
Publication date: 2/23/2018
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