ABSTRACT

Developments in China’s e-commerce have expanded exponentially during the last decade. While many observers merely assume that Internet usage may have a positive effect on China’s overall economic performance, the research presented here is focused on a more specific set of questions regarding the roles of the different protagonists involved with China’s Internet: what are the major driving forces behind e-commerce in China? How do the protagonists of e-commerce in China meet in Cyberspace? Are new business models emerging? Who are the economic beneficiaries of the technical innovations and Internet revolution? Are the opportunities for e-commerce in China exploited to the full? What are the expected impacts for foreign companies active in the PRC? These questions were discussed during interviews conducted in Beijing and Shanghai with two main groups: foreign companies from different industrial sectors (information technology, systems and applications, transportation, interactive advertising, law consultancy) and intermediate players, such as the German Chamber of Commerce and an e-commerce lobby group.1