e-commerce in China will reach 30 trillion in 2020

By david

February 27, 2013, Beijing, In the first meeting of "Information Society 50 memebers Forum", the Alibaba Group Research Center (referred to as "Ali Research Center) released an ongoing information economy prospects for research, first proposed the concept of e-commerce economies, and also predicted that in 2020 the scale of China's e-commerce (including online B2B transactions) will reach 30 trillion, will become the largest e-commerce economies in the world.

From emerging market countries to the Internet economy

Ali Research Center believes that the information economy is becoming the world's most important economic development engine following the "BRICS", its signal is the rise of the Internet economy. The most impressive in China is the development of e-commerce economies.

After a decade of joining in WTO, WTO helps Chinese enterprises get two major markets including home and abroad, China has become the world's largest exporter and second largest importer, exports reached 20% of the average annual contribution to China's economic growth rate. "WTO + external demand" has become the most important growth driver for China's economy over the past ten years.

In the impact of the financial crisis, China's economic framework is transferred to the consumer-driven. In various factors of stimulating domestic demand development, the Internet has begun to play a huge role; It provides a representative commercial infrastructure, such as cloud computing, also play the enabling role to promote the full range of enterprise innovation.

In 2012, China's total online retail exceeded one trillion yuan, reach 1.3 trillion, accounted for 6.3% of the total retail sales of social consumer goods. Ali Research Center estimates that by 2016, China's online retail transaction volume will reach 5 trillion, accounting for 12% of the total sales of consumer goods. By 2020, these two figures will reach 10 trillion and 16%.

At the same time, e-commerce economy is accelerate weapon for modern service industry, and will complete the transformation of the manufacturing sector in the near future.

Internet economy : China VS USA

Ali Research Center, regards that the future development of the Internet economy is mainly reflected the competition between China and US. Europe is in decline, the most important reason is that Europe does not have a powerful information platform. Internet and technology enterprises in the United States and China has become the world leader of the Internet economy (according to comscore ranking in December 2012). In this Internet information revolution, China is moving toward the forefront of the world.

American model can be attributed to the world's first Internet economy occupy a strategic position, leading the development of the global information economy. United States will continued to lead the development of the global Internet infrastructure by virtuous cycle of market-oriented combination with national strategy investment; will consolidate its economic and global hegemony position by information products, services, cultural values and standards of the global output and the global user market occupation.

"Correspondingly, the development of China's Internet economy must play the advantage of the digital bonus" China needs take the Internet as a strategic infrastructure, based on the development of e-commerce economies, promote economic and social transformation from the mobile Internet, and agriculture-related e-commerce and the C2B new mode and manufacturing industry upgrade.

Forecast 2020

According to Ali research center, it is expected that in 2020 the scale of China's e-commerce (including B2B online trading) will reach 30 trillion, becomes the world's largest e-commerce economies. in which, Online retail transaction volume will reach 10 trillion, the scale of China's e-commerce services wii be over 3 trillion. The economies of China's e-commerce will creat added value of 100 billion yuan for manufacturing industry, will pull the entire economic chain toward marketing, circulation and production mesh network synergistic value.

As the core of e-commerce economies, the C2B model will solve the survival of the 10 million small enterprises, promotes the employment of 100 million person, supports the "China Dream" in new economical social.

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