The expansion of cross-border e-commerce is making the upcoming US holiday sales season look like another China's Singles Day, which has helped Alibaba clear $9.34 billion in sales volume this past Nov 11. Coupled with the record breaking US IPO.
Global attention
China's e-commerce sector has attracted global attention for its sheer size and huge marketpotential. Its online retail volume increased by 41 percent year-on-year to 1.85 trillion yuan($301.5 billion) in 2013, making China the world's largest e-retailing market, according to the Ministry of Commerce.
In May, the State Council issued a guideline that promised measures to facilitate cross-border e-commerce transactions.
Market Standardization
"Market standardization and the normalization of cross-border e-commerce market mark thebiggest change in this year," said Jiang Jialin, senior market analyst of IDC China. Accordingto Jiang, because of the implement of free trade agreements and other open-up policies inChina market, the previous overseas purchasing market has transformed into a formal business model.
Jiang said that whether it be Amazon's model of direct overseas purchases or Alibaba'sintroduction of overseas suppliers, both companies have helped the market move towards standardization.
"Currently, the market is gradually moving towards the standardization process, Amazon who has kept experience and global service capabilities, secures a more obvious competitiveadvantage in mature markets," said Jiang. "However, e-commerce platform such as Alibaba,with the establishment of broader partnerships may have an advantage."
Original posted on Xinhuanet.