Alibaba. Tencent. JD. Pinduoduo. Run down the list of China’s most valuable companies and you’ll find, for the most part, that they’re all e-commerce companies—or at least facilitate e-commerce. The sector created giants: Alibaba grew from just 5.5 billion renminbi of revenue in 2010 to 280 billion last year.
Economy
For over two decades, Chinese leaders have sought to rebalance their economy away from dependence on investment and exports and towards growth based on domestic consumption. In that context, few developments could have been more propitious than the explosive growth in internet commerce. While the benefits for consumers are obvious, digital marketplaces also allowed small manufacturers to proffer their wares nationwide. These “Taobao Villages” promise to alleviate China’s stubborn rural-urban inequality in the bargain. Lizhi Liu’s new book From Click to Boom explains the origins and effects of China’s vast e-commerce sector, while shedding light on its heretofore ambiguous relationship with the authorities.
You must be logged in to post a comment.