A STUDY ON THE EC BUSINESS, T-MALL AND JINGDONG-MALL IN CHINA

In 1997, Chinese government put forward the idea to promote the information process of the national economy through the development of the internet industry. And in 2002, it was determined to focus on the development of e-commerce. The scale of the China EC market has increased rapidly in a speed about twice each year from 2004 to 2012. Now it is a comparably large industry in China. Why did the EC market spread so quickly? What will the result be with this development? We will investigate the internet use, the logistics, etc. in this area to clarify the relationship between the development of the EC market and the hard environment, since they are the preliminary stage of the EC market. Then will make further investigation in transaction scale, growth potential, transaction method etc. in China EC market in time series to clarify the development and result of EC market in China. Trends of users of the Internet, which is a precursor to the EC market, are on the same track, and have been growing rapidly since around 2004 and have been on a scale of about seven times so far to date. Two representatives of B to C, T-mall and Jing dong-mall, occupy more than 80% and are almost monopolistic. The correspondence is different between T-mall and Jing dong-mall. Management methods and policies such as market development method, anti-counterfeiting measures logistics, quality assurance, quality control and the like also differ in the two companies. T-mall and Jing dong-mall have adopted their respective features and sales methods, compared the management of both with SWOT analysis. T-mall have the merit of dealing quickly with market expansion, but on the other hand problems remain in the system construction. There also is a problem that cannot respond to rapid market growth, while Jing dong-mall takes time to construct interior mechanism. As the B to C market is saturated in urban areas currently, attention will be paid to countermeasures such as development in rural market, logistics, after-sales service etc. in the future. The exploitation in these new fields will become a point of touch for both companies.