Synopsis
We are seeing increasingly rapid development of internet businesses in China as the digital economy takes shape. The pace of development has escalated as more and more of the population gain access to the internet. Chinese based online enterprises can target consumers like no western company has been able to do and numerous successful initial public offerings on the NYSE into 2011 are testament to this. This report looks at various aspects of the digital economy in China. It includes statistics on e-commerce users and market size; a review of e-entertainment and various e-services such as online shopping, advertising and banking; and an overview of major on-line companies – all driving the phenomenal growth of e-commerce in China. Underpinning the growth of this digital economy is an internet infrastructure that still only reaches 40% of the population. Also included are internet user and subscriber statistics and forecasts to 2016.
Key developments: more provinces and municipalities moving into the first echelon of internet development; a noticeable shift to instant messaging, blogging and micro-blogging; increased use of the internet for currency transactions; IPOs of Chinese companies which are still to see profitability.
Companies covered in this report include: Alibaba; Taobao; Tencent; Sina; Baidu; Youku; Tudou; Easou; Dangdang, Sohu, and Renren.
