When doing business in China, seeing this will help you

Posted by zaiwu 13/05/2020 0 Comment(s) China Social Media Marketing, E-Commerce China, Doing Business in China,

At present, the digital economy has become a new driving force for economic growth, and forms of business and models are emerging one after another. In this covid-19 new coronary pneumonia epidemic, the digital economy has played an important role in ensuring consumption and employment, and promoting resumption of production and production, and demonstrating strong growth potential.

 

According to the 45th "Statistical Report on Internet Development in China", the size of China's Internet users was 904 million by March 2020. The rate of Internet penetration reached 64.5%.The volume of transactions reached 10.63 trillion yuan in 2019,an increase of 16.5% year-on-year.At the beginning of 2020, affected by the new Coronary Pneumonia epidemic, the number of users of most network applications showed a substantial increase. Among them, the user scale of online education, online government affairs, online payment, online video, online shopping, instant messaging, online music, search engines and other applications had grown rapidly from the end of 2018, with an increase of more than 10%.

 

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For example, online education had shown explosive growth. As of March 2020, the number of online education users in China reached 423 million, an increase of 110.2% compared with the end of 2018, and it accounted for 46.8% of the total netizens. At the beginning of 2020, the opening of schools across the country was postponed, and 265 million students at school generally switched to online courses. In this way, the needs of users have been fully released, and online education applications have shown explosive growth.

 

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For another example, online retailing has become an important driving force for consumption growth. As of March 2020, the number of online shopping users in China reached 710 million, an increase of 16.4% compared with the end of 2018, accounting for 78.6% of the total netizens. From January to February 2020, the national online retail sales of physical goods increased by 3.0% year-on-year. This achieved contrarian growth, accounting for 21.5% of total retail sales of consumer goods, which is an increase of 5 percentage points from the same period last year.

 

The huge number of netizens constitutes China's booming consumer market, and it also lays a solid user base for the development of the digital economy. Digital trade is constantly opening up new space for the development of foreign trade. In 2019, the total value of retail imports and exports through the customs cross-border e-commerce management platform reached 186.21 billion yuan, which increased by 38.3%. At the same time, digital enterprises accelerate the development of the industry. Digital enterprises continue to improve the level of supply chain digitization through business model innovation and accelerating the application of digital technology, which provides important support for industrial transformation and upgrading.

 

The combination of Internet applications and people's lives is getting closer. Applications such as WeChat, short video, and live broadcast have lowered the threshold for Internet use, and it has continuously enriched the cultural and entertainment life of the masses. Internet applications have greatly enhanced the masses' sense of gain. Internet services such as online shopping and online public welfare have played an increasingly important role in increasing farmers' income and mobilizing the majority of netizens to participate in poverty alleviation actions.

 

The core technology fields such as blockchain, IPV6, 5G, artificial intelligence, and big data are developing rapidly in China. The industrial Internet formed by their deep integration will become a new driving force for the development of the digital economy and a new pillar for building a smart society. First of all, blockchain technology is highly valued by the Chinese government and enterprises. With the joint promotion of the government and enterprises, China's blockchain invention patents have ranked first in the world for two consecutive years. And blockchain technology has played a role in the digital transformation and upgrading of many traditional industries. Secondly, the full launch of 5G commercialization will effectively promote the innovation and upgrading of the technology industry. As of December 2019, China has built more than 130,000 5G base stations, and the 5G industry chain has promoted the development of intelligent artificial intelligence and the Internet of Things.

 

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Finally, the rapid development of artificial intelligence technology in China will become an important strategic grasp for winning the initiative of global technological competition. In 2019, the number of artificial intelligence enterprises in China exceeds 4,000, which ranks second in the world and has obvious advantages in applications such as intelligent manufacturing and Internet of Vehicles.

 

Realizing intelligent manufacturing based on artificial intelligence will be a long-term process. If we want to develop better, we need to put equal emphasis on management innovation and technological innovation to meet the challenges of development and promote the development of the digital economy.

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