Tomahawk, WI 08/21/2014 (Basicsmedia) – Amazon.com, Inc.(NASDAQ:AMZN) has made its intention known on its push for increased e-commerce market share in China after stating it will set up, a shop in China’s free trade zone. It will not be an easy ride for Amazon in China compared to other markets on the fact that Alibaba already controls 80% of the e-commerce transactions in the country, according to Melisa Lee on CNBC.
The fact that Alibaba is an accepted local brand in China also looks set to work to Amazon’s disadvantage according to Kara Swisher Re/Code Co-Executive. Regulators and anti-monopoly laws in China also look set to be the biting problem for Amazon in its pursuit to expand its presence in China.
“Doing business in China is almost different than doing business anywhere in the world and so right now Alibaba is the dominant player there. They are the Amazon.com, Inc. (NASDAQ:AMZN) of China actually, then they have JD.com, which is another company with over one million behind it. So Amazon is not Amazon, there its kind of Pigmy I guess,” said Mrs. Swisher.
Opportunities in china remain endless if Amazon.com, Inc. (NASDAQ:AMZN) can find a way to stay clear of the stringent rules that are always employed by regulators especially on foreign companies. The mass population in the country also continues to be one of the most attractive feature that has over the years attracted many foreign companies according to Swisher.
“China is a big market. There is all kind of activities in China digitally speaking and this is a country that is really coming into away that the U.S did in terms of digital, commerce you know everything from car sharing every single thing that has happened here is happening now,” said Mrs. Swisher.
Venturing into the Chinese market continues to be one of the biggest plays for American companies with the likes of Apple Tesla Motors Inc. (NASDAQ:TSLA) and McDonald’s Corporation (NYSE:MCD) always in constant pursuit of the huge market potential in the Asian country.
It awaits to be seen if Amazon.com, Inc. (NASDAQ:AMZN) will replicate its success in America, in China, considering Alibaba is the darling of the country in terms of e-commerce.