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E-commerce business opportunities

Translated by SOONG PHUI JEE
Sin Chew Daily

Following the penetration of the Internet, the coverage of social networking sites and smart phones has been rapidly expanded. Electronic lifestyle has become a new pattern of living in the modern society. Electronic lifestyle has not only changed social patterns, but consumption patterns have as well been transformed from physical purchase to online consumption. Online shopping has now become a major trend.

According to a survey, 70% of Malaysians do online shopping once a month. Data speaks and the country's total consumption through e-commerce in 2013 had achieved more than RM3.6 billion. And thus, the country's e-commerce market has been optimistically viewed as having a great potential with unlimited business opportunities. In fact, our country has become an e-commerce pioneer among developing country and was ranked seventh in the world's top 10 largest potential markets.

Local consumers mainly purchase electronic products, tour packages and clothing through online shopping. In addition to local e-commerce sites, foreign online shopping platforms such as those from China, Hong Kong and South Korea, are also important bases for domestic online shopping. It also showed that with the help of Internet penetration, foreign online shopping operators have penetrated into Malaysian market. It is a smoke-free war of business and opportunities are always for visionary business operators.

The country's current Internet penetration rate is 66% and mobile phone penetration rate is 140%. It must be noted that the penetration rate and growth in popularity will keep expanding. The country's network transmission technology has been increasingly maturing with wider coverage and broader penetration areas. The number of citizens using the Internet will continue growing, bringing unlimited e-commerce business opportunities.

How would business operators respond when opportunities arrive on the doorstep? Particularly Chinese small and medium enterprises (SMEs), would they just sit and watch, or try to answer the door? Would they grab the opportunities and find their own piece of grassland, or just turn a blind eye to it and shut themselves away in the conservative old space?

Data is still telling the truth and a survey showed that 70% of SMEs have not set up a company website. It is sufficient to reflect that SME operators have been apathy towards the trend. The dominant force and proportion of Chinese SMEs among local SMEs have been gradually shrunken. It reached the peak of 92% in 2005 and halved to 55% in 2011. Moreover, SMEs currently accounted for only 33% of the gross domestic product (GDP). If SMEs include e-commerce into their operating range, the size of their businesses and the expansion of space will be able to achieve another level.

Since local Chinese SMEs have not yet made a significant investment in e-commerce, nor be vigilant against the penetration and expansion of multinational corporates, while local e-commerce platforms are still using Bahasa Malaysia and English as the dominant power, Chinese media market is thus still full of opportunities, waiting for exploration. Chinese business operators must unite forces to grab the opportunities and open up a new world.

In the face of new trends and opportunities, as the leading Chinese newspaper network in Malaysia, together with its online news site receiving 35 million of monthly page views, as well as its timely use of a variety of social media and mobile applications, the Media Chinese International Ltd has decided to shoulder the task of letting Chinese and non-Chinese SMEs and Small and Medium Industries (SMIs) expand their businesses to the digital space, enhancing business operators' and purchasers' confidence in e-commerce, while providing a secured and reliable e-commerce experience.

E-mall Logon is well prepared and the opportunity is here, it now depends on how business operators respond and react to it.

 

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