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Death Report of Ecommerce in 2012

The winter of capital, weak consumption power, continuous price wars and the dying industry heat...2012 is the year when Chinese ecommerce websites consider the question of to be or not to be. Group-buy websites has dropped from 7000 to only 3000. Small B2C websites have savored slient death.

On the surface, the main reason why many ecommerce websites died in 2012 is a broken capital chain, but underneath it, the real reasons are different.

Reason 1: Blind Copycat

Rakuten and Yaodian100 - the former is the No.1 ecommerce website from Japan, and the latter is the best ecommerce company in Taiwan. Both of them have shut down one years after they were launched to Mainland China.

The reason behind Rakuten's failure is the over-confidence of the management team about the original company strategy that has achieved success in Japan.

Reason 2: Lack of Ecommerce Genes

Baidu is a top Internet company in China, and its ecommerce website Baiud Youa was once in the spotlight of the Chinese ecommerce market. But in the end, it was shut down.

Reason 3: Internal Conflicts

About the author:

About the author: Jacob Wong is an SEO consultant at 
Chinese SEO Shifu ( http://chineseseoshifu.com ), an SEO company based in China.