A Study on the Factors of Successful Entry of Chinese Companies in the E-Commerce Market: Aspects of Global Supply Chain Strategy

This paper was conducted over a period of about three months from April to June 2024, and among Chinese C-commerce companies AliExpress, TEMU, and Shein that entered the global e-commerce market and the K-commerce market in Korea, in April 2024, a year later than April 2023, we analyzed the case of TEMU, which is rapidly encroaching on the K-commerce market by securing the highest number of users of 5.81 million. The purpose of this study is to derive the success factors of C-commerce companies in the global e-commerce market through case analysis. The research methodology used domestic and foreign reports related to the research target company, market research methods such as domestic and foreign Internet sites, and Brain Storming, Delphi Method, PESTLE Methodology, and SWOT Analysis verified in consulting and research. As a result of the study, 19 factors for C-commerce company TEMU’s successful entry into the global e-commerce market were derived, and they were simplified into 13 and grouped by ranking. The first priority grouped was the marketing sector, the second priority was the investment sector, the third priority was the minimum risk sector, and the fourth priority was the customer satisfaction sector. In addition, TEMU’s ultra-low-cost e-commerce business model, which can only be found in this paper, and the ranking model of factors for successful entry into the global e-commerce market based on the efficiency of execution based on corporate resources and capabilities and the urgency to determine the fullness of business advancement were another research achievement that added great reward.

Publication Details

Journal
The Korean Logistics Research Association
Published
2024-08-31
DOI
https://doi.org/10.17825/klr.2024.34.4.41
Primary Topic
E-commerce and Technology Innovations
Type
article
Field-Weighted Citation Impact
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A Study on the Factors of Successful Entry of Chinese Companies in the E-Commerce Market: Aspects of Global Supply Chain Strategy

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The Korean Logistics Research Association
E-commerce and Technology Innovations
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A Study on the Factors of Successful Entry of Chinese Companies in the E-Commerce Market: Aspects of Global Supply Chain Strategy

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Abstract

This paper was conducted over a period of about three months from April to June 2024, and among Chinese C-commerce companies AliExpress, TEMU, and Shein that entered the global e-commerce market and the K-commerce market in Korea, in April 2024, a year later than April 2023, we analyzed the case of TEMU, which is rapidly encroaching on the K-commerce market by securing the highest number of users of 5.81 million. The purpose of this study is to derive the success factors of C-commerce companies in the global e-commerce market through case analysis. The research methodology used domestic and foreign reports related to the research target company, market research methods such as domestic and foreign Internet sites, and Brain Storming, Delphi Method, PESTLE Methodology, and SWOT Analysis verified in consulting and research. As a result of the study, 19 factors for C-commerce company TEMU’s successful entry into the global e-commerce market were derived, and they were simplified into 13 and grouped by ranking. The first priority grouped was the marketing sector, the second priority was the investment sector, the third priority was the minimum risk sector, and the fourth priority was the customer satisfaction sector. In addition, TEMU’s ultra-low-cost e-commerce business model, which can only be found in this paper, and the ranking model of factors for successful entry into the global e-commerce market based on the efficiency of execution based on corporate resources and capabilities and the urgency to determine the fullness of business advancement were another research achievement that added great reward.

The Korean Logistics Research AssociationVol. 34(4)
Openalex Percentile: Top 70%
E-commerce and Technology Innovations
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