Alibaba and Export Performance of EnterprisesMay. 7,2020
The booming new-generation information technology has in-depth integration with various fields of the economy, forming new driving force for China’s foreign trade development. In 2017, the scale of cross-border e-commerce transactions of China reached CNY 7.6 trillion, accounting for 27.35% of total foreign trade volume, with an average growth of 28.42% from 2008 to 2017, and it far exceeded the growth rate of total import and export of goods in the same period (4.95%).The e-commerce platform is the core of cross-border e-commerce, the hub for the formation, convergence and exchange of information in China and overseas, and the main platform for enterprises to carry out business negotiations and settlement of transactions in cross-border e-commerce. The platform overcomes the constraints of time and space in traditional transactions, changes the trading platforms, and expands trading hours.
How much influence does e-commerce platform have on enterprise exports?
E-commerce platform and exports performance of Chinese manufacturing enterprises: empirical evidence based on big data from Alibaba published on China Industrial Economics by YUE Yunsong et al., examines the impact of the e-commerce platform on corporate export performance theoretically and empirically.
The results reveal that, (1) The e-commerce platform significantly increases the probability of enterprises entering the export market and expands the export scale of enterprises. (2) The expansion of export scale is mainly due to the increase in the number of export destinations and the types of export products, and enterprises export more to developed countries and long-distance countries. (3) The e-commerce platform promotes export mainly through three ways: improving production efficiency, enhancing trade matching efficiency, and reducing export threshold. (4) The enterprise size, region, and export type are important factors influencing the export effect of the e-commerce platform. E-Commerce platform has a more significant impact on SMEs, enterprises in the eastern region and general trade enterprises.
The author pointed out that the development of the e-commerce platform will increase the proportion of SMEs in export enterprises, thus verifying the participants in the export market. At the country level, international trade will be more concentrated between countries with developed network, forming a digital divide in international trade. At the product level, consumers can buy more types of goods from overseas markets, and consumer welfare will be improved.
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