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17 June 2019 / Report
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Copy LinkChina’s e-commerce giants—Baidu, Alibaba, and Tencent (the BATs) and their prospective challengers Didi, JD.com, and Meituan Dianping—are enveloping new market segments, achieving scale advantages, and consolidating market positions at an unprecedented pace and scope. MNC experience with these partnerships has been mixed at best, with successes tending to be short-lived, cost structures that trend toward unviability due to the market power of the platforms, and lots of surprises along the way. Group discussion at our Deep Dive Exchange session revealed that MNCs face difficulty effectively adapting to China’s unique online consumer behavior and market operating realities.
China’s e-commerce giants—Baidu, Alibaba, and Tencent (the BATs) and their prospective challengers Didi, JD.com, and Meituan Dianping—are enveloping new market segments, achieving scale advantages, and consolidating market positions at an unprecedented pace and scope. MNC experience with these partnerships has been mixed at best, with successes tending to be short-lived, cost structures that trend toward unviability due to the market power of the platforms, and lots of surprises along the way. Group discussion at our Deep Dive Exchange session revealed that MNCs face difficulty effectively adapting to China’s unique online consumer behavior and market operating realities.
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