Taobao platform set up to aid business
February 27, 2010, Saturday
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Print Edition
Print Edition
MINHANG government has signed a cooperation agreement with Taobao.com, the biggest online business platform in China, to start the "Minhang Taobao City" e-business platform.
The initiative is intended to alleviate the sales difficulties of medium and small enterprises in Minhang District and help them build bigger markets.
According to the agreement, all qualifying enterprises registered in Minhang with their own brand can submit an application to the Economic Commission of Minhang District, and those approved can start online business trading on Taobao for free.
A subsidiary of Alibaba.com Group, Taobao is China's biggest retail online platform with about 170 million registered members.
The annual trading volume is over 100 billion yuan (US$14.6 billion), accounting for more than 80 percent of China's online market.
So far, 65 Minhang companies have been approved for the platform.
Officials estimate that in the ensuing two or three years, Minhang Taobao City's turnover will reach over 2 billion yuan, contributing taxes of 50-100 million yuan.
Since the global financial crisis, many of Minhang's medium and small enterprises, especially those who depend heavily on foreign trade, have suffered large drops in sales.
To help them find new markets, Minhang Economic Commission did a lot of research, and eventually selected the Taobao partnership strategy.
Normally, it would cost an enterprise over 10,000 yuan to join the online platform but to reduce costs, the fee will be paid by Minhang government.
It will also offer follow-up services to trace the trading results of the approved enterprises and try to attract third-party service providers.
As Minhang Taobao City gains momentum, more and more enterprises are expected to join the platform in near future.
The initiative is intended to alleviate the sales difficulties of medium and small enterprises in Minhang District and help them build bigger markets.
According to the agreement, all qualifying enterprises registered in Minhang with their own brand can submit an application to the Economic Commission of Minhang District, and those approved can start online business trading on Taobao for free.
A subsidiary of Alibaba.com Group, Taobao is China's biggest retail online platform with about 170 million registered members.
The annual trading volume is over 100 billion yuan (US$14.6 billion), accounting for more than 80 percent of China's online market.
So far, 65 Minhang companies have been approved for the platform.
Officials estimate that in the ensuing two or three years, Minhang Taobao City's turnover will reach over 2 billion yuan, contributing taxes of 50-100 million yuan.
Since the global financial crisis, many of Minhang's medium and small enterprises, especially those who depend heavily on foreign trade, have suffered large drops in sales.
To help them find new markets, Minhang Economic Commission did a lot of research, and eventually selected the Taobao partnership strategy.
Normally, it would cost an enterprise over 10,000 yuan to join the online platform but to reduce costs, the fee will be paid by Minhang government.
It will also offer follow-up services to trace the trading results of the approved enterprises and try to attract third-party service providers.
As Minhang Taobao City gains momentum, more and more enterprises are expected to join the platform in near future.
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