It is a great day today for foreign firms which were eyeing the possibility of entering the competitive, yet profitable Chinese ecommerce market. As reported by Reuters, a Chinese joint-venture partner is not needed anymore for foreign companies, provided that they operate in the Shanghai Free Trade Zone, a move seen by many as a way to further boost the thriving and growing China ecommerce market.
No further details were released. Although it is a possibility that this policy may be revoked in the future, it is nevertheless a very good opportunity for foreign businesses, especially considering that Alibaba may now be distracted with their American Operations. On the other hand, many foreign businesses failed in the past, and finding a local China ecommerce partner could in fact be a suitable solution, due to the differencies between China and the western ecommerce landscape.