THE CROSS-BORDER E-COMMERCE DEVELOPMENT IN ASEAN AND CHINA

Wibowo, Vicencia Vania (2022) THE CROSS-BORDER E-COMMERCE DEVELOPMENT IN ASEAN AND CHINA. S1 thesis, Universitas Atma Jaya Yogyakarta.

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Abstract

This study is completed to discover the current condition of cross-border e-commerce in ASEAN and China, following with the supporting factors and obstacles of cross-border ecommerce development. The study concluded that the condit ion of China and ASEAN’s ecommerce is in the developing stages, indicated by the gross merchandise value and many businesses started to launch e-commerce and join the competition with their own comparative advantages. Among e-commerce in ASEAN,the most outstanding e-commerce are Shopee,Lazada,and Tokopedia while in China are Tmall Global, Kaola, and JD Global.These e-commerce sites, except Tokopedia,offer an online place for both foreign and local traders to do transactions crossing the border.The cross-border e-commerce development is supported by the internet access, network coverage,logistics and infrastructure,and electronic money.Besides,as the government started to pay more attention to cross-border ecommerce,the agreements are made to enhance the development and cooperation with intraASEAN parties called ASEAN E-Commerce Agreement.This agreement facilitates the intraASEAN trader with lower shipping cost,shorter delivery time,and reliability of supply chains.Thus,it will increase the interest of ASEAN citizens in buying goods from their neighboring country through e-commerce and the micro,small,and medium enterprises as ASEAN’s main economic players can easily expand their markets.The benefit also will be gained by ASEAN MSMEs by the practice of Regional Comprehensive Economic Partnership Agreement between ASEAN and Australia,China,Japan,New Zealand and Republic of Korea.The MSMEs will be supported by the developed countries to enter crossborder e-commerce and its competition.In return, the developed countries can enter the ASEAN’s market which has potential to grow bigger in the future.The obstacles during crossborder e-commerce development are extra cost and taxes,currency,uneven development of logistics and infrastructure,language barriers,and halal certification.

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