(The Status of E-Commerce Trust Issue and Solving Approach in China)

Literature Review

E-Commerce Development in China

E-commerce is also called the emerging digital economy ' and the digital economy ' The term e-commerce if too broad in a way that it has its own disadvantages , some researchers consider that a business can be called e-commerce as the whole chain of commerce involves some electronic formats . Based on this definition , any commercial practices can be referred to as e-commerce if the transaction has the following structures such as the Electronic Data Interchange (EDI , electronic cashier , electronic ing system or even telephone , telex and

telegram . For example , the transaction between the management and employees in a company can be considered as e-commerce . While according to the Chinese scholars call the existing supermarket and retail industry as China e-commerce since they utilize electronic cashiers . At the same time , the Chinese government acknowledges the online activities also to be e-commerce . In fact , these notion and meaning are not appropriate . For instance , Tesco in United Kingdom has been in the industry for many years , they had used electronic cash system , yet no one in the U .K . considered them as an e-commerce firm E-commerce in China

The international characteristics of the Internet is its being distributed as to its subscribers with a very diverse nature because of its contents that give the government officials to think the Internet activities are uncontrollable to any single nation (Hill , 2004 . China 's President Jiang Zemin is worried about the hazards and disadvantages of the widespread Internet use in his country , he believes that it is so unhealthy . He is making an appeal to the global community to establish common tools for harmless information system ' Although , it is very contradicting that there is a rapid increase of Internet in China and this would not support the campaign of its very own president . At the same time , China 's political leaders stated that ICT is very essential for the future economic development and China 's globalization activities . The government has even launched it own government online ' in 1999 , in to develop the existence of ministries administrative department and local government units . The objective of the website is to be more transparent to the people and fight corruption and fraud

China is trying to regulate the consumption of the Internet in their very liberal-democratic states , focusing their attention to Internet censorship . At the sae time , radical components of digital liberalization that campaigns against unlimited freedom of Internet consumption , it would be very difficult to grasp a control over Internet activities (Phatak , et al , 2005 . The Chinese government accepts the fact that regulating ICT is very necessary because this threatens their traditional views on state sovereignty through maintaining a tax based e-commerce , securing the security of confidential information , and prevent Internet criminal activities

The effectiveness of the Internet policies being imposed by the Chinese is not the only issue . Another issue is that making some radical changes to the characteristics of the Internet under the commercialization is very difficult . Because this may result...