Get the free version of Marbridge Daily delivered to your inbox

Click here to subscribe

Rumor: Baidu Halts Funding for B2C JV Lekutian

Sina Tech, 11/19/11

An industry source has revealed that poor results have led Chinese internet company Baidu (Nasdaq: BIDU) to cease investing in Lekutian, its B2C e-commerce joint venture with Japanese firm Rakuten.

A source close to Rakuten, however, has said that the main reason for Lekutian's poor performance lies with Japanese parent company Rakuten's difficulties in localizing operations to adapt to China's business environment.

A source within Rakuten has said that staff at the company have yet to receive any notice of a decision by Baidu, and operations continue as normal. Both Lekutian and Baidu have yet to comment on the situation.

Keywords: e-commerce Internet B2C Baidu JV Rakuten BIDU investment localization

Marbridge Daily Premium

Interested in gaining full access to all newsletter articles and the Marbridge Daily archive? To learn more about premium subscription options, including pricing, please:

Click here

Marbridge Consulting RSS Feed

Marbridge Reports