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SAIC: Less Than 60% of Online Goods in China Are Genuine

Beijing Times, 1/24/15

China's State Administration for Industry and Commerce (SAIC) has tested 92 batches of products sold online in the second half of 2014 and found that only 54 were genuine articles, equating to 58.7%. The percentage of genuine items on Alibaba Group's (NYSE: BABA) C2C e-commerce site Taobao was the lowest at 37.25%.

The test randomly selected products from Taobao, B2C platform (Nasdaq: JD), Alibaba Group's B2C site Tmall, B2C site Yihaodian and cosmetics group buy site Jumei (NYSE: JMEI). Looking at the three most well-known B2C platforms, 20 items were selected from of which 90% were genuine, 7 from Tmall of which 85.71% were genuine and 10 from Yihaodian of which 80% were genuine. All of the fake goods taken from and Yihaodian were from third-party sellers. Every item selected from Jumei was a genuine article.

Keywords: statistics e-commerce Taobao Internet B2C C2C SAIC Yihaodian Alibaba Group Jumei Tmall JMEI JD BABA group buying shanzhai


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