Last chance saloon for retailers in Hong Kong to join e-commerce showdown or kiss goodbye to local market, experts say
Some have already missed the boat but many more need to step up or foreign players and online retail giants like China’s Alibaba threaten to takeover
Retailers in Hong Kong must step up their e-commerce efforts so companies from other countries do not capitalise on this breach to conquer the local market, which would be detrimental to the city’s economy, according to the head of a new body promoting online retailing.
Non-local players like Chinese online shopping giant Alibaba pose a threat to Hong Kong’s service industries and general economy, especially if the company co-founded by Jack Ma Yun makes its largely consumer-to-consumer Taobao Marketplace and B2C Tmall the dominant models.
“E-commerce is not an industry anymore, it’s affecting everybody,” said Joseph Yuen, chairman of the recently formed Hong Kong Federation of E-commerce (HKFEC).
“So that’s one of the threats - if we are not [getting] on at the last station for the train,” he added, using a metaphor to describe the urgent need for local companies to sell their merchandise and services online to remain competitive.
The HKFEC was launched in September to promote online retailing, advise Hong Kong’s major brands on how to develop their own offerings, and to push the government for greater support.