Technical opinion - Why eBay lost to TaoBao in China : The global advantage

Research output: Journal Publications and Reviews (RGC: 21, 22, 62)21_Publication in refereed journalpeer-review

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Original languageEnglish
Pages (from-to)145-148
Journal / PublicationCommunications of the ACM
Issue number1
Publication statusPublished - 1 Jan 2009


TaoBao has emerged as the leading consumer-to-consumer (C2C) electronic commerce platform in China. It has replaced eBay, as the leading e-commerce platform in the country. The dominance of TaoBao led to eBay exiting from the Chinese market in 2006, merging its operations with the services of telecoms provider, TOM Online. A number of other C2C platforms have also been established in the country that are competing with TaoBao, to provide better services for online customers. TaoBao, established in 2003, is a subsidiary of Alibaba, China's leading e-commerce company. TaoBao has the largest number of product listings, as a C2C trading platform. It has also the highest volume of transactions, with a market share of 83.9% in the country and with more than 80 million registered users. The C2C platform indicates the online status of all sellers, with a bi-polar colored icon. Its internal search engine enables buyers to list specifically those items whose sellers are online.