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Thursday, January 8, 2009
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Meet the new 'disruptive' Chinese economy

Robert Scoble -- formerly of Microsoft fame, now a video blogger for Fast Company -- files a written report from a factory floor in China:

The Chinese are now cutting out (the likes of) Amazon and are building Web sites that you can buy products from directly and they'll ship right to your door. ...

This is total ownership of everything. Total disruption of everyone who used to make money along the supply chain. Retailers? Disrupted. Traders and middlemen and distributors? Disrupted. Web designers and developers? Disrupted.

Are you scared yet?

You should be if you are being disrupted.

The account seems a bit breathless in stretches, but he's there's and I'm not. Well worth the read.

Not so good

Useful answer?
0

I don't welcome this trend. The problem with direct-to-customer sales is that I can't count on consistently good customer service (which is worth the cost).

P.S. Your captcha is cut off in Firefox.

direct to customer sales.

Useful answer?
0

Wasn't this Dell's approach in the beginning?

I don't know that it will effect the Amazons of the world that much. They already compete in that market at some level. Because consumers don't want to go to multiple sites when they shop, I believe we will see these factories forming "marketing coalitions" that will provide a single customer "store front" to shop from. Which is what Amazon, (in part) provides. I doubt that consumers will choose to put up with a complex multitude of sites. I think most will choose to shop from an Amazon or its equivalent.

On the other hand, I think this could greatly affect importers, distributors, and retailers. Outside of the necessary point of contact with the consumer, this could be disastrous for traditional shops.

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About Buzzblog

When not blogging, I am a Network World news editor and write the 'Net Buzz column.

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