PEST-based Analysis of the Competitive Environment for E-commerce in China's Agriculture

Abstract

E-commerce in agriculture is an advanced business model that can improve the outstanding contradictions in the market circulation of agricultural goods in China. Chinese agricultural e-commerce is still at the primary development stage of online agricultural business information services. The study uses the PEST analysis tool of competitive intelligence theory, the author analyses the macro-competitive environment of Chinese agricultural e-commerce industry from four perspectives: political, economic, social and technological. The results of the study show that although there are still many shortcomings in the credit system and standardisation of products from agriculture sold online in China, the basic hardware conditions are already in place. The largely conventional ideologies of farmers' users are the biggest barrier to the growth of agricultural e-commerce. Farming-related online shopping enterprises should fully recognise the need for agricultural e-commerce. They should help farmers change their traditional thinking and increase their understanding of agricultural e-commerce in accordance with national agriculture policies.