China's Internet industry has clearly become a spectacle and a booming phenomenon in the Chinese society. Since it started in the early 1990s, China's Internet industry has grown from a marginal industry into a mainstream and a still rapidly growing industry. When the first commercial Internet network started in 1995 by ChinaNet, there were only 800 subscribers for the first month of operation. From 800 subscribers, the number of Internet users has increased exponentially. It was estimated that the number of Chinese Internet subscribers reached 79.5 million by the end of 2003. This number is expected to grow through the years.
[...] CHINA's INTERNET USAGE China started its commercial Internet subscription in 1995 with about 800 subscribers for the first month. The users and subscribers of the Internet however had increased exponentially and reached about 79.5 million subscribers in mid 2003. This is of the total 1.28 billion population of China. In the U.S., almost of the population is using the Internet. This clearly shows that China and its people are still beginning to learn to use the Internet and that the popularity of the Internet is still rising in China. [...]
[...] Economic Segment The economic segment of China is also responsible for the increase in the Internet industry. The Chinese Government through its Golden Projects has developed three projects namely; the Golden Card Project, the Golden Customs Project, and the Golden Tax Project that helped develop the Internet industry of China. The Golden Customs Project aims to have paperless transactions between Chinese banks and Customs, and foreign trade companies. The Golden Card Project aims to give Chinese people access to online banking by giving out credit cards and cash cards. [...]
[...] State-owned companies such as the Great Wall Broadband Network, the China Unicom, and the China NetCom have monopoly on the Internet industry. It is still possible however to enter into the Chinese Internet Industry since China has signed an agreement with WTO to let foreign investors have 50% ownership of companies that will invest in China. Bargaining Power of Buyers There are more that 1.28 billion people in China. Only of this population is using the Internet therefore, there are still a huge number of people that can be enticed to use the Internet. [...]
[...] Technological Segment The increase in the telecommunications infrastructure in China has gave rise to the increase in the usage of the Internet. Chinese Internet users are increasing exponentially as the broadband increases with the improvement of telecommunications infrastructure. Global Segment The Internet industry in China also grew because of the global segment. When China signed into the WTO in 2001, China allowed foreign companies to have part ownership in the Internet industry. This caused several foreign companies to invest in the Chinese Internet industry. [...]
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