As the current pandemic situation is slowly coming in control, the market is getting ready to get back into business with a new approach. China never backs out from finding an opportunity in a crisis, and this is not a strange time for the country. Even during the most challenging times, the Chinese population of entrepreneurs and businessmen worked non-stop to create new digital innovations. In 2021, China is set to bring out a series of digital transformations. In the past two decades, digital technology research in China has introduced multiple digital norms. Today, we discuss the upcoming digital trends that will advance China to the future.
New regulations on tech giants
The government of China has decided to introduce a series of regulations for tech companies in order to regulate the digital economy. Digital companies have built a strong base in China and have shown incredible growth in the past two decades. However, things are changing now, and the new regulations will push companies to focus on quality now as compared to the focus on quantity in the past. New regulations will remove the anticompetitive behavior of the companies and force them to create better sales with a genuine approach.
Digital consumption
Online shopping is on the rise in China due to the current pandemic situation. The companies are experiencing new shopping behaviors among the buyers. The online grocery stores and local online stores are expected to gain further traction. The eCommerce sales will grow by 21% in 2021 compared to the 4% increase in the overall retail sales. It will encourage more retail shop owners and small businesses to adapt to eCommerce in the coming years.
5G country
China is set to become one of the first countries to successfully run 5G in every region. The present 5G network establishments for China have been successful despite the pandemic. China has over 700,000 5G base stations today and has completed its target of 2020. With 180 million 5G connections, cities like Beijing and Shenzhen have become fully 5G. China is aiming to create a next-gen network for the industries to adopt IoT, AVs, VR, and telecom.
Digital payments
China will introduce its first digital currency called DCEP (Digital Currency Electronic Payment), which will improve online payment. DCEP will be accessible by the entire country’s population using the internet. China has already tested the currency in the market on a limited scale with retailers, online payments, and P2P transfers. China already has a massive mobile payment market with services like WeChat Pay and Alipay. DCEP will be an alternative introduced by the government. It will also be a bigger and better currency and is expected to launch in the Winter Olympics in Beijing.