Research On The Effect Mechanism Of Rural E-commerce On County Economy

As the progress of informatization reshapes patterns of global production and businesses,the in-depth and wide application of information technology has accelerated contraction of time and space.For example,existing social patterns has been transformed to new economic and social development patterns based on the Internet at a fast pace.More importantly,a brand new regional development pattern,famous as rural e-commerce(villagers and rural entrepreneurs sell products via e-commerce platforms),has emerged in rural areas in China,gradually creating an industrial model that integrates local existing industries and promoting local production,sales and the transformation of consumption patterns.Such a new pattern has changed and stepped up the economic development in rural areas and drawn much attention form scholars at home and abroad.Apart from reforming the overall national economic structure,new social-economic networks based on rural e-commerce also have exerted profound influence on urban-rural relationship in the new era.The fast growth of rural e-commerce vividly reflects how modern information technologies improve the competitiveness of traditional rural areas and form a new economic pattern called “Internet-based Villages”.In the information age,underdeveloped rural areas,with the help of information technology and e-commerce platforms,have established business connections over information,materials and capital with other regions at home and abroad.This progress has reduced the distance between rural areas and the outside world,revitalized rural economy and gave a new meaning to rural areas,offering a new direction for China’s new urbanization—"Real-time Urbanization”.By the end of 2019,nearly half of China’s population lives in rural areas.Besides,due to limited information,shortage of resources and single industrial forms,a large number of rural young people prefer to work in cities.However,e-commerce now brings a new product circulation pattern to such relatively underdeveloped rural areas.Local products and services are being exported to other markets countrywide and even the whole world via e-commerce platforms and logistic networks.It is in the era of information technology and globalization that rural areas are able to find a position in the powerful modern social and economic network for the first time.The World Bank once said that rural e-commerce industries could effectively help developing countries get rid of poverty and share prosperity.In this regard,it is urgent for us to further research industrial development models and regional implementation mechanism of China’s rural e-commerce with a view to providing supporting theories for developing countries and backward areas concerning the adjustment of policies.Based on the above background of the study,the author spent 2 years on probing into 172 manufacturers,22 service-type companies and many individuals in Nanpi County(sample county),Cangzhou City,Hebei Province,obtaining primary research materials about connections between rural e-commerce and regional economy and society.It is concluded that the root cause of path dependence in county development is that low-end industries were restricted by cheap resources from low-end professional markets,while existing development path was constantly strengthened till locked,which in turn led to the singleness of talents and restricted residents’ consumption.However,after rural e-commerce was introduced into the area,through rural informatization,regional resource limits were broken with low costs and high efficiency in such three fields as industrial production,rural residents’ consumption and county human resources,unlocking county development paths and realizing redevelopment of county economy and society.The study covers 8 chapters and 4 parts.The first part is Chapter 1 Introduction,focusing on the background,meaning and other information of the study.The second part refers to Chapter 2 and 3,which introduced relevant literature and research frameworks.The third part includes chapter 4-7.In this part,Chapter 46 studied changes after rural e-commerce was applied in the sample county and the functioning mechanism behind from such perspectives as industrial production,rural resident’s consumption and human resources.Chapter 7 summarized the effects of rural e-commerce on county economy in general.Furthermore,based on panel data of Hebei Province,in the chapter,statistical checking was further conducted on the influence rural e-commerce exerted on county economy.It is proved that rural e-commerce can facilitate the development of county economy.The fourth part is Chapter 8,a summary of the whole paper.Conclusions of the study are as follows:(1)Development lock-in effect of the sample county was originated in the supporting system of its low-cost low-end industries.Transformation limits emerged for the system raised the costs of innovation and transformation among organizations in the county.On the contrary,rural e-commerce can break such limits with low costs and release potential for regional industrial development.Such low-cost transformation became the driving force of fast growth of county economy.(2)Rural e-commerce essentially refers to the rural informatization.In the process,a new approach to urbanization was offered and also became the prerequisite for fast growth of county economy.The “Real-time Urbanization”,by forming seamless connections between the life in urban areas and rural areas with the help of informatization and e-commerce platforms,is changing the cognition of people living in counties over themselves and others as well as development and industries and has become a new way to realize urbanization.Meanwhile,without long-distance relocation and settlement,problems(e.g.,education,medical care and employment of farmers in the progress of farmers’ citizenization)related to “encouraging farmers to settle down and work in cities” in traditional urbanization will be decreased.For the whole society,policies and measures that integrate rural areas into the economic and social development of the whole country may constitute the major mode of the future development of the rural areas in China.(3)Although rural e-commerce is introduced to rural areas first as part of the economic sector,regional social changes beyond the economic field has occurred,which could help maintain the growth potential of regional economic.From the perspective of the sample county,while restructuring digital services,social communication technologies as well as the industrial chain,rural e-commerce is reshaping rural areas.As villagers’ income increases and production,life and entertainment keep changing,traditional conflicts in rural areas will disappear,production and life in rural areas will become more convenient,communities more prosperous,which will also improve the spiritual life and cognitive level of the people.Therefore,regional reconstruction of informatization,represented by rural e-commerce,will meet success.Such a bottom-up regional reconstruction model,derived from the countryside and featured by functions of reconstruction of county-level governments,the restructuring of enterprises and the redefinition of resident status,has delivered a new approach for realizing modern social transformation in China.