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China has recently set up an e-commerce credibility evaluation center in an effort to facilitate the healthy growth of online businesses, according to the Chinese E-commerce Association.

 

The center will help to certify whether an online shop really exists and operates lawfully, whether it protects the customers' private information and if it handles businesses correctly, said the association's president Song Ling.

 

The companies involved will be given a credibility rating, which the customers can find on the center's website, said Song.

 

Experts believe that the effort will address the problem of a lack of credibility which hinders the development of e-commerce in China.

 

China's e-commerce had seen 600 billion yuan (about US$74.5 billion) of transactions by the end of 2005, but business was often marred by a lack of credibility and payment difficulties.

 

In comparison, 93 percent of American buyers give priority to credibility when purchasing on-line and three quarters of buyers choose only to buy from companies with a high credibility rating.

 

(Xinhua News Agency March 14, 2006)