Data from China Internet Network Information Center (CNNIC) shows that till June 2004 Chinese online user has reached 87 million, of which, 7.3% has experience of online shopping.

CNNIC also expects that the percentage will reach 58% in the next 2005 year.

Two factors may limit China?s e-business growth.

1. The low investment on the Internet infrastructure and related soft environment.

2. The shortage of online products