Wednesday, July 05, 2006

 

Tuangou

"Tuangou, or team buying, aims to drive unprecedented bargains by combining the reach of the internet with the power of the mob. It is spreading through China like wildfire. The practice originated in online chat-rooms but has quickly inspired several specialist websites, such as 51tuangou.com and www.teambuy.com.cn. Zhang Wei, who helped to set up teambuy less than six months ago, says the site has 10,000 registered members. The company plans to expand into Beijing and Shanghai. "

"Team buying turns haggling, a tradition in China, into an art-form. That such aggressive consumer behaviour has arisen in a country without much of a consumer economy and weak individual rights is less surprising than it might seem. In the countryside there are more and more organised protests against government corruption and dictatorial landlords, with even poor people using technology like the internet and mobile phones to help. Now their urban, middle-class brethren are adopting their tactics—if only for shopping. However, if China's economy ever slumps, urban consumers could use their organisational skills to confront the government directly. Beijing might be watching the spread of team buying with trepidation."

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