Nokia-Siemens—Nokia Siemens Networks' Village Connection Project--Bringing eCommerce to rural areas in China

Nokia Siemens Networks launched Villiage connection project in 2008, carrying out several ICT solutionsto help the development of rural areas in different countries.

In China Nokia Seimens Network launched the eCommerce Solution pilot in rural China to provide internet shopping in rural areas. It contains an online Catalogue Sales Platform with products uploaded by urban businesses. As with Village Connection, this service is delivered to villagers through local entrepreneurs who provide access to the shopping platform.

The eCommerce Solution was devised and delivered in partnership with China Mobile in Fujian Province, and allows easy access to a wide range of consumer products to villages in Fujian – a vast market for urban retailers and distributors. The service also offers China Mobile an opportunity to explore new business models to help them improve their local presence in rural areas.

Through the eCommerce service, local entrepreneurs (mainly business owners in rural areas of Fujian) can expand their businesses, which are often limited due to their shop size and storage opportunities. The pilot scheme showed that during a five-month period business owners generated online transactions equal to the revenue they have raised from traditional business.

The eCommerce Solution challenges traditional ways of conducting business and purchasing goods in remote locations. After a successful pilot, this business model is now being taken forward to other rural areas within Fujian Province.