Case Study Of IHerb E-commerce Company In The Chinese Market

China's e-commerce industry has gradually changed from explosive growth to a state of slow growth.Despite the demographic dividends has disappeared,it's also hard to getting new consumers,and the e-commerce oligopoly are not favorable to SME competition,many companies still want to enter the market or expand their scale to compete for the cakes,especially oversea companies,cause the e-commerce market is large,and the policies are favorable.With the changes in people's consumption habits and the growing demand for diversified high-quality foreign products,cross-border e-commerce has shown rapid development,and will further sink into third-and fourth-tier cities,tapping more consumption potential,it shows that it's still a blue ocean.In addition to the strong layout of domestic e-commerce giants for cross-border e-commerce,overseas e-commerce platforms have also attacked the Chinese market.Among them,the iHerb e-commerce platform,which is well-known in the world for its health care products,entered the Chinese market earlier and developed well.Through using PEST model,Porter's five-force model and value chain model,this paper conducts a detailed study on iHerb's business strategy in the Chinese market,and finds that it has the advantages of good at using business model and collaborating with other enterprises.It's no difference with what Chinese e-commerce giants do.At the same time,iHerb also has shortcomings such as low product popularity and insufficient localization operations,which limits its further development and brings warnings to other companies.By analyzing the situation and strategy of iHerb's operations in China,and combining with other successful cases,it will bring inspiration to Chinese e-commerce companies and overseas e-commerce companies entering China.