The usual investment setting in China and the US is having American companies expand to the Southeast Asian borders to introduce new technology and products. The US has always been ahead in different industries while China is still on the developing side as a country in terms of economy and product improvements. China has now turned the typical setup between the two nations by introducing a new technology to the US.
Online payment is an essential part of the processes in transacting in China as the country is huge on e-commerce. This is a part of their growth to provide better service to their consumers who opt to buy online. With the success of China’s e-commerce industry, it calls for the contribution on how they close deals and collect payment.
China has made the initiative to share their insights on how the US can also grow in this aspect. Businesses who consider online transactions are also faced with different factors such as data collection, fraud, and regulation. Chinese financial technology or fin-tech has been new in the international market and have truly changed the standard systems in payment. More establishments have been adapting to cashless payments with the support of various banks.
However, China’s implementation of the system also eliminates the use of credit cards. This is the edge that overpowers cashless systems that are present in the US. The growth is slow and is overtaken by Chinese initiatives in the technology. Asian countries have been more innovative in terms of developing the system in hopeful replacement of banks and legal institutions. The progress in this aspect is essential because more companies decide not to be tied to government policies leaving individual businesses to be in control of their own regulations.
Through an advanced online payment system, business owners are able to manage their processes with minimal intrusion by various legislators. This has been proven and implemented in Chinese online businesses and the US has yet to become more open to adapt to this technology. Although there is no guarantee that it will perform the same way as it is in China in the US, this can probably change the way processes are dealt with such as retail. China sets up a new standard in online payments and this also calls for other countries to catch up if not to invest in Chinese technology.
China and the US have been in close relations when it comes to trade and business even when the two nations experienced economic challenges during the Nanjing Massacre in China. The Southeast Asian country was the most affected one during the chaos. Chinese nationals and few American civilians were troubled and it also reflected in the economy. It took a long time for China to bounce back and make ways to improve and be self-sustaining. The US helped after the event but China has worked to become more independent and has kept its efforts to remain connected with the US.
The success of China’s technology in the US market is still on the planning aspect. The information and means to apply this in American businesses have been provided. The differences in culture and market may become a challenge. The online payment system of China is not quite welcome yet in the US but this does not affect other business trade and processes between the two nations. It may require more time for the US to invest in the same technology from China.
Another option that can be foreseen is for the US to actually adapt to the increasing demands and capabilities of fin-tech. It is important to consider the consumers and all the available resources to remain ahead in the industry and economy as a whole.