Local e-commerce operators need to capture market share in Japan, South Korea and China because Australia's population is too small to build a viable e-business, a leading investment banker warned this week.
Australian investment bank, The Harrington Partnership's (THPL) managing director Geoff Baker said an Asian strategy is critical because Australia's 18 million population is too small to offer critical mass.
Baker said local companies need to act more quickly because American and European e-business competitors are busy playing in their own booming markets.
THPL has just launched Internet Enterprises Limited (IEL) which is forming e-commerce joint ventures in China covering the media, marketing and travel sectors.
This includes a major online travel services company to take advantage of the 20 million people expected to be on the Internet in China by the end of this year.
THPL research shows the online market in China is expected to grow 80 per cent each year for the next three years.