The Role of Intermediation in the Governance of Sustainable Chinese Web Marketing

This paper identifies the factors necessary for the sustainable performance of two Chinese web marketing companies. The companies are Alibaba and its twin, Taobao. This research is based on the structural equation model (SEM). The paper analyzes the core governance factors of Chinese trust (Guanxi) from outperforming web marketing mix strategies to determine if Guanxi can be applied to other web community marketing strategies. The empirical tests, in general, show the web marketing mix is important to create values in China. Three other web marketing strategies-communication, content, and commerce incorporate Guanxi with full mediation effects. Some implications concerning trust enhancement by the Chinese government and web companies are suggested.