(TIỂU LUẬN) STRATEGIC MANAGEMENT COURSE MIDTERM REPORT TOPIC STRATEGIC ANALYSIS OF SHOPEE AND SUGGESTION FOR FURTHER DEVELOPMENT

FOREIGN TRADE UNIVERSITY HO CHI MINH CAMPUS
--------***--------

STRATEGIC MANAGEMENT COURSE
MIDTERM REPORT
TOPIC: STRATEGIC ANALYSIS OF SHOPEE AND
SUGGESTION FOR FURTHER DEVELOPMENT
Lecturer: Le Thi Thanh Ngan
Class: K55CLC1

Ho Chi Minh, April 2019


MEMBER LIST
Student’s name

Student number

Đoàn Quỳnh Hương

1601025066

Nguyễn Anh Huy

1601025071

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Ho Chi Minh City, April, 2019
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TABLE OF CONTENTS
EXECUTIVE SUMMARY...........................................................................................................1
CHAPTER 1: INTRODUCTION TO SEA LIMITED COMPANY AND E-COMMERCE
PLATFORM SHOPEE..................................................................................................................2
1.1. SEA Limited........................................................................................................................2
1.2. Shopee e-commerce platform............................................................................................2
CHAPTER 2: ANALYSIS AND EVALUATION OF SHOPEE’S STRATEGY IN
VIETNAM......................................................................................................................................4
2.1. Shopee’s strategy in Vietnam.............................................................................................4
2.1.1. External Analysis...........................................................................................................4
2.1.2. Internal Analysis:...........................................................................................................8
2.1.3. SWOT analysis and Shopee’s general business model.................................................11
2.2. Evaluation of Shopee’s strategy.......................................................................................12
CHAPTER 3: PROPOSED STRATEGIES FOR SHOPEE VIETNAM IN 5 YEARS.........14

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TABLE OF FIGURES
No.

Name

Page

1.2.1

Basic statistics of Shopee as of August 2016

3

1.2.2

Mapping of Vietnam’s leading e-commerce players by 2018

3

2.1.1

GDP composition of Vietnam in 2017 (%)

4

2.1.2

Vietnamese’s preference for payment methods in 2017 (%)

5

2.1.3

Analysis of Internet use in Vietnam in 2018

6

2.1.4

Overview of Vietnamese’s e-commerce industry in 2018

7

2.1.5

SEO score of Shopee.vn computed by SEO Check Rank

9

2.1.6

SEA’s report of Shopee in the last quarter of 2018

9

2.2.1

Percentage of shipping costs in Shopee’s total expenses

13

LIST OF ABBREVIATIONS
Abbreviation

Meaning

ASEAN

Association of South-East Asian Nations

CEO

Chief Executive Officer

FDI

Foreign Direct Investment

FTA

Free Trade Area

GDP

Gross Domestic Product

KPI

Key Performance Indicator

PC

Personal Computer

SEO

Search Engine Optimization

WTO

World Trade Organization

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EXECUTIVE SUMMARY
This report provides an analysis and evaluation into the strategy of Shopee Vietnam as well as a
suggestion of objectives to develop in the next five years. This is achieved through analyses of
the business-level strategy of Shopee through the PESTEL, Five forces models, value chain and
SWOT analysis.
Results found that even though the growth of the Vietnamese e-commerce industry is high and
Shopee has the strength and resources as one of the leaders, the business still recorded massive
loss in 2018, due to intensive investment in marketing and sales in an attempt to catch up with
the key players, such as Lazada, Tiki or Sendo who have infiltrated the industry much earlier.
The report finds that Shopee’s current strategy is quite solid and able to help it become a major
force in the e-commerce industry in just a few years. However, there are still issues which need
to be addressed if Shopee wants to remain at the top in the long-term.

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CHAPTER 1: INTRODUCTION TO SEA LIMITED COMPANY AND E-COMMERCE
PLATFORM SHOPEE
1.1. SEA Limited
Formerly known as Garena Interactive Holding Limited and established in May 2009 by current
Chairman and Group CEO, Forrest Li, SEA is an internet company based in Singapore and is one
of the leaders in digital entertainment, e-commerce as well as digital financial services across
Greater Southeast Asia.
Some of the group’s most notable products consist of Garena, a digital entertainment platform
for users to access mobile and PC online games as well as participate in eSport events; Shopee ecommerce platform, a mobile-centric marketplace that offers integrated payment and logistics

infrastructure and seller services and digital financial services to both individuals and businesses,
including e-wallet and payment services through AirPay, etc.
The group’s name, SEA, is inspired by its home region of South East Asia and symbolizes the
vast sea that connects the entire region together.
SEA’s vision is “Connecting the dots”. With this, the company aims to establish connections
between Internet users all across its home region with its products: connecting online game
players through Garena, connecting buyers and sellers through Shopee and enabling payment
process through AirPay, which also fits perfectly with the group’s name.
In accordance with its vision, the mission SEA has taken upon itself is “to better the lives of the
consumers and small businesses of Greater Southeast Asia with technology.” So far, the company
has carried out this mission successfully with two of its products, Shopee and Garena, being
well-received across the Southeast Asia region.
In October 2017, SEA is publicly listed on the New York Stock Exchange, with price ranging
from 21,50 to 24,65 USD within the month of March 2019.
1.2. Shopee e-commerce platform
Shopee is the leading e-commerce platform in Greater Southeast Asia. It is a platform tailored for
the region, providing both buyers and sellers with an easy, secure and fast online shopping
experience through strong payment and logistical support.
With a wide selection of product categories ranging from consumer electronics to home & living,
health & beauty, baby & toys, fashion and fitness equipment, Shopee aims to continually
enhance its platform and become the region’s e-commerce destination of choice.
Shopee’s vision is to continuously enhance its platform to deliver a seamless and enjoyable
shopping experience for all users and be the region’s e-commerce platform of choice. In order to
do so, it set a mission to create a simple and secure mobile marketplace for everyone to buy and
sell, anytime, anywhere.
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Figure 1.2.1. Basic statistics of Shopee as of August 2016
By the end of 2018, in a ranking of e-commerce businesses based on their average quarterly

traffic, Shopee was the top e-commerce platform in the Vietnamese market and was generally
placed among the top three in other Southeast Asia countries.

Figure 1.2.2. Mapping of Vietnam’s leading e-commerce players by 2018
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CHAPTER 2: ANALYSIS AND EVALUATION OF SHOPEE’S STRATEGY IN
VIETNAM
2.1. Shopee’s strategy in Vietnam
2.1.1. External Analysis
 PESTEL analysis of Vietnamese market


Political and Legal factor

Vietnam enjoys a fairly stable political environment with only one political party, the Communist
Party of Vietnam, in control with no major opposing forces vying for control and influence;
therefore, regimes and policies rarely vary greatly over the year. Terrorism also rarely, if never,
happen in the country.
In an attempt to attract foreign investment into the country, Vietnam government imposed very
little restrictions on import, export and taxation. For example, the government have announced a
series of policies in order to attract more foreign direct investment which include tax holidays
and preferential corporate income tax rates. They also improve the taxation rate in order to
further the economy such as the decreasing the standard corporate income tax rates to 20% from
January 2016.
Besides that, Vietnam is also a member of WTO and ASEAN as well as having established trade
relationship with more than 200 countries and being member of more than 8 FTA by the end of
2016.


Economic factor

According to Global Edge, Vietnam had the following statistics up to 2017:
 GDP, PPP (current international): $647.4 billion, in which the service sector composed of
40.92% of the total.
 GDP per capita, PPP (current international): $6,776
 GDP growth rate (annual %): 6.8%

Figure 2.1.1. GDP composition of Vietnam in 2017 (%)
It also spotted an unemployment rate of 2.1%, inflation rate of 3.5%, real interest rate of 3.1%
and FDI inflow of $14.1 billion in the same year.
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

Socio-cultural factor

By 2017, Vietnam was estimated to have 95.5 million people, in which approximately 70% were
within the working age group. This is considered as a major strength for the industrialization and
modernization of the country, if the abundant labor force could be fully utilized.
Concerning cultural aspects, Vietnam is a collectivist society in which the needs of the group are
often placed over the individual. Family and community concerns will almost always come
before business or individual needs. In addition, they employ a hierarchical structure based on
age and status in which the eldest person is always respected and possesses the most influence.
Moreover, Vietnam is a high-context communication culture so they will depend heavily on nonverbal clues to assess meaning.
Furthermore, education is considered as one of the most important issues to which the country
has to pay great attention. In fact, the literacy rate of the total population had reached 94.5% of
the total population by 2015, increasing by more than 4% in comparison with the year of 1999.

Nevertheless, there still existed the problem of the degradation in social ethics of students, due to
weak emphasis on the teaching of humanities, which can be proved by many cases of students or
young people committed violent crimes.
Last but not least, Vietnamese consumers have a tendency to prefer foreign brands to domestic
ones, and in recent year, they also gain a preference for healthy products or “green” products that
protect the environment. As for payment method, cash-on-delivery is still the dominant solution
with approximately 88% of Vietnamese do this in 2017.

Figure 2.1.2. Vietnamese’s preference for payment methods in 2017 (%)


Technological factor
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By 2018, the number of Internet users in Vietnam has reached 64 million people, accounting for
approximately 67% of the total population. And this number is predicted to continue increasing
sharply in the coming years.
Mobile, especially smartphones, has also become an intergral part of Vietnam’s society with 72%
of people reported that they owned at least one smartphone, in which 64% of them actively
connected to the Internet through their mobiles.

Figure 2.1.3. Analysis of Internet use in Vietnam in 2018
In terms of development, there is already a project running in Vietnam which will serve to
narrow the scientific and technological gap between Vietnam and the rest of the world in some
key fields by 2020. According to the project, the Government will focus on scientific and
technological renovation to sharpen the competitive edge of local products and assisting
businesses to purchase patents in some prioritized areas: biotechnology, information technology,
new materials technology - nano technology , manufacturing technology and automation.


Environmental factor

Viet Nam is blessed by nature, with a great ecological and hydrological diversity. The country is
made up of equatorial lowlands, high, temperate plateaus and cooler mountainous areas. It also
has a diverse wildlife, with rare and precious fauna such as elephants, rhinoceros, tiger, leopard,
black bear, snub-nosed monkey, crocodile and turtle. Forest area accounts for 2% of total forests
in East Asia and Pacific. Fish catch is among the 10 highest countries in the world, with
1,451,800 tons per year.
On the other hand, Vietnam is also among the countries that can be seriously affected by climate
change and natural disasters. Total value of damage caused by natural disasters in 2011 was
estimated at over 10 trillion VND.
Moreover, the rapid development and urbanization has caused significant pressure for its own
environment, according to a report by the World Bank. In fact, air pollution has become a huge
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concern for Vietnamese people as more than 60,000 deaths in 2016 in Vietnam were linked to air
pollution, according to WHO. In an effort to counter this, locals have begun to invest in rooftop
solar panels in increasing numbers. The issues with motorbikes and cars are also being slowly
addressed with subway constructions and emission standard enforcement being two suggested
solutions.
 Five Forces analysis of e-commerce industry
Vietnam is a potential ground for e-commerce to flourish with high Internet penetration of 67%
that was ranked as the 17th highest in the world. In addition to this, the number of people owning
digital devices and making purchases online has also increased in recent years. By 2018, there
were approximately 49.8 online shoppers, increasing by 2.6 percent in comparison to 2017. In
the same year, the e-commerce industry had contributed a total revenue of $2.26 billion to GDP
of Vietnam, rising by 29.4% compared to the year before.

Figure 2.1.4. Overview of Vietnamese’s e-commerce industry in 2018


Threat of new entrants

The barrier to entry is moderately high in the e-commerce industry of Vietnam. This is because
of the substantial amount of capital needed to invest in the required technology, human resources
and marketing. Not only that, even if one has enough fund to start, the difficulty of building a
trustworthy brand image with the customer is also a big challenge to overcome. Therefore, the
threat of new entrants is rather low.


Rivalry among existing competitors

The level of rivalry in the industry is high because there already exists many players in Vietnam.
Some big names that claim the majority of online traffic include Lazada Vietnam, Tiki, Sendo,
The Gioi Di Dong, Adayroi, FPT Shop; along with many more smaller e-commerce companies.
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Brands are always trying to earn a competitive advantage through low prices, better quality of
products or through a better overall customer experience.


Bargaining power of buyers

With the prevalent of both small and big brands, the bargaining power of buyers in Vietnamese ecommerce industry is fairly high. There is hardly any switching cost for the customers who are
now quite well informed and have most information available at a single click, making it easier
for relatively price-sensitive Vietnamese to change brands.


Bargaining power of suppliers

Even though the suppliers have more options now with the growing number of e-commerce
businesses, their bargaining power is only moderate. This is due to the high caution exercised by
e-commerce brands regarding their supplier relationships, setting an extensive code of conduct
related to quality, labor and wages as well as sustainability.


Threat of substitutes

There are two main threats in terms of substitutes for e-commerce brands: competing e-retail
businesses and physical retailers. The customers have relatively no switching costs and they can
easily switch from one e-retailer to another or from e-commerce to physical retail, so the threat
of substitutes is quite high.
2.1.2. Internal Analysis:
 Primary activities


Inbound and outbound logistics

Since Shopee is an e-commerce business, its inbound logistics involves the attracting of sellers,
its suppliers, to post product lists on its site and outbound logistics is when the sellers and buyers
are able to successfully meet and negotiate transactions.


Operations

Shopee is a mobile-focused business which acts as an intermediary information marketplace in
order to match the sellers and buyers of common interests. The main operation of Shopee is the

gathering and organizing information of sellers and distributing of said information to buyers
through its mobile application in order to initiate transactions. It also allows for interactive
shopping through the form of online chat in case both parties wish to negotiate on their own
prices and terms of sales.


Marketing and sales

At the beginning, Shopee chose to focus on word of mouth advertising, which gradually
expanded to social networks with an intention to engage communities on Facebook, Instagram,
Youtube… Shopee is particularly talented at following latest trends. For example, it invited Son
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Tung MTP, the most famous singer in Vietnam, to become its brand ambassador; cooperated with
the hit-singer Bao Anh and Bui Tien Dung of U23 fame to participate in the video clip with the
catchy song “Baby Shark”, or most recently, Shopee celebrated its birthday with the Korean band
Blackpink… and many other viral marketing activities that had left an impact in its customers.
In contrast, SEO management of Shopee is not very good. A brief check on several SEO
checking tools yielded an average score of approximately 50.

Figure 2.1.5. SEO score of Shopee.vn computed by SEO Check Rank
Regarding sales, according to SEA’s annual report in 2018, Shopee has achieved a total of $3.4
billion of gross merchant value and 206.9 million gross orders, earning SEA an adjusted revenue
of $126.9 million, increasing by 1262% in comparison to 2017. It has also recorded more than 80
million downloads by 2017, wherein Vietnam comprised of more than 5 million.

Figure 2.1.6. SEA’s report of Shopee in the last quarter of 2018
On the other hand, due to heavy investment made by SEA on Shopee, the group has reported a
record loss of $700 in 2018. The cause for this was cited to be due to intensive investment in

marketing and sales as well as promotions, especially subsidies for shipping for Shopee users.
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

Service

The core value Shopee provides its customers is an easy, secure and fast online shopping
experience through strong payment and logistical support. Augmenting that core is a variety of
additional values, including:
 Personalized customer’s experience and interactive shopping through the application of
Shopee Feed and Shopee Live Chat.
 Shopee Mall was launched in 2017 as a dedicated in-app space that showcases Official
Brands and Shopee’s Top Sellers.
 Shopee Guarantee was also set up to protect buyers by withholding payment to sellers
until the buyer receives their orders in an agreed-upon condition.
 Dedicated team of delivery, mostly from Giaohangtietkiem, however there are still
outsourced forces from various reliable delivery service companies including Viettel Post,
Vietnam Post, Giaohangnhanh. In addition, the fast delivery service of Shopee 24H and
4H were introduced to help sellers conduct their orders within a short time.
 Support activities


Infrastructure

According to reviews on Glassdoor, Shopee has a dynamic, fast-paced working environment
with plenty of opportunities for learning. Its slogan is said to be “We empower each other” and
the overall theme is to connect among employees with friendly colleagues. However, it is stated
that the management is relatively top-down and work can be demanding at times.

As for facility, Shopee possesses one of the most beautiful and modern offices in Vietnam,
locating on the 17th and 18th floors of the Saigon Center Building. Its primary color is orange, a
optimistic and energetic color, which is said to convey the message of “We always find a way.”


Human resources and management

All employees at Shopee are extremely skilled and talented. One of the reasons behind this is
cited to be due to their rigorous hiring process with a high hiring bar to make sure they find the
best fit.
Moreover, Shopee is always trying to scout out talents among the local prestigious universities
such as Ho Chi Minh University of Economics, Foreign Trade University, RMIT,…through
promotion and career fairs to add to its growing list of employees. In addition, Shopee also
organizes its own exclusive Global Leaders Program, a highly selective 2-year program,
comprising four 6-month rotations in different business functions in order to search for young
talents in Vietnam.
Training new employees is mostly carried out by senior executives in the same department.
Management team from Vietnam will also have the opportunity to participate in training program
organized in the parent company located in Singapore.
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

Technology

Shopee is one of the largest and fastest mobile content delivery networks in Southeast Asia
region. The technology underlying Shopee accelerates the loading of millions of product
photographs and descriptions on web pages delivered to millions of users and offers them a fast
and smooth mobile shopping experience.

Shopee’s proprietary database management system is one of the largest database systems for
mobile online transaction processing in the region. It runs on servers and can be scaled up to
hundreds of nodes to achieve scalability. Moreover, it plays a critical role in supporting
transaction processing in the marketplaces in a cost-efficient manner.
On the other hand, Shopee Vietnam’s process of setting up a shops for sellers is still rather
simple and does not require any verification of bank accounts or identities, which is a factor that
counterfeits and frauds can take advantage of.


Procurement

Shopee has more than 800 thousand suppliers, which are also its customers, selling a variety of
products from fashion, cosmetics to electronic devices through its platform ranging between
quality and reliability. Due to this, management of sellers is rather difficult.
Furthermore, Shopee also established contracts with three of the top delivery companies in
Vietnam by 2018, which are Vietnam Post, Giaohangnhanh, Viettel Post.
2.1.3. SWOT analysis and Shopee’s general business model
 SWOT analysis
-

Strengths
Clean interface, easy-to-use design and
quick links to each feature of Shopee.
Strong brand name.
Viral marketing activities, easy to leave
impression on customers
Faster and cheaper shipping than
competitors.
Large number of suppliers offering a
wide range of products.

Dynamic working environment, talented
workforce and modern facilities.
Large database management system.
Opportunities
E-commerce is one of the fast growing
industries of Vietnam.

-

Weaknesses
High cost incurred in marketing and
shipping.
Supplier management difficulty.
Security and fraud still pose a major
problem.
Weak SEO management.

-

Threats
Relatively high inflation rate.
Education is still limited, especially

-

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-

-

Number of Internet mobile users is high
and has the tendency to increase in the
future.
Political stability, few restrictions on
FDI and relatively low taxation.
High GDP growth rate and increase in
consumer demand.
Abundant labor force.
Relatively high barrier of entries.

-

-

on humanities subjects.
Technological development is not as
advanced as some other countries in
the same region.
Natural disasters can severely affect
daily life.
Highly competitive e-commerce
industry with many big players.
Relatively no switching costs for
customers.

 Business model
Shopee Vietnam utilizes a differentiation business model, evident in the various services it offers
the customers for the best shopping experience such as Shopee Mall for the most reliable, topquality vendors on Shopee or Shopee 24H for a fast shipment that will reach customers within

the day with no additional charges.
One example of their effort to differentiate is that Shopee realizes shipping fee is a hurdle to
overcome in order to convince buyers to switch to online shopping. Consequently, it tries to
capitalize on this by supporting sellers in setting up their own shipping discounts with a view to
attracting more buyers.
Another instance of this is the gamification of customer experiences in the form of Shopee Coin.
Users can participate in social activities on the app to win these coins and use them to offset the
costs with sellers on the platform.
2.2. Evaluation of Shopee’s strategy
Overall, Shopee Vietnam has built a quite solid business-strategy which has helped it earn its
position as one of the leading players in the e-commerce industry despite entering rather late in
comparison with big names like Lazada, Tiki, Sendo. However, that does not mean there is no
room for improvement in some of its performance and operation.
The following are some key points that have been noted regarding Shopee’s strategy:
2.2.1. Shopee has a very viral marketing strategy through the use of hot trends and celebrities.
However, it seems to have neglected its SEO management.
Shopee spends a majority of its expense on marketing. This is not inappropriate considering the
highly competitive nature of the e-commerce market and the fact that Shopee itself is still a
relatively young player in the field, comparing to other big names like Lazada, Tiki or Sendo.
While it is quite successful in its viral marketing by staying on top of the trends and cooperating
with celebrities to advertise its image, Shopee does not seem to do that well regarding its SEO
12 | P a g e


management. In fact, its own site rarely comes up as the top result in Google when keywords
regarding e-commerce or online shopping are used, and only about 26.4% of Shopee’s site total
visits are linked to search engine.
2.2.2. Shopee already has its own shipping force in Giaohangtietkiem and established contracts
with other big delivery names. However, it appears to not consider Now (formerly DeliveryNow)
as a possible partner.

Shipping cost is an important problem that Shopee has to take into consideration. In 2018, sales
and marketing expenses, in particular subsidies for shipping for Shopee users, equaled 85.3% of
SEA’s total revenue. Shipping cost alone contributed to approximately 30% of Shopee’s total
expenses, forcing Shopee to put a limit on its policy of free shipping in order to cut down on
costs.

Figure 2.2.1. Percentage of shipping costs in Shopee’s total expenses.
Due to this, having Giaohangtietkiem as part of Shopee’s own workforce has contributed to
keeping expenses down. However, in order to satisfy customers with a variety of shipping
choices, Shopee still formed contracts with several outside delivery companies. Despite this, it
does not appear to make any move to cooperate with Now’s delivery team which, as part of the
same parent company, will be relatively cheaper than outsourcing.
2.2.3. The problem of counterfeit products and fraud remain a major concern since Shopee still
relies mainly on customer’s reports or reviews to detect.
Currently, Shopee does not apply any in-depth verification of sellers regarding bank accounts or
identities. This allows Shopee to boast a very large and varied selections of online shops;
however, this also makes it one of the main targets for counterfeit products and fraud. This
problem is offset partially through the review and report functions but these are not viable
solutions in the long-run as Shopee’s brand name will be seriously affected.

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CHAPTER 3: PROPOSED STRATEGIES FOR SHOPEE VIETNAM IN 5 YEARS
Based on the evaluation observed in Chapter 2, a strategy plan for Shopee Vietnam for the next 5
years has been proposed as follows, in which there are three key suggestions being discussed:
create a better SEO management, cooperate with the delivery force of Now to reduce costs and
install a verification system in order to better screen out counterfeits and frauds.
Strategy
Reasons

and
purposes

Better SEO
management

Shipping
cost reduction by
cooperating
with Now

Indication
of success

Year 1-2

Year 3-4

After year 5

To increase the rank of Shopee in search engine result, attract
more customers to the site.
- Shopee Vietnam’s
site is always among the top ten search results relating
to e-commerce
within Vietnam.
- Number of visits
to Shopee through
search engine increase to at least
35% on average.

- Shopee Vietnam
always appears in
the top five search
results relating to ecommerce within
Vietnam.
- Number of visits
to Shopee through
search engine increase to at least
50% on average.

- Shopee Vietnam
usually appears in
the top three search
results relating to ecommerce within
Vietnam.
- Number of visits
to Shopee through
se-arch engine are
kept stable above
50% on average.

KPIs

SEO analysis, % of traffic records through search engine.

Reasons
and
Purposes

To reduce the costs arising from outsourcing delivery team by
cooperating with the force from Now.

Indication
of success

KPIs

- Integrate Now as
one of the options
for shipping goods.
- Redirect through
marketing to raise
the number of orders placed with
Now’s delivery service by at least 5%.

% of successful
orders being
placed.

- Raise the number
of orders placed
with Now’s delivery service to at
least 10%.
- Gradually reduce
reliance on outside
delivery force
- Cut down on
shipping expenses
by at least 5%.

- Raise the number
of orders placed
with Now’s delivery service to at
least 12%.
- Gradually reduce
reliance on outside
delivery force
- Cut down on
shipping expenses
by at least 8%.

% of successful orders being placed, % of
shipping expenses reduced
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Reasons
and
Purposes

Managemen
t measures
installment
to reduce
counterfeits
and frauds

Indication
of success

KPIs

To manage the products being sold on Shopee’s platform,
minimizing the risks of counterfeits and frauds, preserving the
brand image of Shopee.
- Continue to per- Continue to per- Integrate a verform a check on es- form a check on esification method
tablished shops to
tablished shops to
into shop registrapinpoint counterpinpoint countertion step to screen
feits and frauds, at
out potential fraud- feits and frauds, at
least 50% of sellers least 65% of sellers
sters.
must be verified.
must be verified.
- Perform a check
- Number of cou- Number of couon established
nterfeits and frauds nterfeits and frauds
shops to pinpoint
reported reduce by reported reduce by
counterfeits and
at least 40%
frauds, at least 30% at least 30%
of sellers must be
verified.
- Number of counterfeits and frauds
reported reduce by
at least 15%
% of sellers having their accounts verified, % of counterfeits and

frauds reported

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REFERRENCES
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