China urged to curb excessive cash burn, not competition, to fight ‘neijuan’
Instant retail has potential to boost domestic demand, but more government policy support needed to end excessive competition, central bank adviser says
With e-commerce platforms locked in fierce competition for China’s instant retail market, a prominent Chinese economist has called for government guidance that balances regulatory oversight with innovation and a push for new growth drivers.
Wang Yiming, a central bank adviser, said “quick commerce” – involving the rapid delivery of food and essential goods, often within 30 minutes – creates new opportunities for consumption, which could be vital for long-term growth.
He urged officials to guide the sector’s high-quality development through targeted policy measures.
“Instead, the goal is to raise competition to a higher level – moving away from a zero-sum mindset towards a win-win approach through innovation, quality upgrades and a better industrial ecosystem.”