Analysis of the importance of price, quality and supply chain in cross-border e-commerce competition and the challenges brought by patent expiration

In the context of the current booming international trade, the cross-border e-commerce industry has entered a stage of rapid growth, attracting the influx of a large number of companies, resulting in increasingly fierce competition. In order to gain an advantage in this complex market environment, participants must focus on a number of key factors, including the balance between price and quality, stability of supply, logistics efficiency and potential competition from substitutes, as well as the protection of intellectual property and its Market challenges arising from expiration.

1. Balance between price and quality

The core of cross-border e-commerce is to provide domestic consumers with high-quality overseas products. Consumers generally expect to buy goods with good value for money. Therefore, import cross-border e-commerce companies should strike a reasonable balance between price and quality. While lowering prices can attract traffic, pricing too low may raise questions about the quality of the product. Therefore, such companies must ensure the quality of the goods they sell and build consumer trust and loyalty.

2. Supply stability and logistics efficiency

Another key factor for the success of cross-border e-commerce is stable supply capacity. This requires companies to establish cooperative relationships with reliable overseas suppliers to ensure the continuous supply of goods while avoiding excess inventory. Effective logistics services are also crucial. Companies need to choose appropriate logistics methods to ensure timely delivery of goods, thereby improving consumers’ shopping experience and enhancing market competitiveness.

3. Substitute competition and market monitoring

In addition to direct competitors, the existence of substitutes also poses a threat to cross-border e-commerce companies. Market research shows that some hidden potential competitors may not be detected in the early stages, but their impact can be far-reaching. Therefore, in addition to the analysis of peer competition, special attention should be paid to potential substitutes and competitors when conducting micro-market surveys.

4. Protection of intellectual property rights and challenges after expiration

Intellectual property rights play a pivotal role in corporate innovation and market competition. Especially for appearance patents, the protection period is generally 15 to 20 years. After expiration, the right holder will lose exclusive rights, leading to intensified market competition. Other companies are free to use, manufacture and sell products related to the patent, and the intensity of competition in the market increases significantly. Rights holders must respond to this challenge by increasing technological innovation, building brand value and seeking other types of IP protection.

5. Corporate response strategies

Faced with intensifying market competition and the expiration of design patents, companies need to adopt multiple strategies to maintain competitiveness:

  • Continuous Innovation: Maintain market vitality and competitive advantage by continuously developing new technologies and improving product design.
  • Brand Building and Marketing: During the protection period, consumer loyalty should be ensured through unique brand image and quality.
  • Multi-dimensional intellectual property protection: Consider other forms of protection such as trademarks and copyrights to continue to maintain competitiveness after patent expiration.

In summary, cross-border e-commerce competition strategies require diversification, which requires not only paying attention to the balance between price and quality, but also ensuring the stability of the supply chain. At the same time, it is also necessary to actively respond to market changes caused by patent expiration. By comprehensively analyzing market dynamics, companies can more effectively formulate response strategies to stand out in the fierce competition.