Traditional foreign trade taxation involves complex tariffs, value-added tax, consumption tax, etc., while cross-border e-commerce taxation is relatively simple, generally only postal tax.
1.2.5 Different models: Foreign trade e-commerce is mostly B2B, while cross-border e-commerce also has B2C, M2C, etc.
Traditional foreign trade e-commerce basically adopts the business-to-business B2B model, while cross-border e-commerce adopts the business-to-consumer B2C model based on its own characteristics, such as Amazon, AliExpress, etc. In recent years, M2C (Manulacturers to Consumer, M2C), that is, the manufacturer-to-consumer model has also been developing, such as ToBox. Compared with the “container” large-scale transaction model adopted by traditional foreign trade e-commerce, cross-border e-commerce has many advantages.
(1) Cross-border e-commerce B2B is small-volume, multi-batch, and fast delivery.
(2) Cross-border e-commerce can meet the needs of small and medium-sized importers, who often divide large-scale purchases into small and medium-scale purchases, and turn long-term purchases into short-term purchases to disperse risk needs. Compared with traditional trade methods, small-scale cross-border foreign trade e-commerce has brought it more lucrative profits.
(3) As the best combination of information technology and business activities, e-commerce can effectively obtain information, communicate with customers in a timely and convenient manner, and effectively integrate internal and external resources of the enterprise, which to a certain extent helps enterprises reduce operating costs, improve operating efficiency, and expand profit margins.
(4) The e-commerce environment in developed countries in Europe and the United States is already quite mature, with many companies participating in online transactions, which also provides an excellent user base for e-commerce of domestic and foreign trade enterprises.
(5) Small-scale cross-border foreign trade e-commerce can, to a certain extent, reduce the complicated links and expenses in the traditional import and export business process. In addition, the popularity of online payment tools and the improvement of cross-border express delivery channels make it possible to bypass many intermediate links in traditional international trade and create lucrative profits for small-scale cross-border foreign trade e-commerce.