2026 World Internet Conference
On the afternoon of July 22, 2026, the Digital Silk Road Development Forum of the 2026 World Internet Conference—Digital Silk Road E-commerce Cooperation and Development Forum was held in Xi'an, Shaanxi. Wang Chenhui, Partner and President of Frost & Sullivan China, was invited to attend the forum and participated in the roundtable discussion on “Inclusive E-commerce Path for the Global South.” He shared Frost & Sullivan’s research insights regarding the structural challenges faced by the e-commerce industry ecosystem in countries in the Global South and the core value and practical approaches of AI technology in promoting inclusive e-commerce.
With the theme “Opportunities and Practices in E-commerce in the AI Era,” the forum engaged in in-depth discussions on opportunities in e-commerce during the era of artificial intelligence, innovative practices in digital trade, and digital transformation of small and medium-sized enterprises. Nearly a hundred representatives from government departments, international organizations, members of the World Internet Conference, e-commerce professional committees, and e-commerce companies attended the event to discuss important issues such as regional e-commerce cooperation, governance of cross-border e-commerce trade rules, establishment of the Digital Silk Road system, inclusive e-commerce for the Global South, and AI applications by small and medium-sized enterprises, providing practical solutions and cooperation paths for advancing the Digital Silk Road and deepening global digital economy cooperation.
During the roundtable discussion, Wang Chenhui pointed out that based on Frost & Sullivan’s long-term research on the development of the global digital economy, e-commerce, and corporate globalization, countries in the Global South do not lack demand for e-commerce. The main constraints currently are structural deficiencies in digital infrastructure, corporate digital capabilities, and cross-border trade facilitation systems. The widespread use of AI technology is expected to further reduce the entry barriers for small and medium-sized enterprises in global trade, allowing professional capabilities previously dominated by large enterprises to be transformed into more inclusive digital tools.
01
Market has sufficient demand: Three structural challenges in the development of e-commerce in the Global South
According to Frost & Sullivan’s long-term research on the development of the global digital economy, e-commerce, and corporate globalization, the main challenge in developing e-commerce in countries in the Global South is not insufficient market demand, but rather structural constraints in the e-commerce industry ecosystem, including digital infrastructure, corporate digital capabilities, and cross-border trade facilitation systems.
Firstly, digital infrastructure and connectivity remain the foundation for inclusive e-commerce development. E-commerce is not simply about building online trading platforms; it requires basic capabilities such as network connection, digital payment, logistics fulfillment, and digital services. Data from Frost & Sullivan shows that in 2025, the number of internet users worldwide reached approximately 6 billion, accounting for about three-quarters of the global population. However, still about 2.2 billion people have not accessed the internet, most of whom are from low- and middle-income countries. Internet usage rates in high-income countries reach 94%, while in low-income countries they are only 23%, indicating a significant difference in digital connectivity.
Secondly, the digital management capabilities of local enterprises in global trade need to be improved. Many countries in the Global South possess rich industrial resources, a young population structure, and growing consumer demand. However, many small and medium-sized enterprises still face challenges such as brand building, digital marketing, multilingual operations, cross-border customer service, and supply chain management when entering the international market.
Additionally, the cross-border trade facilitation system needs further improvement. Cross-border e-commerce involves multiple aspects such as customs, taxation, product certification, cross-border payment, data flow, and consumer protection. If relevant rule systems and supporting services do not develop simultaneously, the overall cost for enterprises to participate in global trade will remain high.
02
From “Platform Connection” to “Ecosystem Co-construction”: Inclusive E-commerce Requires a Complete Industrial System
Wang Chenhui noted that a mature e-commerce ecosystem is not driven by a single trading platform, but is composed of multiple components such as industrial supply chains, trading platforms, logistics fulfillment, digital payments, technical services, and operational services. For small and medium-sized enterprises to truly enter the global market, they need not just a new sales channel, but a set of digital capabilities covering product display, customer acquisition marketing, transaction fulfillment, customer service, and compliance operations.
From China’s experience, the rapid development of the e-commerce industry is the result of the combined effect of digital infrastructure, logistics networks, payment systems, industrial chain capabilities, and policy environments. According to Frost & Sullivan’s research, the scale of cross-border e-commerce in China is expected to grow from approximately 15.7 trillion yuan in 2022 to around 26.3 trillion yuan in 2027, maintaining steady growth.
Therefore, the key for countries in the Global South to develop e-commerce is not simply replicating a single platform or business model, but to gradually improve digital infrastructure, business capabilities, and trade facilitation systems by integrating their industrial structures, unique resources, and market conditions, thereby building a digital trade ecosystem suitable for their development stage.
03
AI Empowers Inclusive E-commerce: Transforming Large Enterprise Capabilities into Inclusive Tools for Small and Medium-Sized Enterprises
Currently, AI is being gradually applied in various e-commerce aspects such as product information generation, multi-language communication, customer service, market analysis, demand forecasting, inventory management, supply chain optimization, and targeted marketing, shifting industry competition from single trading channels to comprehensive operational efficiency.
For example, leading Chinese cross-border e-commerce platforms like Alibaba International Station are using AI capabilities to help merchants optimize product displays, improve communication efficiency between buyers and sellers, and reduce operating costs for small and medium-sized enterprises in international trade. More and more enterprises can also use AI tools to build independent websites and digital marketing systems, and local e-commerce platforms may gain new development opportunities in the AI era.
According to Frost & Sullivan’s research, China has developed a relatively complete industrial ecosystem for cross-border e-commerce. Many small and medium-sized enterprises connect with overseas consumers through digital platforms and transform local manufacturing and supply chain capabilities into global sales capabilities. This practice shows that the deep integration of digital platforms, industrial chains, and intelligent technology tools is an important path for small and medium-sized enterprises to globalize.
04
Connecting Local Industry with Global Market: Making AI Truly Transformative into Inclusive Business Capabilities
For markets in the Global South such as Africa, many local enterprises possess unique products, cultural resources, and industrial foundations. However, in the past, they have been limited by language, marketing, customer access, and cross-border operation capabilities, making it difficult to enter broader international markets. AI can significantly reduce costs in these areas and help more local enterprises improve product display, customer communication, and market operation capabilities.
In the future, the development of e-commerce will not be limited to digitalization in the trading process, but will gradually move toward intelligence across the entire trade chain. AI will become an essential foundation for connecting enterprises, consumers, and global markets, and will enable more small and medium-sized enterprises to move from “using platforms” to “operating independently,” participating in global trade in a more equal manner.
Wang Chenhui said that countries in the Global South need to focus not only on AI technology itself, but also on integrating AI with local industries, digital infrastructure, enterprise service systems, and talent development, so that technology can truly transform into inclusive and sustainable business capabilities.
For a long time, Frost & Sullivan has continuously tracked the development trends of the global digital economy, e-commerce, cross-border trade, and corporate globalization, and provides professional support to enterprises in grasping opportunities in digitalization, intelligence, and globalization through industry research and practical insights. In the future, Frost & Sullivan will continue to leverage its global research network and industry think tank advantages, pay attention to the integration innovation of AI and cross-border e-commerce, and help more small and medium-sized enterprises connect with global markets, contributing to the construction of the Digital Silk Road and the inclusive development of the global digital economy.
This forum was organized by the E-commerce Professional Committee of the World Internet Conference, with the assistance of the Shaanxi Provincial Department of Commerce and the Shaanxi Provincial Internet Information Office.
