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Colin Rule, who built the eBay system, said the company experimented with a community court in India about a decade ago. The pilot project didn’t catch on, but he said a demonstration of the system in Hong Kong caught Alibaba’s attention and could help inspire what could be the first large-scale online jury project.
In 2012, Alibaba’s shopping platform Taobao launched A “people’s court”– User Dispute Resolution Center of the official platform – to handle customer complaints about inferior products or copyright infringement, as well as complaints about users being unfairly punished by the platform. A jury of 31 unpaid volunteers — buyers and sellers who have used the site for at least three months and whose names have been verified — decide the case by a simple majority vote.
Alibaba said Taobao no longer uses the system to handle user disputes, and its customer service department handles those complaints. But similar plans persist on the company’s second-hand market, Xianyu. 17 anonymous users commented on whether sellers accurately described the wear and tear of old handbags.system solution 95% of customer disputes, according to research released by Alibaba last year.
Customers in the Chinese market typically pay with digital wallets that don’t have the kind of purchase protection that credit card companies offer. Instead, Alibaba’s e-commerce site — like many in Asia — relies on an escrow model: buyers pay a marketplace, and money is released to sellers only after buyers confirm they have received a satisfactory product.
“It’s a way of designing a transaction system where you don’t need to protect the consumer because the buyer is always in control,” said Rule, a former eBay executive. When sellers open a store on Taobao, they need to provide a deposit, which can be used to refund buyers. Sellers must comply with the dispute resolution decision to continue using the platform, but they can appeal the decision or take the case to a government-run court.
In 2018, Tencent chat service APP WeChat Introduced a peer review system to combat xigao, a practice loosely translated as “article laundering” – the practice of lightly rewriting an article and passing it off as your own Violating the platform’s standards of conduct, if not the law. People who think their work has been plagiarized can file a complaint, pointing to issues like structural similarity or repeated words in the title.Both parties submit their argumentAnd volunteers, who are experienced content creators on WeChat, get involved. If at least 70% of the panel believes that article laundering has occurred, the offending article will be removed and replaced with the original author’s article.
Until recently, big companies were largely free to create these systems, often with the tacit approval of the authorities, said Georgetown University’s Liu. Online services are critical to the development of China’s economy, and bureaucracies can be slow to innovate due to vested interests and conflicting priorities.
Now, though, “public regulations are catching up,” she said.Nationwide Electronic Commerce LawThe bill, which went into effect in 2019, requires companies to respond quickly to consumer complaints and hold them accountable for counterfeit goods sold on their platforms.
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