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Ministry intervenes in Taobao controversy

By Shi Yingying | China Daily | Updated: 2011-10-17 07:55

Ministry intervenes in Taobao controversy

Authorities seek to diffuse anger of small vendors over fee increases

BEIJING / SHANGHAI - The Ministry of Commerce intervened on Saturday in a bitter dispute between Taobao Mall, China's top online retail platform, and small business owners sparked by a massive hike in membership fees.

Taobao Mall announced last week a minimum five-fold, and a potential ten-fold, increase in membership fees. This ignited an immediate protest by the owners of small businesses who disrupted online services by placing orders and then canceling them after leaving disparaging remarks.

Ministry intervenes in Taobao controversy

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