Virtocommerce
Home Virto Commerce blog Why Unifying Global and China eCommerce Operations Is So Complex, and How to Do It Right 

Why Unifying Global and China eCommerce Operations Is So Complex, and How to Do It Right 

1days ago •10 min

Virto Commerce has deployed B2B ecommerce platforms in China for global manufacturers, handling data sovereignty, ICP compliance, and integration patterns where support from others is often limited. This expertise from real-world rollouts—like optical equipment manufacturers replatforming after 13 years—guides our insights. 

Can you just extend your global ecommerce platform into China? 

No.  

Most of the time, with the rarest of exceptions, the answer to that would be No. Unless you’re willing to go through significant architectural challenges, make operational compromises, and extend your project timeline by at least two times the original plan.  

But frankly, the challenge with China ecommerce rollout is not so much about the technical capabilities, but rather the regulatory requirements, the technical infrastructure, and unique local business practices. All that creates a fundamental conflict with how ecommerce operations are typically structed globally.  

  • Your data needs to flow freely across the global organization, but it must stay within Chinese borders.  
  • Systems that work well around the world struggle with China’s network topology.  
  • Your tried-and-tested best practices do not align with Chinese buyer expectations.  

This creates a tension for every B2B enterprise.  

So how do you maintain global operations while meeting China’s rigid requirements?  

The answer lies in architecting a system that accommodates both.

Tip: China’s ecommerce market offers massive opportunities, but as outlined in our guide “Launching eCommerce in China: Everything B2B Enterprises Need to Know”, success demands more than localization. It's about navigating ICP licenses, data sovereignty, and local infrastructure from day one. Read the full guide for deeper insights into B2B launch requirements.   

The Core Challenge: Data Sovereignty vs. Global Integration

Data localization requirement in China creates a unique unification challenge.  

According to the Personal Information Protection Law (PIPL) and Data Security Law, all data collected in China must stay in China. Cross-border transfers are possible, but require an official explicit permission, and even then, it’s scrutinized and limited.   

What This Means in Practice

Your ecommerce platform in China collects customer data (names, contact information, payment details, browsing history). Under PIPL, this data is stored on servers that are physically located in China. A simple data replication or transfer to your global CRM for analytics, customer service, or reporting is not possible.   

This isn’t a theoretical tension.  

Data-localization measures bloom around the world and have more than doubled between 2017 and 2021, leading to a drop in global productivity by 0.7%.  

In China, only 25% of all cross-border data export applications were approved in 2024, creating a serious data fragmentation challenge despite available technology. The regulatory framework creates an inherent conflict between business integration needs and localization rules.  

Data Synchronization Challenges Beyond Compliance

The sovereignty-integration tension manifests in specific operational challenges that affect daily business.  

  • Inventory synchronization: When selling physical products, inventory availability must be accurate. Chinese customers shouldn’t have access to global stock, but the system needs to check global inventory without creating compliance issues, such as personal data transfer. A careful API design will separate inventory queries from customer context. 
  • Order orchestration: When an order is placed, the dataflows to (often global) fulfillment systems. As order contains personal information—shipping address and contact details—and operational insights—SKUs, quantities, and shipping instructions—that need to reach the warehouse management system. Separating these data types requires advanced integration architecture.  
  • Customer identity: Handling authentication and identity of multinational B2B customers with registered users in several countries is a whole other challenge. Chinese and French purchasing managers both need access to the contract pricing and approvals, yet their personal data must remain in respective regions. This issue can be overcome, for example, with regional user profiles with separated business-level relationships.  
  • Business intelligence: Company analytics aren’t useful unless you include all markets’ data. Providing global visibility without violating local rules with edge analytics—data is processed in China and shipped as aggregated insights, anonymizing data before export, or split analytics architecture—analytics are gathered separately in all regions and consolidated later in one report.   
  • Development workflow: Choosing between a shared codebase with regional variations and separate codebases is complicated. On top of that, code deployment to Chinese infrastructure requires different processes than your standard CI/CD pipelines.  
  • Business process alignment: Business practices in China differ vastly from global norms when it comes to payment terms, product bundling, contract negotiation, and customer relationship management. Companies must accommodate local differences while maintaining consistency for global processes to function. 
  • Incident response: Outages, data breaches, and compliance violations must be handled accounting for regional data boundaries. Resolving issues that affect Chinese customers will often require different tools and access patterns than the company’s standard incident response plan.  
  • On-going compliance management: China is known for releasing regular updates to its cybersecurity and data protection frameworks. An ecommerce in China must monitor possible changes in regulations and adapt quickly.  

Watch the webinar on composable commerce & clean data

The Benefits of Proper Unification

China is such a unique case that many enterprises tend to underestimate how much more and the level of investment the Chinese market requires.  

It’s tempting to treat it like any region, but the plug-it-with-minimal-modification method fails consistently. According to Japan’s Research Institute, foreign company withdrawals exceed new investments. Floship reports that as many as 48% of foreign businesses fail in China within first two years.  

While each business has its own reasons why Chinese expansion doesn’t work, the failure to properly unify Chinese and global operations is a common pitfall.  

Here is the business case for proper unification.  

  • Reduced operational costs over time: The upfront cost is higher, but a properly architected system requires less manual reconciliation, duplicate development, and compliance firefighting. 
  • Lower compliance risks: Purpose-build data governance leaves less room for costly violations, fines, reputational damage, and operational restrictions. 
  • Greater scalability: Once you’ve launched in China, replicating the success across other regulated markets becomes easier. Chinese rollout becomes a template and stimulates sustainable scalability. 
  • Faster time to market: Proper unification creates solid integration patterns, making the launch of new capabilities in China more efficient, rather than requiring custom development for each new initiative.  
  • Better customer experience: B2B customers expect seamless experience across regions. Proper unification makes it happen without compromising compliance.   

Architecture Patterns: 4 Approaches to Unification

There are four architectural patterns that companies choose from when planning ecommerce launch in China. Each comes with its own tradeoffs.  

How Unification Works in Practice: Virto x Manufacturing Case Study

A global optical equipment manufacturer recently faced this exact challenge when launching e-commerce operations in China as part of a full platform replatforming. After 13 years on a home-built system, they needed a solution that could handle both their global operations and a completely separate China instance. 

Specific Requirements

The customer needed extreme flexibility for complex business rules that varied by market, tight integration with their existing ERP systems, and—critically—a fully isolated China deployment that maintained data sovereignty while still enabling essential business processes globally. 

Why We Chose Complete Separation Pattern

Rather than attempting to extend their global platform into China with data transfer compromises, Virto and the customer chose to deploy a separate China instance on local hosting with sophisticated synchronization pipelines between global and China systems.  

This ensured unified customer experience across borders—Chinese users see their global orders, and vice versa—while respecting compliance boundaries. 

This decision was driven by: 

  • Unified experience requirement: Customers expect seamless access to orders, pricing, and history regardless of login location, requiring careful one-way or bidirectional data sync per domain. 
  • Complex, market-specific pricing and contract terms that differed significantly between China and other regions. 
  • Strict compliance requirements with no room for gray areas in data handling. 
  • Need for optimized performance on Chinese infrastructure without compromising global operations. 
  • Desire to customize the Chinese buyer experience without impacting other markets. 

What Made Virto the Only Viable Choice

No other platform could deliver the extreme flexibility this manufacturer needed for China-specific pricing, isolated data residency, and ERP integration while supporting global operations.  

  • Candid reference calls confirmed Virto's proven Chinese deployments. 
  • Architecture diagrams showed real rollouts handling the exact separation pattern required. 
  • Open GitHub codebase let their team verify Virto uniquely provided the composable foundation others lacked. 

The Outcome

By choosing complete separation with the right platform foundation, the customer achieved compliance certainty, optimal performance in both regions, and the ability to iterate on each market independently.  

While they maintain separate operations, the shared underlying platform architecture means learnings and capabilities can be adapted between regions without duplicate foundational work. 

Key Takeaway for Your Planning

This case illustrates that "separation" doesn't mean starting from scratch in each region.  

It means deploying the same platform foundation with region-specific configurations and data boundaries. The manufacturer avoided both the compliance risks of forced unification and the inefficiency of truly independent systems by choosing a composable platform that could support both patterns. 

The right architecture gives you options. You're not locked into one integration pattern forever. As your operations mature and compliance frameworks evolve, you can adjust your approach without rebuilding everything. 

eCommerce Platform Requirements for Successful Data Unification with China 

Despite the wealth of ecommerce platform options, not all of them can effectively support unified operations across the globe plus China.  

Key ecommerce platform capabilities for China launch include:  

  • Modular architecture that enables components’ swap for regional-specific alternatives (payment processor, search engines) while maintaining business logic.  
  • Native multi-region deployment allows the same codebase across multiple regions with different data residency rules—unlike simple multi-tenancy where all data is hosted in one location.  
  • Geographic data segmentation capabilities keep specific data types in specific regions, allowing cross-region communication for permitted data flows.  
  • Flexible integration patterns support API management, event-driven integrations and data transformation at boundaries, fully considering compliance requirements.  
  • Audit capabilities that include detailed data flow, crodd-border transfer, and access pattern logging, helping demonstrate compliance during audits. 
  • Infrastructure flexibility that supports deployment on Chinese providers like 21Vianet (Azure China partner), meeting local hosting requirements while maintaining global operational consistency. 

Tip: Virto addresses these requirements directly. Virto Commerce’s platform is built on modular and API-first principles, fully supporting deployment of the same platform logic to regions with geographic data boundaries and allowing for easy component swap for China-compliant alternatives. 

Getting Started: A Phased Approach to Unifying Global and China Operations

B2B enterprises that successfully unify global and China operations often follow a phased approach.  

Phase 1: Define requirements. Before any solutions are designed, creat a list of data and processes that must integrate between China and the rest of the world. Think about reports, customer scenarios, operational workflows that might require cross-border coordination. Once you have the list, filter through it and be ruthless with prioritization. 

Phase 2: Design the framework for data governance. Create a data classification and specify which parts stay in China, what can be transferred under special conditions, and what’s not affected by data residency rules. Map the results against our business workflows and consult with legal experts to make sure the framework aligns with Chinese regulations.  

Phase 3: Build an MVP. Starting with the simplest architecture that meets your core requirements. Prove the concept before you invest in more complex solutions. For example, for financial consolidation you can get away with periodic aggregated exports first. Once you’re confident that it works, move to real-time integration.  

Phase 4: Validate compliance. Launch with a pilot customer segment or product category to validate architecture against compliance rules under real operating conditions.  

Phase 5: Iterate, scale, repeat. Expand capabilities once you gain confidence, add more sophisticated integration patterns, optimize performance, and expand customer coverage. As you scale, maintain strict data governance to avoid compliance risks.  

Ready to Architect Unified Global eCommerce Operations That Work in China?

Virto Commerce's composable platform supports multi-region deployment with built-in data residency capabilities, flexible integration patterns, and the modular architecture needed to swap China-specific components without compromising global consistency. 

Book a call with one of our team to learn more about Virto’s experience with ecommerce launch in China and discuss your unified operations strategy.  

Arrange a call with Virto Commerce experts

You might also like...