By  on May 28, 2013

SHANGHAI — Several months ago, the manager of an American women’s wear brand launching e-commerce in China decided to visit the distribution center of a local third-party service logistics provider his company had hired.

What this manager discovered when he arrived was, he said, appalling. A video that he took of the warehouse shows piles of boxes strewn about on the floor with workers flinging orders that had been returned or were to be shipped out to customers onto the back of a truck. It was dirty. There was no security. Packages were bent, if not almost ripped open.

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