Enterprising China - Which industries are growing in China

"China has been open for business in the last 20 some years or something more than that. It became even more so in 2001 when China joined the WTO. So if you look at China, the major brands are pretty much in China and they are very competitive and consumers are very much enjoying the foreign brands and the foreign products. So companies are going to China and investing in China, and nurture the market to find the consumers and these are becoming increasingly important integrated, integral strategy of a global company."

 

"Chinese consumers are certainly over the years becoming more and more sophisticated. And in old days that as long as a foreign brand that you have a nice name, they go for this. And nowadays Chinese consumers are becoming more and more sophisticated. They have seen a lot and try to a lot, so they are not only looking for the foreign names, they also looking for the well-known brand and also looking for the quality that are represented by those well known brands."

 

"You know when the economy is growing at 7.5 percent right, right now and it has been growing in the last 10 years at close to nine to 10 percent and so a lot of sectors has been doing quite well in the last several years. In automobile for example, China is the largest auto market in the world. Also the Internet, in the Internet market China is the largest number of Internet users in the world. In terms of the single search engines of the single country, it's not a Google it's Baidu."

 

"In the past the Chinese consumption only counted about 35 percent of its GDP and in the United States the consumption counts about 70 percent. China is the second largest economy in the world and will soon takeover to become the largest economy in the world and its consumption counts only half of the US consumption as a percentage of GDP. So they're going to increase consumption for sure and the policy actually is shifting toward more domestic consumption. Just imagine increasing consumption from 35 percent to 45 percent, just 10 percentage points, we're talking about a one trillion dollars of consumption of goods a year extra. So this is a huge market and any companies around the world they don't want to miss this market."