Global and local branding in and out Mainland China - Seedready (Hong Kong)

Global and local branding in and out Mainland China Featured

Wednesday, 16 September 2015 09:56
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Global and Local Branding in Mainland China - Seedready (HongKong)

"Made in China" is everywhere, but what does it mean to your brand? Some consumers said "made in china" means poor quality, fake and cheap. However, other people said some goods are not need to be expensive, such as factory-produced clothes, shoes, toys and cell phones. Many international brands want to get into mainland's market and a lot more mainland China's brands want to be internationalized. Let's have an overview for this.

The international brands are losing their share in Mainland China due to a weaker presence in smaller cities where growth is stronger and growth in these big cities has slowed in recent years and people are showing an increasing preference to shop online or in smaller supermarkets. Bain & Company and Kantar Worldpanel tracked purchases by 40,000 mainland households over three years and analyses data in 106 non-durable consumer goods categories. Foreign players lost the most ground - between 3.8 per cent and 4.8 per cent - in personal-care products, fabric softener and cosmetics. (Source) On the other hand, a typical local sales war is in placed as Chinese brands bring the fight to global brands on their home turf, those same global brands will become increasingly vulnerable in their home markets. Once a Chinese brand is able to build up its strength at home, the prospect of it making the leap out of the country into foreign markets becomes a lot more viable.

The domestic Chinese brands are raising their brands and target internationally. For Example: Beijing's imposing Great Hall of the People will replace screens made by a Japanese competitor, in a sign of resolve to supply the world with Chinese brands and not just Made in China products (Source) and Chinese Brands with global reorganization Huawei, Lenovo, Xiaomi And More Dominate Global Smartphone Industry is moving into western world.

"Made in China" is going to be not cheap due to increasing labor cost and the blooming Mainland China economic, soonly the brands rely on "made in china" will losing the pricing advantage in the global. There are many factories have moved out from Mainland by this reason, so it might be a good time to plan the strategy from/to Mainland.

Reference and related readings:

Why Brand China is poised for global dominance
Foreign brands lose ground in China's consumer goods market
Made in China: This time, it's about global branding
Chinese Brands Huawei, Lenovo, Xiaomi And More Dominate Global Smartphone Industry
The Next Generation of “Made in China”
The path to global acceptance for Chinese brands

Chinese Brands Want to Go Global; Here's Why It's Still So Tough
7 reasons why big international brands fail in China
Cultural blunders: Brands gone wrong
Faking China, Faked in China: Nation Branding, Counterfeit Culture, and the Postsocialist State in Globalization

Product Branding – Why it Matters when Buying from China

BRANDING: Comment - 'Made in China' not a negative for savvy consumers of today

Branding Campaign Tries To Improve Image Of “Made In China”

Why China Can't Create Brands - Newsweek
Made In (Branding in China) - Rare HQ

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