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SUMMER
2OOO
THE
mLL
sdRtET
JoURNAL.
@
2000
Dow
lones
&
Company,Inc.
All
Rights
Reserued.
NO.
115A
ja::,
.'!.,
TRADE
ROIITES
TO
GHINA
HO
WOULDN'T
WANI
to
i.u.ttittit
market:
1'3
billion
".oniu,
elo*ing
household
in'
Some
and
ontY
slim
market
Pen-
.;dl;
bv
ionsumer-Product
firms.
The
inarket,
ofcourse'
ls
ciliii"-trt.
mostlucrative
sPot
,:
''::ron
theplanet
in
thecoming
years'
:"-'ii6
potentiat
is
incredible'
.Aith9ugn
"
,
mosi
diriiui.
ttil
opt
for
thesecurity
of
gov'
i=;'
ffi;#i;ni,
anoulzrE'arelooking
to
start
i
.:,
fil,ii:
.i''i'i
uuli*"
-
"ng^lt,HI3'"lt"T:,
:'
,
;
gt'.xJt-J['trllT"tf'H."T6t{iq.6rui1ft
i
il;fi;illttnet.r.eallv
ttl:lti.?1t'lic*:
Iti":
#iv'$ff;iiriJn'out
ot
t'l
uiuion
c-hi-
.
'iit,i
u:re'tnierntt
users'butthat'number
ts
'
il;;.i;A
to:umP
to
2o
million
bY2oo3'
"^"1*ni
**iii
tegistation
to
permanentlynor-
*uritJtlie
ieiilions
witiLchina
headed
to-
'
wardfinalpassagetnCongress'
alO!nt11;
ff
l':iTfl
:l'a'll}3;r,ru;'$:if,
*f'ff
gll'ii
be
sreaterthanever'
"""ffi'no;tu
better
put
0n
y'ur
boxin-g
"rn
i.s.
tor
Crrinacanseem
more
like
a
spar-
iil';i,tU,l*#-[?X'i,1f,ilTlliyi9j
**ii,'v*'tt
need
to
understand
your
cus-
ilffiii
i"i
tirt"t
they.-want'
You
must
also
lii,..ittl""tst
a
sigriificant
amount
of
time
ii'l"ii,i"iio
*cnit6r
sales'
marketing
and
litffi"tt".
Besides
the
Chinese
govern-
ii".'tii
iiJliil
v;ur
sreatestcompetition
will
tOO
.
BY
LaurelDelaneY
come
fromother
Asiancountries'such
'as
;iffi
ffi'g";nd
iui*"n,
not-necessarilv
iiffi
r"J"i
pti*te'sector
companies'
mL^
*nrr'ai
rn"pvnorr
to
China
is
so
huge
Tne
marketforexport
to
tirut'ioi
tinii,riiitv
ta^Lt
I'll
focusonone
in-
duiiti-iood
products
-
since
tle-
ll?Igceustry-
biilil
ffi;ior'i
iPqnqs
ubo3!
?
Fl'd
;iiiffiffi;;n
food'
sut
much
of
the
iOui.*iun
be
translatedtoother
consumer
goods'
"""ii.iet
"
Iook
at
how
to
get
started.
DO
THE
MATH:
Annual.m'come
PercaPita
for
rest'
rtents
of China's
10
malor
"iti.i
wat
equal
to
$2,6?0
in
1999,
uP
from
$2'490.in
1997.
With
disPosabletn-come
so
low,savry
mar-
xel1ns
in
cnina
must
include
const-ant
consumer
testing
ano
.xneiimentation
toensure
that
it?ii:u"tiiJieo
consumers
will
cioose vour Product'
't'rrt."
ivplcat
customer.
oJ
-1-'
ctrineie
dripermarxet
or
hypermar:
,
,--
-
;i'il1;ft;i
andusuallYfemale'
-nas
lli*;fmlru''.'#,::ff
'.".1$m:,|ift
;i;i
;;iii
Chil;t
bne-cma'per-ramlv
p-ot-
i.i.
tnu-;ritu.
emperor"is
particularly
pre-
;iir;.'i.il;i;
iuuion,
pareirts
are
willing
to
;i.,;-i;ilh;f
their
disposable
income
on
theirchildren.
..
...i,
HOW
AND
WHERE
TO'DTITER:
The
i.lil"itv
tttut.gv
ror
food
products-the
tigs,il"^Ji"eiq
g*l'ry:
.11',.il:
-9Hl'9'"?
irringnii
t..ttern
seaboard)'
Beijing
qnrne
ffiihT*d
Guangzhou
(in
thesouth)-
T,nerg
il;;;;;40;ih6r
imP-ortant
cities'
but
You
*r*i.tuiiittt
yourseifin
the
Big
Three
be'
i,jt.i"r*c
t"
1-5s
1s5s-dsveloned
areas'
'"'"d;il;[t;
ilnina
tvpicatlv-travelin
this
..orilti..,
U.S.
exporter
to'HongKong.or
L'rH;;ifi;tter/'distributor
to
local
dis'
iiinutor
to
tocal
retailer'Navigating
this
systemwithout-
a
Chi-
r.r.'iirl?iuili6r
wno
lirows
trre
complex'
un'
;;tlil;;;fil;*
is
almost
imPossible'
ro
iTiffiiiffi
-'-'fi
lff
Hri'#l;li'.','T'x:
hflxH+,tr#f,
tlilrt*:1";.ir**61;
ff;blfth.d
tiliitinationals
that
handle-
non'
iililpi,T*"g
tild"cts'
Distributors
-
pr
ef
er
.
to
;;i;lifi
bompanies
that
visit
frequentlv
;fti;;;'il;ierstanding
of
thg
*"tlg!:,.'
-""NJii,
.iitinit
in
a
trade
show'
easlly
t."rifiriitirin'iit!
u's'
AgricultureDepart'
ket
eweitd
rmall
'q':
'F*
t,
f
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