This week’s news and updates from China:
6 Charts That Explain China in the Global Economy: The share of G20 countries’ exports to China grew an average of 56% between 2007 and 2013.
Chinese Consumers Among Smartest in the World: 88% of Chinese consumers carry out some form of research before making a purchase. 16-24 year olds consult approximately 3.7 pieces of information pre-purchase, compared to 3.5 sources for those aged 55-65 according to TNS.
What Might Happen in China in 2016?: McKinsey’s predictions into what may happen this year in the increasingly diverse, volatile, $11 trillion economy whose performance is becoming more and more difficult to describe as one dimensional.
China’s Yuan Devaluation is Far from Over, Goldman Sachs Says: China’s ambitions to refocus its economy from exports to consumption weren’t helped by last week’s yuan devaluation, when it dropped to its lowest level against the dollar in five years. Goldman Sachs believe the currency could drop a further 6% in the next 12-months.
Vendors Tap into Demand for Foreign Goods: Chinese consumers are increasingly purchasing goods from overseas that surpass the ¥1,000 ($152) duty-free limit, in hope of slipping through customs without paying taxes. China customs handled 66% more packages in the first 9-months of 2015 than a year earlier, with 80% of shoppers in last year’s Black Friday buying overseas for the first time.
Alibaba CEO Outlines His 2016 Expansion Strategy: Global imports, rural e-commerce, and top-tier cities are the three key battlefields for Alibaba in 2016. Alibaba will also drive innovation in omnichannel retailing and on-demand services offerings.
Chinese Shopping Centre Developer Goes on the Attack Against Ecommerce Sites in Advert in International Paper: A Chinese mall developer has placed a full-page ad in the International New York Times to urge consumers to “say no to online shopping”.
Food Safety in China: 2015 in Review: 2015 saw the usual flurry of food scandals in China from 40-year-old meat, to bad pork, oil and watermelons, excessive nitrate in milk powder, gelatine-injected shrimps and rolled up paper being sold as rice. The difference this year, was more assertiveness from authorities, more accountability through the Food Safety Law amendments and stricter online legislation.
Chinese Spend per Bottle on NZ Wine Beats Other Countries: Chinese spend an average of $9.50 (NZ$14.57) per litre on NZ wine, compared with Canadians (NZ$10), Americans (NZ$7) Australians (NZ$6.50) and British (NZ$5.92).
What Foreigners Dislike Most About Chinese Tourists: The China Tourism Academy has released findings from an international survey into what foreigners dislike most about Chinese tourists. Throwing garbage was the most despised by 23%, followed by crossing the road on a red light, jeering and speaking loud in public, jumping queues, letting toddlers pee in the street and trampling on grass. Regardless, more than half of those in the survey said they welcomed Chinese tourists.
Four Top Airlines Stop Selling Tickets on Major Travel Website: China Eastern, Air China, China Southern Airlines, Hainan Airlines and two of their subsidiaries have stopped selling tickets on Baidu’s Qunar after too many consumers complained about prices and fees for purchases made on the site.
Chinese Consumers Spend $10 Billion on Health on Alibaba Sites in 2014: Spending on medicines and health care products and services on Alibaba’s retail sites grew 62.5% in 2014. The number of consumers shopping online for health grew by almost two-thirds to 111 million, with 69% spending more than ¥5,000 ($777) in the year.
Hollywood a Runner-Up to Chinese Film in 2015: Six of the top ten movies in China’s box office last year were local productions, with Hollywood movies growing at half the rate of the industry overall. Nevertheless, China is picked to be the largest audience for Star Wars this year.
Why Chinese Car Buyers Are Willing To Pay More Than Consumers In Any Other Country: 41% of polled Chinese consumers are ready to pay the equivalent of €30,000 ($32,200) or more for a new car, versus 14% in Germany, 10% in UK and Australia, 5% for Spain and 4% for France. China is the only country where safety is the most important criteria when buying a car.