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Case Study: Roadmap for Chinese F&F Multinational

By: Jeb Gleason-Allured
Posted: April 20, 2011, from the May 2011 issue of P&F magazine.

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  • From P&F Magazine
  • May 2011 issue, 36
  • 3 pages

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It's official: Last year China became the world's second-largest economy after the United States, surpassing Japan. In 2010 China boasted a GDP of $9.872 trillion and a GDP growth rate of 10.3%. This remarkable growth has effected significant changes to traditional dynamics between China and the rest of the world economy.

"For a long time, the market structure in China was quite simple," notes a 2010 Credit Suisse report on Chinese companies. "Domestic companies mainly focused on cheap low-quality products, while Western companies targeted the premium segment. The competitive landscape is, however, evolving very rapidly. Chinese capital goods companies are steadily climbing the quality ladder."

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