Market share of foreign brands in China: Costa Coffee leads the way

Optimism for foreign brand Costa Coffee and Mercedes

Mercedes-Benz seems to go to a two-digit growth this year in China that is the biggest automobile market of the world. It has great market share among automotive market in China. Costa Coffee enjoys the same situation in China.

Ni Kai, President and CEO of the service from Mercedes-Benz Sales Service to Beijing, declared that the company is confident on its performances in 2014, after the delivery in May of more than 23 000 Mercedes, increasing by 30 % in annual sliding and its market share in China. CEO of Costa Coffee also is optimistic regarding the growth of the coffee brand in China these recent years.

This optimism is not rare at the foreign company, in spite of a visible economic slowdown, where president Xi Jinping evokes " a new normality: with a slowing down of growth, structural reforms and no big launching ".

Market share in progress for foreign brands

A confidence inquiry of companies led this month by the German Chamber of industry and the business showed that 90 % of companies plan to maintain or to spread their activities this year in order to increase their market share in China, with about 60 % of companies being able to reach or exceed their objectives. From the point of view of re-form, 70 % of the companies remain optimistic, explaining that the domestic consumption, the environmental protection, and the launched on the market accent were convenient for the business.

Another Chamber of Commerce, this time, that from the United States to Shanghai, expects in that the fifth of the American companies choose China as " first destination of investment ", and 48 % to increase the investments in the country.

This confidence in the Chinese economy emanates from an increasing number of consumers with average income and from a stable growth in the cities of the second and third row. Figures also show great market share among China market.

http://daxueconsulting.com/costa-coffee-china/

http://www.sinonym.net/

http://www.chinadaily.com.cn/china/china_07stock_page.html

http://www.forbes.com/sites/greatspeculations/2014/06/17/daimlers-mercedes-benz-faces-stiff-competition-from-bmw-and-lexus-in-the-u-s/

Market share of milk in China

Pulled by the urbanization and the increase of the disposable income, the consumption of dairy products is growing fast in China. Our focus is on market share in China.

Market of milk is growing in China

These last years, the powder infantile milk focused projectors; but beyond this very competed segment, it's a whole set beyond new subcategories which is emerging in the Chinese market, taking advantage of channels in fast modernization.

In front of the growth, the Chinese government sets up regulations and wants to structure a sector; now the French dairy groups have to seize the new opportunities if they do not want to lose ground in front of European, New Zealand multinationals, or of the Chinese giants to don’t lose market share in China.

Between 2008 and 2013, the Chinese consumption of dairy products believed of 13 % a year in value.

This fast growth, in compliance with the evolution noticed in number of developing countries, is understandable by several factors:

Market share are changing in China

According to Daxue Consulting, the urban population, which concentrates the main part of the consumption, believed of 3 % marlet share a year, within this population, very sensitive to the healthy and natural character of dairy products, the per capita consumption consumer prices, pulled by the first material shortage in China, increase of the labor cost and increasing weight of the marketing spending believed of 3 % a year, increased by 6 % a year.

Within the category however, the situation is contrasted between the various products: for example the fresh milk, the quality of which it is difficult to assure up to the consumer because of a still failing cold chain, saw his growth limited to 8 % a year over the last years; same for its market share in China; whereas that of the powder of infantile milk was near twice superior.

This product, which benefits from the healthy image of the yoghurt but frees itself from constraints connected to the cold chain, passed from 0 to 500 M € of figure of business in five years - the billion is aimed for 2015, and benefits from a 60 % gross margin. Among other categories susceptible to grow strongly over the next years, let us quote the h-milk, the drinks with yoghurt and with milk, the desserts and the milky snack bars, which has strong market share in China, the organic products.

http://www.euromonitor.com/drinking-milk-products-in-china/report

http://www.ibtimes.com/chinas-growing-dairy-demand-boon-quality-local-foreign-brands-1562191

大学Consulting

http://www.sjgrand.cn/wfoe-china

Market share for tablets in China and Africa

The Chinese market of tablets in China does not stop growing thanks to the development of a middle class eager for consumption.

The Analysys International cabinet (via Reuters) delivered the figures of the 3rd quarter during which 2,6 million tablets were sold. It represents a 62,5 % growth over one year on the China market. Apple dominates always very widely the debates with 71,4 % of market shares in China, far in front of Lenovo (10,5 % of pdm), the Chinese Ereneben (3,6 %) and Samsung (3,5 %).

Market share in China are decreasing for leading brands

As underline by our colleagues of Cnet.com, the situation is on the other hand different international where according to figures ABI Research, the iPad fell to 55 % of market shares a 3rd quarter (14 % with regard to the 2nd quarter), its lowest level since the launch of the tablet Apple in 2010. Overall, the market of tablets is decreasing and is not the leader of high-tech.

The main beneficiary is other than Android (44 % of market share in China), carried by the models of Samsung, Amazon, and Asus.

The market share in China does not show global trends as each brand as some market where the growth is specific. MySimax and its founder JX Paulin is really appreciate in Africa for instance.

Needs for high tech development in Africa

High-tech development has been one of the key of China market growth these recent years. The market of tablets especially took advantage of this new development. Africa is now a new place where high tech revolution can be hoped. Technology, and tablets and applications, will be a key driver to the future development of Africa. Sectors such as education, medical or healthcare have strong needs for technological development in Africa. MySimax and JX Paulin offer to provide this technology quickly and in a adapted way.

Mysimax JX Paulin

http://www.bloomberg.com/news/2013-08-21/apple-ipad-s-china-market-share-slumps-as-samsung-tablets-gain.html

http://www.idc.com/getdoc.jsp?containerId=prAE24144713

coffee market in China

 Is the coffee going to replace the tea in China? The question is voluntarily provocative, but not totally divested of sense in a country where the consumption of coffee increases by 15 % a year, against 2 % in the rest of the world.

Emergence of coffee market in China

We consume the «small black " in the morning in front of the hot drink vending machine, we drink it after the lunch either to talk with a colleague or because we are bored and because it is not extremely expensive.

Chinese are basically of the drinkers of tea, and do not appreciate the coffee. However giants of the food-processing industry launched the trend to drink coffee, and this concept seduced recently the new Chinese consumers. We are going to discover the opportunities today that offer this market in China, and the "best practices» of the big groups to encourage consumption of coffee in this continent country.

How to develop the market potential

Against this trend the market of the coffee in China shows a 15 % growth on a per year basis. According to the international Association of the Coffee in Beijing the Chinese market of the coffee should even affect 1 000 billion Yuan, about 116 billion euros in 10 years. With regard to such statistics the Chinese market of the coffee would have everything of the new El Dorado the western brands of coffee.

While it is taken into account the high potential of the market of the coffee in China it is however advisable to put in perspective this speech.

The brand of leading instant coffee of the group Nestlé is leading in China on the market of instant coffee. It aims at the consumers of the rising middle class and at the junior executives. To target these consumers the brand had the idea to make an advertising campaign with an ambassador of choice: the "dissident" blogger TuTun.

http://daxueconsulting.com/development-of-coffee-market-in-china/

http://www.marketing-chine.com/analyse-marketing/le-marche-du-cafe-en-chine

China gains market share in automotive industry in Africa

In ten years, the market share of China on the African continent has risen from 2 % in 2000 to 12 % in 2010, according to a study.

Chines brands reinforce their position in Africa

The big brands of the Middle Kingdom are henceforth established well on the continent. But to resist to the Korean competition, they again have to improve the quality of their models and optimize their distributive network.

Gradually, the Chinese brands nibble at market shares in Africa. In the streets of Abidjan, Algiers and Nairobi, record player Great Wall, the city-dweller Chery and the Lorries Futon make more numerous. After a difficult starting up in the middle of 2000s, related to an inferior image then on the way up tariff barriers, the business of the big motor groups of the Middle Kingdom took off in 2012.

The Chinese Association of the mechanical engineering industries estimated at 2 million the number of vehicles exported by its members in the world last year, which is 30 % more than in 2011. In Africa, the first Chinese exporter, Great Wall Motors, asserts having sold 22 000 vehicles in 2012. Henceforth, in Senegal, the Chinese vehicles represent about 20 % of the market of the new. «These brands are the future of the motorcar in Africa! » asserts Lady Gueye, ex-sales manager of Space Automobile, the main distributor of the Chinese cars of the country.

«Those who buy our vehicles are mainly urban middle managers and companies. They are attracted at first by the difference in price with the Korean and Japanese models ", indicates Fadi Kanaan, general manager of Rimco in Côte d'Ivoire, who distributes cars Great Wall Motors and lorries Yuejin. Rest that the distance on the cost of purchase - from 10 % to 30 % with the competition on the same segment - is not enough to convince everybody.

http://chinametrix.com/

http://www.china-entrepreneurship.com/meeting-entrepreneurs/interview-jx-paulin-founder-of-dbx-international-mysimax/

http://thekularingtradeblog.com/2014/03/13/high-tech-chinese-start-ups-and-african-development-the-story-of-mysimax/

Corporate finance in China

Chinese authorities willing to develop corporate finance in China

The Chinese public authorities chose small about ten investors to finance the creation of five private banks. It is all about corporate finance. They will have to concentrate their range of financial services on the girls and microbegun.  Among them: Alibaba, number one of the e-commerce in China, groups Tencent, known for its social networks and instant messaging services, the Fosun conglomerate (shareholder of the Club Med), the automobile equipment manufacturer Wangxiang and six other private enterprises. The calendar of their launch is not known, to improve the corporate finance. These banks will operate in an independent way.

Relaunch the productive investment to insure a sustainable growth of corporate finance. It is the stake which China tries to face. For that purpose, the Chinese Authority of banking regulation announced on Tuesday that it was going to test the possibility for private companies to create their own banking institution.

An announcement which echoes that of November, when Beijing promised to open to the deprived investors a banking sector still closely checked by the State.

A timetable for corporate finance in China

No timetable was supplied, but the regulator took care of specifying that it would be made "in a careful way". «The green light" will be given to each of her only when everything will be ready for the corporate finance. So that the process is validated by the authorities, the investors with private capital will have to be at least two, and the new banks will operate "in an independent way", promises the Authority of regulation.

For the moment, nine private enterprises were chosen by Beijing as this phase of test of corporate finance. Among them, we count Alibaba, the number one of the e-commerce in China, groups Tecent, known for its social networks and instant messaging services, the Fosun conglomerate and the automobile equipment manufacturer Wangxiang.The mission of these future five banks is clear: finance the girls and micro-begun who have difficulty in reaching the credit in the current system. This phase of test participates this way in the restructuring of the Chinese economy wanted by Beijing.

http://www.sjgrand.cn/corporate-finance

http://www.youtube.com/watch?v=prFnTjlvQjk

http://www.kpmg.com/cn/en/services/advisory/transactions-restructuring/corporate-finance/pages/china-ma-projects.aspx

Online gaming in China

The Chinese producers of Chinese on-line games obtained 1,8 billion dollars of earnings(gains) abroad in 2013, that is an increase of about 220 % year by year, declared Google Friday Inc.

The exports of video games of the nation should develop at high speed in 2014, fed by a world increasing popularity of the mobile devices, according to the American giant of the on-line search(research) who held has to present during the last years several Chinese applications on the world scene(stage).

The company did not wish to advance on the growth rate of this year, because of numerous variables which could affect(allocate) an estimation.

Brazil, Taiwan, the United States and Turkey were the main importers of on-line games developed on the Chinese continent, underlined Google.

" Makers of the Chinese applications should enter an opening on markets Japanese and South Korean as first stage of a world expansion, because of the cultural similarity ", indicated Deng Hui, director(manager) of the department of the major customers of Google China.

" When developers have income not insignificant on the nearby markets, it's high time to explore other horizons ", added the person in charge.

Consequently, China is as a perfect marketplace for the French start-up nowadays and those must not miss the boat. New and additional French novices are fairly popular in China and their businesses are fruitful with Chinese corporations which appreciate their vitality and their capability in a multitude of areas such as: project, sculpting 3D, post-production.

MiX Pro MK2

Daxue Consulting