The Wall Street Journal launches China
Econtracker, an interactive tool for tracking China¡¯s economy with
an aim to build the most comprehensive, free, English-language resource
on the web for tracking changes in the world¡¯s second-largest economy.
"China Turns Predominantly Urban"
China has announced that people living in its towns and cities now
outnumber those in the countryside, making it a predominantly urban
nation for the first time in the history of Chinese civilization. Wall
Street Journal, January 18, 2012.
"3 Keys to Successful
Globalization" The opportunities for global expansion are infinite,
and the potential for exponential growth is alluring. However, attaining
success demands a well-conceived global expansion plan that is grounded
in accomplishing specific corporate goals through the careful
formulation of business development strategies. IndustryWeek, January
20, 2012.
"China's Debt: You'll Grow Out
of It" In 2011, China's gross domestic product came in at 47.1
trillion yuan ($7.4 trillion). That represented nominal growth of 17.5%
from 2010, a blistering pace that makes many of the problems of debt and
credit that trouble investors and hang over valuations for Chinese
stocks appear a little more manageable. Wall Street Journal, January 25,
2012.
"Made in the World"
Politicians see the world as blocs of voters living in specific
geographies ¡ª and they see their job as maximizing the economic benefits
for the voters in their geography. Many CEOs, though, increasingly see
the world as a place where their products can be made anywhere and sold
everywhere through global supply chains. New York Times Op-Ed, January
28, 2012.
"Talent Management at Multinational Firms in China" Across industry
sectors, a common obstacle for Western companies attempting to develop
their China market is attracting, developing and retaining local Chinese
talent. Knowledge@Wharton January 3, 2012.
"Beijing in the Driver's Seat?" Despite a new 'ban' on foreign
investment in the auto industry, China still needs them to come in. the
Wall Street Journal, January 5, 2012.
"Healthy Manufacturers Tend to Export" In a recent McGladrey
Manufacturing and Distribution Monitor quarterly survey, the majority of
executives who reported that their companies have increased their
exports said their businesses are thriving. IndustryWeek, January 6,
2012.
"Car Makers Gauge Shift In China's Auto Policy" Global auto makers
are scrambling to size up the impact of China's decision to stop
encouraging growth among foreign companies, a move that appears to give
domestic car companies greater protection from outside rivals. Wall
Street Journal, January 6, 2012.
"GM Leads U.S. Carmaker Gains in China" GM and Ford both reported
record car sales in China last year, outpacing Japanese rivals hurt by
production distruptions from the March 11 earthquake and Thailand's
flooding. Bloomberg News, January 9, 2012.
"Wen urges for more support to real economy" Chinese Premier Wen
Jiabao has urged the nation's financial sector to do more to support
entrepreneurs and industry and strengthen its capability in supporting
the real economy. China Daily, January 9, 2012.
"Volvo vehicles to be
made in China" The Swedish premium vehicle brand Volvo AB, purchased
by Chinese automaker Zhejiang Geely Holding Group Co Ltd last year, will
make China one of its global bases as it prepares for local production
of the first model in the country in 2013. China Business Daily,
November 21, 2011.
"Putting more
emphasis on imports" The biggest world factory is on the way to
become one of the largest world markets. China Business Daily, November
21, 2011.
"World Bank projects
8.4% growth for China in 2012" The World Bank has projected a growth
rate of 9.1 percent for China's economy in 2011, followed by a slower,
but still spectacular, growth of 8.4 percent in 2012. China Business
Daily, November 22, 2011.
"A game of catch-up" The shift in economic power from West to East is
accelerating, says John O¡¯Sullivan. The rich world will lose some of its
privileges. The Economist, September 24, 2011.
"Wal-Mart's Past Infractions in Chinese City Called Minor" Wal-Mart
Stores Inc. had a history of minor violations at individual outlets in
the Chinese city of Chongqing before authorities ordered store closures
and detained 37 employees this month over a food-labeling issue,
according to a local official. Wall Street Journal, October 21, 2011.
"China Push Splinters Iron-Ore Pricing" Plunging iron-ore prices are
adding to pressures that are splintering the global system for pricing
the key steelmaking ingredient. Wall Street Journal, October 21, 2011.
"Endangered Species: Chinese Middle Managers" China doesn¡¯t have
enough mid-level managers. Most SMEs have the one or two guys that
started the company with 10 years of experience and then a bunch of line
workers and college grads all with either no education or training
and/or only a couple years of practical work experience. Smart China
Sourcing.
"Booming Chinese Infrastructure Leads to Significant Growth at Shengkai Innovations and China Valve Technology" With the
infrastructure, power, mining and petrochemicals industries booming in
China, valves, actuators, forging and castings, valve locks and related
services are in high demand. This is equity research on a major Chinese
valve manufacturer and one of the few ceramic valve manufacturers in the
world with research and development, engineering, and production
capacity for structural ceramics. September 29, 2011, MarketWatch, part
of the Wall Street Journal Digital Network.
"Broad US Export Growth to China" Exports to China rose broadly across
the United States last year according to the US - China Business
Council's annual report. China is now the third largest export market
for the United States, behind Canada and Mexico. China Daily, August 18,
2011.
"China Isn't Losing Its Manufacturing Competitiveness After All" Is
China's commanding position as the world's low-wage factory floor
eroding in the face of rising labor costs and a strengthening currency?
RBS's top China economist says "no." The Wall Street Journal, September
7, 2011.
"New U.S. Envoy Seeks to Reassure" The new U.S. ambassador to China,
Gary Locke, seeks to reassure Beijing that its dollar assets are safe
and that Washington is committed to "getting our fiscal house in order."
Wall Street Journal, August 16, 2011.
"Sticker Shock: 'Made in China'
ranks as only 2.7 percent of U.S. spending" Convinced that everything
your buy these days has a Made-In-China label? then you aren't paying
attention. Boston Herald, August 14, 2011.
"Beijing, After Trade
Surplus News, Boosts Yuan" China's currency jumped against the dollar as
authorities announced the country's biggest monthly trade surplus in
more than 2½ years. Wall Street Journal, August 11, 2011.
"Renminbi's
rise fuels talk of China policy shift" A sharp appreciation in the RMB
against the dollar has prompted traders to ask whether Beijing has
adopted an aggressive new stance on its currency. Financial Times, August
11, 2011.
"Why 'Made in China' Costs More in China" While Americans
complain about
cheap ¡®made in China¡¯ products undermining local manufacturing, Chinese
would
likely respond that Americans are actually getting a better deal. Global
Economic Intersection, August 11, 2011.
"SMEs need right tools to rein in costs" Small- and medium-sized
enterprises (SMEs) in China must upgrade their technologies and
transform themselves to cope with intense competition and rising labor
and raw material costs. China Daily, July 8, 2011.
"What China¡¯s five-year plan means for business" McKinsey analyzed
the potential impact on 33 industries. Two dimensions stood out: the
plan¡¯s effect on profit pools and on the competitive landscape. McKinsey
Quarterly, July 2011.
"Chinese care buyers show off with a 'Baoma'" China may have grown
powerful enough to lecture the US on its debt problems, but, when it
comes to luxury cars, most local consumers still do not trust their own
automotive industry. Financial Times, August 9, 2011.
"Foxconn looks to a robotic future" Foxconn, the world¡¯s largest
contract electronics manufacturer by revenue, plans to have as many
robots as workers in its China factories within three years. Financial
Times, August 1, 2011.
"Caterpillar Trails in
China" Smaller Japanese rival Komatsu is racking up higher
sales in crucial market. Wall Street Journal, July 6, 2011.
"Chinese on Global Shopping Spree" Here in the U.S.,
small-business owners are waiting for recession-weary consumers to start
spending again. But what if they caught those same consumers on a
shopping spree abroad? Wall Street Journal, July 5, 2011.
"U.S. Reliance
on Exports for Growth May Boost China¡¯s Role" The U.S. economy
will have to increasingly rely on exports for growth because of the
reluctance of policy makers to use monetary or fiscal policy
prescriptions, a formula which poses downside risks. China Real
Time Report, July 1, 2011.
"China to Lose Edge Over U.S. by 2016" Based on recent analyses and
reports, a leading manufacturing sector economist asserts the Chinese
will stand to lose significant market share in the years to come, and
will not have a cost advantage over U.S. manufacturing by the year 2016.
Fabricators & Manufacturers Association, Intl., May 18, 2011.
"Toys from China Will Cost More" Higher wages and commodity prices
are squeezing manufacturers, as U.S. buyers at a recent trade show
discovered. Bloomberg/BusinessWeek, June 2, 2011.
"China
Manufacturing Agreements: Make Liquidated Damages Your Friend" China
Law Blog, April 25, 2011.
"China forced
to ration electricity" Financial Times, May 17, 2011.
"Bringing
Chinese Manufacturing Jobs to the U.S." Q & A with Pin Li, President
of the Wanxiang America Corporation. The Curious Capitalist, May
16,2011.
"Lessons in
cultural awareness" Financial Times, May 18, 2011.
"IMF bombshell: Age of America nears end" China¡¯s economy will surpass
the U.S. in 2016, according to the IMF. This raises enormous questions
about what the international security system is going to look like in
just a handful of years. And it casts a deepening cloud over both the
U.S. dollar and the giant Treasury market. Wall Street Journal, April
25, 2011.
"Does corporate America kowtow to China?" China's rise as a
manufacturing power has benefited American factory owners in at least
one way. The Middle Kingdom's insatiable appetite for second-hand
machinery means that small U.S. businesses can make a quick buck by
selling old equipment there. The Economic Times, April 27, 2011.
"China's booming manufacturing sector threatened by country's poor
trucking industry" China's factories may function like well-oiled
machines (most of the time), but they are only one part of a complex
supply chain that relies on private companies to transport those
products. Moving goods from the factory to a Chinese seaport is an
proving to be an incredibly difficult task for a lot of companies.
StrategicSourceror.com, April 29, 2011.
"U.S. set to regain industrial crown" A different spin from the Boston
Consulting Group which says that the era of widespread off-shoring of
manufacturing from the US to China is coming to an end, and forecasts a
renaissance for American production industries over the next five years.
Financial Times, May 5, 2011.
"Will Asia Own
Cleantech?" What happens when governments do back the right targets
in cleantech? Evidence is mounting that government-subsidized R&D,
beneficial manufacturing conditions and cheap capital are helping to tip
the scales in favor of Chinese and Korean companies in arge sectors of
the global cleantech industry. GreenTech Media, March 17, 2011.
"China
Factories Face Shortages Due to Japan Quake" The full impact of the
supply problems will start to be seen in the coming weeks as electronics
and auto makers use up the parts in stock and Japanese assembly lines
remain idle or operate well below capacity. IndustryWeek, April 11,
2011.
"GM
eyes doubling of China sales by 2015" General Motors plans to more
than double its sales in China to around 5 million units by 2015, its
China head said on Monday, unveiling the company's five-year plan for
the world's biggest auto market. Reuters, April 18, 2011.
"Higher
Production Costs Shift Chinese Manufacturing" For decades, China¡¯s
factories have supplied the world with cheap goods - from denim jeans to
desktop computers. But export prices are expected to go up as Chinese
manufacturers are battered by higher wages, more expensive raw materials
and an appreciating currency. VOANews.com, April 20, 2011.
"Air
Force Looks to China When American Manufacturing Falls Short" On
March 21, the U.S. Air Force waived the ¡°Buy American¡± provision of the
American Recovery and Reinvestment Act of 2009 for a construction
project at Eielson Air Force Base in Alaska. As workers tried to build a
few stimulus-backed housing units, it became apparent that a number of
simple domestic items couldn¡¯t be procured from American manufacturers ¨C
namely, ceiling fans, shower rods, towel racks, toilet-paper holders,
and all manner of screws and fixtures. Huffington Post, April 21, 2011.
"Why Manufacturing Matters" After
decades of destructive outsourcing, America's ability to innovate and
create high-tech products essential for future prosperity is on the
decline, argue Harvard Business School professors Gary Pisano and Willy
Shih. Despite their dire analysis, Pisano and Shih remain cautiously
optimistic that the United States can regain its competitive footing.
Harvard Business School, March 28, 2011.
"Rising costs, higher wages drive lowcost manufacturing out of
southern China" When millions of workers didn¡¯t return to their southern
China factory jobs after Lunar New Year holidays, a turning point was
reached for foreign manufacturers scraping by with slim profit margins.
AP, April 5, 2011.
"Tapping China¡¯s luxury-goods market" By 2015,
Chinese consumers will account for more than 20 percent of the global
luxury market. How is their behavior evolving? McKinsey Quarterly, April
2011.
"Six Keys to Profiting in China" China's robust economy makes business
success look easy. But the Asian country has rules, mores, and costs
that multinationals ignore at their peril, as Hewlett-Packard, Google
and Yahoo painfully learned. Bloomberg BusinessWeek, March 15, 2011.
"Your Next Job: Made in India or China" The growth of the Chinese
and Indian economies demands an overhaul in the way we think about jobs.
Sure, in this new economic order, your job may be lost to Chinese or
Indian workers. But don't worry, they'll give it right back. Time, March
17, 2011.
"Pay to Play: What China's Rising Wages Mean for Investors" There's
a sea change underway in China's economy - one that's evident in soaring
prices, shrinking trade surpluses, and higher property values. And it's
being driven by higher wages for workers. Money Morning, March 22, 2011.
"China noses ahead as top goods producer" China has become the world¡¯s
top manufacturing country by output, returning the country to the
position it occupied in the early 19th century and ending the US¡¯s
110-year run as the largest goods producer. Financial Times, March 13,
2011.
"China Forces Global Shift in Commerce" A decade ago, China wasn't
the top trading partner for even one of the Group of 20 economies.
Today, it's the biggest trading partner for six of those countries, has
replaced the U.S. as the top export market for a seventh, and risen in
import for the rest. Wall Street Journal, March 11, 2011.
"Can China compete with American manufacturing?" What doesn't get
enough attention in today's discussions about America's economic
competitiveness is that the U.S. remains a robust manufacturing power,
despite what's going on in China. And it has some clear competitive
advantages over its emerging-market rival. Michael Schuman blogging on
Time.com, March 10, 2011.
"Bamboo capitalism" China¡¯s success owes more to its entrepreneurs
than its bureaucrats. Time to bring them out of the shadows. The
Economist, March 10, 2011.
"Jobs paradox confounds China's graduates, manufacturers" The tides of
supply and demand have turned in the once thriving labor market in east
China's manufacturing region. No longer signing up eager workers en
masse, employers vie for attention, bidding up offers of pay and
conditions, while jobseekers hold out for the best deal. Xinhua, January
18, 2011.
"Times
Have Changed: No More China Produces and America Consumes¡±Forbes
blogger Helen Wang explains how the Chinese middle class, already larger
than the entire population of the United States and expected to reach
800 million in fifteen years, has changed the dynamics of the world we
live in. February 6, 2011.
"Rising China Bests a Shrinking Japan" China passed Japan in 2010 to
become the world's second-largest economy after the U.S., an historic
shift that has drawn mixed emotions in the two Asian powers: resignation
tinged with soul-searching in long-stagnant Japan, pride but also
caution in an ascendant China wary of shouldering new global
responsibilities. Wall Street Journal, February 14, 2011.
"Will Take a Decade to Shift Chinese Economy Away From Exports"
China's central banker Zhou Xiaochuan Zhou said on Feb. 18 that it would
take at least a decade to shift the country's economy away from its
export-based model, and that Chinese exporters would hold tenaciously
onto foreign markets. IndustryWeek, February 18, 2011.
"Adjusting
to China: A Challenge to the U.S. Manufacturing Sector" If the U.S.
economy is to achieve a more balanced growth path, the competitive position
of U.S. manufacturing must improve sharply. Brookings Institution, January
2011
"Unleashing
Innovation in China" Finding ways to spur innovation in product design
and business models will be key to sparking Chinese domestic demand. McKinsey
Quarterly, January 2011
"The $6.50
Trade War" To the extent that protectionists present Chinese exporters
as a threat to U.S. prosperity despite the more pressing problems America
faces, the argument over China's exchange-rate policy is a distraction
the economy can't afford. Wall Street Journal, January 11, 2011.
"Outsourcing:
New Pressures to Stay Home, Old Reasons to Go Abroad" Can the tide
of outsourcing be reversed without enacting protectionist, anti-trade
legislation? Is such a reversal already under way in some sectors? Or
is it unrealistic to expect a reversal? Knowledge@Wharton, January 11,
2011
"Wisconsin
Firm Learns Ups and Downs of Doing Business in China" Manitowoc Co.
has tied its fortunes to China's star, designing its corporate strategy
around the promise of a booming billion-person market. The Washington
Post, January 18, 2011.
"Under New
Management ¡ª Chinese Corporate Management Is Changing Fast" Welcome
to the suddenly changed and increasingly pressured world of Chinese corporate
management. Peter Fuhrman, Chairman & CEO, China First Capital, July
27, 2010.
"China
Shifts Attitude on Growth" The world's fastest-growing major economy
appears to be shifting from its single-minded focus on fostering torrid
growth to one on structural changes that could do more for expansion and
jobs in the West. The Wall Street Journal, October 21, 2010
"Blaming China
Won't Solve the U.S.'s Economic Woes" Zachary Karabell asks when we
decided that the U.S. is not responsible for its own economic stagnation,
housing bubble and unemployment, and decided to blame it all on China.
Time/CNN, October 30, 2010
"Parallel Universes"
Stephen Mihm and Jeffrey Wasserstrom find interesting parallels between
19th Century U.S. and current day China. Time/CNN, November 15, 2010
"Exports Are
the Key to Economy's Recovery" A boost in exports is the catalyst
that the U.S. economy needs to rebound, according to Scott Davis, chairman
and CEO of UPS. Logistics Today, November 18, 2010
"In China,
Cultivating the Urge to Splurge" Chinese leaders' idea of a a more
sustainable economy means 1.3 billion consumers will be able to afford
more of the comforts of modern life ¡ª better housing, clothing, transportation
and communication. The New York Times, November 24, 2010
"Past lessons
for China¡¯s new joint ventures" As multinationals revive interest
in collaborating with Chinese partners, the lessons of past ventures bear
remembering. McKinsey Quarterly, December 2010.
"China
close to catching U.S. in manufacturing" China's manufacturing sector
is on the brink of passing that of the United States. The value of goods
produced by China's factories reached about $1.6 trillion last year, compared
to $1.7 trillion by U.S. manufacturers. (CNNMoney.com, June 21, 2010)
"China¡¯s ¡®Henry
Ford Moment¡¯ Is Both Good and Bad" William Pesek ponders the Chinese
factory strikes, wondering which way China's government will go: side
with demands for higher pay and let strikes broaden, or clamp down to
protect the all-important export machine. (Bloomberg/BusinessWeek, June
29, 2010)
"Chinese
companies 'rent' white foreigners" See The Old China Hand, below.
(CNN.com, June 29, 2010)
"Companies brace
for end of cheap made-in-China era" A series of strikes over the past
three months have been a wakeup call for the many foreign companies that
depend on China's low costs to compete overseas. (AP, July 9, 2010)
"Foreign
Companies Shy Away From China" Oxford Analytica's take on large foreign
companies' concerns about barriers to market entry and unfair treatment
in China. (Forbes.com, July 27, 2010)
"As
U.S. jobs stagger, China deals with labor shortage" (The Oregonian,
March 6, 2010)
"Chinese
factory workers cash in sweat for prosperity" (The Oregonian, March
6, 2010)
"China
Vows to Fight ¡®World War¡¯ Scale Climate Destruction" (BusinessWeek,
April 15, 2010)
"Timken
Chief Warns Against Protectionism" (IndustryWeek, April 21, 2010)
"China's
Cleantech Initiatives Debated" China Entrepreneurs, China Cleantech
Focus, Camco, Cleantech Thursdays, and China Greentech Initiative host
forum to discuss the future of green energy in China. (China Briefing,
March 17, 2010)
"China Overtakes
U.S. in Green Investment" China has shown determination to be on the
frontline of green technology, while U.S. investors have been put off
by uncertainties amid the legislative battle on climate change. (IndustryWeek,
March 25, 2010)
"An RMB
Revaluation: Could It Reduce Global Trade Imbalances?" On March 16,
five U.S. senators re-introduced a bill to crack down on unfair currency
manipulation by countries such as China. The proposed legislation has
aroused a hot debate in both countries about the pros and cons of a renminbi
revaluation. (Knowledge@Wharton, April 01, 2010)
"Most U.S.
Firms in China Optimistic Despite Challenges" While business is profitable
companies are worried about inconsistent enforcement of laws, discriminatory
domestic innovation policies and regulations that limit market access.
(IndustryWeek, April 02, 2010)
"In
China: More 'Made in America'" The Obama administration aims to double
U.S. exports over the next five years. With China, at least, Washington
is off to a strong start. (The Wall Street Journal, February 11, 2010)
"Making
It Work Overseas" U. S. manufacturers can achieve success in their
offshoring projects if they do their due diligence. (IndustryWeek, February
17, 2010)
"US mold
shops see China factory as way into local market" Cosmos Tooling Solutions
Ltd. began business by exporting lower cost tools to North America and
elsewhere. But increasingly, the company is looking to China¡¯s expanding
domestic market for growth. (Plastics News, February 26, 2010)
"Defying
Global Slump China Has Labor Shortage" Just a year after laying off
millions of factory workers, China is facing an increasingly acute labor
shortage. (New York Times, February 27, 2010)
"China¡¯s
Round-The-Clock Auto Factories Still Cannot Meet Demand" (BusinessWeek,
January 14, 2010)
"Henry
Ford Raising Wage May Give China Tip on Worker Prosperity" (BusinessWeek,
January 19, 2010)
"China's
Manufacturing Expands at Fastest Pace on Record" (IndustryWeek, February
1, 2010)
"U.S.-China
Friction - Why Neither Side Can Afford a Split" (Time Magazine, February
8, 2010)
"In
China, Pride Is the Driver" Today, pride in China's history is the
"driving force" inspiring the Chinese people to develop their nation's
industries and economy, and important lesson for Westerners doing business
in China. (BusinessWeek Insight, 2010-01-04)
"China
Expected to Grow 9.5% in 2010" China's economy grew by 8.9% in the
third quarter of 2009 -- the fastest pace in a year -- after expanding
by 7.9% in the second quarter and 6.1% in the first, the slowest pace
in more than a decade. (IndustryWeek, 2010-01-04)
"Ford
Saw Record Sales in China in 2009" Ford Motor Co. and its Chinese
partners said sales rose a record 44% year-on-year in China in 2009, with
more than 440,000 vehicles sold. (IndustryWeek, 2010-01-07)
"China¡¯s
Exports Surge, Imports Rise to Record as Trade Rebounds" China¡¯s exports
rose in December for the first time in 14 months and imports surged 55.9
percent to a record as the nation helps power a global recovery. (BusinessWeek,
2010-01-10)
"China
Manufacturing Rises at Fastest Pace in 18 Months" China's manufacturing
accelerated at its fastest pace in 18 months in October, according to
HSBC's China Purchasing Manager's Index, echoing a bullish picture painted
by earlier official data. (MarketWatch, November 1, 2009)
"Chinese
Demand Eases Global Steel Sector Woes" The World Steel Association
predicts China's steel demand to expand 19%. (IndustryWeek, October 12,
2009)
"Before
Heading to China..." Make sure you know what you're trying to do there.
If you're an executive under pressure to move business to China, think
carefully before committing to a strategy. Moving business to China requires
careful thought and planning. (Wall Street Journal, November 30, 2009)
"China
Auto Market Booming" CCTV interview with the editor of China Automotive
Review and Bill Russo, Senior Advisor at Booz & Company (November
26, 2009)
"China
Manufacturing Steady in September" Companies were hiring in September
at the fastest rate in 25 months to keep up with rising sales volumes.
(IndustryWeek, September 30, 2009)
"China
Inc. Looks Homeward as U.S. Shoppers Turn Frugal" With the longtime
engine of global growth, the American consumer, pummeled by recession,
some of China's hugely productive exporters are eyeing a new market: the
Chinese. (WSJ, September 30, 2009)
"U.S.
Companies Upbeat on China Despite Concerns" Majority of companies
say their Chinese operations remain profitable. (IndustryWeek, October
7, 2009)
"Ford
to Build Third Plant in China" Ford and its Chinese partner announced
they will build a third plant in China. Ford will run the new $490 million
plant in southwestern Chongqing through Changan Ford Mazda, its joint
venture with Chongqing Changan Automobile Co and Japan's Mazda Motor Corp.
The plant will open in 2012 and produce the Focus. (IndustryWeek, September
25, 2009)
"China
Manufacturing at 12-month High" Mainly driven by domestic demand,
manufacturing in China hit a 12-month high in July, according to the CLSA
China Purchasing Managers Index (PMI). (IndustryWeek, August 3, 2009)
"Eye
on China" This September 2008 David Blanchard IndustryWeek article
is an oldie but goodie which posits that as China rapidly evolves into
a more service-oriented economy, U.S. manufacturers need to adjust their
China strategy to remain competitive.
"GM
Boosts China Forecast, Now Expecting 40% Growth This Year" China
is GM's fastest growing market, and sales are expected to grow 40% this
year after August sales more than doubled from a year earlier. (WSJ, September
3, 2009)
"Lucky
8: Understanding and Capturing China¡¯s New Growth" Although China's
growth has slowed rapidly, it is still expected to grow by at least 8
percent this year. The new growth will be much less dependent on exports
and more reliant on government and domestic spending than in the past.
While many global companies have been understandably preoccupied with
their home markets, they ought to re-turn their attention to China, whose
manufacturing bounce-back is looking more impressive with each passing
day. (The Boston Consulting Group, July 2009)
"China¡¯s
Economic Rise ¡ª Fact and Fiction" An "oldie but goody" which has been
gathering dust on my desktop for more than a year. This July 2008 in-depth
treatement of China's present and future economy by the Carnegie Endowment
for International Peace points out the huge growth still to come in this
maturing economy. Among the findings: China¡¯s domestically driven economic
expansion is not limited by export markets and can sustain high single-digit
growth rates for decades; China¡¯s economic size will match America¡¯s by
2035 and double it by midcentury. (Carnegie Endowment for International
Peace, July 2008)
"Is
China Leading a Global Recovery?" A conversation between several CEOs
and financial executives on why so many companies see China as their ticket
to surviving ¡ª and even thriving ¡ª in a post-recession world. Most likely
cause? Its insatiable appetite for goods as it moves toward a consumer-driven
economy. (BusinessWeek July 30, 2009)
"Approaching
China With Eyes Wide Open" In this article from the July IndustryWeek,
author Steve Minter offers excellent insight into how to be successful
in China. His two keys -- and cornerstones of CBN's appraoch to doing
business in China: being alert to new and different opportunities and
doing your homework. (July 2009)
"China's
car sales boom, reshaping a way of life" USAToday's take on China's
love affair with the automobile and how it's changing the way people live
in ways reminiscent of the USA's boom in car ownership after World War
II. (June 14, 2009)
"Raising
the Bar: Can China Meet the Quality Challenge?" The Boston Consulting
Group and Wharton Business School examine how quality standards are being
introduced and how China's manufacturers and their foreign business partners
might meet those goals. (June 3, 2009)
"Where
General Motors Is Thriving Right Now" In the first five months of
2009, GM's sales in China increased 33.8%, to 671,148 units. They were
up 75% in May over the previous year. While the company shutters factories
and lays off workers by the thousands in the U.S., it has announced plans
to build a new factory in China and unveil 30 new or updated models, with
the goal of doubling its sales in the country to 2 million vehicles within
the next five years. Sean Fein, writing on Forbes.com explains two huge
lessons U.S. manufacturers can learn from GM's
China strategy. (June 3, 2009)
"New
Challenges for 'Made in China'" Manufacturers in China -- whether
foreign or domestically owned -- face a series of key challenges in the
years immediately ahead. Major tests involving product quality and safety,
energy costs and environmental viability all come against the backdrop
of a difficult world economy. Yet, while world demand for Chinese products
has dipped in the short term, the long-term need to hold down costs while
meeting shifting customer requirements has never been greater. In this
special report, experts from Wharton Business School and The Boston Consulting
Group look at how this growing list of challenges will change the way
manufacturers must think about their operations in China. (6/4/2009)
"Manufacturing
Expands in China" May marks third month of expansion for Chinese manufacturers.
Did they really come out of their recession this quickly? (IndustryWeek
6/1/2009)
"China:
Car Capital of the World?" China will soon be the world's busiest
market, and domestic carmakers are growing rapidly in size and quality.
(BusinessWeek 5/18/2009)
"Why
the Export Slump Won't Doom China's Economy" China's exports contribute
far less to GDP growth than many assume, with domestic spending and investment
and knowledge gained from exports driving growth. (BusinessWeek 4/20/2009)
"China
Has Changed; the Chinese Haven't" Blogger Greg Bissky asks the question
'Has China changed?' Western companies bet millions on the answer, but
Bisskey contends it¡¯s the wrong question. They should be asking 'Have
the Chinese changed.' Bisskey contends they haven¡¯t. (China Expert Blog,
May 7, 2009)
¡°China¡¯s
Stimulus Spurs U.S. Business¡± As the Government¡¯s $585 Billion Program
Pours Money Into Projects, U.S. Suppliers Find Opportunities (WSJ, April
30, 2009)
¡°Would
Bankruptcy Stall GM¡¯s China Growth?¡± Despite the automaker¡¯s many
woes, GM executives say it¡¯s business-as-usual in China. Some industry
watchers aren¡¯t so certain. (Business Week, April 27, 2009)
¡°Auto
Executives See Shift to China¡± Executives at the Shanghai auto show
gave strong voice to the industry¡¯s increasing view of China as its key
market. (WSJ, April 20, 2009)
¡°Why
China is Good for America¡± An ¡®oldie but goodie¡¯ from Dezen Shira
& Associates (June 20, 2008). The words ¡°Made in China¡± have become
ubiquitous on clothing labels and electronic devices. Are these same three
words proof, too, of an enormous loss of American jobs to the Chinese
labor force? Or are they evidence greater still, of U.S. dependency on
China?
"Manufacturing
Expands in China," from Industry Week (April 3, 2009), reports that
the Purchasing Managers' Index for China's manufacturing sector rose to
52.4 in March, the first time the official PMI had moved into positive
territory since it hit 51.2 in September 2008.
"The
Shakeout Continues in Chinese Manufacturing" is Wharton's summary
of the just-released 2008-2009 China Manufacturing Competitiveness Survey
by the American Chamber of Commerce (AmCham) in Shanghai and Booz &
Company. What a difference a year makes!
"Fleeing
China? Look Before You Leap," by Mark Solomon, acknowledges that 2008
gave U.S. companies many reasons to re-examine sourcing in China. But,
he contends, pulling up stakes may not be the answer.
"Why
China Needs to Grow Its Economy, or Risk Growing Unrest" is Wharton
management professor Marshall W. Meyer's answer to the question 'What
happens if China doesn't hit their target of 8% economic growth this year'
- the minimum growth that China's leaders say is needed to maintain order
and keep everyone employed.
FedEx Trade
Networks: is the latest organization offering compliance assistance
for the US Customs and Border Protection (CBP) import notification requirements.
"The Work Is Not All
Coming Back", from the February 2009 edition of Today's Machining
World, repeats all of last year's arguments for work coming back to the
U.S. from China increasing transportation costs due to high oil prices,
a strong Yuan, few rebates, higher wages, and product scandals," then
explains how an aggressive Chinese government and changing world conditions
will not bring all of the lost work back home.
"Geithner is Exactly
Wrong on China Trade" is a January 26, 2009, WSJ opinion piece by
Bret Swanson argues that "America did not under-react to the supposed
Chinese threat. It overreacted. The problem wasn't ¡®global imbalances¡¯
but a purposeful dollar imbalance.
"China¡¯s Route
Forward" a January 23, 2009, New York Times article describing China's
$586 billion economic stimulus program, heavy on railway, airports, highways,
and environmental projects, particularly water treatment plants.
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