Posts tagged ‘chinese consumers’

03/01/2015

How Chinese leader Xi Jinping turned Tasmanian toy into a bear essential | South China Morning Post

When Chinese President Xi Jinping stepped on to the airport tarmac in Australia‘s smallest state Tasmania, he was handed a purple fluffy toy called Bobbie.

President Xi Jinping receives the purple bear in Tasmania. Photo: AFP

Stuffed with lavender and wheat, the teddy bear has since captured the hearts – and wallets – of Chinese consumers.

Bobbie has become an overwhelming success in China with a remarkable following – helping creator Robert Ravens, owner of the lavender farm in the state’s northeast, secure an inaugural Australia-China business award for entrepreneurship.

Tasmania has long had the nation’s weakest economy, but is hoping to boost its fortunes by using its natural resources to attract an affluent Asian market looking for quality products.

When Ravens bought the Bridestowe Lavender Estate in 2007, his first goal was to return it to the peak farming condition it was in several decades ago.

He was also keen to boost the tourism potential of the farm. “We looked to create new products which would attract young visitors, and that came through food,” Ravens said.

An early product, lavender ice cream, started to attract Chinese tourists to the 105-hectare farm, an hour’s drive from Tasmania’s second-largest city Launceston.

But it was through the bear that Ravens, a former chief executive of a leading chemicals firm, struck a winning formula.

“We were experimenting with various shapes and colours. One day, five years ago or more, we showed a bear to a young Chinese girl in a shop,” he said.

“She said ‘so cute’ and she was carrying it like a baby, and you could see the bond form. As soon as we saw that, the light went on and we knew that was the right configuration.”

Even the name was designed to attract Chinese consumers, Ravens said, adding: “You can say Bobbie phonetically in Cantonese and Mandarin.”

Ravens courted the celebrity market and when a Chinese model posted a picture of herself with the bear online last year, demand for the furry creature – which doubles as a heat pack – reached stratospheric levels.

The farm had to limit sales to one per customer, temporarily halt online shopping and even contend with fake toys piggy-backing on Bobbie’s fame.

Visitor numbers have soared from 23,000 in 2007 to more than 65,000 last year, and it now produces 40,000 bears annually.

“In Australia, you become successful and you have 26 million potential customers. In China, you have a billion. The scale is so phenomenal,” said Ravens. “The answer is to be authentic and to target the market as acutely as you can. We are aiming always to be a boutique market, not a mass market.”

via How Chinese leader Xi Jinping turned Tasmanian toy into a bear essential | South China Morning Post.

06/12/2012

* How Cities Can Save China

We sincerely hope that the author is right and that the Chinese authorities both agree with him and decide to implement his suggestions – soon!

NY Times: “CHINA is experiencing its most severe economic downturn in decades, and revitalizing its economic model is critical to future prosperity — not only in China, but around the world.

Central to that effort is the transformation of China’s cities. By adopting a new approach to urbanization, its leaders can assure more balanced investment, address a major source of debt, achieve a consumption windfall and clean up the country’s environment. Otherwise, China’s economic and environmental problems will worsen, with vast implications for the rest of the world.

China’s success has been built on two pillars: investment and exports. But after decades of growth, this model is delivering diminishing returns. There is little doubt that China must change to a new model, one that relies on consumption to generate growth, while addressing debt and broadening the use of sustainable energy and environmental practices.

Cities, home to hundreds of millions of Chinese consumers, lie at the core of this problem — and offer a potential solution.

A flawed system of municipal finance is driving debt, corruption and dissent, while unsustainable urban planning has yielded polluted cities that are destroying China’s ecosystem. Yet China’s future requires continued urbanization, which, absent a new approach, will only make the problem worse.

Cities can, however, be part of the solution: better urban policies can put China on a healthier path forward, economically and environmentally.

For one thing, municipal financial reform is essential because debt is crushing Chinese cities, leaving mayors with no means of financing the central government’s policy mandates. Mayors have developed creative ways to raise revenues, including appropriating farmers’ land and seizing land on the outskirts of cities to sell to developers. But these practices contribute to urban sprawl and often feed corruption.

Among other changes, China’s cities need transparent budgets and the devolution of more tax authority to cities.

More innovative urban planning and design are also needed. To achieve the country’s goals of raising living standards for a broader share of the population, cities must be better designed to yield energy efficiency and environmental sustainability.

China’s potential is stifled by traffic and pollution. Gazing out my hotel window in Beijing on a recent trip, I saw air that was hazy and polluted — a stark contrast to the sparkling view of Lake Michigan I enjoy from my kitchen window at home in Chicago.

This isn’t just China’s problem. Experts found that dirty air from China contributed up to 20 percent of the ground-level pollution on the American West Coast in 2010. And that is when just one-tenth of Chinese own cars. Imagine what China’s air quality will become when this number triples, as some experts predict it will within the next several years.

Take another example: construction. Within city centers are countless “superblocks” — half-kilometer-square developments interspersed with huge boulevards that create monster traffic jams and skyrocketing pollution.

In response, an approach that featured smaller blocks and mixed-use neighborhoods and accessible public transportation would alleviate these unintended consequences. Such “livable cities” would balance economic development with energy efficiency, improve air quality and reduce congestion.

Getting China’s urbanization right will matter to us all. Fortunately, many in China understand this, and cooperation with the United States government, corporate world and nonprofit sector, including my own research and advocacy institute, is bringing them the tools they need to prioritize design issues in their cities and adapt infrastructure plans now. These tools include instruction in sustainable practices for government leaders, public education in environmental issues and specialized training for the country’s urban planners.

China must adopt this new approach quickly, before vast infrastructure investment makes the current model irreversible. By 2025, China is projected to have a staggering 200 cities with populations over one million. America has just nine.

Global prosperity depends on China’s continuing to be an engine of growth. We all need China to reinvent its economic model. Working together on urbanization creates progress toward joint solutions to the challenges the world faces from overwhelming pressure on natural ecosystems, resources and commodities.

We need Chinese cities to succeed, and we can help ensure that they do so.”

via How Cities Can Save China – NYTimes.com.

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