Why China Has A Growing Middle Class

This conveys that despite the customer loyalty and brand popularity, companies have to adapt their products to regional markets in order to sell internationally. One of the biggest lessons about this can be learned from the case of Oreo cookies. The favorite American cookie that launched in China in the 1990s did not gain popularity until a decade later. The reason was that the Oreo cookie was just not adapted to the Chinese consumers. Kraft paid attention to its consumers and learned what needed to change in order to increase sales. They introduced various flavors and shapes to attract the Chinese customers and even adapted their advertisement to their market. Lorna Davis, President of the Biscuits division of Kraft Foods says about the Chinese market, “Any foreign company that comes to China and says, oh, goody-goody, there's, you know, one and half billion people here and I only need one percent of that - and I've heard that from so many people - you're going to get into trouble because you have to understand the way the consumers

Despite Yum! brands huge success in china, there have been a lot of risks and threats in entering the local market. In respect to that its critical to mention the oppositionof the local population in perceiving fast food industry and especially western culture entering their own market.

Additionally, as the new generation becomes more involved, a result of the middle class rising up in China, this has allowed them to participate in congress because of the expansion of personnel able to join the Communist party from the vast increase to renounce forces and an impressive ability to recreate itself.

China has a network of lakes, ponds, reservoirs, streams and rivers spread all over the country. Inland water area totals is about 17.5 million ha, almost 1/50 of the land area. Annual rainfall in China is about 6,000 billion m3, of which 2,600 billion m3 forms the country's water resources.

Without a doubt, China has been one of the leading countries in terms of economic developments in recent decades; however, the downside of the rapid economic achievements has risen to surface, calling Chinese Government to action.

Socio-economic and socio-political are the main force to the steadily growth of new middle class in China and become a major component of Chinese population . Many scholars explained the significant of middle-class as the supporter of democratization and democratic as Barrington Moore’s famous quote “no middle class, no democracy” However, the structure of Chinese society is very complex since China has its own characteristics which differ from other. The idea of China’s expanding middle-class will be a major driving force for political change and democratization may not be worked. I disagree with this statement due to the following reason;

Prior to the 16th century rise of silver, globalization and extensive nature modification, both hallmarks of the capitalistic Anthropocene, were handcuffed from two separate angles. China, an essential element to any type of globalization movement, had long been unwilling to trade with their European counterparts. Focused on self-sufficiency, western products were viewed as wholly unnecessary to Chinas continued success. At the same time, a lack of physical capital, to ensure and secure debts, bonds, and payments were restricting long distance, trade partnerships within Europe. However, silver’s rapid emergence onto the global stage in the 16th and 17th century quickly dismantled these constraints to capitalism. In China, an unstable 16th

With China ranked second to the United States as the world’s strongest economies I see it fit to take advantage of this market because there are not many American fast food companies in the country and they don’t offer the same type of meals as we do. Of all the countries to choose from I see China as

The end of the Soviet Union seemed to presage a better era, but those hopes are fading

China is the second largest economy in the world after the US. This is measured by both nominal GDP ($4.99 trillion), and by purchasing power ($8.77 trillion). The Peoples Republic of China, as it is officially called, is the world’s fastest growing major economy in the world with an average growth rate of 10% for the past 30 years. China is also the second largest trading nation in the world as well as being the largest exporter and second largest importer of goods.

Sales had been flat for the first five years of the 2000s and were in decline. "In 2007, Kraft Foods China was an unprofitable, $100 million business that was not growing," noted Sanjay Khosla, Kraft Foods’ president of developing markets, in an interview published by the Boston Consulting Group. Kraft was even thinking of pulling the product out of the Chinese market completely, due to poor sales.

Not only economically but socially, influences of China has been substantial. Economic and social status of China are firm that it can not be oversighted. However, law related intellectual property rights has been rising issues in China. First step to solve the problem is realize there is one. It is critical to recognize which elements are violating IPR. Basic systematic error of IPR and counterfeit culture in China are main factors for the obstacles.

Since initiating a series of economic reforms and adopting the open policy in 1978, China’s economy has experienced a spectacular growth and achieved a remarkable success over the past three decades. In particular, according to the government figures released on August 16th 2010, China’s economy in the second quarter has slightly surpassed Japan’s in terms of gross domestic product. This milestone suggests that China is becoming the world’s second-largest economy behind the United States. At the same time, the opportunities created by the striking economic growth have led China’s most important investment markets, stock and real estate markets to undertake an enormous transformation and development. On one hand, since the two stock exchanges (Shanghai Stock Exchange & Shenzhen Stock Exchange) were launched in 1990, China’s stock market has served as a vehicle for financing and supporting the development and reform of State-Owned Enterprises. That is, within China’s bank-dominated financial system, stock market was restricted by a series of regulations and assumed only a secondary role in the financial economy. Not until the late 1990s did the stock market acquire an increasingly important strategic role in China’s economy. The stock market was vigorously promoted by relaxing regulations imposed on it and experienced tremendous growth in size and liquidity since the early twenty-first century (Lai & Yang, 2009, p.409-410).

Chinese consumers spent little on housing and none on transportation to/from work, most used 40% of their disposable income on food. 20% of the 60 million (12 million) habitants owned 80% of the country’s wealth. The “Middle Class” was emerging and estimated to double in 2 years, meaning the target market would be as big as the US target market. In addition, as mentioned before, the Chinese consumers were obsessed with American products, fact that supported NutraSweet’s strategy.

We have seen since 19th century people and later on companies from all over the world have been investing trillions of dollars into the food and beverage market. Recently we saw this demand nearly double within the last few years. Large numbers of corporations are leaving their home country and opening headquarters abroad in China, India, Mexico and other place do to wide success. These companies come from all types of industries. For example Software, Mining and Cosmetics industry, many big names such as Google, Microsoft and Apple also have their offices in China and other places. Coca – Cola have also joined in on some of the profit making them my focus of this paper. Thought this paper I am going to speak on the positive and negative