Naturally, living here, it is pretty obvious that the day of the Chinese consumer has arrived.
Sure there is still rural poverty and sure most people are not wealthy by American standards, but 8o million ARE middle class by US standards. Some 250 million are middle class by Chinese standards. You can read a very good article by the China Brief on why you can be sure the Chinese market for middle class goods is here and will grow dramatically from this base. Check out the whole China Brief article here.
Really, the time is now to be selling to China from the West, and the next ten years will see nothing but growth. Just in is that 2011 is the first year the U.S exported more than $100Billion to Cbina. Check out a report on that here from the Economic Times.
Are you selling here or just sourcing? It is time to plan to both source and sell here. Doing just one is not a good plan. Actually, the China Law Blog just touched on that 10 days ago, and you can see that here. Find a way to get into the China market and do it well. Start registering your trademark or filing your patent now.
Convertibility of the Chinese Yuan is also clearly on the increase. The Guardian has a recent article up on prospects for increased convertibility. See it here. While the Chinese RMB is not fully convertible, it is already workable in most cases and getting better year by year. That is not a deal breaker either.
Do not come to China just to source now. China is not a place to just buy cheap anymore. Sourcing here is great and maturing, but the time is now for selling like never before.
What do you say?