Distribution & Retail
China is the second largest consumer market in the world, only surpassed by the US. There is a lot of talk in the news about consumer spending slowing down in China. Still, the annual growth is expected to stay above 5% in the next 10 years.
“The rise of the Chinese consumer remains an appealing investment thesis, but it is less straightforward than many think.”
12 November 2015
China is different. On the surface it seems that doing business in China has become easier and more in line with international practices. But underneath this surface, doing business in China is very different: sales channels, sales methods, people, culture, administrative requirements, etc. Traditional sales channels used in the West may not even exist in China. If you enter China thinking you will sell in the same way as you do at home, you may be in for a surprise. On the other hand there may be other large and untapped opportunities for sale through channels you have never heard of.
China can be an amazing market for some, but is definitely not for everyone. Sometimes our most valuable advise to a company is “just don’t do it”. Careful consideration is always advisable. Innovative thinking about how to successfully enter the market may be needed. Knudsen&Co is having own sales activities in China within both retail sales and online sales. We are always ready to provide you with some inputs and considerations before you initiate your China entry.