[Download] "Consumer Electronics Industry of China" by Puneet Kapur * eBook PDF Kindle ePub Free
eBook details
- Title: Consumer Electronics Industry of China
- Author : Puneet Kapur
- Release Date : January 05, 2006
- Genre: Language Arts & Disciplines,Books,Professional & Technical,Education,
- Pages : * pages
- Size : 903 KB
Description
China is one of the biggest, fastest developing, most attractive and most changeable markets in the world. The population of China exceeded 1.3 billion in year 2005 (CPDRC, 2005), a number which is sufficient to produce an enormous market. On the one hand, China market is attractive because:
China maintains high-speed GDP growth these years, according to China Business Forecast Report (CBFR), GDP growth from 2001-2005 achieved 8.8% in average (CBFR, 2006). GDP growth increases the domestic income, develops the competition of China and drives the progress of world economy. (See appendix) The number of middle-class people reached 60,000,000 in 2005(CUST, 2005), equal to the population of UK. The rising middle-class individuals and families delegate the most powerful consumer group in China. China released 11th five-year plan tending to enhance the power of un-developed area, including rural and second-tie region, maintain the growth of GDP but more cautiously, stimulate domestic consumption and develop “green GDP” for long-term development. (Consumer market insights, 2005) (Asia Monitor, 2005).
On the other hand, future growth of China is risky because: In the structure of GDP, The investment-to-GDP ratio exceeded 50% in 2004, up from the low-40% range only two years before. (China Country Monitor-CCM 2005). However, the consumption which should be the most important part of GDP grows relatively slowly. The import of China has sharply increased from $243.6 bn in 2001 to $560.9 bn in 2004. (CBFR, 2006). The composition of import is mainly held by energy (petrol), resource products and equipment which are vital for domestic development (Foreign Affairs, 2005). This means China economy is vulnerable by factors outside. The fixed exchange rate between China renmibi to Dollar has already been broken under the commitment to WTO. Renmibi appreciated 2% on July 21 and will continue to revalue in the future (CCM, 2005). The appreciation will weak export advantages, increase production cost, affect GDP growth and even generate high unemployment.