Some commentators argue that Western brands are perceived to be declining in value amongst young Chinese. Photo credit – Pixabay
Are Western brands losing their shine in China?
Chinese consumers are increasingly valuing domestic brands over imports from Western countries.
That’s according to a report in Business Insider, based on an interview with businessman William Li.
Li suggests that young Chinese, in particular, are more likely to have strong and positive associations with the image of ‘made in China’ than previous generations.
If Li’s correct, then the news should be of concern to the plethora of American and European brands (such as Ford, pictured) that are increasingly focusing their attention on the importance of sales in China.
At the same time as Western brands are perceived to be declining in value in China, the image of Chinese brands and products is developing at a rapid pace in the West.
For example, in April, we reported that ”the traditional image associated with ‘Made in China’ is changing” – according to Simon Pickering, the director of global product sourcing for House of Fraser.
The message reflects a transformation in the way in which Chinese manufacturing is seen in Europe.
In the last year alone, pioneering projects in Chinese aviation and aerospace, telecommunications and information technology have hit the headlines around the world.
Now, another type of Chinese product is in the news – luxury goods.
That’s because Mr Pickering was speaking as House of Fraser (which is based in Britain but Chinese owned) revealed plans to stock Chinese luxury brands across its 59 stores for the first time.