International Sharp Review: What dividends can Chinese people share with multinational corporations when they are more than just 'buy buy buy'?

2023-08-16

"At present, there are more than 180000 coffee related enterprises in China. In the future, the Chinese coffee market will maintain a strong growth momentum." The Russian Sputnik News Agency website recently reported the exuberant vitality of the Chinese coffee market. This is a microcosm of the sustained recovery of the Chinese consumer market. According to economic data released by the Chinese government on the 15th, the national economy has continued to recover, with outstanding performance in service consumption. In the first seven months of this year, the retail sales of services increased by 20.3% year-on-year. Thanks to the driving force of summer tourism and cultural and entertainment activities, the consumption of related services has grown rapidly. During the same period, the total retail sales of consumer goods increased by 7.3% year-on-year. Consumption is a key engine of economic growth. Currently, the global economic recovery is weak. What opportunities will the sustained recovery of China's consumer market bring to the world? Previously, China's consumption pattern was dominated by commodity consumption, commonly known as "buy buy buy", but now it is gradually shifting towards a balance between commodity and service consumption. In the per capita consumption expenditure of Chinese residents, service consumption accounts for over 40%. The transformation and upgrading of this consumption structure has created new development space for multinational enterprises. In recent days, the State Council of China has launched 24 policy measures to further optimize the foreign investment environment, many of which involve expanding the opening up of the service industry. Industry insiders point out that the deployment of further opening up in fields such as telecommunications, finance, and biopharmaceuticals means that there is greater room for foreign investment to participate in the development of China's service industry. In addition, to restore and expand consumption, it is necessary to provide high-quality products and services to meet the constantly upgrading needs of consumers. Providing high-quality products and services will naturally stimulate greater innovation motivation. The website of Nihon Keizai Shimbun recently quoted the data of financial information service company Wande and reported that the total R&D expenses of Chinese listed companies will reach 1641.9 billion yuan in 2022, an increase of about 1.6 times in five years. The report also pointed out that some Chinese companies' R&D personnel account for 90% of the total number of employees. In the 2022 Global Innovation Index ranking, China ranks 11th, ranking first among the 36 middle-income and high-income economies. Such a profound innovation "soil" has created a strong attraction for multinational enterprises. In March of this year, the R&D center of Selemer China and the automation R&D center of Schneider Electric China were successively put into operation; In May, Volvo Cars Shanghai Design Center was unveiled; At the end of July, Unilever's high-end clothing and care brands established an Asian R&D center in the Tianjin Port Free Trade Zone... They value China's innovation opportunities and the rich returns they bring. On the 14th, Ke Weimao, the global CEO of Honeywell Corporation in the United States, stated that the company has full confidence in China and the future development of Shanghai, and will continue to increase investment in Shanghai, deepen research and development and production manufacturing layout. At the same time, the predictability of China's economic policies is also a "scarce commodity" valued by multinational corporations. In today's turbulent world, some Western countries' economic policies are prone to "sharp turns". And China's policies maintain stability and continuity, allowing foreign investment to develop in China with confidence. Taking consumption as an example. From the Central Economic Work Conference emphasized at the end of last year that "restoring and expanding consumption should be given priority" to the launch of a series of measures this year to fully promote consumption, China's economic policies have been introduced to the world

Edit:Luo yu    Responsible editor:Jia jia

Source:cctv.com

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