Taming the dragon (the rewards and obstacles facing western marketers in China)

Article type: Abstracts From: Strategic Direction, Volume 28, Issue 1

Brzeski P.Marketing, July 2011, Start page: 28, No. of pages: 3

Argues that, while the rewards for those who manage to break into the Chinese market can be massive, the market is nevertheless far more complex than it was just a decade ago, since most of a company’s global competitors will be striving to develop a marketing presence in China and, even if companies manage to be successful, a large number of Chinese clones will emerge quickly to compete with them. Explains that the most ominous sign is the emergence of Chinese market nationalism that places the burden of proof on the aspiring market entrant, and with incoming foreign brands now having to prove, to the government and the market, why they should even be there in the first place. Illustrates these points with particular reference to Diageo’s acquisition of one of China’s best-known drinks manufacturers in June 2011, where the drinks manufacturer took a controlling stake in ShuiJingFang, a famous brand of baijui, a spirit that dates back to the fourteenth century, and where the deal marks the first time a foreign company has gained control of a major Chinese brand. ISSN: 0025-3650 Article type: Viewpoint Reference: 40AP864

Keywords: Brand management, China, Marketing management,Marketing models, Marketing philosophy, Marketing planning, Marketing strategy,Marketing theory, Organizations, Sales campaigns, Strategic marketing