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GLG News by Hotel Chain Experts (Asia)

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March 26, 2007
Why The Urban Chinese Need to Pay More For Their Food
Analysis of: China PBOC's Zhou not worried about current inflation | www.forbes.com
Author: Paul French, Publishing & Marketing Director, Access Asia China
  Inflation worries have translated into consumer worries in China But they need not worry in terms of non-food sales And it is an urban issue not a rural one where most people live
March 26, 2007
Hep-B - It was only a matter of time before a foreign company got caught
Analysis of: Nokia China in lawsuit over Hepatitis B carrier | www.msnbc.msn.com
Author: Paul French, Publishing & Marketing Director, Access Asia China
  So far cases of discrimination over HBV have been mainly made against Chinese companies The Beijing government last year decided to outlaw anti HBV carrier discrimination The Nokia case indicates a lack of control by the Chinese entity over its subsidiary factories
March 26, 2007
China's Companies Get A New Tax Incentive For Making Social/Charitable Donations
Analysis of: New tax law helps charity | english.people.com.cn
Author: Paul French, Publishing & Marketing Director, Access Asia China
  China’s Communist leaders want to see more of the wealth generated by both public and private enterprise being invested into charitable and social “good deeds”, 92.5% of Chinese firms made donations in cash last year – this is now set to increase Although it remains to be seen how much...
March 26, 2007
The Chinese - A Nation of Savers, Or a Nation of Self-Taxers
Analysis of: Personal savings tax a big burden | www.chinadaily.com.cn
Author: Paul French, Publishing & Marketing Director, Access Asia China
  An average of about 18% to 19% of consumer incomes in China are placed into savings accounts, making Chinese savings rates among the highest in the world; The significance of this is that there is a considerable amount of average salaries in China that is not being spent at retail outlets; This...
March 9, 2007
More Stores Should Boost Sales for Yue YuenMore Stores Should Boost Sales for Yue Yuen
Analysis of: Yue Yuan to double Mainland outlets | www.stuff.co.nz
Author: Paul French, Publishing & Marketing Director, Access Asia China
Yue Yuen is showing how a Chinese manufacturer can become a brand and a retailer; Domestic brands are closing the gap on the brand giants such as Nike and Adidas in China; There is still a lot of possible potential for increased sales in China for all footwear brands.
March 9, 2007
Another Round of Price Wars in China’s Auto Market
Analysis of: Price war revs as GM offers discount | www.chinadaily.com.cn
Author: Paul French, Publishing & Marketing Director, Access Asia China
  Off-season price slashing has begun and has been started by GM rather than one of the local manufacturers; This raises questions on what manufacturers are doing to slash production costs and maintain margins; At the same time the scramble at the high end continues.
March 5, 2007
In China C&A Isn’t Zara
Analysis of: C&A opens four new fashion stores in Shanghai | www.fibre2fashion.com
Author: Paul French, Publishing & Marketing Director, Access Asia China
  Fashion retailer C&A is coming to China but may find the going tough; The truth is that Zara’s success indicates the middle mass market is opening up but only to the right retailers; The driving force of the middle mass market now in China’s cities is a repeat of what was seen in Japan...
December 14, 2006
Home Depot in China - Will it be worth the Wait?
Analysis of: Home Depot to acquire home improvement retailer in China | www.usatoday.com
Author: Paul French, Publishing & Marketing Director, Access Asia China
After three years of looking at the market Home Depot are finally planning to open in China; The focus will increasingly be on soft furnishings in China as property transactions slow Key to success will be the right product offering in the locations they choose to open in
December 7, 2006
China Beer - it's still all about margins
Analysis of: SABMiller sees Snow beer on the rise in China | asia.news.yahoo.com
Author: Paul French, Publishing & Marketing Director, Access Asia China
Margins remain tight in China's drinks market despite rising sales. Competition & costs continue to take their toll on profits. The continued shake-up in the drinks industry in China is driven increasingly by these tight margins.  
November 20, 2006
The competitions Getting Tough in China's Middle Market
Analysis of: Fast Retailing To Set Up Clothing Unit In Shanghai | www.kamcity.com
Author: Paul French, Publishing & Marketing Director, Access Asia China
Uniqlo will have to respond to the Zara Effect in China Zara is proving that the office ladies are the middle segment of the fashion business in Shanghai At the same time the lower end retail chains are seeing sales collapse

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