CHINA MARKET INTELLIGENCE REPORT • Country profile • Food and beverage sector • ITC sector • Creative Services sector • Tourism sector CONTENTS PART I: COUNTRY PROFILE ..................................................................................................................5 1.1. China – quick facts .......................................................................................................................6 1.2. The Chinese consumer ..............................................................................................................10 1.3. Trade ..........................................................................................................................................13 1.4. Marketing in China .....................................................................................................................18 1.5. Market characteristics ................................................................................................................28 1.6. E-commerce ...............................................................................................................................31 1.7. Chinese business culture ...........................................................................................................35 1.8. Property rights protection and corporate R&D (Trademark Registration) ................................39 1.9. How to find and maintain business partners .............................................................................41 1.10. Avoiding scams .......................................................................................................................46 PART II: IN-DEPTH OVERVIEW OF THE FOOD AND BEVERAGE SECTOR ...................................49 2.1. Introduction to the F&B market, including key facts ..................................................................49 2.2. Market segmentation and market trends ...................................................................................50 2.3. Consumer preferences ..............................................................................................................55 2.4. Key challenges ...........................................................................................................................56 2.5. Import-Export step-by-step process ..........................................................................................57 Before products are shipped ............................................................................................................59 Once products arrive in China..........................................................................................................67 After successfully clearing customs .................................................................................................70 2.6. Import duties, import restrictions, trade barriers .......................................................................71 Import duties .....................................................................................................................................71 Import restrictions and Trade barriers ..............................................................................................71 CNCA registration .............................................................................................................................72 Other barriers ....................................................................................................................................72 2.7. Price build-up .............................................................................................................................73 Import costs ......................................................................................................................................73 Distribution costs ..............................................................................................................................73 2 / 149 2.8. Key regulatory bodies ................................................................................................................74 2.9. Regulations specific ...................................................................................................................76 Food Safety Law ...............................................................................................................................76 Standards..........................................................................................................................................77 Other regulations ..............................................................................................................................80 2.10. Organic food ...........................................................................................................................81 2.11. Marketing in China for food and beverage companies with a small budget. How to sell your products ................................................................................................................................................84 2.12. Major industry events .............................................................................................................85 General .............................................................................................................................................85 Product specialized ..........................................................................................................................85 PART III: IN-DEPTH OVERVIEW OF THE INFORMATION AND COMMUNICATIONS TECHNOLOGY (ICT) SECTOR .........................................................................................................................................87 3.1. Introduction to the ICT market, including key facts ...................................................................87 3.2. Market segmentation, market trends .........................................................................................89 3.3. Consumer preferences ..............................................................................................................95 3.4. Key challenges ...........................................................................................................................95 3.5. Import duties, taxation, import restrictions, trade barriers (and investment barriers) ..............96 3.6. Key regulatory bodies ................................................................................................................97 3.7. Regulations specific ...................................................................................................................98 3.8. Marketing in China for ICT companies with a small budget. How to sell your products or services ............................................................................................................................................. 101 3.9. Major industry events .............................................................................................................. 102 PART IV: IN-DEPTH OVERVIEW OF THE CREATIVE SERVICES (CS) SECTOR ......................... 103 4.1. Introduction to the CS market, including key facts ................................................................. 103 4.2. Market segmentation, market trends ...................................................................................... 104 Advertising and public relations services ...................................................................................... 104 Crafts.............................................................................................................................................. 108 Design ............................................................................................................................................ 110 Film industry .................................................................................................................................. 112 Fashion .......................................................................................................................................... 114 3 / 149 Publishing ...................................................................................................................................... 117 Other performing and visual arts ................................................................................................... 120 4.3. Consumer preferences ........................................................................................................... 122 4.4. Taxation ................................................................................................................................... 124 4.5. Regulations specific ................................................................................................................ 124 4.6. Marketing in China for companies in the creative service business with a small budget. How to sell your services ............................................................................................................................... 127 4.7. Major industry events .............................................................................................................. 128 PART V: IN-DEPTH OVERVIEW OF THE TOURISM SECTOR ........................................................ 129 5.1. Introduction to the tourism market, including key facts .......................................................... 129 5.2. Market segmentation,