China is a country with one of the most developed economies in the world, so do you know what are the most valuable brands in China? China’s 100 most valuable brands grew by 13% to $525.6 billion in 2016. For the first time in history, brand valuations of market-driven companies owned by private entrepreneurs took the lead, a clear sign that China’s economy is headed for a market-based transformation.
Alibaba Group Holding Ltd, the second biggest ecommerce platform in the world, has a brand value of $47.60 billion, as of the end of 2016, while its market capitalization stands at $242.04 billion. China Mobile’s market cap is about $241 billion. The state-owned telecommunication and multimedia services company is the world’s largest mobile phone operator. The most important driver of the economy and brand development is the foreign trade. While the trade balance in 2004 showed that imports were higher than exports worth $ 59 billion, in 2005, exports were greater than imports for $ 102 billion, and in 2007, $ 200 billion. The domestic market is still mostly limited by the small purchasing power of the population. In the interior of China, there are slow changes, and there is still a lot of backwardnesses compared to the coastal areas of China. The government is launching major projects, such as the construction of the Three-Slope Hydroelectric Power Plant and other important infrastructure projects such as railway construction. One of the many problems is the migration of people from rural areas to cities. In the more developed regions of China, it is still a little higher in wages than in the countryside. The standard of living is still low for the majority of the population, as well as working conditions and labor rights, for example, employees have no right to strike. China entered the World Trade Organization at the end of 2001. Copyrights are often compromised, mainly due to piracy and plagiarism. Chinese economic growth at the beginning of the 21st century amounted to more than 10% per year, causing China to become increasingly competitive in other world economies. China has a growing demand for raw materials and energy, leading to an increase in global market prices (rising demand). China has therefore launched economic cooperation with African and Central Asian countries, which are rich in oil and natural gas deposits. There are also difficulties in the field of ecology. Due to full industrial production, there is pollution of air, soil, river, and rain.
If you want to see more about China, check Insider’s Monkey list of 10 Most Valuable Brands in China and find out more about this interesting and useful topic.