The traditional Western view of China as the ‘workshop of the world’ is rapidly melting into the mist. The consumer classes are buying more and – supported by their government – making less. Labour costs are rising at 20% a year:
“In this decade, China will be driven by consumers, not manufacturers”
– Anna Stupnytska, executive director of Goldman Sachs’ Investment Management division.
But this is not a one-way street, and China is not a blank cheque – we should see this more as the start of new ways of innovating, bringing products to market and the creation of new business relationships. At the recent ‘Retail Futures 2012’ event at the Future Laboratory, the developing economic, consumption and production picture was painted as much more nuanced, complex and multi-tonal than a set of crass ‘x’ and ‘y’ axes.
The buzzwords INDOVATION (pertaining to India) and SYNDOVATION (pertaining to China) refer to innovation and products Continue Reading