Chinese brands struggle in luxury market

Established Shanghai brands should be offered financial aid from the government to ensure their survival. That was the message given to the city's top political advisory body over the weekend.

The Shanghai branch of the Chinese Peasants and Workers Democratic Party, a non-Communist group, suggested authorities set up a special fund to help local brands "enter first-tier commercial zones".

"Rental prices for units in the best locations, such as on Nanjing Road or Huaihai Road, range from 70 to more than 100 yuan ($11 to $16) a square meter, which is too high for most local brands," reads the proposal.