From the Readers

The goal of having global brands is achievable

(chinadaily.com.cn)
Updated: 2010-04-20 17:04

Comment on "China aims to have global brands by 2020" (April 19, China Daily website)

This is of course achievable with Chinese global brands in 10 years' time. Isn't Lenovo, which has purchased the PC business of IBM, already a global brand?

Yes, some Chinese brand names perhaps need to be changed for better marketing.

LG, the Korean brand, its former full name was "Lucky Gold" which would be looked on less favorably in the West, so LG changed the slogan to "Life is Good". Samsung is an easy name for Westerners as well. Hyundai is 'modern times' in Korean, which is ok, but it sticks to Hyundai.

The product quality itself will be met to match the local regulations and demands of the exported markets in the rest of the world gradually. LG, Samsung, Daewoo, Hyundai, even Toyota and Nissan all in their history gradually have improved their quality.

There will be the likes of Honda and Subaru from China that will bring out excellent vehicle products, prompting their Chinese compatriots to improve their product quality.

Geely, which bought Volvo, will learn from Volvo and its distribution network in Europe and the West in general to improve Geely's own product lines. Perhaps it will be the next Honda of China.

Manufacturers in China that have extensive experience in making products for Western global brands such as Apple, GM and Ford have to transform themselves from a contract manufacturing base to making their own brands. This is more difficult but achievable. The Acer has made that transition.

One point is that most global brands have one thing in common. They tend to dominate their own domestic market to some degree - top 3 or 4 participants. It seems that most will not consider the overseas market until they have developed some mature pattern in their own country.

Is Chinese market reaching maturity for any products and for their manufacturers? Are there any dominant brands for any product lines in China so that they can start to look beyond China for expansion? Are there more ambitious people in China who want to look beyond the Chinese market?

Indeed, will there be some manufacturers that make high-quality products that average Chinese consumers cannot afford, but many Westerners can? Can the same products that are in low demand in China itself find a ready market in the West? Is there any Mercedes Benz or Porsche in China?

I do look forward to Chinese brands in the vein of Apple Inc in all kinds of products and services.

Yes, this goal of having Chinese global brands by 2020 is achievable.

JJ-Sydney on China Daily website.