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China: Moving Up the Value Chain

From www.gasgoo.com| August 16 , 2007

Accentrue ---  China's role in the global economy is no longer defined by a simple export-driven model. Although the low wages that enable China to be the world's manufacturing supplier still exist, they are rising relentlessly.

More important, the Chinese government, in its pursuit of sustainable growth, wants to reduce the country's dependence on foreign investment and demand. Therefore, the development of technology-led sectors and high-value capabilities has become a key policy focus. The government's recent five-year program, ratified in March 2006, focuses on the creation of a knowledge-led, innovation-oriented economy supported by greater domestic consumption. This new economic model has broad implications that go well beyond the technology sector and will significantly affect companies in every industry.

Main contents:

·The Sophistication of the Domestic Consumer Market

·Government Support for Domestic R&D Investment

·Assess Your Global Operations Strategy

·Maintain a Balanced Strategy Toward The Competition

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