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McKinsey partner sees China as most competitive market for both domestic, foreign firms

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      China

      China

      McKinsey partner sees China as most competitive market for both domestic, foreign firms

      2024-07-15 21:58 Last Updated At:23:07

      The Chinese market is the most competitive environment for both domestic and foreign companies as the country continues its opening up and economic reform, said Joe Ngai, chairman of management consulting firm McKinsey & Company in Greater China.

      Ngai said that foreign companies are actively keeping up with China's steps in deepening reform, adding that significantly, more Chinese companies are also going abroad and transforming themselves into multinational companies.

      "I think China is definitely the most competitive environment anywhere globally. Right now, I think we're squarely in the medium-proof lane, and that's what we all have to get used to. The CEOs all around, they all say, 'Look, this environment, we're getting used to it, and we're doing bunch of things the right way.' So the first one is, we get used to this environment," he said in a recent interview in Beijing.

      "Second, I think that basically I've seen more Chinese companies who want to go overseas than I've ever witnessed before, and I think that it's really a phenomenon of the times. I think the Chinese companies, for the longest time, we were the 'factory of the world'; we manufactured here, and we export to the rest of the world. And I think there's a big difference between being the 'factory of the world' and a multinational company. I think Chinese companies right now, they want to go abroad, they want to become multinational companies. I think that's a big change in there," Ngai added.

      According to the chairman, multinational companies operating in China are reevaluating how to best invest in the country.

      "I think that they have enjoyed 20 years of unprecedented growth and prosperity. So, I do think the multinationals, for lots of them, they are recalibrating China. They're thinking about what is China is going to mean for us as a global company in the next 10 years, and am I going to invest more money in China? How am I going to transform my business? The conclusion is that we ought to get better in our operations in China, because if we don't do that, we will slowly become irrelevant, right, in the market. And I think that that includes the speed, the localization, the talent pool, the digital transformation, of the above," said Ngai.

      At the same time, he shared the secrets to staying competitive in the most competitive market as a multinational.

      "For multinationals, this is the market where they face the fiercest local competition. They face the fiercest price competition. And they face the most rapid innovation cycle that they can see anywhere else. Product innovation in China is three times faster than anywhere they've seen, usually, in their home markets. So, what do they need to do? Just like any other Chinese company, you have to get faster, better, cheaper, and close to the market. There's only one formula, and that formula is not any different between a multinational company or a low company. And I think that they all face the same context. So I do think that if they can do it well, they can succeed anywhere," he said.

      McKinsey partner sees China as most competitive market for both domestic, foreign firms

      McKinsey partner sees China as most competitive market for both domestic, foreign firms

      McKinsey partner sees China as most competitive market for both domestic, foreign firms

      McKinsey partner sees China as most competitive market for both domestic, foreign firms

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      People across China make preparations to welcome Spring Festival

      2025-01-21 06:41 Last Updated At:07:17

      A festive atmosphere is building up as people across China have been making preparations to ring in the Spring Festival next week, with lights and decorations set everywhere, and with New Year goods markets all seeing booming sales.

      The Spring Festival, which marks the start of the Chinese Lunar New Year, is the most important annual holiday in China, when people across the country return to their hometowns for Chinese Lunar New Year celebrations and family reunion. 

      In Xi'an City of northwest China's Shaanxi Province, a grand lantern show is in its final stage of preparation before opening to the public ahead of the eve of the 2025 Chinese Lunar New Year. To be lit up on Wednesday, the large light sets presented at the event will draw numerous visitors, with lanterns that replicate 38 cultural relics as the highlight.

      Buying New Year flowers has been a custom for Chinese people. In Yancheng City of east China's Jiangsu Province, various flowers which have auspicious meanings are already in high demand.

      This year, tulips bred locally have been put on sale, and quickly become a favorable choice for many customers.  

      "I have never seen this kind of flower before. I think it is really bright-colored. Therefore, I decided to buy some to enhance the festive atmosphere at home," said Zhang Jinjian, a local resident.

      The Anchang ancient town in Shaoxing City of east China's Zhejiang Province has a time-honored custom of making aired sausages and spiced duck.

      As the Spring Festival draws near, plenty of visitors and tourists choose to purchase these local delicacies as ingredients for their Chinese New Year feast.

      "The number of tourists has been increasing, so the sales of our spiced meat have been quite good. Compared with the same period of last year, our sales is expected to increase by about 50,000 yuan (about 6,835 U.S. dollars). We will earn an additional 200,000 to 300,000 yuan (27,335 to 41,000 U.S. dollars) in sales during this whole winter," said Yang Jing, owner of a local spiced meat shop.

      In southwest China's Yunnan Province, the "Tiaocai dance" is a time-honored tradition of the Yi ethnic minority group. The dance is presented in the form of serving dishes while dancing to the rhythm. It usually happens on a joyous or grand occasion.

      Since the most significant annual festival is around the corner, Yi people have dressed up in traditional costumes, and got ready to welcome the arrival of the Chinese Lunar New Year with the special dance.  

      People across China make preparations to welcome Spring Festival

      People across China make preparations to welcome Spring Festival

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