Five Reasons Why All Entrepreneurs Must Keep Their Eyes On China
These days, the key to thinking globally is thinking China.
It is hard to overestimate the importance of Chinese influence on the modern global economy. Carving out a place in Chinese market and winning over Chinese customers has become a key factor for every brand’s roadmap to success. On his promotion tour in Detroit, USA last week, the Chairman of the Alibaba Group China Jack Ma said, “If you miss the opportunity of selling your products to China, you will miss the future.” Indeed, understanding China and Chinese customers is of paramount importance for virtually every business. Here are the five reasons why entrepreneurs of today must keep their way on China and the immense opportunities it presents.
China is The New Silicon Valley
Once the unrivaled tech capital which combined talent and capital, Silicon Valley is slowly losing ground to its Chinese counterpart. Shenzhen, a former fishing village bordering Hong Kong, has becoming a new epicenter for Chinese tech companies. There is little doubt that some of them will soon dominate the world market and become a serious competitor for U.S. tech giants.
Chinese Consumers Will Soon Dominate The Market
With a population of 1.4 billion and more than 300 million middle class, China is becoming the largest consuming market in the world. Not promoting one’s brand on Chinese market virtually means a failure to capture the largest market segment and, therefore, failure to stay relevant.
More Investors Are Betting Their Money on Chinese Tech
In 2016, All-Stars Investment, Hong Kong-based fund that invests in Chinese technology and consumer companies, recorded a 12 percent return on their funds. This number, experts agree, will only grow in the future.
China Is Creating Millionaires At A Faster Pace Than The U.S.
According to a demographic data, China creates one new billionaire every five days. Furthermore, China is currently making new millionaires faster than the U.S. does. Most importantly, China’s middle-income class is rising. In the next five-to-ten years, China’s middle class will increase to 500-600 million. As a result, the demand for quality American products will also grow tremendously.
Thinking Globally Means Thinking China
Nowadays, in order to succeed, entrepreneurs need to think globally. And “thinking globally”, in most industries and markets, mean “thinking China”. Real estate industry is a case in point. According to The National Association of Realtors (NAR), Chinese have become the largest group of foreign buyers of American real estate. As the number of wealthy Chinese increase, so will their real estate investment abilities. It is important that real estate industry professionals prepare, just like other entrepreneurs, prepare for accordingly. Even now, real estate agents with the working knowledge of Chinese Mandarin and Cantonese, and familiar with Chinese culture and customs, have the upper hand when handling properties and dealing with foreign investors.
The world is changing, and so is the way to do business. Internet has given the entrepreneurs the opportunity to participate in global trade indiscriminately.
“Think of us as a virtual mall with nearly half a billion shoppers buying from sellers that operate their own online storefronts,” said Ma. The same concept can be applied to real estate. In a matter of years, local markets and submarkets will merge into one huge global brokerage, with Chinese as a leading client segment. Agorafy is, in a sense, such a virtual mall—an all-inclusive digital platform that has a potential to accommodate billions of real estate customers, homeowners, landlords, and buyers. Here at Agorafy, our mission is to make sure that no opportunities are missed, and no markets are beyond reach.