Is my Chinese mail-order bride a tax deduction?
March 16th, 2010 | 
Author: We were all so excited when the Russian market opened up. Then after a few containers of Levis and Marlboros set sail, it seems like the party was over.
The Chinese people will soon be buying a lot of stuff. I’m just worried it won’t be American stuff. Much of what they need they can make themselves, for less. Some would say, if we are becoming a service economy, we don’t need to make anything anymore.
I would argue, if we want play in a global economy anchored by China, we need to make something — specifically, the one thing we know how to make better than anyone in the world — brands. But not American brands. We need to make Chinese brands. Things Chinese people want to buy because they represent being Chinese.
That means understanding the needs and motivations of people unlike ourselves — which doesn’t come naturally to most Americans. But it does to American marketers.
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Good points Alan,
It’s interesting that in the food category there are some product/menu modifications for KFC and McD in China (and India – the Maharaja Mac )
KFC has congee, bamboo shoots, you tiao, spicy diced chicken and soup with meals and McD has rice burgers – but both have yet to fully grasp the Chinese palette and start selling items like Char Syl Bao, spring rolls, har gow, or chicken feet.
For both KFC and McD, the hamburger and fries and Western style chicken is still at the heart of the Chinese menus. This is what Jim Skinner, vice chairman and CEO says of McD in China:
“We do extensive focus group studies of Chinese consumers, and one of the things that Chinese consumers say over and over again is that ‘we come to you because you are a Western brand, if we want to rice or congee we can eat at home or in Chinese restaurants, we want to sample the Western brand,’” he says.
Seems like the main thing we have exported to China is the idea of fast food – with drive throughs, etc. There are several rising QSR brands in China that are not the KFCs or the Burger Kings or the McDonald’s. Wei Qian La Mian, also known as Ajisen Ramen, is a Japanese chain that has been doing very well in various cities throughout China. So is Zhen Gongfu or Real Kung-fu, a Chinese fast food chain which is showing a lot of promise. YUM! Brands is now interested in launching and aggressively launching a new brand in China called East Dawning … because they need to fend off potential local Chinese fast-food competitors.
love the idea….
Think you give American marketers to much credit.
Mark, thank you. I think your comment, “Seems like the main thing we have exported to China is the idea of fast food,” is spot on. McDonald’s Skinner clearly has it wrong: being “sampled” as a foreign novelty is not a marketing strategy. (But that’s what happens when you go looking for new ideas in focus groups.) Someone needs to figure out what the idea of fast food means to the Chinese.
In America, McDonald’s early association with car travel made it an icon of “the open road.” Seems like KFC meant “family” for early two-income households. East Dawning is an intriguing name. Sounds meaningful (if heavy handed). I’d like to see what Barry Manilow could do with it.