Domestic enterprises are making full use of the Chinese Export Commodities Fair to promote themselves to the international market, a move that will help Chinese brands enhance their global reputation and increase their profit margins.
Experts and insiders point out that, facing ever-increasing domestic competition, Chinese companies are striving to exploit a new growth engine, while overseas marketplaces are offering them new platforms and helping them to diminish business risks.
So far, a group of Chinese brands have stood out in the global market thanks to the platform offered by the semi-annual event and their persistent efforts.
HODO
Starting out as a knitting cloth manufacturer in Wuxi, a small city in East China's Jiangsu Province, HODO's original name was Hong Dou - a Chinese name for one of the nation's most beautiful plants.
In the 1990s, Hong Dou's business has extended to clothes, rubber, engines and real estate and became China's leading jacket, T-shirt, underwear, trousers, gasoline tank and motorcycle tyre manufacturer in terms of sales.
The company, however, was not satisfied with its performance in China and decided to enter the international market by showcasing technologies and products at the Chinese Export Commodities Fair, also known as the Canton Fair.
The first step was CIS (Corporate Identity System) reform, aimed at helping foreigners to recognize the brand, logo and image of Hong Dou or HODO.
"Our expansion to the international market was carried out step-by-step," said Dai Yu'e, general manager of HODO Import and Export Co Ltd, a subsidiary for HODO's overseas business.
The subsidiary is busy establishing plants in Cambodia and Pakistan, in a bid to reduce costs and to deal with constant trade conflicts and import restrictions on China-made products by the United States and European nations, according to Wang Zhuqian, director of the marketing department of HODO Group.
The group revealed that around 40 per cent of its clients came from the Chinese Export Commodities Fair and it has rented six booths for this session - four for textile products, one for motorcycles and one for bedding respectively.
TEVEL
As one of China's pioneer bedding designing companies, TEVEL became famous late last century in China for its strong development capacity and creative designs, and has won a string of national awards.
However, Jin Yutang, general manager of TEVEL Group, believed the company should look to the outside world because of Westerners' ever-increasing interest in traditional-Chinese-style designs, a guarantee for high profit margins, thanks to TEVEL's edge in designing.
The company began attending the Chinese Export Commodities Fair from 2003 and achieved fruitful results.
So far, export destinations of TEVEL's designs and products have expanded from the United States, Britain and Japan to 10 foreign countries, including Australia, Germany and Italy.
And the company is acting as a long-term supplier for leading global chain retailer Wal-Mart.
Jiangsu-based TEVEL boasts three long-term booths at the Canton Fair and its export volume makes up one-third of the company's total annual sales.
YASHIPS
Jiangsu YASHIPS Lighting and Electric Co Ltd rented half a booth at the Chinese Export Commodities Fair in 2003.
And the company inked deals with a group of foreign clients at the fair with a combined volume of US$100,000-plus.
From then on, YASHIPS became a loyal participant in the Canton Fair and its transaction volume reached US$18 million during the 2005 autumn session.
"The fair acts as a link between foreign clients and us," says Yin Jingxing, president of YASHIPS, adding that the clients not only provide business opportunities for YASHIPS, but also help them upgrade technologies and streamline working procedures.
YASHIPS has set up a 500-square-metre research and development lab in co-operation with Phillips, and a new 500,000-square-metre plant.
"Technology renovation makes YASHIPS more competitive and adds to its bargaining power in domestic and international markets," said Yin.
