GUANGZHOU - Recently, Mr. Rogier E.A. de Jong B.Ec. MBA, CEO of New Thoughts, explained his vision on Guangdong’s economic future in front of an audience of representatives of leading Chinese enterprises.
According to Mr. De Jong many of the manufacturing companies in Guangdong will have to step up the coming decade: “They must add more value to their products by improving quality, increasing the level of technologies used, finding new (foreign and domestic) markets and building brand-equity.” “The present form of export focused manufacturing alone is not going to last”, he said.
The 70% wage increase by Foxconn after a spate of suicides among workers is not a one time incident, he argued: “Manufacturing wages across China have increased by 14 percent over the past year, making the prospect of producing goods in nearby Southeast Asian countries such as Vietnam, Bangladesh or Sri Lanka and even Africa seem a viable alternative”.
Mr. De Jong believes that the current labor cost pressure will be a catalyst for change in China. “The labor cost pressure stimulates upgrading: Pushing the manufacturing industries into the direction of higher value-added activities.” “And that’s also what the government wants”, according to Mr. De Jong.
Asked for his opinion as a marketer on the phase-out of the so-called “China Top Brand”, as reported recently by the Beijing Times, Mr. De Jong stated: “A title conferred by the General Administration of Quality Supervision and Quarantine (GAQSIQ) or any other governmental organization has limited value overseas”. “I look at the phase-out mentioned in the Beijing Times as a sign that brand-awareness is maturing in China; I expect that in future policies brand-equity will be stimulated more related to the appreciation of customers / consumers.”.
New Thoughts
New Thoughts is an international marketing consultancy that helps Chinese small– and medium-sized enterprises cultivate brand-name products / services in China and abroad. The head office of New Thoughts is located in Tianhe CBD, Guangzhou. The marketing expertise of New Thoughts ranges from strategy & planning via international sales and – customer service to internet. Next to her core-services New Thoughts also provides training for Chinese professionals.
Mr. De Jong
Mr. De Jong has many years of extensive world-wide marketing experience and works from the marketing proverb “narrow your focus and dominate your markets”. He is confident that Chinese brands will conquer the world the next decade and is proud to be one of the “marketing mercenaries” that will facilitate this development.
For more information, please contact:
Ms. Zera LIU, Office Manager
Phone: +86 20 38860668 Extension 1011
Fax: +86 20 38860638
Email: zera@newthoughts.cn.com
