Global media focus｜The perfect combination of quality and price, Chinese products resonate with consumers

Bloomberg published an article on November 3 stating that many business empires are built on the idea that reputable products should charge prices well above production costs. However, Chinese companies are challenging the traditional perception that “quality requires high prices.” If they can succeed in overseas markets, established rivals may no longer be able to charge the high prices they used to.

The article said that the automobile industry is a significant example. Chinese automakers are building their reputation on a simple concept: offering a wide range of features at an affordable price. Chinese car companies offer technologically advanced and well-equipped models at lower prices than those of older brands. While this has caused anxiety among some trading partners, there have been few complaints from consumers facing a cost-of-living crisis.

The article stated that a survey released by the Canadian Clean Energy Association last month showed that nearly half of Canadian drivers who expressed interest in purchasing electric vehicles were waiting for models from Chinese brands to be launched before making a decision. There are many models from Chinese brands expected to be launched early next year. These models may be 15% cheaper than existing models, but have higher configurations and richer features.

The article said that this trend is accelerating in many fields, from high-end camera lenses to household appliances to luxury fashion consumer goods. Industry insiders said in interviews that this perfect combination of price and quality will resonate with consumers in other industries (including the luxury goods industry). With a large manufacturing base, "Chinese brands" have the potential to create global competitors in almost all high-end consumer goods sectors.

The article mentioned that in the field of photography, lenses produced by Chinese companies are famous among photography enthusiasts for their price of $1,500; sneaker enthusiasts are full of praise for the $150 shoes of a brand in Shanghai, which they believe are comparable to $1,000 designer shoes; the price of a Chinese cashmere brand known for its minimalist design is much lower than similar products from well-known Italian brands, but the quality is not inferior to these well-known brands.

The article believes that after China opened up to the outside world in the late 1970s, global manufacturers began to transfer production to China. Initially, these Chinese factories produced low-end mass-market goods. But as more and more factories began to accept complex OEM orders from Western companies, they gradually accumulated expertise and laid the foundation for the rise of China's manufacturing industry. Today, these Chinese brands are actively expanding overseas markets.

The author writes at the end: Nowadays, whenever she needs to make any bulk purchase, she herself will think about whether there are any Chinese products worth considering, because Chinese products are not only of high quality, but also save a lot of money.