China has been hit by the most critical crisis in the modern economy. This crisis has attacked China’s economy really hard, for 2months. It was long, the economy was stopped totally, people were stuck at home, and companies were in quarantine for 8 weeks. In an effort to protect the health of our teams, Since January 24th our company has been closed, and our staff has to work at home. We have to adapt our organization and our work to pure online management.
This crisis change a lot of consumption in China
- Many businesses have been in trouble
- Many companies have closed
- and few industries are actually booming.
This crisis creates new trends that I will try to analyze for you.
Trend 1: Health is booming
There is a big concern for Chinese people about their health, and this crisis creates fear in the mind of millions of Consumers. Health is now the number one concern…
- Medical Products are on the rise
- All healthcare products as well have known a huge boom in China
- Health supplements, vitamins … all these products have been hunting during the crisis, with the belief that you need to make your body stronger
- Sport & fitness: many Chinese are aware now that doing sport helps you to become more resistant to a health attack
- Medical services like insurance are of course now a necessity for all Chinese
Health Business is the big winner of this crisis
Chinese health products and equipment get a positive impact on the world, and China will emerge as a health giant in the next decade, especially in underdeveloping countries.
Trend 2: online education
Kids were not able to go to school, college, and university, and China has developed a lot of tools to let students still learn via online education.
The app, video conference, online homework…
Online education has known a terrible boom, lot of new solutions have been tested and created…
Many parents have been forced to test for online education and the tests were positive.
Even foreign teachers give English classes on WeChat via video conference with younger kids.
Online training for companies has also got a positive development. During this crisis, many parents studied at home and subscribed to online classes.
Many people feeling bored at home, have trained themself with online lessons.
China has made a big boom in online education, which is basically the future of education.
Trend 3: Full e-Commerce
During the crisis, all stores were closed, so 100% of the population ordered online products, and spend hours online shopping.
It was the ONLY way and most of the e-Commerce companies in China have gotten an enormous Boom.
Alibaba, JD … all these e-Commerce companies have managed an increase of consumption online…
Even the oldest users have learned how to order online food, buy products, and learn how to check information on Brands.
China has moved for 8 weeks, to a 100% e-Commerce Business… that is basically the future of distribution.
Time has been really hard for offline distribution, offline stores, and shopping malls…
The delivery industry was in the hottest time of their history, with millions of Kuadi that deliver food, and products to the population. Smart technology has been developed to maximize all transport efficiently.
Trend 4: entertainment and video game
Because most people stay at home, the entrainment Business has been 100% digitalized.
All shows, museums, and activities have been moved online. All video channels have counted millions of new subscribers, and time spent on video has been increased up to 50%
Douyin for example will have I guess a really good score if they are allowed to publish their figures.
Iqiyi, which is the Chinese Netflix has seen a huge increase in subscriptions.
A video game that was still not that developed for all generation, have helped all these people to spend their time. Most video game companies got an increase in their score.
Trend 5: Investment and Fintech
Fintech has been really creative during this crisis and adapts very fast to Chinese new needs, where most traditional banks were absolutely out of the game.
WeChat Pay and Alipay of course… the most way to get paid.
P2P business which was dying end of 2019, suddenly dead got popular again, as a solution to save Business and finance projects. .
Microcredit that you can get on JD finance has gotten an enormous boom.
Finance startups are the big winner, and traditional Banks were the biggest losers.
Overseas investments have been searched by millions of Chinese investors…
Of course buying property, the number one Chinese investment
(New) Property + Passport like in Turkey was on the raise, for example.
Most Chinese can not travel so they make decisions based on online information.
Video, online checking, and 3D solution have been provided to help these investors to buy oversea properties.
Trend 6: Online Businesses win, traditional ones die
All internet companies win a lot during the crisis… All time spent on social media has been tripled…
All dating APP has won over bar and disco
Online delivery has won the restaurant business
Online work has forced millions of companies to adapt, and I will be not surprised if office work will decrease…
China is moving to a more digitalized and modern economy, where the old traditional business has simply died and where innovation and flexibility of the web Businesses get the full reward.
A new Century for China for me will start after this crisis, and the new model of fully digitalized… where offline will just support the main online Business.
What is the situation now in China?
- China crisis is finishing, moral of the population is high , they win this war
- business starts again, factories are producing and the world will need his factory more than ever.
- Chinese People did not consume for 2months , their bank account is full, and they want to spend their money.
- Health is a priority now, healthcare product on the rise
- e-Commerce is main business , offline just support
- Online is just everything… working, dating, meeting, entertainment, shopping …
- online education is booming, and it is just the beginning
- Global investors are seeking refuges into Chinese Startups
China will be soon THE ONLY country, good for Business now.
Many countries will be hurt by the sanitary crisis and then the economic crisis… and if it takes 3 months for China to pass, I am afraid that it will be longer for old fashion economies like a European country…
China become ever stronger after this crisis, and smarter.
They show their capacity to the world to manage the crisis and make things done fast.
- lot of brands stop the business,
- Many companies stop their Marketing campaign and losing market share
- Lot of brands give up… Lot of companies have closed
To conclude 危机 (Wei Ji) Mean crisis in China.
- 危 Danger
- 机 opportunities
For businessmen that wants to develop Business in China…
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Discussion is open to any questions and comments
Founder of GMA
Could you blame China, even if the information it initially provided about Covid-19 wasn’t flawless?
2. Should Chinese authorities issue a disclaimer, everytime they communicated with their foreign peers? ?
3. What should you expect, given the fact that this new strain of coronavirus only emerged not long ago?
4. To err is human.
Obviously, there are now concerted efforts to capitalize on this pandemic crisis to dictate unreasonable terms to China.
Even Dr Fauci is guilty of trying to scapegoat China, making unsubstantiated claims, in bid to excuse himself for earlier misjudgment, while covering up the Trump administration’s unforgivable fumble.
No test is better than a crisis situation, when even the most trusted characters may reveal their true colors. This is perhaps, the silver lining of it all, to see the US resort to “hijacking” protective face masks made in China for its European allies.
Through rendering crucial medical assistance to countries in their most desperate hour of need, the experience gained is unprecedented. The relevant expertise won standing in solidarity with the global community is arguably what China values the most, to strengthen future preparedness.
No amount of material wealth can buy an effective response mechanism to a crisis. The fraternity bond that is built with tears and blood will not be easily broken.
Chinese diplomacy put it in sharp contrast to America’s brute capitalism reminiscent of highway robbery. No amount of China-bashing smearing campaign will make up for lost ground on US credibility.
We are in uncharted territory, where the vulnerabilities, incompetence, irresponsibility, hypocrisy, and ugliness of Western liberal democracy are laid bare.
It is the moment of truth for the healthcare system under free market capitalism, that boasts transparency, accountability and legitimacy.
American bankruptcy is nearly complete, with global remifications far beyond the financial sector. The market meltdown of Wall Street following the paralysis of New York City is only manifestation of the rot seen throughout the US, both top-down and bottom-up. Nothing will compensate that in the foreseeable future.
Ultimate victory ultimately depends not on advanced tech, complicated strategy and calculations. It is simply doing the simple things right.
1. China’s wet markets are enough to scare the shit out of them.
When did wet markets turn into WMD?
Why the “paper tiger” reaction?
2. What’s the credibility of US experts, given the pandemic crisis in the US, not least NYC, the global capital of capitalism?
3. What does the paralysis of NYC portend for liberal market capitalism?
4. What are Dr Fauci’s intentions in making unsubstantiated claims that link Covid-19 to Wuhan’s wet market?
5. How many marks would you award Dr Fauci, given the situation in the US?
He said NYC did nothing wrong, in crisis-management.
Wet markets are commonly seen throughout most parts of the world, including Vietnam, Malaysia, the Philippines, Indonesia, South Korea, and Japan, just to name a few in the region. Europe too, has its own wet markets.
When did China invent wet markets?
By the way, Dr Fauci seemed to have missed the golden opportunity to contain the spread of Covid-19 early on in the US, not least New York.
Moreover, where’s the evidence directly linking patient zero, whom hasn’t even been identified, to wet markets in Wuhan?
Is that even a scientific assessment by Dr Fauci, given many other possible routes of transmission? ?
Let’s be honest to ourselves and stop trying to shift the blame, for once. Scapegoating China won’t contribute to solving the challenge by any measure.
Why does it matter, where Covid-19 originated?
Different possibilities exist.
From a scientific perspective, it may help in crafting better preventive measures.
However, that does not change the fact that this particular strain of novel coronavirus was discovered, identified and reported, thanks to China.
China has no more or less responsibility to the world, regardless of the origin of the virus, or Covid-19 (note the distinction between the virus and the disease caused by it).
Otherwise, does it mean the country of its origin, that failed in detecting its presence or identifying it, is now suddenly responsible for the global pandemic crisis?
Is that reasonable? Would that make any logical sense?
All misinformation or just anything negative about China is “free speech”.
All positive news about the country, however truthful, is only “propaganda”.
When China assisted Africa, or made foreign infrastructure investments, Beijing had sinister agenda.
When America bombed sovereign nations back to the Stone Age, it was all simply fighting for freedom.
When global discourse is hijacked, this is the Orwellian narrative of our times.
Wuhan seafood market may not be source of novel virus spreading globally
When the Chinese seemed to be the sole people battling the coronavirus, their plea for greater international understanding fell on death ears.
They did sound stark warnings through the state media, that the coronavirus wasn’t found to be racist, urging a united global front in the war on a common viral threat. World leaders couldn’t care less.
The following instances sow seeds of doubt on the credibility of American leadership in the world.
Commerce Secretary Wilbur Ross says China’s coronavirus ‘will help’ bring jobs back to U.S.
Who do you blame, when you are down with flu last time, this time, or perhaps next time? ?
How could an “authoritarian regime” be responsible for what happened within the borders of a “liberal democracy”?
Is there genuine accountability, under a liberal democratic system built on transparency?
Look what I shared: US Air Force Flew Half a Million Coronavirus Test Swabs From Italy to Tennessee – Defense One @MIUI| https://www.defenseone.com/…/us-air-force-flew…/163879/
Now that the chickens have come home to roost, the Trump administration is still desperately branding Covid-19 as a “Chinese disease”, trying to pin the blame on China, despite mounting evidence.
Zhong Nanshan: No evidence that COVID-19 originated in Wuhan
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