Schulze Global views China as the cornerstone of Asia’s development. China has demonstrated unprecedented growth over the past 30 years, with an average annual GDP growth rate of approximately 10 percent. Today, China is the world’s 2nd largest economy, behind the United States. China’s per capita income has likewise grown at an annual rate of approximately 8 percent, ushering millions into an emerging middle class and consumer culture.

Rising Middle Class

According to current estimates, roughly half of China’s population of 1.3 billion will enter the middle class by 2025, creating a middle class well over twice the size of the entire population of the United States. This rise has already resulted in dramatic increases of investment into the following sectors:

- Retail
- Education
- Luxury Goods
- Insurance
- Automobiles
- Airline/Travel
- Consumer Credit


Strong Government Support for Private Sector Development

Thirty years after the start of its market reform initiative, China is working its way out of a formerly state-run economy. Viewing competition and technology transfers as a way to bolster innovation and efficiency in China’s previously inefficient and outdated State Owned Enterprises (SOEs), the Chinese government continues to strongly encourage private sector development.


Evolving Manufacturing Base

China has long been considered the world’s largest “factory”, producing low-tech, simple consumer goods such as textiles, toys, and small electronics.

Today, China’s work force is increasingly educated, and there is a noticeable shift away from low-tech goods to more highly technical products such as advanced industrial equipment, electronics and automobiles. These goods produce higher margins and also allow international brand incubation and intellectual property creation. The evolving domestic high-tech manufacturing base is also beginning to meet the needs of the growing domestic consumer segment, which traditionally relied on foreign imports for such products.


Personable Business Culture

Chinese business culture is based around personal relationships and mutual understanding. Schulze Global’s strong and constant presence on the ground in Beijing has proven to be one of the most important ingredients in its successful dealings.