China: Attractions in Shopping Malls and the main opportunities from a report on leisure & entertainment developments
Speaker: Jonathan Robson
Jonathan Robson of UKTI, who is a regular visitor to China, and previous resident, who will present the main findings and specific opportunities from a report on leisure & entertainment developments in China and the opportunities for companies that want to provide attractions & products for shopping malls:
More restrictive policies on land use and lower land appreciation rates are pressing Chinese developers to align more with the country’s cultural objectives and enhance their brand features – an innovative experience based model is a key driver for future growth. Chinese leisure attractions are now faced with incoming world-level competition from companies like Disney and DreamWorks, which will greatly weaken their dominant market position and push them to pursue higher professionalism and quality services. The consumer base for leisure attractions consumption keeps growing because of the wealth accumulation of the middle class and the demographic feature which leads to an increase in children-based spending. There is also a strong drive to create indigenous IPs, but importing recognized IPs from abroad is an attractive option for Chinese developers in the short term. From the regulatory point of view, there are very few barriers to UK companies entering. Apart from compliance issues on imported equipment, most other issues will be the responsibility of the Chinese partners. However, developers vary hugely in terms of their expertise and level of professionalism when working with foreign partners. The level of recognition for professional services is still lacking, therefore, first establishing then sustaining personal contact with the key stakeholder is the most important element to market entry in China.