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Subject:
CHINA BUSINESS
Period: September 1, 2011 to October 1, 2011
Geographies:
Worldwide
Categories:
Comment & Opinion or Companies, Organizations or Consumers or Controversies & Disputes or Deals, M&A, JVs, Licensing or Earnings Release or Finance, Economics, Tax or Innovation & New Ideas or Legal, Legislation, Regulation, Policy or Market News or Marketing & Advertising or Other or People & Personalities or Press Release or Products & Brands or Research, Studies, Advice or Supply Chain or Trends
Contents
 
Market News  

Chinese Company Expands Facilities To Ramp Up Organic Food Production

Chinese food and beverage company Nutrastar International said it plans to significantly expand its organic and specialty food consumer products business over the next year and a half. Production capacity expansion will total 890,000 square meters on the existing production grounds. The company said it will add hundreds of greenhouses with an annual projected organic production capacity of 6.5 million kg. The company’s current consumer product businesses include a specialty mushroom line and several beverage lines. The company is taking advantage of local government initiatives – sparked by China’s food safety problems – that provide financial support through subsidies to organic and green producers.

"Company Plans to Increase Organic and Specialty Food Product Offerings by 2012", Press Release, Nutrastar International, September 19, 2011

Carrefour Posts Half-Year Drop In Profit

French retail chain Carrefour reported a 2.3 percent increase in sales in the first half of 2011 to €39.6 billion ($56.3 billion), but a drop in profit of €927 million ($1.3 billion), compared to a profit of €14 million a year ago. The company attributed the drop in profit to “unsatisfactory performance” in France and a “tough environment” in Europe. Weak sales and unsatisfactory profit performance were the key problems in France, along with underperformance in Italy and Greece. Latin America, however, experienced solid growth in sales, and included an “encouraging turnaround” in Brazilian hypermarkets. The company also reported good growth in China and a confirmed recovery in Taiwan.

"Carrefour H1 2011 Results", Press release, Carrefour, August 31, 2011

China's bronze age

China Daily, September 23, 2011

Special Report: The World’s Oldest Populations

Euromonitor International, September 13, 2011

Consumer Goods from China Are Getting More Expensive

Federal Reserve Bnk of New York, September 07, 2011

P&G advertising got boost

Cincinnati.com, August 10, 2011

Trends  

PepsiCo To Work With China On Developing Sustainable, Modernized Agriculture

PepsiCo has launched an initiative with the People’s Republic of China to promote sustainable agriculture projects and accelerate the development of the Chinese countryside. The company will work with China’s Ministry of Agriculture to build and operate demonstration farms that apply advanced irrigation, fertilization and crop management techniques. According to PepsiCo, they will also promote best practices in China's farming system to improve yields, increase income levels and raise living standards for farmers throughout the country. The partnership underscores the company's support for China's 12th Five-Year Plan, which establishes objectives for developing sustainable agriculture and speeding up agricultural modernization.

"PepsiCo to Partner with China's Ministry of Agriculture to Promote Sustainable Farming", Press release, PepsiCo, September 19, 2011

China’s Interest In Nutricosmetics Sparks Strong Sales Growth

Though nutricosmetics haven’t caught on in other parts of the world, market data from Datamonitor show high per capita spending in Asia, particularly in Japan. Nutricosmetics sales are  growing especially strongly in China, which is  expected to overtake Japan by 2015, according to market researcher Frost & Sullivan. Driving the phenomenon in China are rising disposable incomes, increased concerns about beauty, and strong cultural acceptance of the beauty-from-within concept, thanks to centuries of use of herbs and plants to cure beauty-related problems. In this report, Happi.com outlines nutricosmetics market opportunities for both established companies and new entrants in the Asian region.

"Nutricosmetics More Than a Niche in China", Happi.com, September 01, 2011

Concern Over Pesticide Use, Water Pollution Supplants Worry Over Climate Issues – Nielsen

A Nielsen survey of more than 25,000 Internet respondents in 51 countries finds that environmental concerns have displaced global warming and climate change as the top concerns of consumers, perhaps due to a drop in media attention. Key issues that have online consumers on edge are air and water pollution, water shortages, packaging waste and use of pesticides. Sixty-nine percent of consumers still say they worry about climate change/global warming (down from 72 percent in 2007). But 75 percent rated air pollution and water pollution as top concerns, both increasing six percentage points compared to 2009, according to Nielsen. Concern is mounting fastest over the use of pesticides, packaging waste and water shortages, with reported concern increasing 16, 14 and 13 percentage points, respectively.

"Sustainable Efforts & Environmental Concerns", Nielsenwire, August 31, 2011

Chinese Web Rivals in Alliance

Wall Street Journal, September 20, 2011

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