Chinanews.com, Beijing, May 17 (Reporter Xia Bin) Over the past few years, the boom of Chinese companies going overseas is in the ascendant. With the intensification of competition in the local market, the comprehensive characteristics of overseas markets and the changes in international environmental factors, Chinese companies are increasingly seeking to achieve in emerging markets. "Away win."
A report issued by the China Merchants Bank Research Institute pointed out that, from the perspective of the global situation, Chinese companies going overseas to compete in emerging markets have become the only choice for Chinese construction machinery companies to break through the growth ceiling.
The report said that looking forward to 2030, in China's domestic market, no matter the market share of domestic brands, or the scale of demand in the construction machinery market will be close to the ceiling.
From the perspective of global construction machinery market demand, the core driver of the global construction machinery market will be transferred to other emerging economies, copying the development path of overseas giants "localization-overseas layout-globalization", going overseas to compete in emerging markets, has become China's construction machinery The inevitable choice of enterprises.
Receiving orders from all over the world, building roads, repairing high-speed rails, building ports... all kinds of infrastructure companies "going out" have enabled China to win the title of "King of Infrastructure" in the world, which can foresee China's future position in emerging markets Will be stronger.
In addition to "speaking with engineering", Chinese Internet companies are also using technology, products and services to capture the "hearts" of emerging markets.
For example, China's cross-border e-commerce has run out of a number of dark horses. SHEIN, a company established in Nanjing, has won the hearts of overseas young people. Its revenue in 2020 will be nearly 10 billion U.S. dollars. The cumulative number of installed users of various APPs under Eggplant Technology has reached nearly 2.4 billion, its main product SHAREit has become a national application in many emerging markets, and with its rich overseas experience, it has helped many domestic companies to go overseas smoothly.
The relevant person in charge of Huawei mentioned that emerging markets such as Africa, Latin America and some Asian regions still have blanks in Internet applications, and the massive needs of users have not been effectively met. They are "blue ocean markets" that go overseas.
Take Africa as an example. There are about 390 million local Internet users and about 150 million LTE users. There is a large market for unconnected users.
At the same time, there are no strong Internet companies in the above-mentioned emerging markets, and European and American companies have insufficient local investment.
Therefore, these emerging markets are the preferred regions for Chinese Internet companies to go overseas.
Wang Chao, a partner of Eggplant Technology, told a reporter from Chinanews.com that Southeast Asia, South Asia, South Africa, and the Middle East have become its overseas "basic disks". Starting this year, it will begin to focus on North Africa and Latin America.
Why did you make such a choice?
"An 18-year-old youth in Beijing, China, and an 18-year-old youth in Cairo, Egypt, both have the same needs and desires, but the reality of the business and social choices gives them completely different satisfaction.” Wang Super said.
He said that the screening of the market in the process of going abroad is nothing more than two reasons. One is the large population and the other is the rapid increase in GDP. Behind this is the contradiction between the increasing demand of users and the gap between actual supply.
"We have been looking at emerging markets and have been looking for markets with structural contradictions. Solving the structural contradictions in emerging markets is a business opportunity."
Tian Xingzhi, co-founder of Asia Innovation Group, believes that compared with the mature Internet and mobile Internet markets in China, the technology industry in other emerging markets around the world is still in the growth stage and contains huge development dividends.
The Middle East, Southeast Asia, Africa, India and other regions are becoming new Internet traffic portals.
These areas have a large population, a younger structure, rapid growth in the Internet, and a relatively small share of the valuation and market share of leading companies. They have become a traffic depression targeted by Chinese companies going overseas.
"In the future, Eggplant Technology will still focus its development on tapping potential emerging markets, continue to introduce new products that address user needs, and continue to explore new markets and people that have not yet been satisfied." Wang Chao said.
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