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Promising plans and partnerships
Source:Global Times Published: 2015-9-21 19:23:01
Executives from top US companies discuss their goals for operating in China
Editor's note:
With Chinese President Xi Jinping in the US until Friday on a four-day State visit, we are continuing our special series on China's economy as seen through the eyes of American business leaders. For this series, the Global Times has invited executives from several top US companies to share their views on China's economy and its overall business environment. The executives, from Amazon.com Inc, Honeywell International Inc and Starbucks Corp, remain optimistic about China's future as a place to do business, especially in terms of partnerships with domestic enterprises and the potential of localization. In interviews with the Global Times, these three executives discussed the promising characteristics of the Chinese market and how they intend to capitalize on them.
China has been phenomenally successful. It is unprecedented for any large economy to grow so quickly for so long. It has never happened anywhere else around the world. One of the reasons for China's rapid development is the stable investment environment. Meanwhile, the Chinese government has rolled out series of policies to boost economic development, such as policies to encourage cross-border e-commerce.
The cross-border e-commerce is a booming trend globally and represents the most dynamic driving force of China e-commerce development. We take China as a strategically important locale from a global perspective and will continue to invest in China.
Our vision in China is very clear: helping China customers gain access to the high quality and authentic international products at fair prices around the world and helping China-based sellers to grow their business globally.
China has become the largest e-commerce market since 2013 and the growth is still very strong. Meanwhile, we believe in the strong purchasing power in China and opportunities for business is tremendous.
The huge market attracts more and more foreign companies to invest in China. For those companies, I personally suggest them to pay attention to localization while leveraging their international resources.
With a 20-year history in e-commerce around the world, Amazon has a unique advantage of global vendor resources and logistic network. That helps Amazon China today host the largest international brands and products among online retailers in China and become the trusted go-to-place for Chinese consumers to shop authentic international products.
Meanwhile, we keep investing to meet our local customer needs. We are directly importing popular selection as well to satisfy local customers' need for hot international brands. This August, Amazon China launched the third locally innovated way that brings the most popular imported products among Chinese customers - the Free Trade Zone (FTZ) model, an innovative service that fulfills customer orders from FTZ directly with localized shipping lead time of one to three days on average.
Background:
With the unique advantage of global vendor resources and logistic network, Amazon China today already hosts the largest international brands and products among online retailers in China and is becoming the trusted go-to-place for Chinese consumers to shop authentic international products already.
We have a good partnership with Commercial Aircraft Corporation of China (COMAC), and we work closely together. COMAC is in a big development process, even though it was only established in 2008, which is quite young compared with its peers.
It is right time for COMAC to have a good development in China, and it can build a solid foundation for the future of aviation in China.
We have been selected by COMAC to provide auxiliary power units (APU), Flight Management Systems, Wheel and Brake systems and Navigation systems for the new C919 airliner, and build joint ventures in China. COMAC is very collaborative, and works closely and openly to communicate with its partners. Not only are the JVs working on the C919, but we also see opportunities for the global market, which is quite exciting. We are proud to be involved in the aviation industry in China. We are looking forward to the C919, C929, even C999.
Building an aircraft is very complicated, and it requires coordination on different parts, such as design, suppliers, and project managements. And safety is also very important. Those are the challenges for the homemade aircraft program.
We understand there are challenges, but we are quite happy about the success we have achieved.
In China, the economy keeps going, and the aircraft market continues to grow, along with young Chinese aviation talents. It is a market with potential, and there are lots of opportunities in China. We are positive and take the long view in the Chinese market.
Background:
In China, Honeywell Aerospace is involved in the development and manufacturing for engine and auxiliary power unit parts, aircraft environmental control systems and aircraft parts and component assemblies.
Honeywell has been selected by COMAC to provide four substantial systems for the new C919 airliner in a contract valued at more than $11.3 billion over the life of the program.
In 2007, the company also signed a deal with COMAC to be the Flight Management System provider for the regional ARJ21 aircraft. The plane had its maiden flight at the end of 2008.
In China today, Starbucks is building a different kind of company: One based on inheriting the foundational values of taking care of our people, exceeding the expectations of our customers, and investing in the communities we serve, while staying true to our coffee expertise. We have complete confidence in the long term opportunity China represents for Starbucks. China is the fastest growing retail market where we are operating more than 1,700 stores with 30,000 partners (employees). With disciplined growth, we aim to more than double our store footprint to 3,400, across more than 110 cities, by 2019.
Coffee sits at the heart of everything we do and since our entry into the market 16 years ago, we have strived to share our love for the highest quality cup of handcrafted Starbucks coffee with each one of our 3.5 million customers who walk through our doors every week. We are deeply humbled by how our customers have come to embrace our stores as a community gathering place. We will continue to invest in enhancing every moment of connection with our valued customers, over our coffee heritage and artistry, to surprise and delight them as part of their daily lives.
Over the years, through our Starbucks China Design Studio and the Starbucks China Research and Development Centre, we have made great strides in the delivery of a locally relevant Starbucks Experience that not only exceeds our Chinese customers' taste preferences and palettes, but also included unique store designs that are a perfect harmony of local cultures and Starbucks' 44 year coffee heritage.
Our aspirations are simple, we want to help cultivate an authentic and locally relevant coffee culture in China and to make Starbucks an integral strand in the fabric of Chinese society.
Background:
Since 1971, Starbucks has been committed to ethically sourcing and roasting high-quality arabica coffee. Today, with more than 22,500 stores around the globe, Starbucks is the world's premier retailer of specialty coffee. Since Starbucks opened its first store in Beijing in 1999, China has become one of its most important markets.
Read more in Special Coverage:
With Chinese President Xi Jinping in the US until Friday on a four-day State visit, we are continuing our special series on China's economy as seen through the eyes of American business leaders. For this series, the Global Times has invited executives from several top US companies to share their views on China's economy and its overall business environment. The executives, from Amazon.com Inc, Honeywell International Inc and Starbucks Corp, remain optimistic about China's future as a place to do business, especially in terms of partnerships with domestic enterprises and the potential of localization. In interviews with the Global Times, these three executives discussed the promising characteristics of the Chinese market and how they intend to capitalize on them.
Doug Gurr, president of Amazon China Photo: Courtesy of Amazon China
China has been phenomenally successful. It is unprecedented for any large economy to grow so quickly for so long. It has never happened anywhere else around the world. One of the reasons for China's rapid development is the stable investment environment. Meanwhile, the Chinese government has rolled out series of policies to boost economic development, such as policies to encourage cross-border e-commerce.
The cross-border e-commerce is a booming trend globally and represents the most dynamic driving force of China e-commerce development. We take China as a strategically important locale from a global perspective and will continue to invest in China.
Our vision in China is very clear: helping China customers gain access to the high quality and authentic international products at fair prices around the world and helping China-based sellers to grow their business globally.
China has become the largest e-commerce market since 2013 and the growth is still very strong. Meanwhile, we believe in the strong purchasing power in China and opportunities for business is tremendous.
The huge market attracts more and more foreign companies to invest in China. For those companies, I personally suggest them to pay attention to localization while leveraging their international resources.
With a 20-year history in e-commerce around the world, Amazon has a unique advantage of global vendor resources and logistic network. That helps Amazon China today host the largest international brands and products among online retailers in China and become the trusted go-to-place for Chinese consumers to shop authentic international products.
Meanwhile, we keep investing to meet our local customer needs. We are directly importing popular selection as well to satisfy local customers' need for hot international brands. This August, Amazon China launched the third locally innovated way that brings the most popular imported products among Chinese customers - the Free Trade Zone (FTZ) model, an innovative service that fulfills customer orders from FTZ directly with localized shipping lead time of one to three days on average.
Background:
With the unique advantage of global vendor resources and logistic network, Amazon China today already hosts the largest international brands and products among online retailers in China and is becoming the trusted go-to-place for Chinese consumers to shop authentic international products already.
Jeff Rollins, vice president of Asia Pacific OEMs, Air Transport and Regional, Honeywell Aerospace Photo: Courtesy of Honeywell Aerospace
We have a good partnership with Commercial Aircraft Corporation of China (COMAC), and we work closely together. COMAC is in a big development process, even though it was only established in 2008, which is quite young compared with its peers.
It is right time for COMAC to have a good development in China, and it can build a solid foundation for the future of aviation in China.
We have been selected by COMAC to provide auxiliary power units (APU), Flight Management Systems, Wheel and Brake systems and Navigation systems for the new C919 airliner, and build joint ventures in China. COMAC is very collaborative, and works closely and openly to communicate with its partners. Not only are the JVs working on the C919, but we also see opportunities for the global market, which is quite exciting. We are proud to be involved in the aviation industry in China. We are looking forward to the C919, C929, even C999.
Building an aircraft is very complicated, and it requires coordination on different parts, such as design, suppliers, and project managements. And safety is also very important. Those are the challenges for the homemade aircraft program.
We understand there are challenges, but we are quite happy about the success we have achieved.
In China, the economy keeps going, and the aircraft market continues to grow, along with young Chinese aviation talents. It is a market with potential, and there are lots of opportunities in China. We are positive and take the long view in the Chinese market.
Background:
In China, Honeywell Aerospace is involved in the development and manufacturing for engine and auxiliary power unit parts, aircraft environmental control systems and aircraft parts and component assemblies.
Honeywell has been selected by COMAC to provide four substantial systems for the new C919 airliner in a contract valued at more than $11.3 billion over the life of the program.
In 2007, the company also signed a deal with COMAC to be the Flight Management System provider for the regional ARJ21 aircraft. The plane had its maiden flight at the end of 2008.
Belinda Wong, president of Starbucks China Photo: Courtesy of Starbucks China
In China today, Starbucks is building a different kind of company: One based on inheriting the foundational values of taking care of our people, exceeding the expectations of our customers, and investing in the communities we serve, while staying true to our coffee expertise. We have complete confidence in the long term opportunity China represents for Starbucks. China is the fastest growing retail market where we are operating more than 1,700 stores with 30,000 partners (employees). With disciplined growth, we aim to more than double our store footprint to 3,400, across more than 110 cities, by 2019.
Coffee sits at the heart of everything we do and since our entry into the market 16 years ago, we have strived to share our love for the highest quality cup of handcrafted Starbucks coffee with each one of our 3.5 million customers who walk through our doors every week. We are deeply humbled by how our customers have come to embrace our stores as a community gathering place. We will continue to invest in enhancing every moment of connection with our valued customers, over our coffee heritage and artistry, to surprise and delight them as part of their daily lives.
Over the years, through our Starbucks China Design Studio and the Starbucks China Research and Development Centre, we have made great strides in the delivery of a locally relevant Starbucks Experience that not only exceeds our Chinese customers' taste preferences and palettes, but also included unique store designs that are a perfect harmony of local cultures and Starbucks' 44 year coffee heritage.
Our aspirations are simple, we want to help cultivate an authentic and locally relevant coffee culture in China and to make Starbucks an integral strand in the fabric of Chinese society.
Background:
Since 1971, Starbucks has been committed to ethically sourcing and roasting high-quality arabica coffee. Today, with more than 22,500 stores around the globe, Starbucks is the world's premier retailer of specialty coffee. Since Starbucks opened its first store in Beijing in 1999, China has become one of its most important markets.
Read more in Special Coverage:
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