Saturday, January 12, 2008

Speed of Asia Market

Booming Asia markets could be characterized by two words: connected and disorganized.

It is connected in at least two senses. First, Asian families are knitted tightly and survived adversities together for generations. They are bonded through crawling networks. Second, Asian countries witnessed frenzied broadband growth.

Strategy Analytics' report also highlights the Internet's explosive growth in China, and forecasts that the number of homes using broadband Internet in the Asia-Pacific region will triple, from 61 million today to 176 million by 2010. China will make up 64 percent of residential broadband users in the area, up from less than 40 percent today. Indeed, broadband isn't an American phenomenon, even today. Seventy seven percent of South Korean homes use broadband, and over half the homes in Taiwan, Hong Kong and Singapore all have broadband. (Internet Usage Grows in Asia-Pacific)

These connections could swirl like a volatile storm with applicable agitation. It was happened for Colgate in 2004 when 'an academic study in the United States alleged that it [Triclosan, New Triclosan Problems, Overuse of the antimicrobial triclosan in antibacterial soaps may promote triclosan-resistance] could cause cancer when combined with fluoride.'

"In China, the study got picked up and, because we're the leading brand of toothpaste, we were singled out," Hofheimer said. "All of the major newspapers led with stories saying, 'Colgate causes cancer.' At first our management said, 'This isn't true, so let's not overreact.' But within two weeks, our business in China had dropped by 25%. ('What Are You Giving Away?')

It is disorganized in the sense that there is no mature coordination or regulation for a bursting Asian market. Free spirited merchants would squeeze profit through every possible way, some times at cost of intellectual properties, .

You can buy Callaway golf clubs here for the price of hordeurves. I mean, come on, I can walk you down the street to a five places to buy fake Callaways that are just like real or to buy DVD's and movies or any product (Intellectual Property Rights Violations in China).

and sometimes through so called gray market

But Apple's much-hyped iPhone is finding buyers in early-adopter geeks who will pay $800 to $1,500 for the latest gizmo to show off. The phone, which will officially be shipped to Asia only next year, costs a lot more on the grey market here than the US$399 (S$581) in American stores. But geeks are splashing out because the versions sold here have been 'unlocked' or modified by parallel importers to use cellphone networks here. (SINGAPORE: iPhone in demand on grey market here)

So, be prepared if you are ambitious to seek an Asian opportunities.


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