Banned in Beijing in 1983, only recently, the dog has returned as a new “best friend.” A stress reliever, a response to “one child,” and a status symbol, dog ownership in Beijing totals 900,000 and is rising. Correspondingly, dog treats, dog care, and pet parks all have growing sales.
China’s middle class also is buying Coach handbags and cars. In its recent conference call, Coach said it is opening 4 new stores for a total of 49 in China. GM also identifies China as a source of sales growth.
The Economic Lesson
With their potentially gargantuan numbers, might a growing Chinese middle class stimulate growth at home and in the US?