City’s profile goes global
Qingdao is becoming increasingly known for much more than beer, thanks to its growing number of quality companies, Hao Nan reports.
Alarge-scale city promotion tour organized by the Qingdao government’s information office and the Qingdao Radio and Television Station came to its last leg in Germany last month.
During the 72-day event, reporters interviewed representatives from several Qingdao companies in 11 countries along the route of the Silk Road Economic Belt, including Turkey, Greece, Italy, Austria and Germany, to learn more about their achievements in the internationalization process.
In Europe, the city of Qingdao, Shandong province, has become familiar to many people through Tsingtao beer.
The beer, which entered European markets 60 years ago, has earned both widespread popularity and an excellent reputation due to its high quality and good taste.
Tang Taidong, a Chinese businessman who runs a trading company in Italy, said that he has been in the import and export business for 20 years and never heard of any quality problems concerning Tsingtao beer.
To maintain its competitiveness in the intensely competitive European marketplace, Tsingtao Brewery integrates brand culture into sales and considers good service a vital tool in its market expansion strategy.
Bi Weifeng, general manager of France-based Tsingtao Brewery (Europe) Trading, said the company’s strategies have helped it to lay a solid foundation in Europe’s markets. “We will enhance the brand connotation and highlight its internationalization and marketization,” he said.
In Italy, which is renowned for its diverse microbreweries and craft beers, the average price of Tsingtao beer is set slightly higher than that of local brands.
Through regular tasting activities held by its Italian distributors, Tsingtao has gradually earned recognition as one of the leading representatives of Chinese food and drink culture among local people.
More than 140,000 boxes of Tsingtao beer are sold in Italy annually, and it is especially popular in Bologna, Turin and Venice.
Tsingtao Brewery promises delivery within 24 hours of placing an order, and its sales staff maintain close links with their clients to ensure that they keep abreast of the latest market trends and information.
Tsingtao beer is now sold in more than 800 Asian restaurants in Austria and the company is expanding its sales channels in supermarkets.
Since 2015, the company has sent its talented beer makers to Doemens Academy in Munich for annual training that lasts six months. The training includes instruction on brewing technologies, and technical and commercial guidance in the industry.
Wang Juan, one of the students, said she appreciated the colorful beer culture she experienced at the academy.
The new brewing technologies and concepts will contribute to Tsingtao’s innovative and differentiated development, Wang said.
Chinese electronics giant Hisense headquartered in Qingdao has made several moves to raise its brand recognition in Europe in recent years, such as setting up a plant in the Czech Republic and sponsoring both the UEFA European Championship 2016 and the German Bundesliga club Schalke 04.
Pang Jing, general manager of Hisense Germany said the company hopes to increase its brand awareness in the German market through Schalke 04, as it has a large group of fans in the country.
Europe has always been an important market in Hisense’s internationalization strategy. The company entered the European marketplace in 2002 and established its first overseas plant in Hungary in 2004.
Its Czech plant started operations in 2015 and its products have been sold to all major European markets with great success. An example of this success can be seen in its sales at Swiss consumer electronic retail chain Expert, which has 52 stores in the Czech Republic.
Hisense’s sales at the chain’s Czech stores have surpassed many of its Japanese and South Korean competitors in terms of sales.
“Hisense has experienced big changes over the past three years and is growing into a genuinely world-class brand,” said Monica Lamprea, an employee at Hisense Germany. “As an employee, I’m very honored to be part of it.”
From January to October in 2016, the sales of Hisense products increased 34.2 percent year-on-year in Europe.
Another electronics manufacturer headquartered in Qingdao, Haier, is an active explorer in countries and regions involved in the Belt and Road Initiative.
Encouraged by the initiative, Haier is stepping up its going-global efforts and has established factories and research centers in countries along the route of the initiative to integrate global resources.
As a result of this, the company has created a large number of jobs in those countries.
In India, Haier has more than 700 local employees; in Indonesia, the figure is 1,250; in Thailand, it is 1,800; in Pakistan, about 3,000 people work at the Haier industrial park in Lahore, Punjab province.
The leading Chinese home appliance producer has also realized its brand localization through mergers and acquisitions, and by becoming a shareholder in local joint ventures or setting up overseas factories.
Since it entered the European marketplace in 2007, Haier has won recognition from local customers due to the high quality of its products as well as its constant innovation and good services. It has become one of the top 10 home appliance brands in Germany.