High-end firms from Europe gain high revenue in China
The number is said to reach 456 billion euros in total revenue, showing the high demands of Chinese people on luxury goods.
Facts and figures about luxury brands
The increasing number of Chinese middle class has resulted in the burgeoning growth of economics in China. As a result, these people have enough money to invest in products from high-end companies. Thanks to it, consumer firms such as BMW, Richemont Group or Swatch Group have good opportunities to raise their sales up to 127 billion euros in 2019.
Chinese consumers are said to spend more than 6.5 trillion euros on purchasing European luxury goods/ Ph: BMW
Beside consumer firms, energy and basic materials ones also receive a large amount of revenue from China. BHP Group and Rio Tinto represent for this situation. They are annual recipients from China, which helps them a lot to reinvest and develop their companies.
More than 40 percent of this company's revenue comes from China/ Ph: Rio Tinto (corporation) - Wikipedia
Even though the GDP growth of China last year was not so good due to the commercial war between this nation and the United States, China still strived for developing itself to maintain its position in the world. In 2019, these top two economies will hold a round trade talk in order to end this tense situation on each country.
All in all, with a huge number of citizens and the increasing development of the economy, China deserves to be among the most attractive market for luxury brands, especially the european ones. Therefore, these labels should innovate their products as well as possible. By doing that, they are able to receive generous investment from China.