The 50 biggest companies in China are growing in value at twice the speed of China’s economic growth, according to research by global brand agency Millward Brown. State owned companies dominate the list but appear to be falling behind. Almost all of the brands are finding it hard to gain recognition outside of China.
China’s 50 most valuable brands have risen in value by 16 percent since last year, but state-owned giants are struggling to keep up.
The BrandZ Top 50 Most Valuable Chinese Brands report by global brands agency Millward Brown found the list was worth nearly $325-billion combined and was growing at twice the speed of China’s economic growth.
State-owned enterprises dominated the list—making up eight of the top ten, including tech companies and China’s biggest banks.
At number one was the world’s largest telecommunications provider, China Mobile—valued at $53.6-billion.
But there was also a trend of state owned firms dropping behind. They made up half of the 14 brands that fell in value. Millward Brown’s head of greater China calls it a “warning bell.”
[Adrian Gonzales, Head of Greater China, Millward Brown]:
“There are some alarm bells ringing, I think, around SOEs. So half the fallers are SOEs, yet they represent only a third of the total 50, so a disproportionate number of fallers are SOEs.”
And Internet companies are a rising force, making up three of six newcomers. Search engine Baidu increased in value 67 percent to take up sixth place at $16 billion. And Sina surged 240 percent in value—helped by its micro-blogging service which has 227 million users.
But the brands appear to have trouble selling themselves abroad. The company said 83 percent of consumers outside China could not name a single Chinese brand or company.
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