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| Customers buy computers at a store of Lenovo in Shanghai. [Photo/IC] |
Chinese brands, especially those from the technology sector, continue to earn an increasingproportion of their revenue from overseas, according to the newly released 2016 BrandZ Top100 Most Valuable Chinese Brands.
The top three brands with the greatest proportion of revenue from overseas business includeLenovo Group Ltd, with 68 percent of its revenue from international business, followed byHuawei Technologies Co Ltd, a newcomer to the ranking with 62 percent, and ZTE Corp withhalf of its revenue from business overseas, it said.
"With Chinese companies continuing to expand their operations overseas and a more positiveperception of 'made in China', Chinese brands are deriving increasing overseas earnings,"said Doreen Wang, global head of BrandZ, Millward Brown.
The expansion of international business is especially important as the growth of the domesticeconomy slows and Chinese companies attempt to raise awareness of Chinese brands, shesaid.
Wang said she believed that Chinese companies would see a steady growth in their revenuefrom abroad in the years to come.
Leading the top 20 Chinese brands with most revenue overseas, Lenovo, the world's largestPC maker, continued to grow its PC, mobile and enterprise businesses outside of China,helping balance the softening of the Chinese market.
It gained 68 percent of its total revenue from overseas business, up from 62 percent from theprevious year.
Analysts said Chinese brands are increasingly gaining more revenue and market share notonly in emerging markets but also from the developed markets.
Offering quality smartphone at a more affordable price, Huawei has successfully gainedmarket share not only in emerging markets but also in Europe, while ZTE has also expandedits presence in the Android-based market in the United States.
Alibaba Group Holding Ltd has been aggressively investing in global growth with initiativessuch as AliExpress, a platform to sell Chinese products to overseas customers, andestablishment of a cloud-computing center in California.
"Western consumers used to view Chinese brands as makers of low-quality and cheaperitems, but this perception has gradually changed as Chinese brands are coming up with morequality and value-added products under their own names," said Wang.
Wang said she was confident the Chinese brands will be better perceived on the globalmarket in the same way as how the world came to see products made in Japan and SouthKorea.
According to the survey, 15 of the top 20 Chinese brands in terms of overseas revenue comemainly from three categories, including six from home appliances, five from airlines and fourfrom technology.
With Chinese outbound travel growing 12 percent in 2015, according to the World TourismOrganization, increasing Chinese companies from the aviation sector are also seeing risingoverseas revenue, with Spring Airlines Co Ltd, Air China Ltd and China Eastern Airlines CorpLtd continuing to add international routes.
Half of the top 20 brands are market-driven and half are State-owned enterprises, mostly inthe oil, gas and banking sectors.
The average proportion of overseas revenues of competitive SOEs is higher than the marketdriven ones, which suggests the government support still remains important for Chinesebrands trying to gain a global presence.
（From: China Daily）