Thursday, January 13, 2011

Chinese Women in the Fast Lane

The relatively recent movement toward political liberalization in the Communist People's Republic of China has brought numerous refreshing changes to the world's most populous state. An article from Bloomberg News discusses one such reversal: The increasing number of very wealthy Chinese women and their apparent love for exotic supercars.

Beijing millionaire Lily Liu, who is currently scouring the market for an Aston Martin similar to James Bond's, says, “Fast cars have always been a man’s world... Women buying such cars are just seeking an equal standing with our male counterparts.” The Construction company president isn't alone. One out of every three Chinese millionaires are in fact women, and they account for more ultra-luxury car purchases than any other females around the globe.

So why do 11 out of 20 of the world's richest self-made women call China home? After opening its "economic borders" in 1978, the PRC has become the fastest growing major economy in the world with its strong, export driven base. Since then, legislation supporting this movement has helped keep this trend moving in the right direction. In the automotive industry, for example, foreign companies must form joint ventures with the Chinese for local assembly, allowing them to reap upwards of half of all profits.

As long as enough of the world's richest women continue to drive like James Bond, though, I don't think Aston Martin and Ferrari will mind.

3 comments:

  1. Why has China become one of the fastest growing economies? What are their major exports? How has this affected the global economy?

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  2. What an interesting article. There was an interesting article in December in a Chinese newspaper that the luxury automakers are having difficulty filling orders in China. The dealers are able to fill orders for a surcharge. Historically, luxury automakers suffer greatly during difficult economic times. I guess we're not seeing that in China!

    http://www.chinadaily.com.cn/business/2010-12/02/content_11644870.htm

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  3. To answer what Smith said, I think that China is fast growing because they are their own manufacturer. They do not rely heavily on another country to produce their own goods and therefore can export those goods to other countries for a lot more than they make them for. China has always had all the recourses to make themselves successful, now they are just sharing it with the rest of the world.

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