【商业周刊】The Rise of China's Southwest

深深的红

The Rise of China's Southwest
http://www.businessweek.com/magazine/content/09_25/b4136058157132.htm

June 11, 2009, 5:00PM EST By Dexter Roberts


Chengdu: Lenovo's Dai says the southwest "seems immune" to the downturn Mark Leong/Redux

As growth slows on the coast, companies like Lenovo and Volkswagenare targeting Chengdu, Guizhou, and other provinces in the boomingregion

Chengdu, China - It's a hot Friday evening on thesprawling campus of Southwest Jiaotong University. In a crowdedclassroom, students are presenting marketing plans for a Lenovo laptop,part of a nationwide contest that will take the winners to China'scapital for a final face-off and a chance at an internship at thecomputer maker's headquarters. "Dominate the era of adolescence" is theslogan of one team, whose members finish their presentation with arousing chant: "We are going to Beijing!"

While getting to the capital may be the goal of these enthusiastic undergrads, Lenovo Group (LNVGY)and other multinationals are heading in the opposite direction. Withslowing sales growth and rising costs in coastal cities, companies arelooking inland to Chengdu and other parts of southwestern China forexpansion. Rural areas and smaller cities now account for 30% ofLenovo's sales, double the share of five years ago. Intel (INTC) is shutting an assembly plant in Shanghai and moving most of the work to Chengdu. A Volkswagen (VLKAY)joint venture is building a $735 million factory to make Jetta sedansthere, and Toyota is doubling production capacity at its plant in thecity.

Such moves are helping fuel expansion in the southwest. The regiongrew at a double-digit pace in the first quarter, led by Guizhouprovince, at 15.9%, vs. a national average of 6.1%. That's due to moneyBeijing poured in after last year's devastating earthquake, as well asstimulus funding for railways and power facilities and subsidies forrural families. The southwest "seems immune from the problems facingthe rest of China and the world," says Dai Jingtong, regional managerfor Lenovo, which saw its first-quarter unit sales in the southwestjump 23%, vs. 4.4% nationwide.

The rise of the southwest—five mostly rural provinces that are hometo 250 million people—signals a big economic shift. The global downturnhas slammed China's exports, and traditional growth areas aresuffering. Guangdong province, where tens of thousands ofexport-oriented factories are located, grew 5.8% in the first quarter,and Shanghai's economy expanded just 3.1%—a recession by Chinesestandards.

As manufacturers in those regions shut down or lay off thousands,their erstwhile employees, many from Sichuan and other southwesternprovinces, are heading home. "When migrant workers were in thefactories, the majority of people in the countryside were old," says HeJie, vice-general manager of Sichuan Huhui, a chain of 800 grocerystores in the southwest that is planning to open 300 more this year."Now the young are returning, and they are more knowledgeable and eagerto buy new products."

Although Beijing is not pleased with the slowdown along the coast,building up the interior and creating a more balanced economy have longbeen priorities. A program called "Develop the West," introduced in2000, has improved highways, railroads, airports, and electric grids,making the southwest far more attractive to investors. Incomes arelower than on the coast. But they're rising fast as the infrastructureprojects and new foreign-owned factories create jobs.

As consumers open their wallets, foreign retailers are moving in.Japanese department stores Seibu, Isetan, and Ito Yokado have openedChengdu outlets in recent years. France's Carrefour has been expandingin the area, and Wal-Mart (WMT)has 25 stores there—about a fifth of its nationwide total—and plans toopen more this year. "The southwest is a growing, vital region," saysTerrence P. Cullen, who heads development for Wal-Mart in China. "Wewant to be there."

Roberts is BusinessWeek's Asia News Editor and China bureau chief.

以上为网络版，印刷版见下图。

magicboy

深深的红

多谢版主补图。
翻译完毕，链接在此：http://bbs.m4.cn/thread-176346-1-1.html
看起来好像翻译得太快了。其实我是先翻译完了，然后才想到也许可以发到AC上面的。^_^