JD’s 4 Game-Changers in Chinese E-Commerce (Pt 2 of 5)

This is Part 2 in a series about my visit to JD and meetings with management. In Part 1 (located here), I talked about JD’s robotics, drones and autonomous vehicles initiatives. On day 2 of the visit, our group went to the new JD headquarters in Beijing’s southeastern Yizhuang district. They moved into this new […]

3 Options for Bringing Private Health Insurance to China (Part 2 of 2)

In Part 1 (located here), I argued that there is a growing supply-demand gap at the center of Chinese healthcare. And that private health insurance is likely the lynchpin in solving this problem. In this article, I lay out three models for launching reimbursement-style private health insurance in China. All three have worked in other […]

How New Retail is Colliding With Bike-Sharing in China​ (Pt 3 of 4)

In Part 1 and Part 2, I argued there is something new and powerful happening at Mobike, Ofo and bike-sharing in China. These companies and their presence in consumers’ lives have grown too fast. We are witnessing something new and important. My explanation for this is “assets in the wild”. That bike-sharing companies have shown […]

My Favorite Map for Understanding Modern China

The “cluster” map shown above (and below) is originally by McKinsey & Co. I think it really illustrates three important points about modern China. Point 1: China today is a series of clusters, not a continent. China today is not yet an integrated continental economy. You don’t see infrastructure seamlessly connecting each part of the […]

How Tsingtao, CR Snow and the Other Beer SOEs Won Big in China (Pt 1 of 2)

The Chinese beer market looks similar to beer markets in the rest of the world – mostly regional markets mostly dominated by a few giant beer companies. But take a look at the below chart from 2013. You’ll note that China evolved with one big difference with the rest of the world: The dominating beer […]

2 Charts Show How Carlsberg Beer Failed – And Then Won Big in China

Carlsberg beer in China is one of those business stories that everyone should know. Take a look at the below picture. It is of Carlsberg China circa 2002. This was after +15 years of business in the PRC. They had some imports but were still a tiny China operation overall. And they were facing increasingly […]

How Tsingtao, CR Snow and the Other Beer SOEs Won Big in China (Pt 2 of 2)

In Part 1, I asked how Chinese State-owned beer companies won in a business with no real government interests. That’s an unusual outcome and I wanted to figure out how it happened. My explanation is that Chinese beer SOEs won mostly by being early to market and by being better at acquiring small, legacy State-owned […]

The Biggest Problems for Yum! China (KFC, Pizza Hut) Going Forward

Yum! China has now been spun off. And being a separate company should naturally fix many of its problems. But going forward, there are three things that still really concern me. #1 – There is no free lunch in the China restaurant business. How well you did in the past just doesn’t count for that […]

Senior Housing, Public Hospitals and Other China Businesses to Avoid

If something hasn’t happened yet in China, there are probably good reasons why. Here are four China businesses that are frequently cited in the news as big opportunities. But I think they all fall into the category of “well, if it’s so great then why hasn’t it happened yet?”. Thus, I think they should be […]

Get Ready for Beijing, the +100M Person Mega-City

The population of the Beijing-Tianjin-Hebei cluster (also called “Jing-Jin-Ji”) will be +100M people. That’s pretty fascinating. Some thoughts on where we are and what’s coming next. The economics of Beijing as a mega-city are already fantastic. The economic output is already over 10% of China’s GDP. So this mega-city is already a big deal in […]