Situation and Outlook

China and Taiwan

Hong Kong

Geography

Hong Kong is located in East Asia between Southern china and the South China Sea. It is roughly six times the size of Washington D.C. but is composed of over 200 islands. There is 733 km of coastline in Hong Kong. The Climate is a tropical monsoon, much like Central American Rainforests. The terrain is hilly to mountainous with lowland in the northern islands. There is very little farm ground, approximately 1%, with the rest being urban settlements or not suitable for agriculture.

Economy

Hong Kong has a bustling free market Economy. The complete budget for 1999 was 23.1 billion in revenues and 25.1 billion in expenditures. The type of economy that Hong Kong most commonly resembles is that of the United States. The labor force consists 3.36 million people, the majority of these people are found working in the manufacturing and service sector. The unemployment rate is 6%.

Their economy is highly dependent on trade. Hong Kong’s major trading partners are China, United States and Japan. Hong Kong last year alone (2000) exported almost 170B dollars worth of goods and services. There is a trade deficit of roughly 5B with imports totaling 174.4B. Hong Kong produces a variety of finished good and services, while being forced to import much of their raw materials due to the lack of natural resources. The majority of their other imports is in the foodstuffs market with only 0.01% of the GDP being in Agriculture related products.

Last years overall GDP was 158.2B. Per capita the GDP was a 23,700 US dollars. This per capita GDP ranks up with the big four trading partners of Western Europe. Industry makes up 14.7 % of this while the majority of the remainder being found in the service division. The GDP experienced a 5% growth rate between 1987-97; widespread economic difficulties in Asia sent the economy into a period of recession in the late 90’s. Since then there has been a booming recovery with growth rates being 1.8% and 3.7% in 1999 and 2000 respectfully.

The exchange rate is currently 7.8 HKD to 1 USD.

Government

Hong Kong was handed back to The People Republic of China on June 30 1997 by the British government. Ever since then in has been a Special administrative region (SAR) of China. Under the agreement between British Government and China, Hong Kong will be a SAR for fifty years from the date of the hand-over. This means that Hong Kong is ruled differently under China in their "one country two system" policy. After fifty years are over, it will formally become part of China.

Hong Kong is still a free port, meaning that import duties are charge on only a few items. This makes Hong Kong a shopping mecca. Hong Kong’s port is ideal for China, who uses it for trade with countries with whom political relations are nonexistent. This is key for trade with Taiwan and South Korea. Their free market economy has been critical to the economic success that is so prevalent in Hong Kong.

The chief executive presides over a fourteen-person executive council. The current chief executive, appointed by China, is Tung Chee-hwa. The leader is limited to two five-year terms. An elected legislative council consists of 60 members and is responsible for making all the laws.

People

The people of Hong Kong are ethnic Han Chinese. The most spoken language is Cantonese, although both English and Chinese are both considered the official languages. The majority of the population practices either Buddhism or Taoists religion. There is a strong influence from China in the religious practices. Confucianism is also a strong religious influence.

The people of Hong Kong live in one of the most densely populated regions of the world. As of recently there has been a massive migration of people into the City of Hong Kong. This has gotten to the point of passing legislation to prevent people from entering. The population of Hong Kong is 15,194 per square mile. This is not a valid estimate of true population because in some areas is exceeds 100,000.

Hong Kong’s bustling free market economy has allowed for one of the highest standards of living in the world. The education system is free and literacy for adults is over 90%. Children are required to attend school between the ages of 6-15. The majority of people do not go on to attend a college or university. Most of the people go on to a technical institution. There are several institutions of technology but only 7 accredited universities.

Hong Kong is famous for their art. Art is a major part of their culture. There are many elaborate festivals and parade that take place throughout the year.

Diet

The diet of the people of Hong Kong is very similar to that of its neighboring countries especially china. The main staples are rice, vegetables, mushrooms, tofu and meats. The main source of meat is pork, followed closely by marine products. The amount of dairy products is minimal.

The use of eggs in the preparation of many of their dishes is considered to be a delicacy. The culture of Hong Kong imports many million tons of soy meal. This is used in the preparation of tofu, possibly the most consumed food of the country. Soy meal is also fermented into soy sauce, the most common condiment of the culture. The people of Hong Kong vary their diet according to the season. The amount of vegetables consumed is very high especially during their summer season. Hong Kong also has a variety of dishes that a unique to the area. One of these is a soup called Melon Greens. This is a vegetable that is boiled and then made into soup. It is considered to be a delicacy. Another trademark dish of Hong Kong is Dim sun. This dish is never made the same twice. It consists of dumplings, buns, pastries and soups. The majority of beverages that are consumed are green tea and saki.

Taiwan

Geography

Taiwan and the adjacent islands are located along the southeastern coast of China and are home to 22 million people. The adjacent islands and Taiwan make up an area of approximately 14,000 square miles. The mainland of Taiwan is located 100 miles off the coast of China and is slightly smaller than the Netherlands. The Taiwan mainland is largely mountainous, which explains why only 30% of the area is arable land. The climate in Taiwan is considered subtropical in the north to tropical in the south. Summer months are hot and humid (May through September) and winter months are short and mild (December through February). Natural hazards, such as earthquakes and typhoons influence Taiwan from time to time.

Economy

Taiwan has a progressive capitalist economy, currently seeing government officials who are less educated in investment and foreign trade take control. This has in turn caused the privatization of many large government-owned banks and industrial firms.

Taiwan's economy has been progressing from traditional labor-intensive industries into technology-intensive industries. This conversion has boosted the economy of Taiwan to an annual gross domestic product of $350b and a GDP per capita of $16,100. The GDP can be divided into two sectors, which serve as the backbone for Taiwan's economy. The service sector, which includes the telecommunication, commerce, and transportation industries make up 63% of the GDP. The manufacturing sector, which includes the electronic industries make up 27% of the GDP. Agriculture only represents 3% of the GDP, compared to 38% in 1952.

Taiwan experienced a trade surplus in 2000 of $20b. Exports were approximately $122b, while imports were $102b. Electric and machinery equipment make up 58% of Taiwan's export market. The remaining exported products are electronics, metals, textiles, and plastics. Taiwan's leading export partners are the United States, Hong Kong, Europe, and Japan. Electric and machinery equipment represent 45% of Taiwan's import market. The remaining imported products are electronics, minerals, and precision instruments. The leading import partners are Japan, United States, Europe, and South Korea.

Taiwan experienced a growth rate of 5.5% in 2000. Taiwan's economy is strong and is expected to expand even more during 2000-2001, due to strong domestic consumption, exports, and private investment. Taiwan has a low inflation rate of .4% and also a low unemployment rate, which has currently grown to only 3.0%.

The currency is the Taiwan New Dollar (TWD). As of February 17, 2001 the current exchange rate in Taiwan for $1 is TWD32.2.

Government

Taiwan's government originated when communists launched a civil war against the nationalists on China's mainland, during the late 1940's. The communists established the "Peoples Republic of China" in 1949. The ROC eventually relocated to Taiwan and governed Taiwan and the surrounding islands of Penghu, Kinmen, Matsu, and the Pratus and Spratly islands. There are three layers of government within the ROC that make up the governmental structure of Taiwan. The first is on the national level and includes the president, the five Yuan (governing branches), and the National Assembly. The second layer of government is of the provincial/municipality level and is comprised of the Taiwan and Fukien provincial governments and the Taipei and Kaohsiung city governments. The third level of government is of the city/county level, which includes five city governments and 18 county governments. The four major political parties that wish to rule the ROC are the Chinese New Party (CNP), Kuomintang Party (KMT), Democratic Progressive Party (DPP), and the Taiwan Independendence Party (TAIP). The CNP and KMT parties both wish to unite Taiwan and China under one government. The TAIP and DPP, also known as the opposition parties, seek out Taiwan's independence from China's mainland. The National Assembly elected Taiwan’s ROC president from 1949-1996, but martial rule has ended now that the presidents are elected by popular vote. The current president is Chen Shui-bian of the Democratic Progressive Party. The DPP has established a movement within Taiwan, which aims for political independence. The DPP goals for an independent nation are to establish Taiwan as a sovereign province and enter the United Nations. Cross strait relations between China and Taiwan are apprehensive due to the fact that Taiwan wants to gain political independence from China. China threatens to attack Taiwan if it succeeds in obtaining independence. Despite this fact, relations between China and Taiwan are currently stable, as trade routes are opening between Taiwan and the mainland after 50 years of banned trading.

People

Taiwan's population, which consists of 21 million people, can be separated into three distinct groups. The Han Chinese is the largest and represents 85% of the population. The Han Chinese are descendents from the early fifteenth century immigrants from Chinese provinces Fukien and Kwangtung. The second group is the main land Chinese, which represent 13% of the population. The mainland Chinese are descendents of the two million immigrants that moved to Taiwan after the civil war of 1949. The third group is the Aboriginal tribes, which make up 2% of the population and occupy remote areas of the Central Mountain Range.

There are 22 living languages that still exist in Taiwan. The most frequently used language is Mandarin Chinese spoken by 70% of the population. Taiwan's culture is known for their incorporation of health and fitness into their everyday lifestyle. Many Taiwanese practice taijiquan, which is a form of slow moving boxing that takes place without an opponent. The Taiwanese do not talk about death and they avoid symbols related to death, due to their superstitious beliefs. However, when someone does pass on they ironically sing, dance, and eat, which characterizes how they rarely express emotion.

Diet

Taiwan's food relates to the Chinese, however added sugar and fish give the cuisines a more subtropical taste. Like China, Taiwan uses a basis of white rice, mushrooms, and tofu. Small amounts of meat are incorporated into the meals, which consist mainly of pork, poultry, and fish.

There are several cuisines, however the most popular is said to be the Cantonese cuisine. The Cantonese cuisine is neither spicy, nor greasy and is prepared by steaming or roasting. There are several customs when dining at a Taiwan Cantonese restaurant. It is customary for all guests to eat off of the same dishes, which are rotated on a low, tabletop. It is not customary to pass dishes. It is also essential that the main coarse be eaten with chopsticks and soup with a spoon. Tea is the main drink of Taiwan. Taiwan has become known worldwide for their fragrant green, black, and Oolong teas. Tea provides the Taiwanese with vitamins, essential oils, and derivatives that are said to increase alertness, eyesight, and longevity of life. Tea drinking is considered an art and process, which is carried out in a ritual called "kung fu tea".

China

Geography

China is located in the southeastern part of the Eurasian continent and has an approximate population of 1.24 billion people. It is slightly larger in size than the United States and greater part of the country is mountainous. The remaining terrain consists of grasslands, deserts, plains, and hilly lands. China’s climate varies widely from south to north including the tropics, the subtropics, the moderate temperature zone, and the cold temperature zone.

Economy

Since 1978 China’s economy has been moving from a centrally planned economy to a more market-oriented economy, but still within the Communist Party control. The reason why privatization and opening of the economy has occurred is because the Chinese government is going broke. It can no longer afford to finance money-losing state-owned enterprises and continuously subsidize banks that make bad loans. In China over 40% of all bank debt is bad and it is predicted that only 15% of these debts can be recovered. It is projected that it will cost at least $365 billion to bail out the banks. As a result, the government needs to raise money fast from privatization. The Chinese government hopes to use privatization to rescue the economy and use its proceeds to beef up the banking sector and social safety net.

In 1999, for the first time, China’s private sector created more jobs than the state sector. China’s private sector currently contributes between 64-70% of China’s GDP. The GDP in China was $4.8 trillion in 1999. As the private sector grows, the state sector is being slowly weaned from central government support and encouraged to downsize. In 1998, 15 sectors of the Chinese economy were off-limits to Foreign Direct Investment (FDI), but today only two are. As a result, FDI is not only expected to rise in terms of value, it is expected to rise in quantity as well. Whereas FDI has been concentrated in export-oriented, low value-added manufacturing projects, it is expected to shift more towards service oriented, high-value added sectors.

From 1995 to 1999 inflation in China has dropped dramatically, due to tighter monetary policies and stronger measures to control food prices. In 1999 the inflation rate in China was a –1.3% and the economic growth rate was 7%. China has a Gross Domestic Product per capita of $3,800. Agriculture comprised 15% of the GDP while industry made up 35% and services accounted for 50%.

Major trading partners by percent trade include US, Hong Kong, Japan, Taiwan, Germany, South Korea, and Singapore. Export commodities include machinery and equipment, textiles and clothing, footwear, toys and sporting goods, mineral fuels, and chemicals. The major trade commodities that China imports are machinery and equipment, plastics, chemicals, iron and steel, and mineral fuels. China also produces a variety of agricultural products such as rice, wheat, potatoes, sorghum, peanuts, tea, millet, barley, cotton, oilseed, pork and fish.

Of the 700 million people in the Chinese workforce, 50% were employed in agriculture, 24% in industry, and 26% in services. The Chinese agriculture sector is very inefficient since it takes up such a huge percentage of the labor force. The unemployment rate in China is roughly 10% in urban areas and a lot higher in rural areas. Almost 10% of the Chinese population is considered to be below the poverty line.

The currency in China is the yuan (CNY) and one US dollar is worth about 8.28 yuans as of January 2000. The government has rigidly controlled the yuan since the Asian financial crisis of 1997.

Government

China has existed as a unified state since 221 B.C. A republic replaced the ruling succession of dynasties in 1912. The Peoples Republic of China was formally established October 1, 1949 by the Chinese Communist Party, with its capital in Beijing. Efforts by the government to promote rule of law are significant and ongoing. Following a Cultural Revolution, China’s leaders aimed to develop a legal system to restrain abuses of official authority and revolutionary excess. The Nation People’s Congress (NPC) adopted a new constitution in 1982, which emphasized the rule of law under which even party leaders are theoretically held accountable. The government consists of three branches, executive, legislative, and judicial. The executive branch consists of the president Zemin Jiang, vice president Jintao Hu, the State Council, and the State Council premier Rongji Zhu. The legislative branch is the 2,979 seat unicameral National Peoples Congress. The president, vice president, and NPC members all serve five-year terms, with the next election scheduled for March 2003. The Supreme Peoples Court officials are elected by the NPC and cover judicial matters for the country. The judicial branch is a four tiered system; the higher courts in provinces, intermediate peoples courts, basic peoples courts, and special case courts. The NPC, the highest organ of state power, meets annually for about two weeks to review and approve major new policy directions, laws, the budget, and major personnel changes. The State Council presents these initiatives to the NPC for consideration after previous endorsement by the Communist Party’s Central Committee. Although the NPC generally approves State Council policy and personnel recommendations, various NPC committees hold active debate in closed sessions, and changes may be made to accommodate alternate views. When the NPC is not in session, its permanent organ, the Standing Committee exercises state power. China is divided up into 23 provinces (the P.R.C. considers Taiwan to be its 23rd province); 5 autonomous regions, including Tibet and 5 municipalities directly under the State Council. Although the country is controlled primarily by the nearly 60 million member Chinese Communist Party, eight other minor parties exist under communist supervision. China has made some progress concerning civil, political, and human rights, but the government still restricts freedom of assembly, statement, and the press and represses dissent. Overall, China seems to be fairly stable politically at the current time.

People

China is the oldest continuous major world civilization, with records dating back about 3,500 years. Successive dynasties developed a system of bureaucratic control, which gave the agrarian-based Chinese an advantage over neighboring nomadic and hill cultures. Chinese civilization was further strengthened by the development of a Confucian state ideology and a common written language that bridged the gaps among the country’s many local languages and dialects. China is a unified multi-national country, comprising of 56 nationalities. These nationalities differ in language, habit, religion and even physical features. The largest ethnic group is the Han Chinese, who constitutes about 92% of the total population. Even among the Han people, there are a lot of differences. Northern Hans are taller and characteristically more straightforward and eat more wheat products. Southerners are shorter and more slim and favor sweets. China has one official language, Chinese. Written Chinese is the same all over the country but when spoken, it is a different story. There are seven major Chinese dialects and many sub dialects. Mandarin (or Putonghua), the predominant dialect, is spoken by more than 70% of the population. Religion plays a significant part of the lives of many Chinese. Buddhism is most widely practiced, with an estimated 100 million members.

China has a wealthy reserve of valuable ancient artifice that represents the high intelligence of the diligent Chinese people. Pottery, painting, calligraphy, and paper cut are just a few examples that vividly reveal the creativity and imagination of the people from this country. Opera, martial arts, and stylized dance are also very popular among the Chinese people.

Drinking is a demonstration of hospitality and sincerity. In China it is important to develop friendships with business contacts before any type of business transaction occurs. The Chinese view every business transaction as a means of enhancing this friendship. Chinese don’t show emotion easily and are usually single purpose minded. They pay attention to the quality in products and will pay top dollar for it. The Chinese society gives ultimate respect to their elders and demonstrates it in a sincere manner. The Chinese women usually do not take key business positions.

With a population of more than 1.251 billion and an estimated growth rate of 0.93%, China is very concerned about its population growth and has attempted with mixed results to implement a strict family planning policy. The government’s goal is one child per family, with exceptions in rural areas and for ethnic minorities.

Diet

Though customs and the kinds of food eaten vary according to the region, it is common for Chinese families to gather for three meals a day. There is not, in general, the strong association we have in the West between the type of food and the time of day is should be served, such as eggs in the morning and pot roast for dinner. In China the two or three main meals are pretty much the same. The center of the Chinese meal is fan, or grain. The meal itself is called hsia fan, or "a period of grain." In the South and among urban families in other areas, the fan may be rice or rice products, but rice is expensive, as is the wheat eaten in the North in the form of cooked whole grains, noodles, or bread. Depending on the region, then, less prosperous families might make their meals of millet, sorghum, or corn. The meats and vegetables we think of as the focus of the meal are considered to be side dishes there. Eating begins in order of seniority, with each diner taking the cue to start from his or her immediate superior. The diner must finish the fan. To leave even a grain is considered bad manners, a lack of the respect for the labor required to produce it. Neither beverages nor dessert are commonly served with a meal. People drink tea nearly all day, but at meals soup is usually the only liquid provided. At special events there may be wine or liquor, but the water that westerners drink with their meals is never present.

Canton (Guangdong) province is perhaps the most famous of the food areas. Freshness is the keyword in Cantonese cuisine. Cooked foods must look as if they have just been harvested, plucked, or caught in the South China Sea. The most popular dishes are seafood, pork, fowl, and vegetables. In the Szechwan and Hunan provinces, spicy foods fill the restaurants. Rice grows abundantly there, as do citrus fruits, bamboo, and mushrooms. In the northern region of China, the prevalence of mutton and lamb appears because of the Mongolian influence. Many Chinese in this region are Muslim, so pork is forbidden. The north is not amenable to rice cultivation so wheat, barley, millet and soybeans are the staples; breads and noodles anchor the meal.

Products for Export

Taiwan

The marketing plan is to export oriental flower arrangements that combine Japanese flower arranging techniques called Ikebana with flowers produced in Taiwan. To make the flower arrangements unique vases will be imported from Japan to complete the arrangement. The exported flower arrangements will be sent to cruise lines as bon voyage gifts for passengers. The flower vases will include a wide selection of Ikebana vases handcrafted from stoneware, glass, and bamboo in Japan. The vases will come in any size, shape, or color desired by the purchaser. All vases contain the approximate dimensions and prices, which can be viewed online at (http://www.kaki4u.com) under the choice, Selections of Vases. The vases will be transported to Alice Florist in Taipei, Taiwan where the florists are able to design several types of floral arrangements such as bouquet, orchid, or plant arrangements, with a touch of Ikebana style. The arrangement prices and patterns can be viewed online at (http://www.aliceflower.com.tw/products.htm).

Beginning April 30th, Kaki Company will send 20 Joetsu Crystal vases 5" D x 10" H at $85.00 each from Japan to Alice Florist at the following address: No. 169, Sec.2, Chang-En E. Rd, Taipei, Taiwan. This order will take place weekly until further notice. Alice Florist will receive these vases and add the Ikebana floral display to each vase at a flat rate of $35.00 each. Alice Florist will then package and ship the 20 floral arrangements weekly to Townsville, Australia. The floral arrangements will be shipped via emeryworld delivery service. Coral Princess cruise lines will receive 20 floral arrangements per week in Townsville, Australia via emeryworld delivery service.

China

The Finest Tea Basket from Asia is a unique collection of the most rare teas from around Asia, intended to quench your thirst and improve your health. Included in your basket are teas that are authentic to various regions in Asia including the Zhejiang, Anhui, and Fukian provinces in China, and the Li Mountains of Taiwan. The collection will include 1-4oz sample of Dragon Well Tea, 1-4oz. sample of Bai Mu Dan, 1-4oz. sample of Keemum, and 1-2.6oz. of Tianli.

Dragon Well – Lung Ching (Green Tea)

Dragon Well Tea is one of China’s "Royal Teas" and is considered one of the finest green teas produced in China. Dragon Well originated from the mountains surrounding the beautiful West Lake of Hangzhou in the Zhejiang province in China. The four outstanding unique characteristics of Dragon Well Tea are its green jade color, its orchid-like smell, its sparrow’s tongue shape of its dried leaves, and its fresh taste and semi-sweet aftertaste. Recent studies also have discovered that green tea such as Dragon Well, may promote good health. The following are the possible health benefits of green tea: reduces blood pressure, decreases the risk of heart attacks, stroke, and cancer, reduces total cholesterol, enhances digestion, and immune system, and reduces cavities and gingivitis.

Dragon Well Tea from the Zhejiang province will be purchased from the Ten Ren Tea Company in Shanghai, China. $15.00/4oz. Tel: 86-21-5853-3355 Web: http://www.tenren.com.

Bai Mu Dan (White Tea)

Bai Mu Dan Tea is a white tea that is grown in the high mountains of Fujian province. The tea has a sweet roasted taste and a fresh and sweet aftertaste. White tea has the greatest concentration of polyphenols, which is why it has the strongest anti-cancer potential of all teas.

Bai Mu Dan from the Fujian province will be purchased from the Ten Ren Tea Company in Shanghai, China $15.00/4oz. Tel: 86-21-5853-3355 Web: http://www.tenren.com.

Keemum (Black Tea)

Keemum Black Tea, is regarded by many as China’s finest black tea. Keemum comes from the Anhui province in China and has a reddish brown color with a roasted and strong sweet aroma. The taste is sweet and smooth. The aftertaste is lightly sweet and smooth.

Keemum from the Anhui province will be purchased from the Ten Ren Tea Company in Shanghai, China. $13.50/4oz. Tel: 86-21-5853-3355 Web: http://www.tenren.com.

Tianli (Oolong Tea)

Tianli is the most unique and highest quality Oolong. Grown in the Li Mountains of Taiwan, this tea is harvested at the highest elevation of 1200 meters in an isolated area. Tianli is known for its rich taste and pleasant tasting aftertaste.

Tianli from the Li Mountains in Taiwan will be purchased from the Ten Ren Tea Company in Shanghai, China. $45/2.6oz. Tel: 86-21-5383-3355 Web: http://www.tenren.com.

This rare tea collection from Asia will be assembled in Shanghai, China and shipped throughout the world via FedEx (http://www.fedex.com). The tea collection will be delivered in a white willow basket (basket #58068, $4.75) from the Coe & Dru Company (http://www.coedru.com). The entire tea package will be sold for $150.00, not including shipping & handling.

Hong Kong

For Hong Kong we choose to put together an exotic meat basket. The island of Hong Kong does not produce many agricultural goods. Instead we decided to import various meat products from all around the world and combine them into a variety basket containing small portions of many different meats.

First off the basket that will be used will be a white willow basket #58789 that comes from http://www.coedru.com/. The bulk price for buying them directly from the importer will be $3.95 a basket. This is a medium sized basket that does not have a handle for ease when handling and shipping.

The Basket will contain Wild Duck, Snake meat, Wild Boar, Rabbit and possible Kangaroo. The Wild duck will come from a company in china that carries a variety of products that are culture specific. This will be sent to us in bulk packages of 40 pieces. This will then be redistributed into the much smaller gift baskets. The page can be tracked at

http://www.nc.jx.cn/~jxcof/meat_Egg_Poultry/Wild_fowls_games.htm

The basket will contain snake meat, this considered to be a delicacy in the South Asian culture. This meat will come from Globex Inc. Globex is located in Columbia somewhere in the United States. This meat is sold by the ton so this will come in large shipments. The baskets will contain a fair amount of snake meat compared to other kinds because of it low cost and availability.

The Wild Boar will be shipped to us from a Canadian firm specializing in Wild Boar production. At this time, quantity available and price are not known. According to their web page they are capable of dealing in bulk, this would fit into our program very effectively.

Our rabbit meat will come from Blue Chip farms in South Carolina. They have a vast distribution network, but we can but factory direct if we purchase enough. They will come whole at various weights with eight in a case. The price as of now is arbitrary depending on the quantity ordered. They can be reached at http://www.ardenrabbit.com/.



Products for Import

China

Although the general population of China is quite poor there are still some pockets of wealth in the metropolis areas. One of the largest and most prominent of these areas is Beijing. Beijing is the capital of China, because of this there are many foreign delegates traveling here on a regular basis. In addition to being a political center, Beijing is also a trade center and tourism center. A great deal of foreign as well as national trade takes place within the city. The city is home to many historical and traditional culture venues making it a popular tourism destination for Chinese citizens. The combination of the political, trade and tourism visitors bring many wealthy guests to the cities finest five star hotels. The concentrated wealth creates an opportunity for us to sell premium fish baskets and fruit baskets. For this reason we have chosen to retail our imports to the four best Beijing hotels.

After reading several articles on the popularity of foreign fruit among the Chinese we began considering this as a possible import. The people have a taste for the best tasting fruit despite the costs. In the studies, it showed that taste was the first consideration when shopping and price was one of the last considerations. Because of its superior quality imported fruit continues to take over an increasingly larger portion of the Chinese fruit market. The fruit exported from Belize has the qualities that the premium qualities that the Chinese fruit consumer is looking for. For this reason we chose to import fruit baskets from Belize. These baskets will include a number of different items including citrus, fruit juices, and different types of fruit jams. We will purchase these baskets for $25. We plan to place a 30% mark up on these. With a $10 shipping fee included, the total cost for these will be $50.

Chinese people are known for their healthful living, which is supported in large part by a healthful diet. People have long known the health benefits of a diet consisting of regular fish consumption. For this reason we decided to import the Deep Sea basket from Scandinavia. The basket will include an assortment of fish and a bottle of wine that we feel would be a great gift to give to Chinese hotel guests to take home with them to enjoy. The basket will include: smoked eel (17.65 oz.), smoked salmon (21.2oz.), matjes herring (7.04 oz.), fish meatballs in a lobster sauce (16 oz.), and Explorer Lingon (750 ml). The basket will be purchased from Scandinavia at a cost of $73 per basket. A 47% markup will be placed on these baskets. Including a $12 per basket shipping cost the final total cost for the baskets will be $125.

The fruit baskets will be placed in the penthouses and suites of the four chosen hotels. The fish baskets will be given as gifts to valued guest when they check out to return home. In addition to both baskets being given as appreciation gifts to valued hotel guest. They will also be sold in the gift shops located within the hotels. This creates a market for the baskets to be purchased and possibly taken as gifts to the people the hotel guests are in the city to visit.

All the baskets will be distributed to the cities four finest five star hotels. The following are the four we have chosen to do business with.

Great Wall Sheraton Hotel
Address: A6 North Donghuan Road Beijing 100026
Phone: 01-65005566
Fax: 01-65001919

Grand Hotel Beijing
Phone: 86-10-65137788
Fax: 86-10-65130050

Hotel Kunlun
Address: No. 2 Xin Yuan Nan Lu, Chaoyang District Beijing 100004
Phone: 86-10-65903388
Fax: 86-10-65903228/65003214

Beijing New Century Hotel
Address: 6 Southern Road Capital Gymnasium Beijing 100044
Phone: 86-10-68491828
Fax: 86-10-68319564

For our transportation needs we chose AirBorne Express are our preferred shipping agent. This company’s service allows us to maximize product freshness while enabling us to keep our transportation costs to a minimum. The fruit will be shipped from Belmopan, Belize to Beijing China. The fish will be shipped from Copenhagen, Denmark to Beijing as well. Airborne Express is capable of providing a three-day delivery service for both of our products. With regular shipments we can deliver our products with peak freshness, which is of great concern considering the brevity of our products shelf life. This should allow us to market a product that is as fresh as possible and, demand the premium prices we expect to receive.

Taiwan

There are many import opportunities that exist in Taiwan, due to the large population that inhabits the small island. One import opportunity could be the sale of fruit juices to Taiwan. The Taiwanese have been known to have unhealthy lifestyles, due largely to their consumption of soft drinks. To introduce a healthier alternative, one could plan on importing fruit juices from DeloroBelize Citrus. The juice processors of DeloroBelize Citrus are able to bottle pineapple, orange, tropical, etc. fruit juices for Taiwan. To view the fruit juices produced by DeloroBelize Citrus, the products can be viewed online at (http://www.belizecitrus.com)

The imported products I will be focusing on are the Japan Ikebana vases. As outlined in my export report, I plan on importing Ikebana vases from Japan to complete flower arrangements for Coral Princess cruise lines in Australia. The Ikebana vases range in size, color, and price, and can be viewed online at (http://www.kaki4u.com). The vases provide the final touch to the flower displays that will be exported to several cruise lines as bon voyage gifts.

Ikebana vases will be sent to Alice Florist in Taipei, Taiwan (http://www.aliceflower.com.tw/) from Kaki Co. (http://www.kaki4u.com/) via Emeryworld delivery service. The transportation cost runs approximately $1.21/lb. The Joetsu Crystal vases weigh 10 lbs when shipped from Kaki Co. to Alice Florist. Therefore the cost of shipping the vases from Kaki Co. to Alice Florist is $12.10/vase.

Alice Florist will receive the vases every Tuesday by 12:00 p.m., Taipei, Taiwan time. The completed flower arrangements will then be sent via Emeryworld with an average weight of 13 lbs. every Wednesday by 12:00 p.m, Taipei, Taiwan time. The shipping cost from Taipei, Taiwan to Townsville, Australia is $15.73/arrangement. Total shipping cost per arrangement is $27.83.
 
 

Coral Princess Cruises (http://www.coralprincess.com.au/) will receive the vases every Friday by 12:00 p.m., Townsville, Australia time. The cost for the weekly 20 Joetsu Crystal vases will be $169/vase for a total of $3,380. This includes all shipping costs and an additional mark-up of 13%.

Hong Kong

The majority of Hong Kong’s imports will be for the soul purpose of redistributing them into the gift basket. The basket will consist of Wild Duck, Snake, Wild Boar, and Alligator. Here is a quick rundown of prices
 
Meat

Snake

Alligator

Wild Duck

Rabbit

Wild Boar

Bulk Price

423.00$

312$

48.56$

45.00$

475$

Individual Price

14.00$

5.20$

5.85$

4.85$

18.00

Origin

Florida

Nevada

China

Nevada

Canada

We fell there is product has the potential to be exported throughout the world. The response from other analysts was very good.

For Hong Kong’s meat basket, various meats will be imported from all areas of the globe into Hong Kong. Then the meats will be consolidated into the basket in smaller portions. The first meat that will be imported is snake meat from Globex Inc. in Columbia Florida. The bulk Price will be 423.00 and will be shipped by Emery Worldwide (www.emeryworld.com) at a price of 1.85/kg CYN 13.89. They will be picked up and sent frozen to Hong Kong. The next item will be Alligator. We will be using the alligator tail sirloin from Pilot Brands in Lake Tahoe, Nevada. The bulk price for these item will be 312$ for approximately 30kg. This too will be picked up frozen from Emery Worldwide and sent to Hong Kong frozen. This will be sent airborne for a price of 1.80/kg CYN 13.89. The wild duck will be coming from a large foodstuff exporter from Shanghai China called Jiangxi Foodstuffs. The wild duck will come in packages of 20 birds at a cost of 48.56. The product will be picked up and delivered by FedEx. The cost for the transportation of the frozen goods will be 1.65/kg CYN13.88. Rabbit will also be included in the basket. This will be coming from Pilot Brands in Lake Tahoe Nevada. The bulk price on the rabbit will be 45.00 for 20 whole boilers. These will be picked up and delivered by Emery Worldwide. The cost of transportation will be 1.80/kg CYN 13.89. The final product in the basket will be Wild Boar. This will be coming from B Farms in Alberta Canada. This will be coming in 8-pound tenderloins. The bulk price on this will be 475$ a crate. This product will be picked up and sent via airborne by Emery Worldwide. The cost of shipping on this will be 1.82/kg CYN 1.80. The final basket will have a markup of 30% and should cost the consumer about 70$ before shipping. The estimated cost of shipment to the US is 15$.