The world has well and truly entered the Asian Century and the innovation economy is booming, with thousands of Chinese start ups looking to be the next big thing.
Aussie entrepreneurs are cashing in on the trend; heading to China to tap into the benefits of the China Australia Free Trade Agreement, which breaks down trade barriers and makes it easier for Australian businesses to expand into the Chinese market.
Such is the case for husband-wife team Garry and Cassie Wang, who uprooted their life in Australia to move to China. They are currently run their gym Living Bigg, which also has a nutrition service, with meal preparation for clients.
“It’s definitely a lot more fast-paced, a lot more exciting, and things happen overnight here,” says Cassie.
In this increasingly competitive climate, many Chinese businesses are choosing to set themselves apart from the rest of the startup market, by operating under the revolutionary O2O (Online-to-Offline) business model.
The O2O model uses digital elements to enhance the service or product in a real-world store. For example, popular Chinese food chain Haidilao Hot Pot restaurant worked in conjunction with social media platform WeChat to enable users to check which restaurant has the shortest queue and to order ahead, so their food arrives when they do.
The Chinese population's hefty reliance on smartphone means it is now imperative for start ups to improve their mobile platforms to gain customer loyalty.
The Chinese O2O industry has thus captured the best of the physical and online worlds, and in doing so, has grown to more than $150 billion.
For Australians who want to tap into the Asian Century, Tracy Colgan, Chair of the Australian Chamber of Commerce says, “Try to develop a little bit of a nuanced understanding of them, of their industry and the dynamics in that market.”
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