During the 1990s, in order to survive in the increasingly open and competitive market, Chinese companies focused on technology development and quality control, putting great effort into service, product image and so on. The result was that a number of domestic brands were gradually established that consumers felt comfortable buying.

At the same time, multinational companies began entering China. China's actual utilized foreign investment soared from $10.3 billion in 1995 to $48.1 billion in 1995. With international competition coming into China, as soon as the products made by domestic enterprises left the factory, they were in fact . . .