The China Stock Blog writes about a McKinsey survey:
Though Chinas savings rate is high (most Chinese save to pay for health care and pensions) and most Chinese see creating a cash cushion as their #1 priority McKinsey reported a strong appetite for consumer goods. Here are some of McKinseys findings:
* Consumers intend to buy the following big-ticket items over the next 12 months: new cars, appliances, and the latest consumer electronics.
* 43% of respondents agreed or strongly agreed that having a private car is my biggest dream (slightly more than 2% planned to purchase a car in the next 12 months).
* At the top of many Chinese consumers shopping lists is a new apartment or house.
* Nearly 75% of respondents had plans to upgrade appliances and furniture upon moving into a new apartment or house.
* 8% said that their next major purchase would be a flat-screen television.
* 20% of respondents in rural county seats plan to buy mobile phones over the next year vs 10% in top-tier cities and vs 15% in second-tier cities.
* 12% of respondents in small towns said they were likely to purchase new washing machines in the next year vs 5% in top-tier cities.