CHINA SPORTS MARKETING NEWSLETTER
Vol. 1, No.5 - November 8, 2001
TOPICS THIS ISSUE:
- CBA Holds Summit to Discuss Business of the League
- Beijing City to Allow Investors into Service Industries
- China and United States Agree to Annual Sporting Competition
- IOC Official: Over One Billion Dollars Ready for Beijing
- Gymnastics Prince Racks Up Honors in Business Arena
- Olympic Park to Become Heart of "Second Capital" to Beijing
CBA Holds Summit to Discuss Business of the League
The Chinese Basketball Sports Management Center held a meeting recently in Beijing to discuss the league's problems before commencement of the new CBA season.
The league's Management Center gave a report on the preparatory work made for the new league matches to the persons in charge from 13 clubs. The League pointed out in a clear-cut way that Yangcheng Sports no longer held the promotion rights for the league and such rights would be taken over by the Zhonglan Company, a subsidiary of the management center.
After the withdrawal of Yangcheng Sports, a number of companies and organizations, including the International Management Group, a company working with the CBA in developing its business, have shown their intention to take over the promotion rights. However, considering the pros and cons, the person in charge in the Management Center finally made a decision to withdraw the right but Wang Du, the deputy of the center, did not deny the possibility that the league would find a new partner and supporter during the CBA season.
CBA indicated in their notice that there were 12 newly developed products added to the existing product used in relation to the Men's League A Basketball Matches for the new season.
With the matches going on, the league called for a continued effort from all circles to solve all problems and conflicts the association and clubs are confronted with.
(Source: China Youth Daily)
Beijing City to Allow Investors into Service Industries
Beijing will try to become one of the first cities in China to open telecommunications, banking and insurance to overseas investment as it focuses on developing its service sectors, a city official said on Wednesday.
"Service industries will become the best-opened area in China as the country joins the World Trade Organization (WTO)," said Li Zhao, director of Beijing's economic and trade committee. "As capital of the country and the host city of the 2008 Olympics, Beijing will likely be a forerunner in the process of opening-up to the outside world."
Li appeared at the fifth Beijing-Hong Kong Economic Co-operation Symposium. Other city officials echoed this theme at the conference, explaining to Hong Kong delegates that the move will be crucial to Beijing's progress.
"Beijing is undergoing strategic reform of its economic structure," said Chai Xiaozhong, a member of Beijing's development planning committee. "The participation of investors from Hong Kong will not only bolster the development of Beijing's tertiary industry but also bring considerable reward to themselves."
As of the end of August, there were 6,210 Hong Kong-invested enterprises operating in Beijing, accounting for 37.4 per cent of all overseas-invested firms. Most Hong Kong investments are in the real estate industry.
Beijing's preparation to host the 2008 Olympics will provide new business opportunities for Hong Kong, Li said. The capital's development of sports, transportation, telecommunication, environmental protection, media, finance, insurance and real estate are now top priorities, he explained.
The capital plans to open its tourism, accounting, law and consulting efforts further to overseas investments. Well-known multinational corporations are being encouraged to establish agencies in Beijing.
Li also said that Hong Kong's experience in financial services with international standards would be helpful for Beijing.
"Beijing's financial services are far from where they need to be when China enters the WTO, though the financial system has made great progress," he said.
At the conference, Beijing leaders invited Hong Kong representatives to help develop "modern service industries."
Li said the municipal government is applying to the State for the right to pilot renminbi exchanges at foreign banks in Beijing's Zhongguancun high-tech region. This business has been forbidden for overseas banks, including those from Hong Kong.
Beijing and Hong Kong may co-operate in these areas as well as in e-business and the software industry, Li said.
The service sector is already a hot area for overseas investment in Beijing, attracting US $3.3 billion last year.
(Source: China Daily)
China and United States Agree to Annual Sporting Competition
Sports officials from China and the United States have reached preliminary agreement on an unprecedented, multi-event competition that will pit athletes from both countries against each other in a handful of sports ranging from soccer to badminton. The annual series would open in Beijing in 2003 and be staged in Washington in 2004.
Officials for the Washington-Baltimore group bidding for the 2012 Summer Olympics have agreed to stage the 2004 event as a highly visible means of showcasing their region as it competes for its first Games.
U.S. Olympic Committee officials view the planned annual United States-China competition as an opportunity to strengthen athletic ties with China while providing a non-Olympic forum for athletes to compete. USOC officials said they hope to finalize a deal by the end of the year. China, which this summer won the right to stage the 2008 Olympics in Beijing, "is very much on board," according to USOC President Sandra Baldwin, who said she first discussed the series with China's sports minister, Weimin Yuan, during an August visit to China.
Baldwin said the choice of the nations' capitals as the prospective sites was natural and symbolic, given the evolving political relations between the two governments.
"The Olympic Games and sport exchanges are really providing China's entry into this century," she said.
Jim Scherr, the USOC's senior managing director of sports resources, said officials envision that four or five sports will be contested in each United States-China series, with at least one marquee sport -- such as soccer or swimming -- accompanied by a range of lower-profile sports in which one or both countries excel. Women's soccer, which would set up a rematch of the 1999 World Cup final between China and the United States, would be a likely marquee event for RFK Stadium in 2004.
The competition would take place over about four days, with associated programs for cultural and athletic exchange, according to Steve Brunner, the USOC's director of national governing body marketing. Before or after the actual competition, Brunner said, U.S. athletes might be sent to China to train with Chinese coaches in sports in which Americans generally struggle and the Chinese excel, such as badminton. Conversely, the Chinese might be sent to U.S. training camps to take advantage of American expertise in sports such as basketball.
Dan Knise, president of the 2012 Washington-Baltimore bid group, said his group enthusiastically embraced the opportunity to organize the United States-China series during meetings with USOC officials last week in Salt Lake City.
"It's very important to do it right," Baldwin said. "This is a sport and cultural exchange to generate interest in the athletes, the Olympic Games and the two" countries.
(Source: China Daily)
IOC Official: Over One Billion Dollars Ready for Beijing
The International Olympic Committee (IOC) announced last Tuesday that they have been able to provide Beijing with more than one billion U.S. dollars after television broadcast contracts have been put in place and some international sponsors have committed to the 2008 Games.
"The IOC will provide the Beijing Organizing Committee with more than one billion U.S. dollars for the costs of the 2008 Games," Michael Payne, IOC marketing director, told Tuesday's press conference in Beijing.
Payne has just concluded his two-day visit here, where he talked with the preparatory office of the 2008 Olympic Games organizing committee and discussed how to proceed with the marketing program of the Games.
The one billion dollars came mainly from two major sources: the television rights sales and international sponsorship, said Payne.
Well before the IOC voted in July to choose Beijing as the 2008 host, it had completed the television broadcast sales for the Games, with 49% of the revenue going to the Beijing organizers.
Additionally, four international sponsors including Coca Cola, Kodak, Schlumberger-Sema and Swatch had already renewed their four-year sponsorship deals with the IOC for the 2008 Games.
"We will announce several more sponsors in coming months," said Payne. "Internationally there has been tremendous interest and tremendous support for the Beijing Games, which bodes very well for the future."
Before arriving here last weekend, Payne has accompanied IOC president Jacques Rogge to tour America, Japan and South Korea, where they met IOC sponsors, along with broadcasters and other business leaders.
"They congratulated IOC's decision to select China and they are looking forward very much to continuing their partnership with the Olympic Movement, 2008 Olympic Games and beyond," said Payne.
He added that after having "excellent" meetings with the Beijing officials, the IOC would continue close cooperation with the organizers to ensure the finalization of the marketing program early in 2003.
"In the coming 12 months, we will work closely with the organizers to define the marketing programmed which we expect and hope will be in early 2003,"he said.
(Source: ChinaOnline)
VISITING US IN BEIJING?
Beijing City guide for Palm OS 3.5
1000 Chinese Character TAXI Cards
1000 Super descriptions ONLY US $18.95
NEVER EVER LOST
What the professionals have said:
I tried the redBANG application,
It is the most thorough guide I've seen!
Ava Mason
Handango Business Development
Gymnastics Prince Racks Up Honors in Business Arena
Li Ning became a legend of China's gymnastics program by racking up great honors for the nation at the international sporting arena, according to the latest Business Weekly.
Now, as a gymnast-turned businessman, he has spent a decade building the country's leading sportswear producer, and is now battling tough competition to push LI-NING Sports Equipment to global fame.
Born in Liuzhou, Guangxi Zhuang Autonomous Region, on March 10, 1963, Li showed early talent and enthusiasm for music. His father Li Shibo, a local primary school music teacher, fostered the interest.
When an amateur gymnastics team gave an exhibition for senior pupils of fourth grade and above, Li found a place for his own passion for turning somersaults.
In 1971, eight-year-old Li because of his outstanding overall skill was admitted by the Guangxi Gymnastics School to begin his formal gymnastics training.
Hard efforts finally paid off as the once extra amateur gymnast pocketed three gold medals at the 1984 Los Angeles Olympics, at which the Chinese delegation made their Olympic debut.
Li was not China's first world champion, but his success was of special significance.
It came at a time when China had just unfolded its opening-up plan and Chinese were eager to win international recognition. Li was among the first batch of athletes to obtain such recognition in a sports field with sharp expertise and strong willpower.
Now almost two decades later, the "gymnastics prince" finds himself pinned in the commercial battle of sports equipment manufacturing against even more powerful rivals from abroad to earn honor for the country.
After the Seoul Olympics in 1988 when he met his "Waterloo" as an athlete, failing to bring home a single medal of any color, Li decided to bid farewell to his gymnastics career, once but not for all.
Li took the advice of Li Jingwei, president of sports beverage maker Jianlibao, to serve as special assistant chief manager and image spokesman for the company.
Stepping down from television screens and giant billboards advertising Jianlibao's sports drinks and sportswear, Li Ning established his own enterprise - the LI-NING Sports Equipment Co Ltd - in Sanshui city, Guangdong Province in 1990 under the senior Li's encouragement.
It was the first company in China named after an athlete.
Ten years later by the end of 2000, the firm had grown into a domestic sports product giant with net assets exceeding US $20 million from the original investment of US $1 million.
"During the past decade and especially the last five years, LI-NING Sports Equipment has been enjoying sharp profit gains by means of technology renovation and new products development, " Li said.
In 1999, domestic sales revenues of the company reached RMB 650 million (US $81 million), leading global giant Nike's RMB 300 million (US $37 million) and Adidas' RMB 100 million (US $12 million) in China.
LI-NING's sales revenue grew to RMB 700 million (US $87 million) last year, while the company's target for this year was RMB 800 million (US $100 million).
In contrast to Nike's pyramid business pattern in China, LI-NING adopted a "grass-roots strategy" in sales promotion and many of LI-NING's advertisements feature ordinary young people.
But the domestic success may have little to do with the international market.
Nike reaped US $9billion in sales revenue worldwide in 1999, which equals 100-fold of LI-NING's income over the same period.
When LI-NING was shown for the first time in 1999 at the International Trade Fair for Sports Equipment and Apparel (ISPO), the world's top sports products exhibition held in Munich, the firm's products aroused great interest among executives from around the world.
All the samples were sold out on the spot, and some executives even visited China later for further talks about the feasibility of serving as LI-NING's agents.
At the dawn of the Sydney Olympics last year, LI-NING was announced to be the sole sponsor of the competition and training gear for the French gymnastics team, which ranks among Europe's top four, over the next four years.
The company is now sparing no efforts in reshuffling and is looking forward to another leap forward by listing on either domestic or foreign markets, Li indicated.
"If granted, we prefer to go public in China. Otherwise we have to look for overseas investors and be listed abroad, " Li said.
Li, 38, can now usually be found reading up on international business rules in the law Department of Peking University.
(Source: ChinaOnline)
Olympic Park to Become Heart of "Second Capital" to Beijing
Beijing Olympic Park will, according to plan, be made the largest comprehensive community of Beijing after the 2008 Olympic Games conclude. Multi-functional, combining business and trade, office, exhibition, sports, exposition and entertainment in one, the park will become a central feature of Beijing's urban construction in the new century.
Beijing Olympic Park will sit at the north end of the axis of the metropolis. The axis, the most important cultural vein of the city presents a blend of urban artificial sights with natural scenery.
The axis of the ancient city starts from Yongdingmen in the south and ends at the Bell Tower in the north over a distance of 7.8 kilometers. It takes the Forbidden City as the center and passes through the whole ancient city south to north. The buildings and space along the axis are invariably symmetrical, mapping the contour of the city.
The Olympic Park as planned is to be an expansion on the basis of an extension from the axis to the north during the 11th Asian Games in 1990. It will play an important role in completing the construction of the northern part of the axis.
The Olympic Park hopes to become the model for future Olympics. The concept of "green" of the Park has far exceeded the category of "growing trees, grass" and "landscaping". The Park will also pay attention to economizing on use of energy and water, wind and solar energy, and use of environment-friendly building materials.
Additionally, the Olympic Park will give full play to high and sophisticated technology. Digital wide-band network communications, wireless transmission, electronic information technology, Internet technology, intelligent technology, etc, will be widely used in the Park.
Beijing positions the Olympic Park on its Olympic plan as follows: carry forward the traditional axial style of Beijing, meanwhile, show the urban features and styles of the "New Beijing" in the 21st Century through neoteric and careful design of every venue or Games site.
Sports facilities are now under construction in the park and other venues newly constructed and rebuilt will provide Beijing residents with many new places for exercise and entertainment after the 2008 Olympic Games. In addition, they will also provide more high-level hardware to China and Beijing for handling other domestic and international events.
A floor space of 360,000 square meters of apartment buildings is to be built in the Olympic Village and with these a total of 17,600 athletes and team officials will be accommodated. After the Olympic Games conclude in 2008, the Village will be offered for sale in the way of commercial housing.
(Source: ChinaOnline)
Lehman Lee & Xu
China Lawyers, Notaries, Patent, Copyright and Trademark Agents
|
Beijing Office
|
Shanghai Office
|
|
6th floor, Dongwai Diplomatic Office Building |
Suite 5107, Plaza 66 |
To unsubscribe from this newsletter click here or send an email to unsubscribe_sports@chinalaw.cc Please include the email address to which the newsletter is being sent (not a forwarded address) in the body of the email.
The China Sports Marketing Newsletter is intended to be used for news purposes only. It should not be taken as comprehensive legal advice, and Lehman, Lee & Xu will not be held responsible for any such reliance on its contents.
