13 Most Profitable Industries in China

13 Most Profitable Industries in China - Printable Version

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13 Most Profitable Industries in China - GyopoPlayboy - 05-10-2013

Just restating the obvious here, but profits = revenue - expenses. so we're looking at margins here, not necessarily which industries make the most money overall. In 2013, Cosmetics is the most profitable industry. Ten years ago, it was tobacco.

2013: Cosmetics
2003: Tobacco
2013: Personal Care
2003: Banking
2013: Beverage
2003: Oil & Natural Gas
2013: Chinese liquor ("baijiu")
2003: Publishing
2013: Pharmaceuticals
2003: Liquor
2013: Dietary supplements
2003: Pharmaceuticals
2013: Telecoms
2003: Coal
2013: Software
2003: Real Estate
2013: Small housing appliance makers
2003: Automakers
2013: Automakers
2003: Telecoms
2013: Education
2003: Eyewear makers
2013: Funeral homes
2003: Government freeway system (toll charges)
2013: Online video game services
2003: Wedding Photos

Cosmetics, in particular, have ridiculous markups (5000-10000%). SK-II facial treatment costs $1-$1.60, including R&D costs, and retails for $89, for example. Online video games, #13 on this list, have profit margins of between 50-70%.

My coworker, the resident China expert, summed it up quite interestingly to me about the general patterns he sees: Industries are becoming more female-oriented. The alcohol industry in China, in particular, is experiencing the most radical changes as their share of women buyers skyrockets and is set to overtake men within the next decade. Chinese liquor, which used to be 80-proof+, has been diluted to somewhere between 40-60 proof, most likely in response to women's tastes.

13 Most Profitable Industries in China - Alpharius - 05-10-2013

Having drank my fair share of Chinese alcohol, that can only be a good thing. That shit will strip paint.

13 Most Profitable Industries in China - juice - 05-10-2013

Thanks for the ideas. Now I just need to find some cosmetics to market and open an online store.

13 Most Profitable Industries in China - NY Digital - 05-10-2013

Cosmetics + Personal Care are like 1 thing in a way. Interesting indeed.

What's your source btw?