Dynamism from within

Even with dim prospects on the horizon, Chinese exporters have never demurred from seeking alternative methods raise themselves from financial gloom. While some look to emerging markets in Africa and South America as a source for momentum, even more are realizing that an untapped resource resides on the home front, as the country strives to pass the baton of growth to domestic demands.

The success story of Ho Hung Fashion Co. Ltd., a Guangdong Province-based private garment maker, is a telling example of the power of the Chinese consumer.

Since 2002, the company enjoyed cheap labor and soaring demand from the United States and Australia. But like many other textile makers, when the financial chaos rippled through China late last year the company had no place to hide. Its original equipment manufacture export orders were cut in half in the first quarter of 2009.

"That was when I started thinking about focusing on the domestic market," said Zheng Jianpei, founder and general manager of the company.

Zheng said Ho Hung was not the only exporter in Guangdong forced to reorient itself, but what made it unique was a deep-rooted commitment to branding. In early 2009, Zheng created his first self-owned men's fashion brand, called "G.I.", and placed heavy emphasis on quality control and domestic market networking.

Those vigorous efforts have so far yielded positive results, allowing the company to tide over the downturn while many others were forced out of the market. Its sales revenues in 2009 have remained all but even with last year's, with domestic sales accounting for 70 percent of the total.

But Zheng still keeps his fingers crossed for a more business-friendly export outlook. "After years of experience in the sector, I am not going to give up on overseas markets," he said. "I hope some day I can export under my own brand."