The Street.com did a story on the increasing growth of Chinese consumerism. The article talks about how China’s growing middle class is translating into a growing customer base and then goes on to recommend the following stocks for those wishing to take advantage of Chinese consumer growth:
- Starbucks (SBUX)
- Wal Mart (WMT)
- Yum! Brands (YUM)
I am NOT going to opine regarding these investments, but I do concur that all three of these companies “have or are in the process of making China central to their expansion strategies.”
The Street.com also recommends Citicorp (C) as “one of the companies showing a major interest in China’s nascent banking system. Currently, only a small segment of the population in China has a credit card or uses loans for purchases.”
If, like me, you are bullish on China, yet skeptical about the corporate governance of Chinese public companies, publicly traded foreign companies that invest heavily in China are a good way to play the China investment card.