Draft:China chic

China chic, also known as guochao is a trend among Chinese consumers that involves a preference for domestic products, often incorporating traditional Chinese cultural elements, modern designs, and advanced domestic manufacturing technologies.

Driving factors
News reports from 2023 and 2024 indicate that young consumers, and especially Generation Z, are a core demographic for China chic products. Compared to its predecessors, Gen Z earns more and has a higher interest in domestic fashion and luxury products. Statistics from the China Internet Network Information Center (CNNIC) [sic], a government agency, indicate that around 90 percent of Gen Z consumers use online shopping, a key market for China chic goods.

The popularity of guochao is driven by social media, the rising quality of Chinese products, and cheaper prices relative to value compared to Western brands.

Patriotic sentiment, nationalism, and boycotts of Western companies due to controversies involving the Xinjiang cotton industry have contributed to opposition to Western brands, benefitting domestic guochao products.

Several experts quoted in a 2022 Voice of America (VoA) article indicate that Chinese government support contributes to the guochao trend. The article points out that documents released by the Chinese Ministry of Culture and its successor, the Ministry of Culture and Tourism, in relation to the 13th and 14th five-year plans called for encouraging the development of cultural industries and integrating traditional culture with modern style and technological innovations, all the while guiding players in the field towards upholding "Core Socialist Values" and "cultural confidence".

Chinese economic researcher He Jiangbing, as quoted in the VoA article, argues that the government does not strictly control the development of the guochao field; the field is aligned with government priorities, and avoiding restrictions on it helps facilitate its development. He also notes that in spite of the presence of some government supports, the field is also driven by profit incentives.

Effects on business
Some Western companies have successfully capitalized on the guochao trend by releasing products and advertising campaigns that leverage Chinese designers and artists, collaborating with domestic brands, and incorporating traditional Chinese elements into their products.