Cashing In on Kids.docVIP

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Cashing In on Kids.doc

Cashing In on Kids   Parents are willing to spend for their children, no matter their financial situations. According to a recent survey conducted by the China Research Center for Children’s Industry, an institution specializing in research in children’s industry, spending for children accounts for 30 to 50 percent of 80 percent of families and has become one of the biggest areas of consumption in the Chinese mainland.   The family-planning policy put in place over 30 years ago has resulted in a large number of only children, who have been indulged by their parents and grandparents and are often referred to as “little emperors”or “little princesses.” In a society characterized by increasingly fierce competition, parents are sparing no effort to gain advantages for their offspring. Such a mentality has spawned huge opportunities for businesses producing and selling products for children.   Moreover, the large number of newborn babies every year, approximately over 16 million, a sum tantamount to the total population of the Netherlands, entails a sizable market for products targeted to children. According to the predictions of ChildrenBaby-Maternity Industry Expo (CBME), China is expected to become the second largest market for children’s products after the United States. Experts have estimated that the value of China’s maternity and baby products market alone stands as high as 2 trillion yuan ($322 billion).    High-quality education   The Chinese have been attaching great value to education since ancient times. Today, preschool education is accorded with great importance, and parents in the middle class and higher are signing up their children for private kindergartens, espe- cially those founded by foreign companies, which usually charge a higher fee than public institutions.   The Klett Education Consulting Co. Ltd.(Klett China) represents a company dedicated to founding such high-end private kindergartens. It was jointly founded by New Star Press under

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