Chinese emphasize quality in Las Vegas products show

By Richard N. Velotta

Friday, Aug. 21, 2009 | 3 a.m.

A high-ranking Chinese official was in Las Vegas to help kick off a show to spotlight the quality of Chinese products.

But some are scratching their heads over why the Chinese would coordinate its event with the Associated Surplus Dealers, a successful trade show often linked more with kitsch than quality.

Zhong Shan, vice minister of the Commerce Ministry, greeted businesspeople and conducted a media conference with dozens of Chinese journalists Aug. 10 at the Las Vegas Convention Center. Shan and Nevada Lt. Gov. Brian Krolicki, who heads the state’s Economic Development Commission, kicked off the China Brand Show.

The kickoff was attended by former Lt. Govs. Lonnie Hammargren and Lorraine Hunt-Bono, who helped advance trade and tourism between China and Nevada during their administrations. Also attending were Robert Young, president of Las Vegas’ Asian Chamber of Commerce, and Robert Goodman, chairman of the Las Vegas-based Sino-American Trade Development Association.

The China Brand Show occupied 16,000 square feet at the Sands Expo & Convention Center dedicated to the Associated Surplus Dealers’ “value and variety” section featuring apparel, convenience items, household and outdoor goods, electronics, military and personal security merchandise.

Other sections offered jewelry, style and beauty products and toys and gifts. The show is geared toward independent and online retailers all the way up to national chains, seeking entry to nationally recognized retail outlets. About 40,000 attended the event that is conducted twice a year in Las Vegas.

Some critics have likened the Associated Surplus Dealers show to a gigantic flea market. But Lori Higgins, senior marketing manager for the group’s show, produced by Los Angeles-based Nielsen Business Media’s Merchandise Group, a subsidiary of the Nielsen Co. of New York, said the show’s history and the exposure it provides makes it an important venue for product manufacturers to get in front of retailers.

“It’s been around for nearly 50 years,” Higgins said of the show. “In terms of exposure and the number of people who attend, it has a great history for bringing products to the marketplace.”

Product quality, historically an issue for Chinese retailers attempting to gain a foothold in U.S. markets, was a key topic for Shan when he addressed the media.

Through a translator, Shan said that Chinese businesses are paying more attention to delivering quality goods and that the thousands of products displayed at the China Brand Show came from 159 companies from across the vast country.

Products at this year’s show focused on light manufactured and consumer goods, household electronics and textiles. Products shown included the top Chinese brands for televisions, vacuum cleaners, refrigerators, hair dryers, kitchen appliances, silk products, woven garments, suits, knits, sports and casual wear, fabrics, bedding products, linens, office supplies, stationery, watches, sporting goods, garden products and baby products.

“Chinese exhibitors are looking to make new contacts and forming long-term relationships that open up opportunities of economic and business cooperation with U.S. companies,” a spokesman for the Chinese Commerce Ministry said. “Essentially, they have set out, once again, to convince Americans that their products are of superior quality, reasonably priced and come with excellent after-sales service.”

But working with Chinese commerce officials can be daunting. One American journalist’s question about what Chinese agency U.S. consumers could contact if they had a problem with a product was never answered as the inquiry went through the translation process.

But Shan had good things to say about Las Vegas.

Visiting the United States for the first time in his ministry role — roughly equivalent of the Cabinet-level commerce secretary — Shan said he understood how Las Vegas is a good meeting place for businesses.

Las Vegas was the first stop on Shan’s itinerary. He next went to Washington to participate in bilateral talks with his U.S. counterparts on the financial crisis and conflicts on U.S.-China trade policies.

Shan also boosted a major Chinese product showcase, the 106th China Import & Export Fair, commonly called the Canton Fair, which is believed to be the largest trade fair in the world.

The next edition of the show will be Oct. 15-Nov. 4 in Guangzhou, China, and will include more than 200 exhibitors from around the world.

Krolicki was pleased with the China Brand Show’s efforts in Las Vegas and was unfazed by critics who questioned whether the show was the proper venue to emphasize product quality.

“It’s been in other cities before and I’m delighted that the China Brand Show decision-makers have kept the show in Las Vegas for the last three years,” Krolicki said. “It bodes well for the future and ties in nicely with the China House project we’ve talked about.”

The China House proposal would develop a permanent Las Vegas venue, similar to the World Market Center, to showcase Chinese products all year. It’s also envisioned as a cultural center that would enable Las Vegas visitors to learn more about China without making the long trip.

Like many government proposals, the China House idea has been shoved to a back burner during the recession.

Krolicki is convinced that some of the groundwork he and his predecessors have done to welcome Chinese business will pay off.

“It’s very attractive,” Krolicki said. “It really ties in well with our tourism product. Opportunities to show their wares is optimized in Las Vegas and I’m convinced that Nevada can be the gateway to the Western United States for China if we do some of these things.”

Krolicki said Nevada and Chinese officials already have begun talking about easing the complexities of the visa process and the development of multiple-entry visas for people who conduct business in the two countries.

“It’s a prelude to direct flights (between China and Las Vegas) and other profoundly important opportunities,” Krolicki said.