Change strategy

Comment on "Well-known US magazine may be quitting China" (China Daily, May 30)

That Reader's Digest may fail in the Chinese market, while another Chinese magazine Duzhe is seeking an IPO, clearly demonstrates the large cultural obstacles US companies may meet in China.

Reader's Digest is not the first in what is actually a long list of failures. Yahoo, for example, has never succeeded in China, although it has tried hard for years.

In my opinion, the reason for the failure of US companies in the Chinese market is they haven't successfully localized their products to cater to Chinese customers' needs and tastes.

Starbucks, which has succeeded, changed its strategy to target high-income customers in China.

To summarize, do not always expect a US company to succeed in China simply by copying its business model in the United States. This is especially true for culture and lifestyle companies.

Andy,via e-mail

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(China Daily 06/06/2012 page9)