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Sectorial Features

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China's design industry features sectorially following characteristics:

INDUSTRIAL DESIGN

Mainly completed by professional departments inside of producing enterprises.

▪  Producing chains | Industrial design dealing with technical conditions, craft level, capital cost and price regulation, etc. as well as high-level engineering design, capital input, producing mould making, qualification management, sales promotion and after-sale services. There is a need to improve technical services related to research, mould making and testing.

▪  Decisive factors | The recognition and demand is decided by enterprise decision makers. In reality, some enterprise decision makers don't like to pay much for industrial design, as they don t think industrial design makes profit except when it improves the appearance.

▪  Price | The price is usually decided by negotiation between the supplier and the demander. Usually, there are no definite prices and profit rates due to weak recognition of design.    

PRODUCT DESIGN

Although the number of product design companies is large, only few of them are high-level ones.

▪  Price | The price is not uniform and usually decided by negotiation between the supplier and the demander. The general profit rate is not high (5%-20%) and based upon by the products function.

GRAPHIC DESIGN

The number of graphic design enterprises is large, but few are well known and qualified. Most of design studios only provide services for advertising and media industries.

▪  Price | Due to the lack of uniform price standard, the price depends on competition. The costs for graphic design include remuneration designers, license fee of works (or copyright assignment fee) and tax. Regional differences, levels of professionalism and the designers' social influences are the main factors influencing the price.

INTERIOR DESIGN

Compared with the fast growing foreign interior design industry, the Chinese interior design industry has some disadvantages:

▪  Free design with low quality becomes a barrier for development

▪  Individual interior designers are not allowed to do any commercial project, so they work for companies who possess the design qualifications

▪  Most of domestic designers have a traditional education and lack knowledge of contemporary trends and products

▪  60% of Chinese interior designers think graphic design is interior design

▪  Intellectual property rights are underdeveloped.