China’s Two-Child Policy; Mapping out implications and potential opportunities for FMCG manufacturers

Date: 2015-12

In 1979, the Communist Party in China introduced its one-child policy to curtail population growth. Over the decades, the policy has led to multiple demographic issues in Chinese society – a large aging population, gender imbalance, and shrinking workforce. In October 2015, the Chinese government announced its decision to abandon the one-child policy, allowing all couples to have two children.

Key Findings
– Despite China’s intentions to reverse the multiple demographic issues it currently faces, the two-child policy is unlikely to yield anticipated change.

– A short-term mini baby boom could occur as a result of more births in China in the near future, which opens avenues for FMCG manufacturers to target different stages of the new children’s lives.

Canadean’s China’s Two-Child Policy explores the Chinese government’s decision in 2015 to abandon its one-child policy; considering key economic and demographic implications that might occur. It also highlights future concepts and innovation implications for FMCG manufacturers to consider based on two likely scenarios that might occur:

1) a short-term mini baby boom or

2) no changes to the current socio-economic issues China faces.

Reasons To Buy
– Gain insight into the outcomes of China’s two-child policy.

– Explore innovation opportunities for FMCG manufacturers should more births occur in China in the short-term future.

– Identify avenues for new product development for the current socio-economic issues China faces.”

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