MI Pro

As John F Kennedy wisely pointed out during the Cuban missile crisis exactly 45 years ago: “when written in Chinese, the word ‘crisis’ is composed of two characters – one represents danger, and the other represents opportunity”.

A simple statement of fact, but one that reveals an awful lot about the way the Chinese work. If danger and opportunity go hand in hand, then you cannot have one without the other. Accessing an opportunity means inviting danger in.

China’s overall industrial growth for the third quarter of 2007 clocked in at around 11 per cent. That adds up to over 40 per cent on the year, should figures maintain that strength – and they do. How sustainable this might be is something of a mystery. One recurring conversation with all European visitors and exhibitors at this year’s Music China and Prolight+Sound shows was ‘where do we go from here?’

No-one knows.

A country that sustains one quarter of the world’s population, with a totalitarian regime that ‘allows’ certain, limited regions the prestige of ‘free trade’ (while keeping a tight grip on who does what and at what cost), is growing beyond all economies in the world, almost entirely through export, and with a populace on an average income of around £1,000 per year. (Poorer, rural workers can be on as little as a few hundred dollars.)

But the growth continues and at such a rate that China is on course to be not just the major manufacturing nation in the world, but the manufacturing nation in the world. And once the wealth of the very few begins to spread to a growing middle class and beyond – well, no-one knows what the result will be…

But nobody wants to miss it when it happens, either. There is an opportunity to be had some time in the future unprecedented in global trade. But there is obviously danger, too.

As a result of such manufacturing clout, the international visitor base continues to grow and diversify at Music China, this year seeing over 1,000 exhibitors displaying their wares to nearly 40,000 trade and public visitors (a tad over 50,000 if one includes the figures for the Prolight + Sound show).

The international mix is growing, too, with about a quarter of the exhibitors coming from outside China – a growth figure of some 11 per cent. Although the visitor figures appear less significant (1,019 international visitors) it is worth remembering that these tend to be company directors and senior managers with considerable buying power.

One can get used to just about anything. A visitor to Shanghai two years ago would have been impressed by the soaring edifice that is the Jinmao Tower. Last year that visitor would have been surprised that, just a couple of blocks away, an even taller skyscraper was being built. This year, a third, even taller structure is being completed, but there is little surprise. One would be disappointed if next year there wasn’t a fourth.

So it is with Music China and Prolight + Sound. A fifth hall was added to the former, while the pro show doubled in size. It is impressive, but descriptive words begin to lose their impact. That is not to say that the growth is not without an effect. The show had more vibrancy and a lot more of interest to the observer of the musical instrument business.

In recognition of that increasing interest, a good number of companies chose to introduce new products at the show – and not simply continuations of lines or me-too products either.

The headline launch was certainly the new Kenny G signature saxophone, designed by Kenny G and Rheuben Allen and manufactured at the Jin Yin operation here in China. The 25 prototypes were on show – with Mr G on hand on the opening day to put them through their paces, as well as offer up a few minor tweaks needed for the finished product.

None of these prototypes will be sold, although production of the finished article is now underway. Allen will then finish off the tenor and then the alto versions of this high-end line before launching a full range of student instruments, coming in at around $1,400, and a range of accessories.

Allen is the sax repairman to the stars in Hollywood and has been servicing G’s Selmer mark VI soprano for over 25 years, but has now moved to China to oversee production in his dedicated corner of the Jin Yin factory. “It seemed to be a no brainer,” he said. “This sax is made through a combination of old, annealing techniques and modern methods, which gives it a very distinctive sound. With Kenny’s name and input, and Jin Yin’s ability to do exactly what I want – do it well and do it quickly – I knew this was the way to go.”

Tanglewood brought prototypes of two new guitar ranges, the Evolution series at the entry level – exceptionally well made, solid top acoustics with a projected retail price of around £139 – and the all new Master Design series.

Master Design is Tanglewood's first foray into higher-level guitars and will be retailing around the £800 to £900 mark. The series has been designed by the Swedish master luthier, Michael Sanden, and features his trademark 'paintbrush stroke' ebony bridge, unadorned headstock, and single moniker on the 12th fret of the ebony fingerboard.

The samples on the Tanglewood stand were impressive and the company is hoping to launch the product officially at NAMM and be shipping by the time Musikmesse rolls around again.

Dave Wright's Tribal Planet has launched itself into the world of harmonicas with the proprietary Spirit series. These instruments take a modular approach to harmonica production, with quality reeds and fittings, as well as the unbreakable plastic outer all being interchangeable. Wright is clearly pleased with his latest products and is in some ways going back to his roots as he started out in the MI business with Hohner.

Tanglewood and Tribal Planet are both veterans at Music China, along with Tom Rees’s Gigbag operation and the UK’s first company to ‘get’ Chinese manufacturing opportunities, Stentor. The fact that they see sense in launching new lines at the show speaks volumes for the future. They are also unanimous in the way the show works.

“It’s a different culture out here,” pointed out Rees. “If you miss one year, then everyone will assume you aren’t around anymore. Any relationship developed in China has to be maintained. It won’t keep going by itself and there is too much business to risk being forgotten.”

This would appear to be the majority view of UK exhibitors. Barnes & Mullins’ Faith brand was back on its impressive looking stand (incorporating the latest from Patrick Eggle’s new acoustics) and Howarths, too, was back for more. This year’s show virgins (backed, like most of the UK contingent with financial help from the department of trade, via the MIA) also came to the show with eyes wide open.

Faber Music Distribution was one such first timer. "It was a very successful show – for a first attempt – but there is no point in hurrying," said FMD's MD, John Hepworth. "We will be back next year and on into the future. There simply is no point coming here once and not returning."

“The result has been so good, it’s not an option not to be here,” said Stephen Wick, director of Denis Wick, maker of mouthpieces and accessories for brass instruments and another first-time exhibitor at Music China. “I have toured here as a musician, and was aware of the huge interest in music, especially classical, and we are developing international markets at the moment.

“And it hasn’t simply been people from China, but all over the world. I’ve talked to visitors from Argentina, Venezuela, Brazil, Kenya, Russia – people have been literally queuing to get onto our stand – it’s unbelievable. So many of our European distributors are here too, so it’s given us a great chance to meet with them, it’s really been a fantastic opportunity.”

Denis Wick and Faber were two of the UK firms involved in a 'match making' experiment organised by Music China, following a request from the MIA's overseas expert, Colin Holdsworth.

The idea was to invite British exhibitors to an informal 'meet and greet' evening, along with potential purchasers that had expressed an interest in given areas of the trade. The goal is to take a little of the random aspect out of trade show format.

Holdsworth was clearly pleased with the project. “It is something we can definitely do again. Most of the exhibitors found new customers, even thought the whole thing was on quite a modest scale.”

Phillip Littlemore, sales director at Faber Music Distribution concurred: “It is certainly a good start. We were pleased with the results, although it was only a first attempt. We'll certainly do it again.”

The danger of making a trek halfway around the world to visit a country that, in all honesty, little is known – or at least comprehended by businesses in the west – is that the money and the time needed is substantial. The opportunities, however, would seem to outweigh those dangers considerably, and look to continue well into the future.