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Monday, March 7, 2011

China pushes firms to shop for famous global brands

China wants its firms to buy top global brands as a short cut to improving their reputations, the commerce minister said on Monday, one of the clearest messages of official support yet for a strategy of high-profile foreign acquisitions. Despite growing riches and dominance of their home market, most Chinese firms have struggled to secure a foothold abroad. A lack of name recognition has stunted their organic growth and political obstacles have stood in the way of major deals. In a statement at China's annual session of parliament, Commerce Minister Chen Deming made clear that Beijing would back more aggressive efforts by firms.