China, long considered the engine of the global economy, is now experiencing a decline in consumer confidence and spending cuts. The problems of the real estate market, the weakness of the labor market and the fall in stock prices exacerbate the situation, reducing household well-being and leading to a decrease in confidence in the economy. As a result, the trend towards reducing consumer spending is strengthening, which is especially alarming, since China's economic growth is increasingly dependent on domestic consumption. A weak labor market is a special factor that causes panic and encourages people to stick to conservative measures more. New savings are growing and spending is declining, creating a vicious circle of low confidence and an economically stagnant situation. It is worth noting that the change in sentiment in China has negative consequences for the global economy. A decrease in import demand leads to a slowdown in global growth. An excess of goods creates deflationary risks, and the retail sales sector is experiencing serious difficulties. Chinese consumers are becoming cautious, which negatively affects the financial results of the world's leading brands, especially those focused on the Chinese market. Instead of stimulating growth, the Chinese government pays great attention to regulation, preferring the sustainability of expansion.
RYCHLÉ ODKAZY
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