MIG Spain Lifestyle Experience

Center Project Proposal

1

Catalogue

1. What is MIG?

2. What is MIG Spain Project?

3. What are advantages of MIG zone?

4. What are MIG nicely achieved and partners?

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What is MIG?

1 3

MIG = More Intelligent Goods

MIG is famous for its high-quality products from “APPELLATION OF ORIGIN”.

Every product of MIG is full of intelligence, which is reflected in the craft, the expertise or the

services.

When the people enjoy the high-quality products, they can perceive our sincerity.

MIG is convinced that “Quality changes life.”

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What is the system of MIG？

International trade platform whose value is oriented to offering a high quality of life through different kinds of products from different countries.

The construction of a nationwide MIG Lifestyle Experience Centre as distribution channel.

National membership system

based on MIG.

On-line e-commerce system

Buiding MIG as a brand of

the importation of high-

quality products with

“designation of origin”.

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Platform

(Operate)

Channel

(Construct)

System

(Establish)

Brand

(Build)

Collection of

foreign goods

Financial

Support

Operation of the

system

Sales Network

What does MIG offer？

MIG contributes a platform where foreign good are

concentrated in the form of joint-stock partnership with

companies like Chinger and Afriagro. In this way it can

colaborate with the suppliers directly.

The united platform of importation - Chinalight Industrial

Products Import and Export Corporation (exclusive agent of all

products in China Mainland, Hong Kong and Macao)

The united platform of operation – Shanghai Hengtianyutuo

S.L & Chinger (Shanghai) S.L

(exclusive distributor of all products in China Mainland, Hong

Kong and Macao )

Cooperation Network of MIG:

- Lifestyle Experience Center (Exclusive regional distributor

authorized by Chinaight y Hengtianyutuo)

- E-commerce platform – Lakala y Womai e-comerce de

COFCO, etc.

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Market Layout：

1、Cities (Flagship Store) and sales network of second level in

districts

2、Exclusive regional authority

Conditiones of cooperation：

1、Recognition of the Brand MIG and its management model.

2、Strong network contacts in local communities

3、Solid financial strength

4、High-Performance Operations Team

Location requirements：

Business district with target market of mid and high end

consumers.

Area of the Flagship Store：800-1000 ㎡

Area of the Experience Centre：200-300 ㎡

Criteria of estalishment and operation ：

Unified SI system of stores

Unified disposition and functional layout

Unified ERP and CRM management system

Unified system of Price Management

How does MIG work？

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Principal Regional Store (City）

Direct Selling：

1、Domestic demand

2、Members of community

3、Members of social networks

4、Sales in stores

5、Sales in MIG Distribution：

1、MIG franchising

2、Regional distribution

3、Traditional channels of distribution

MIG Lifestyle

Experience Centre

（District）

1、Domestic demand

2、Members of

community

3、Members of social

networks

4、Sales in stores

Principal Business Model：

System of Membership

Same annual membership fee（365 yuanes/year）

Same treatment for all of the members

Same value-added services for all of the members

First

Level

Second

Level

How does MIG work?

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Internationally：

Become an International Trade Platform with an excellent management system and a

good control of productos and with great influence abroad.

Nationally ：

Become a brand of import services with its own sales channels and with great

influence in China.

The future of MIG

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What is MIG Spain Project?

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MIG in Spain

The objective of the project:

Help the Spanish companies to enter and explore the market of China.

Presentation of the project：

The MIG Spain Lifestyle Experience Center, created by ChinaLight y COFCO, state-owned

enterprises of import and export, is situated China (Shanghai) Pilot Free Trade Zone. It will

become a bridge to connect the Spanish products of high quality and the Chinese consumers.

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The Operating Model

MIG Spain will copy the operation model of MIG Germany and MIG

South Africa, which had a great success.

"CHINALIGHT Everbright Imp. & Exp. Corp. “ will sign an contract with the best Spanish

suppliers involved in the MIG project as exclusive sales agent in China Mainland, Hong Kong and

Macao to ensure the continued supply and the exclusivity of their products in the Chinese

market. It will be a contract of a minimum duration of 5 years.

The first year after the signing of the contract of exclusive agent will be a trial period for the

promotion of products, both parties do not explicitly stipulate an import quota. Having

completed the first year of testing, both parties are entitled to terminate the contract according

to their opinions on the potential of the products in the market.

The import quota of the first year depends on the suppliers and the originality of their

products.

Rental cost: 3€/day per square meter (It’s posible to increase the cost every year)

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The Operating Model

Exihibition and experience of the products: negociation with the distributors,

placing orders and group buying.

Online shopping: “Womai” owned by COFCO, Lakala e-cormmerce, etc.

Exclusive Channels: Over 7000 stores form the sales network of Chinalight and

COFCO in China.

Collaboration with external marketing platform of high quality.

The MIG Lifestyle Experience Centre will be installes nationwide.

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Advantages of the colaboration

MIG enables the Chinese consumers to

have a direct experience of the products

“made in Spain”.

MIG makes it possible for the Chinese

consumers to buy Spanish products quickly

and easily without leaving the country.

MIG can expand the knowledge of Chinese

consumers of the cost performance of

Spanish products and thus influencing their

consumption habits.

MIG provides the opportunities to

export to the Chinese market for the

Spanish SME.

The companies can demonstrate their

products with different types of goods

from different brands to create a

synergistic effect.

They can also reduce exportation costs

by

removing the traditional intermediate cir

culation

Objetive:

In the first phase inviting 20 companies

What are the advantages of MIG zone?

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The Shanghai Free Trade Zone

established by the Chinese government,

was officially opened on the 29 of

September 2013 with a total area of

28.78 square kilometers.

It includes:

- Waigaoqiao Free Trade Zone

- Waigaoqiao Free Trade Logistic Park

- Yangshan Free Trade Port Area

-Pudong Airport.

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Shanghai Free Trade Zone

These are 4 customs areas of special control

The products of MIG L.E.C can enter

the free trade zone without the

prepayment of customs duties.

MIG Spain LEC is entitled to arrange

storage, exhibition and marketing

without a time limit.

The Free Trade Zone provides

favorable policies and financial

incentives for MIG Spain L.E.C.

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Policies

In the MIG Spain LEC located in the Shanghai Free Trade Zone, companies

can open an account in RMB and another in foreign currency in the same

time. Moreover, the principal account and the commercial account can be

combined into one.

Situated in the Free Trade Zone, the MIG Spain LEC can solve the problem

of the exchange between RMB and foreign currency with the companies

outside the Free Trade Zone, because MIG can reserve 100% its revenue in

foreign currency rather than sell it to the bank compulsively.

There isn’t any restriction on the RMB exchange policy in the MIG Spain

LEC of the Free Trade Zone.

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Foreign Currency

The exposition with protective tariff facilitates the commercilization of the products

“made in Spain” : In the MIG Spain LEC, the Spanish supplies and the Chinese customers can

communicate with each other face to face. The Spanish companies have sufficient time to show and

present their products, provide training and offer after-sales services. And the customers can place and

order or use the distribution services at any time they want.

The perfect combination of exhibition and

presentation: Apart from the permanent exhibition in the MIG Spain

LEC, the Spanish supplies can also participate in the short-

term presentation of other cities. The Free Trade Zone can

grant them an authorization of up to 3 months so that they

can present their products without paying customs duties

even outside the Free Trade Zone. In this way the cost on

transportation and commericial promotion can be reduced.

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Advantages of the Platform

The right to defer the payment of tax and business cost

reduction

The protection of the excellent goods

The selected Spanish products can enter to the MIG Spain LEC under bond.

The VAT and other taxes shall be paid only when products have been sold in

the Chinese market. In this way, these two parties can reduce the cost in the

occupation of capital and enhance the market competitiveness of their

products.

For those products preferred by the Chinese consumers, MIG will provide

market-based protection for their producers. Chinalight will sigh a contract

with those excellent Spanish supplies as their sole agent in China Mainland,

Hong Kong and Macao. The contract will last at least 5 years. The purpose is

to ensure the continuous supply and the exclusivity of its products in the

Chinese market.

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Advantages of the Platform

What are MIG nicely achieved and partners?

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MIG Shanghai is situated in Shanghai Free Trade Zone, NO.526 of Futedongsanlu, Shanghai, China. Currently it

covers an area of 2,300 ㎡. It contains the Pavillion of Germany, the Pavilion of South Africa and the

Mediterranean Pavilion. All the products of MIG will be physically demonstrated in the pavillions. MIG

Shanghai is the demonstration centre, the Investment Promotion Centre, the Experience Centre for major

customers and the permanent exhibition centre for all of the products of MIG. Next to our centre there

exist exhibition centres of international brand such as Carlsson-China, Germany Zeiss, Porsche, Mercedes,

BMW, Volkswagen and Audii.

MIG in Shangai

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MIG was officially opened on the19 of September of 2014. There were more than 200 people

attending the opening ceremony including the leaders of Shanghai Free Trade Zone and the

partners of MIG Germany and MIG South Africa.

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Grand opening of MIG Shangai

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As the first international trade platform with a great collection of goods of multi-country and multi-

type, the opening of MIG Shanghai drew a lot of attention of Chinese mainstream media. On the same

day, more than 28 primary communication media in the country reported the inauguration.

Siglo

XXI

Página

web TOM

Página web

Guangming

Página web

de China

Diario 26

News about MIG

Página de

China Business

Media

Página de

Fast Moving

Consumer

Goods

Página de

Vida Oriental

Página de

Economía de

China

Página

ChinaLife

Página Sohu

Even today the media keeps talking about the MIG! 27

News about MIG

Main partners and the partnership

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China National Light

Industrial Products

Import and Export

Corporation

Grupo LAKALA “Womai” de COFCO

Chinafood TV Beijing

Tianhengshengshi

Shangai Hengtianyutuo S.L.

CHINGER (Shangai) S.L.

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Chinese partners

ChinaLight Everbright Imp. & Exp. Corp.

Founded in 1987, Chinalight Everbright Import & Export Corporation is

engaged in import and export businesses in the areas of light industrial

products, foodstuff, engineering equipment and raw materials,

with registered capital of 50 million yuan. The company is equipped with

specialized departments and diversified channels of purchase, production

and marketing as well.

The company has been providing the value-added services to customers

with its outstanding business management and high company reputations.

The company will continuously expand new business areas with more

flexible management models.

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A subsidiary of China National Light Industry Import and Export Corporation

As a member of Lenovo Holdings founded in 2005, Lakala Group

(Lakala) is a Chinese leading Internet finance and community e-

commerce company, and is one of the earliest enterprises that obtained

the national license for all-category payment from the Central Bank in

2011.

So far, Lakala has owned over 80 million users, served over 500,000

merchants and over 800 million users in over 300 domestic cities,

covered over 80 percent of communities and registered a monthly trade

volume of over 100 billion yuan.

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Group Lakala

Womai (www.womai.com) is a B2C e-commerce website launched

by COFCO for consumers. We are committed to building China's

largest and safest food shopping website that allows you to enjoy

more convenient shopping and safer food.

Womai net was founded by World Top 500 Enterprises COFCO

Corporation in 2008. The COFCO(COFCO) is China’s largest food

company, which is committed to utilizing the constantly renewable

natural resources to provide human with nutrient and healthy food,

high quality life space and life service, and contribute to the

prosperity of human society.

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“Womai” of COFCO

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Chinafood TV is a digital pay television channel focusing

on cooking shows. CFTV broadcasts 24 hours a day covering 148

cities in China Mainland. The program presents high quality food from

all around the world to its audience through special gourmet shows or

TV shopping.

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Chinafood TV

Beijing Tianhengshengshi Comunication (Tianhengshengshi) is a

company engaged in the market research and the market development in the

fields of culture, sports and wine. Through the corporate collaboration with

companies engaged in international trade such as CHINALIGHT and COFCO,

Tianhengshengshi has adquired abundant experience and extensive

relationships with the customers. It has also found a new business model-

selling imported food domesticly and accumulating a great number of good

distributors in the same time.

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Beijing Tianhengshengshi Comunicación

With many years’ experience in international trade, Hengtianyutuo is

dedicated to developing the idea of “quality changes life.” Through its

knowledge of the Chinese market, it has already imported foods and

commodities of high quality from Germany, South Africa and the

Mediterranean area in accordance with the process “research-selection-

negociation-importation-promotion'. Currently it is working on copying the

model of the brand, the marketing and the finance of MIG in different cities

to creat a Brand Effect across China.

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Shangai Hengtianyutuo S.L.

Chinger-Creativa

Consulting Co, Ltd. Afriagro (Pty) Ltd.

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International Partners

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Chinger-Creativa Consulting Co, Ltd.

Chinger-Creative Consulting Co., Ltd. (abbreviated as Chinger)

is a German company engaged in the business creativity and

communication and has established a professional service network in

Germany and China with a different operating model and a complete

services system. Chinger provides research, positioning, creativity,

design and marketing to cities, companies, organizations, products

and activities. Recently Chinger has shifted the focus of its strategy

towards China and has begun a new marketing project for the next 10

years on MIG Germany.

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Afriagro (Pty) Ltd.

Afriagro is a South African food and beverages company with a focus on

exporting to China. They have their own food labels, while also representing

several South African wine and food producing companies. With the backing of

China’s two biggest state-owned retailers, it operates the MIG South Africa in the

Shanghai Free Trade Zone. The company has an extensive network of

international trade and good reputation. To meet the demand of the domestic

consumers for high quality products, Afriagro Ltd is able to offer a good solution.

Collection of

foreign products

International

Settlement

Operation de the

MIG Platform

MIG regional

Lakala E-commerce

ChinaLight Everbright

Imp. &Exp. Corp. (Exclusive agent in China Mainland, Hong

Kong and Macao)

CHINGER / Afriagro

Chinafood TV TV Shopping

Womai of

COFCO E-commerce

Reginal partners MIG regional

Beijing

Tianhengshengshi

Promotion and publi

relations

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Cooperative Relation

Channels

Hengtianyutuo&CHINGER

(Shangai) (Exclusive distributor in China Mainland,

Hong Kong and Macao)

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Current MIG Suppliers

XIANXING SPAIN

Xianxing SPAIN is a Chinese company registered in Spain with

head office in Barcelona.

It is engaged in the import and export of food, wine, natural juice,

organic and ecological products, household products and so on. It

also invest in real estate and hotel industry through the promotion

and construction of residential buidings and the exploitation of the

hotel business.

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Operator and promoter of MIG Spain

As the project developer and

operator of MIG Spain, authorized by

ChinaLight Everbright, we hope to

cooperate with governmental

organizations, business associations,

professional firms and social

institutions to promote the project

throughout Spain. Our objective is to

introduce the Spanish leading

companies and their products to the

Chinese market so that the1.3 billion

Chinese consumers can know more

about the concept "Made in Spain".

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XIANXING SPAIN

Thank you

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