During the Spring Festival, the news that Chinese tourists had cleaned a local duty free shop out of Japanese rice cookers and toilet seats was a source of considerable comment.

Some comments strike a raw nerve of Chinese manufacturers. Other commenters have defended the quality of “Made in China” on the basis that there is little to choose between Chinese and Japanese products.

The story reminds me of the “rice cooker fever” that was once pervasive in China’s neighbor, South Korea. In 1983, South Korea opened overseas tourism to the public. Members of a non-governmental organization in Busan called "Housewife Class" went to Japan on a cultural exchange visit. When returning to South Korea, members of the NGO brought a lot of Japanese products, including rice cookers, vacuum cleaners, cassette recorders, cameras and furs. The Japanese media reported that the total value of those products was around $ 3,000 at the time.

Their purchases were regarded as a national shame. Their Japanese goods were confiscated, those involved were fined for smuggling, and the NGO was disbanded. The incident caused alarm in Korea. Donga Daily published an article on Feb 10, 1983 about the Korean craze for Japanese rice cookers.

In fact, South Korea was perfectly capable of producing rice cookers. But the Korean manufacturers had underestimated the purchasing power of their customers. They thought that there was no market for expensive rice cookers.

After the "rice cooker" incident, Korean manufacturers recognized that the purchasing power and expectations of the Korean public had changed. New products were called for to meet the changing pattern of demand.　　

30 years later, the same argument has moved from South Korea to China. After 30 years of development, South Korea no longer has a preference for Japanese rice cookers. Instead, domestic brands have now become favored targets for Chinese tourists. In Korean airports Chinese tourists can often be seen carrying small appliances in their boxes.

Social demand determines social production, but social production often lags behind demand. In China, some have made money faster than others. Such people are in pursuit of better quality products and customized service.

In Japan, electric rice cookers selling for more than 10,000 yuan (US $1599) are by no means uncommon. Nowadays, some manufacturers even provide hand-made cookers for customers. In a fiercely competitive market, these products not only have their own core technology, but also their own distinctive characteristics.

Japan and South Korea might not have a huge lead in manufacturing technology, but they are willing to differentiate their products.

Many foreigners are only too well aware of China's enthusiasm for new technology products. Western manufacturers often seek support from their governments for new product development in order to win more Chinese consumers.

It took the South Koreans more than two decades to convince their own people of the quality of their rice cookers. China certainly will not need such a long time. The key is whether we have the acumen for innovation and the courage to change. 

Edited and translated from Chinese version of 《从“电饭锅焦虑”中 寻找革新动力》，source: People's Daily.