China’s growing middle class, especially in its southern province of Guangdong, is spurring the growth of small businesses there.
The businesses are being started mainly by entrepreneurs from Hong Kong, and some from Macao. There is less competition than in Hong Kong or Macao. Less startup capital is needed.
The rise of China’s middle class is creating more purchasing power and greater demand for goods and services. Most of these startups are retail outlets, feeding the consumer demand. A China Daily report  quotes a University of Hong Kong professor commenting on the middle class’s rise:
…living standards in the delta region were now comparable to Hong Kong’s in the 1980s. “At that time, so many of us in Hong Kong would like to travel, to buy vehicles and so on. Isn’t this being repeated in the delta region?” Yeh said.
China’s growing middle class consumers are going to be a powerful force driving the world economy going forward. This is just the beginning.