JLJ CONSULTING

1. 2012 JLJ CONSULTING Solutions for China Entry & Growth

2. JLJ Consulting Overview Sample Case Studies How We Can Help

3. JLJ CONSULTING ONE OF FOUR IN-HOUSE DIVISIONS OF THE JLJ GROUP Solutions for China Entry & Growth Consulting FDI Division HR Outsourcing Recruitment Executive Search & Staffing Solutions Payroll & HR Outsourcing Set–up Advisory, Corporate Formation, Tax & Accounting Market Research & Consulting Service The JLJ Group is a one-stop service provider assisting international companies with their mission to enter and grow in the China market

4. SERVICES MATCH THE VARIOUS STAGES OF A CLIENT’S MOVE INTO THE CHINA MARKET Research Entry Growth Client Stage Investigate the market Establish a presence in China Grow in the China market • Market Research & Assessment • Regulatory Environment Analysis • Partner Search & Due Diligence • Entry Strategy Consulting • Competitive Intelligence/Analysis • Location Analysis • Market Research & Analysis • Management Consulting • Consumer / Customer Surveys Consulting Services Thanks to our corporate structure, we are also able to assist with services beyond consulting (e.g. tax & accounting, payroll services, etc.)

5. FIVE ‘PILLARS’ TO JLJ’S PROJECT EXECUTION METHODOLOGY Secondary Research Primary Research Information Analysis “Wearing the Client’s shoes” Project Background • Critical to establishing the proper starting point • Defines the deliverable in light of client needs and expectations • Executed in both Chinese and English • Can be executed in multiple Chinese dialects and/or English • Critical for projects in China • Experience accrued during over 200 market research and consulting projects • Experienced in modeling, etc. • Critical to answer questions that may not be addressed in original scope of project Obtaining accurate information in China is especially difficult due to the size of the country, lack of reliable sources and the fact that the economy is in constant flux; therefore JLJ uses a combination of the above to gather data

6. MULTI DIMENSIONAL TEAM PROVIDES 360o PERSPECTIVE • Local team throughout China • Bringing knowledge of various Chinese regions • Local knowledge and experience overseas • Bringing multiple perspectives to the team and projects Overseas Returnees Local Chinese Team Consulting Overseas Professionals • Overseas international professionals from the U.S., Italy, Hong Kong, etc. • Bring international perspective and standards to consulting process

7. PARTNER BRINGS BEST PRACTICES FROM BOSTON CONSULTING GROUP In his nearly 8 years in China at The JLJ Group, Alessandro has advised hundreds of foreign clients (both companies and governmental organizations) on a variety of strategic and tactical issues in dozens of industries covering both Business-to-Business as well as Business-to-Consumers. Alessandro is regularly invited to speak at seminars and conferences in China and around the world on number of China-related topics. He speaks fluent Italian, English and Spanish and is conversational in Mandarin, French and German. Alessandro holds a degree in Management Engineering from Politecnico di Milano (Italy), and an MBA from Northwestern University's Kellogg Business School (Chicago, USA). Alessandro has extensive strategy & management consulting experience and strong global perspective gained on three continents - Asia, Europe and America. His business experience spans from top international firms to start-ups, including The Boston Consulting Group (a global management consulting firm), Barilla (Italy's leading food company) and Auripay.com (a Boston-based e-payment company).

8. LOCAL TEAM LEAD BY INTERNATIONAL MANAGER While at JLJ, Mark has helped manage and execute dozens of consulting and market research projects covering a number of industries, including F&B, FMCG, luxury goods, retail, and agricultural products. Additionally, Mr. Ray has delivered several seminars on Chinese business practices, HR management, and China tier 2 cities. Mark holds an MBA from American University's Kogod School of Business, located in Washington DC, with an emphasis on Finance and International Economic Policy, and a BA in History (emphasis on Asia) from the University of Tennessee, Knoxville. Mark has extensive market research and consulting experience, as well as comprehensive international experience gained in the US, Europe and China. Prior to joining JLJ, Mark worked at several leading US companies and government agencies including Freddie Mac, Countrywide FinancialCorporation and the US Department of Commerce- International Trade Administration. Project output up to international standards

9. JLJ Consulting Overview Sample Case Studies How We Can Help

10. MARKET RESEARCH & OPPORTUNITY ANALYSISMedical Devices Project Overview: The study involved the mapping out of the China healthcare system to determine the usage and technology of heart rate monitors used as well understanding key competitors in the market. The scope of the study included a market overview, competitor analysis and a review of the client's existing channel structure. Specifically, the study focused on the following five tasks: Map out the overall market structure (e.g. private and public hospitals, primary care, and EMS Services) Identify opportunities in patient monitoring by segment Provide analysis of existing channels such as sales team and distributors Benchmark key competitors and identify key strengths and advantages Team had to execute a number of interviews with key players (e.g. hospitals, distributors, EMS staff, etc.) as well as engage in significant secondary research to fill key gaps in the data

11. MARKET SIZING AND ENTRY STRATEGYPremium Food & Beverage Consortium Project Overview: The study involved the estimation and forecasting of the market size and future potential of super-premium beef and lamb in all four regions of China. The scope of the study included a market overview, consumer research, customer research, full supply chain analysis from producers, importers, and distributors to five-star hotels and high end restaurants. The study aimed at answering the following questions: Identify market size and potential for super-premium lamb and beef market Determine consumer preferences for beef and lamb (e.g. grain vs. grass fed) Evaluate supply Chain (including Grey Channels) and identify potential partners Recommendations for market entry location and legal setup Team executed over 200 consumer interviews and dozens of in-depth interviews; a significant amount of modeling for market sizing also performed

12. CONSUMER RESEARCH AND BENCHMARKINGPremium Consumer Durable Household Goods Project Overview: Focus of the overall project was to assist a premium mattress company already in the China market expand their growth. The scope of the project included consumer research through CLT intercepts as well as focus groups and product trials in three Tier 1 cities. A secondary scope of the project was to benchmark companies in similar positions to determine “what they do” in China. The study aimed at answering the following questions: Determine the mattresses consumers are currently using and prices Analyze preference in mattress type through product trials in 3 cities Through focus groups, determine best advertising concepts for TV commercials Identify what other companies in premium consumer durables are doing Team performed Central Location Test in 3 cities to intercept individuals for consumer surveys using stringent screening tests while executing in-depth benchmarks of other companies; second phase of the project included product trials and FGDs to test advertising concepts

13. PARTNER SEARCH AND MEETING SETUPEnergy Efficient Metal Processing Equipment Project Overview: The study involved an analysis of China’s aluminum extrusion industry and an analysis of potential partners for foreign companies with advanced “clean” technologies. The scope of the project included a market overview (demand and supply side), identification of key manufacturers of extruded aluminum products and the identification & meeting setup with PE and VC firms willing to invest in a foreign SME. The study aimed at answering the following questions: Estimate the overall market potential for aluminum billet heaters Determine if it was feasible to enter the China market based on demand forecast Identify VC and PE companies to invest in SMEs with advanced technology Set up and support meetings with both government and private PE / VC funds Team had to not only execute a market feasibility study and overview but also set up meetings with PE/VC companies willing to invest in an SME with advanced technologies within the limited project time frame

14. COMPETITIVE INTELLIGENCE PROJECTProduct Certification Industry Project Overview: The study involved an analysis of our client’s top five competitors in the China market through competitive intelligence. The scope of the project included identifying each company’s organizational structure, geographic concentration, turnover, number of engineers, etc.. The study aimed at answering the following questions: What services are offered by each of the top 5 competitors in China? What is the turnover of each of the top five competitors by service? What is the organizational structure of each of the top 5 competitors? Identify other key activities or information of value for each company? Project involved a significant amount of primary research and investigation to estimate turnover by service (estimate based on number of engineers in each service); team also analyzed 7 secondary competitors although to less depth

15. M&A TARGET SEARCHWaste Water Treatment Industry Project Overview: The project involved multiple phases where JLJ scanned the China market for potential acquisition targets based on a set of client criteria. The scope of the project included screening potential targets at each project phase and determining the suitability of waste water treatment plants for potential acquisition by considering ownership structure, treatment capacity, etc. through extensive primary research; eventually JLJ set up meetings between the client and the top potential targets. The project focused on the following areas: Scanning China market for wastewater treatment facilities Profile each of the facilities based on Phase 1 screening criteria Phase 2 developed detailed profiles of companies passing Phase 1 screening Screened Phase 2 companies and set up meetings between clients and top targets Project involved a significant amount of primary research and investigation to determine which companies met the screening criteria and to eventually set up meetings between the client and the target companies

16. JLJ Consulting Overview Sample Case Studies How We Can Help

17. MARKET RESEARCH AND ENTRY STRATEGY CLIENT • Key Services: • Market overview • Feasibility study • Regulatory analysis • Import process • Supply chain analysis • Location and entry options analysis • … Consulting Based on market research, JLJ Consulting can develop an effective entry strategy for foreign clients considering China market entry

18. IDENTIFY PARTNERS FOR SOURCING, DISTRIBUTION, FUNDING, JV, ETC. CLIENT POTENTIAL CHINESE PARTNER • Key Services: • Vet potential partners • (Sourcing, distribution, JV, funding, importers, potential customers, etc.) • Conduct business due diligence • Facilitate meeting set up • … Consulting JLJ can scan the market based on client criteria for potential partners, vet those partners and facilitate introductory meetings

19. CONSUMER RESEARCH AND BRAND PERCEPTION CLIENT CHINESE CONSUMER • Key Services: • In-depth face-to-face interviews • Central Location Testing • Online questionnaires • Focus group discussions • … Consulting Experienced in executing face-to-face surveys throughout as well as utilize online platforms and FGDs1 to capture useful insights for our clients 1) FGD – Focus Group Discussions

20. Provide high-level advice on various China-related issues such as: China market entry & growth strategies Regulatory updates relevant to foreign investments Market trends in key industries Share experience & expertise at events Contribute relevant articles to print/online publications Provide regular information and updates of developments in China Host delegations visiting China Launch joint research projects on specific topics/industries in China Coordinate meeting for trade missions or delegation … WHAT ELSE CAN WE DO? Examples

21. FIVE KEY REASONS TO CHOOSE JLJ • Providing best solutions is our priority • Professional service at competitive rates • International professional standards + effective local execution • One-stop-shop services provider • Legally licensed to provide services through in-house specialized divisions • Can provide services along Entry & Growth development stages • Can provide 360°approach to clients’ needs • Strong knowledge & expertise of the China market • 16 years of experience in China, through our divisions • Hundreds of projects executed in virtually every industry • Talented, diverse and well-balanced team • International Management Team • Diverse team made up of local Chinese, Chinese returnees and overseas staff • All key functions covered - strategy, marketing, HR, sales, finance, operations, government relations, etc. • Solid track record with long-term and recurring clients • 600+ clients served from 30+ countries, from government organizations & NGOs to institutional investors, SMEs and Fortune 1000 companies • New clients often referred by old clients Client reference available upon request

22. THANK YOU FOR YOUR ATTENTION! • China Offices: • Beijing Office • Suite 2002, Building 1 Blue Castle International Centre 3 Xi Dawang Road, Chaoyang District Tel: +86 10 6582 0268 Fax:+86 10 6582 0251 • Shanghai Office • Suite 603-605Oriental Center699 Nanjing West Road Tel: +86 21 5211 0068 Fax:+86 21 5211 0069 Shanghai • Beijing • Boston • Milan info@JLJGroup.com www.JLJGroup.com

23. EXPERIENCED IN WORKING WITH GOVERNMENT, SME’S AND FORTUNE 1000 COMPANIES

24. EXPERIENCE IN MULTIPLE INDUSTRIES • Luxury Products & Services • Pharmaceuticals • Retail & Franchising • Regulatory environment  • Real Estate • Shipbuilding & Marine Management • Telecom & Telecom Equipment • Textile & Garment • … • Agriculture • Automotive • Chemicals & Special materials • Environmental & Energy • Fast Moving Consumer Goods (FMCG) • Food & Beverage (F&B) • Industrial Equipment & Products • Media & Entertainment • Medical/Dental Equipment & Device • Health & Fitness • Human Resources • Information Technology / High Tech • Logistics, Warehousing & Transportation