The Chinese economy may not be posting double-digit gains as it has in recent years, but that’s not keeping companies throughout the world from investing in this dynamic market. Estée Lauder for example, is rolling out Osiao (pronounced O-Shao) this month. The skin care brand was created especially for Asian consumers and includes ingredients such as ginseng.

Osiao—the first Lauder brand developed at the company’s research institute in Shanghai— is manufactured in Japan. The cosmetics line is aimed initially at customers in China and is scheduled to go on sale first in select specialty stores in Hong Kong. According to a recent article in The New York Times, company researchers spent years studying different types of Asian skin and tested Osiao on thousands of women in Hong Kong, mainland China, Japan and Korea.

Clearly, China remains an important part of nearly every company’s growth strategy. This month, our correspondent in China, Ally Dai, takes a look at some of the leading domestic players in the Chinese personal care segment. Although none of them has the global clout of Procter & Gamble or L’Oréal, they represent formidable opponents to any company that enters this complex market unprepared. To see how locals and multinationals stack up in China, be sure to read Dai’s column, which starts on p. 58.

Of course, not all innovation created in Asia remains in Asia. Turn to p. 66 to find out how Korean beauty market leader AmorePacific is bringing its cutting-edge skin care technology to US and Canadian consumers.

And if you’re searching for a contract manufacturer to make your next innovative cream or lotion a reality, be sure to check out our Contract Manufacturing/Private Label Directory, which starts on p. 86 in this issue.

We hope you enjoy this edition of Happi, as always we welcome your comments and suggestions.