Aggressive expansion and soaring inventories eroded net profit in 2011, but a renewed focus on efficiency should help to turn around performance in 2012.

China’s drug regulator halted sales of 13 drugs on April 15 that use capsules allegedly made from industrial gelatin that contains excessive levels of toxic metal chromium, a potential cause of cancer. The 13 drugs under suspension were all made by Chinese pharmaceutical companies that buy plastic drug capsules produced by small manufacturers in China’s eastern Zhejiang province. The drug regulator also asked local authorities to carry out inspections of local capsule manufacturers. So far, police have reportedly detained 22 people who allegedly produced and sold the capsules.

A diversified approach has enabled the mid-to-premium shoemaker to expand aggressively without sacrificing margins.

Bankcard spending showed a slight increase in March on both a MoM and a YoY basis, indicating continued robust consumer confidence, according to a leading third-party indicator.

A China Confidential survey of 200 exporters across China has revealed a strong outlook for exports in April compared to March.

Once famous baijiu maker Tuopai Shede is aggressively moving upmarket in a bid to boost profits and regain market share.

Expanding capacity and the number of directly operated stores should boost both top- and bottom-line growth for China’s most famous baijiu maker, while a proposed government ban is unlikely to have a significant impact.