By collecting and organizing data on 400 cities across 10 indicators—2012 GDP scale, 2012 per capita income, number of Fortune 500 companies, number of 211 universities, number of international flight routes, number of foreign consulates, airport throughput, density of first-tier brand presence, and number of first-tier brands—a comprehensive ranking is conducted, resulting in a new classification of these 400 cities.

Ranking Basis (Please rotate your phone to view the following images horizontally)

Indicator Explanation In March 2011, Swiss national Dicqiu arrived in China to assume the role of President of Nestlé Greater China, tasked with expanding the market share of the world's largest food company in China. Having spent over a decade in China, he knew from the start that he could achieve great things there.

"Switzerland has only 7 million people, just one-third of Beijing's population. If China's per capita sales could reach Switzerland's level, the returns from the Chinese market would be self-evident," he once compared when discussing China's market potential, having previously served as President of Nestlé Switzerland.

In fact, almost every multinational company that comes to China is astonished by the sheer number of cities and the vast population. For their countries, a city with over a million people might already be a metropolis, but in China, cities that qualify as "metropolises" seem to have populations with an extra zero; there are over 100 cities with populations exceeding one million. To compare specific cities: Paris, the capital of France, has a city population of over 2.2 million, roughly equivalent to Wuxi in Jiangsu or Xiangfan in Hubei, both prefecture-level cities in China; Los Angeles, the second-largest city in the United States, has a city population of over 3 million, roughly equivalent to Jinan or Harbin, provincial capitals of medium population size in China.

The scale of China's urban population is one reason attracting large companies to China. For them, these populations mean not only an unparalleled number of consumers but also a vast pool of talent and labor. According to a report by the Sustainable Development Strategy Research Group of the Chinese Academy of Sciences, China's urbanization rate reached 51.3% in 2011, meaning the urban population can reach nearly 700 million.

City Classification List

"New First-tier" Cities: Chengdu, Hangzhou, Nanjing, Wuhan, Tianjin, Xi'an, Chongqing, Qingdao, Shenyang, Changsha, Dalian, Xiamen, Wuxi, Fuzhou, Jinan—15 in total.

These are either municipalities directly under the central government, with strong economic foundations, large middle-class populations, and considerable political resources; or regional central cities with radiating influence over surrounding provinces, strong educational resources, deep cultural heritage, and convenient transportation; or provincial capitals and coastal open cities in economically developed eastern regions, with good economic foundations, convenient transportation, and unique urban charm. Naturally, these cities are strategic priorities for major companies.

Second-tier Cities Ningbo (Zhejiang), Kunming (Yunnan), Zhengzhou (Henan), Changchun (Jilin), Hefei (Anhui), Harbin (Heilongjiang), Changzhou (Jiangsu), and 36 others.

Traditionally described, these are mostly provincial capitals in the central and eastern regions, coastal open cities, and economically developed prefecture-level cities. In modern urban terms, these cities often have a certain economic base, relatively strong commercial activity, and some appeal to large companies, major brands, and talented individuals. They are becoming or will soon become the focus of major companies' expansion plans in the coming years.

Third-tier Cities Sanya (Hainan), Haikou (Hainan), Shaoxing (Zhejiang), Ordos (Inner Mongolia), Urumqi (Xinjiang), and 73 others.

These are mostly regional central cities within provinces in the central and eastern regions, prefecture-level cities with good economic conditions, and national top-100 counties, as well as some provincial capitals in the western region. Most have populations exceeding one million, possess certain consumer spending power, have their own relatively advantageous industries, and may appeal to large companies in specific sectors, but their overall urban competitiveness still needs improvement.

Fourth-tier Cities Taizhou (Zhejiang), Quzhou (Zhejiang), Taicang (Jiangsu), Zhangjiakou (Hebei), Zhanjiang (Guangdong), and 76 others.

These are mainly prefecture-level cities in the central region, including some relatively underdeveloped areas in economically developed provinces. Their economic development often relies on local small and medium-sized enterprises or resource-based enterprises. Residents' consumption capacity is growing, and in the strategies of large companies and major brands, they often depend on the radiation from regional key cities. However, they themselves have some appeal to China's domestic medium-sized enterprises and second-tier brands.

Fifth-tier Cities Yuxi (Yunnan), Tongling (Anhui), Suzhou (Anhui), Heze (Shandong), Xilingol League (Inner Mongolia), and 200 others.

These are mostly prefecture-level cities in the central and western regions, with poor economic foundations, inconvenient transportation, limited numbers of large-scale enterprises, and agricultural populations still in the majority. They are each exploring directions for industrialization.

This city classification breaks the traditional administrative division. For example, Zhongshan in Guangdong Province, administratively a county-level city at the lowest tier, is classified as a second-tier city in our ranking.

In terms of economic development level, this classification also abandons the single indicator of GDP, instead integrating multiple indicators with more modern commercial significance, such as per capita income, educational resources, and choices of large companies and major brands. For instance, in terms of GDP alone, Zhengzhou in Henan surpasses Jinan in Shandong, but in our ranking, Jinan ranks higher than Zhengzhou.

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