Each year, the consumer sector is shaped by a different set of forces. Looking back at 2025, “AI and globalization” stand out as two important changes that shaped the year.
BA Capital focuses on investment in the consumer sector, so we do not directly invest in AI technology companies. However, the development of AI, whether in the short or long term, will become an important variable across the consumer value chain.
In the short term, AI is changing how high-performing content is studied and produced at scale. In the medium term, the development of AI agents may influence consumers’ decision-making journeys. In the long term, AI may reshape social structures, employment, income distribution, and even people’s values and worldviews. These influences on consumption have already happened, or are about to happen.
“Globalization” is not a new theme, but 2025 marked a meaningful shift: Chinese brands began entering the mainstream of global popular culture. Pop Mart’s Labubu appeared in New York’s century-old Macy’s Thanksgiving Day Parade and quickly resonated with younger consumers across Asia, Europe, and the United States. Just two years ago, this would have seemed difficult to imagine. For more than two centuries, global cultural influence had largely flowed from West to East.
At the same time, Western luxury groups, financial institutions, and media have started taking a closer look at Laopu Gold’s heritage craftsmanship and its approach to building a premium brand. Compared with art in its pure form, leading brands are often among the most powerful expressions of a culture. They sit at the intersection of creative expression and industrial discipline, balancing aesthetics with the realities of large-scale manufacturing.
Driven by AI and globalization, consumers’ expectations for both efficiency and differentiation are likely to continue rising. In an era where iteration is accelerating and brands can scale globally faster than ever before, the traditional boundaries between technology, media, and commerce are increasingly blurring. Yet for companies, the more rapidly the environment changes, the more essential it becomes to return to enduring fundamentals: delivering exceptional products and services that truly meet consumer needs.
The essence of channel evolution lies in improving both efficiency and experience. No matter how channels change in form, the direction remains consistent: they either improve efficiency—making access simpler and more affordable—or enhance experience by making consumers’ time and attention more meaningful. A second key focus is product excellence. Marketing methods evolve quickly, but what ultimately matters is whether the product itself can stand at the center of the consumer experience, even without marketing support. A third is staying aligned with deeper shifts in social sentiment. Trends such as cultural confidence, the rise of women’s self-focus, and “healing” reflect structural, long-term changes in this era.
Based on this understanding, we have always stood alongside companies in the consumer sector that are both passionate and creative, supporting them as they push seemingly timeless fundamentals to their limits. We believe that the capabilities built through independent thinking and creativity ultimately translate into sustainable outperformance and form the basis of long-term investor trust.
Since 2020, BA Capital has seen six portfolio companies go public over the past six years. On January 28, 2026, Busy Ming Group was officially listed on the Hong Kong Stock Exchange. In November 2025, Softcare was also listed. Yuanji Food has submitted its listing application to the Hong Kong Stock Exchange.
Looking ahead, we will continue to stand alongside our portfolio companies. We will not rely on inertia, but remain committed to our conviction, independence, and ongoing iteration.
