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"Culture export undertakes the responsibility of cultural communication between different countries and also bears economic significance, helping enhance the soft power of a country," he said.

"Chinese consumers, especially millennials, want to enjoy life... they care about their individuality and love to travel, and when it comes to shopping in both online and offline channels, they have unique tastes," said He Xiaoqing, global partner at A.T. Kearney, the US-based management counseling firm.

"Complete industrial chains have been set up in the FTZ area. Industrial parks have been built specifically for biomedical, information technology and MEMS companies. While communication can thus be carried out among companies specializing in the same industry, companies in different sectors can also easily find common ground as they are located in the same area," he said.

"Consumption drives economic growth by leading investment. Economic growth can only be stimulated if consumption can be expanded to boost industrial production," said Wang Tongsan, an economist with the Chinese Academy of Social Sciences, a government think tank.

"Chinese reactions are fully justified," Hufbauer said. "Microsoft needs to deal in a respectful manner to maintain its reputation for fair dealing in China."