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We project drought losses in China under global temperature increase of 1.5 °C and 2.0 °C, based on the Standardized Precipitation Evapotranspiration Index (SPEI) and the Palmer Drought Severity Index (PDSI), a cluster analysis method, and "intensity-loss rate" function. In contrast to earlier studies, to project the drought losses, we predict the regional gross domestic product under shared socioeconomic pathways instead of using a static socioeconomic scenario. We identify increasing precipitation and evapotranspiration pattern for the 1.5 °C and 2.0 °C global warming above the preindustrial at 2020-2039 and 2040-2059, respectively. With increasing drought intensity and areal coverage across China, drought losses will soar. The estimated loss in a sustainable development pathway at the 1.5 °C warming level increases 10-fold in comparison with the reference period 1986-2005 and nearly threefold relative to the interval 2006-2015. However, limiting the temperature increase to 1.5 °C can reduce the annual drought losses in China by several tens of billions of US dollars, compared with the 2.0 °C warming. [ABSTRACT FROM AUTHOR]

Purpose - The article provides guidance for managers seeking to successfully position their products in the Chinese medium market segment. Design/methodology/approach - Data are collected and analyzed from about 25 international manufacturing companies. Findings - Findings identify barriers and challenges and give guidance during strategy preparation, formulation, and implementation for entering the Chinese medium market segment. Practical implications - Managers benefit from a practical framework to overcome barriers during the strategy process on market entry into the Chinese medium market segment. Originality/value - New strategic potentials and risks in China's emerging market make entry into the medium market for international firms an imperative step. [ABSTRACT FROM AUTHOR]