middle class providing an ever$-$increasing demand for personal and business travel. The outlook for China's vehicle manufacturers and domestic airlines is very positive and business prospects will continue to expand following China's entry into the World Trade Organisation $($WTO$).$

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In $2004,$ there were an estimated $295$ million private cars in China, which is a small number in relation to the country's large and expanding population. With their new found affluence, one of the first things Chinese families purchase is a car which is seen as a more convenient means of transport compared to buses and trains. Manufacturers such as Nanjing Auto, the owners of MG Rover, are

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frantically increasing their productive capacity to meet the demand from domestic consumers. They are also moving production away from basic saloon cars to higher performance vehicles.