Great perspective. Do you think the low barrier to entry is influenced by the need to know how to do business in China? I am betting some of these small cap companies may eventually be good takeovers or partners for other global companies looking to get into the Chinese market. The fact that AOB is an established player in this market with distribtuion, complimentary products and govt. connections could be advantageous to a company trying to enter this market. I am not implying govt. connections is a bad thing. It is common in every country, including the US where pharmaceutical lobbyists are dining your govt. officials every night of the week.

The valuations appear to be grossly understated in relation to the growth prospects, which as you point out is being discounted due to the possibility of competitors.