The Price of Cuteness: China's Booming Urban Pet Economy.

What ethical dilemmas and accounting implications do cats bring to China’s booming urban pet economy? This thesis examines the complex and rapidly evolving landscape of the human-cat relationship in China. It provides an overview of cats’ historical functional roles and their current status as cherished companions and significant economic assets. It also illustrates how the rise of pet culture in China, driven by rapid urbanization and younger generations, has fueled a booming 'pet economy' witnessing exponential growth across sectors like pet food, veterinary care, and specialized services, reflecting a profound emotional and financial investment by owners. Through original ethnographic research conducted between 2024 and 2025 in major Chinese cities like Suzhou, Shanghai, Nanjing, and Hangzhou, this study uncovers how cats are strategically used in diverse businesses, serving not merely as emotional comforts but as commercial attractions and direct sources of profit. This pervasive commodification, while highlighting the economic dynamism of the sector, simultaneously exposes critical ethical dilemmas and significant animal welfare concerns, exacerbated by a lack of consistent national regulation. The thesis critically examines how, despite being affectively recognized, cats are frequently marginalized in regulatory discourse, legally treated as "commodities" or "biological assets." The work concludes with a comparative analysis of China's CAS 5 and international IAS 41 accounting standards, highlighting how the prevalent cost-based valuation in China selectively emphasizes an animal's economic value while obscuring crucial aspects of its living experience and well-being, creating a selective visibility in financial reporting that opens ethical dilemmas on animal justice.