Zheng Hao, manager of the design department of general stores of Peak's Beijing R&D center, says: "It's rare to see uniforms that combine traditional clothing culture with modern technology. It's challenging to integrate historic cultures with sports, but we tried our best - and we did it."

Peak's Liu explains that upon sealing a sponsorship, the company researches the country's history, culture, economy, religion, customs and languages.

"We respect different clients' cultures in the design process," Liu says.

Adivon, which designed for Syria, Cote d'Ivoire and Lesotho for the London Games, also incorporates its clients' cultures in its creations, chief brand officer Liu Feng says.

The countries it created for this year fit its brand identity - "new heroism" - which it developed in late 2011.

"It redefines the concept of heroes, while advocating happiness in sports," Liu Feng says.

"Never judge a hero on the basis of success or failure, or numbers of medals. We chose to sponsor these three countries because we found new heroism in them - Syria, in particular. Syria has suffered years of war and lacked sports environment and facilities, but its athletes still compete in many big events, which best interprets new heroism.

"We also hope that through these three teams, we can bring the new heroism concept to other countries to inspire a new generation."

Adivon solicited ideas from the public and finally chose a shirt called "Peace", the concept of which came from a Syrian studying in China.

"The unstable situation in Syria, and the peace and friendship represented by the Olympics, inspired the Syrian student, who put 'peace' in different languages on the shirt to advocate world peace," Liu Feng says.

"The idea was well-received, and our designers integrated the idea into Adivon's new logo. Thus, the simple but meaningful Peace T-shirt was created and became popular in the market."

But it's not only designers who are innovating. Manufacturers are, too.

Costco Wholesale in the US selected Jiaxing Cloud Dragon Garment Co to produce 127,000 Olympic garments for fans in 17 countries in North America and Europe during the London Games because of the manufacturer's innovations in embroidery, equipment and fabric.

General manager Ren Long explains the company had to develop new fabric varieties for the order. The most impressive innovation, which it made for another order, is carbon fiber heated from inside by lithium batteries.

Peak's creative solution to the design versus manufacturing gap is to produce 40 percent of the wares it develops.

"Once our factory in Shandong province is completed, we'll manufacture more by ourselves," Liu Xiang says.

The ideal ratio of design to manufacture is 50-50, he adds.

"The balance can help us control costs and cope with market fluctuations," Liu Xiang says.

"The cost of self-manufacturing is now roughly equal to the cost of contracting our outside manufacturers, thanks to our strict cost-control system. But self-manufacturing makes us more flexible in face of market fluctuations.

"We can increase or decrease our orders according to market demand to avoid production shortages or excessive stock."

Liu Xiang explains that, while many Chinese brands cut expenses and shrink their scope to focus on the domestic market, Peak's input in this Olympics is 10 times that of 2008.

"With the help of this Olympics, Peak intends to expand its international influence and become the leading sportswear brand in the seven (sponsored) countries," he says.

"Only by entering the international market and joining the global competition will Chinese brands become stronger and be able to compete with top international brands."

Contact the writers at sundayed@chinadaily.com.cn.