A constant feature in all things Chinese is the color (colour, for those yank-challanged among y'all) red.
As common knowledge goes, it is because red is considered to be lucky.
There have an old tale in China, saying that having a beast called "Nian" (年獸), and it will only attack people in spring. But it afraid all the things in red.
That's why Chinese use many things in red in the lunar new year (also in spring). And it become a common color represent "lucky" in Chinese culture.
More information about Nian can be found: http://en.wikipedia.org/wiki/Nian
Red represents fire. Fire (離卦) in I-Ching (易經) also represents Light, Warmth, Sun, Smart, Talent, Beauty, etc.
Hence, Red is considered a good color (when used properly).