Analysis of the success and failure of doing business in china


Analysis of the success and failure of doing business in China


Why some foreign-funded enterprise became successful when entering the China market while others fail, and why some grow relatively faster than the rest? Reasons to explain all these are complex and varied. The following points hope to answer some of the doubts and create some awareness in foreign investors before investing in China.


China market research, China market entry, market research China, market entry China, China market entry strategy, source Chinese suppliers, business partners matching


Why some foreign-funded enterprise became successful when entering the China market while others fail, and why some grow relatively faster than the rest? Reasons to explain all these are complex and varied. The following factors can determine how well or bad foreign-funded enterprise fare in China:

1. Establishment and implementation of enterprise's development strategy. In China, successful MNCs and foreign-funded enterprise will definitely implement long-term development strategy, adopting a long-term outlook for their business, unlike other unsuccessful companies which do not look far and only concentrate on short-term gains. Besides adopting a development strategy that is of long time horizon, the strategy will need to be a flexible one as market conditions are constantly changing due to the presence of globalization. The enterprise need to be flexible as to react immediately to any changes without affecting its business operations.

2. Leadership of the top management plays a decisive role in deci

 



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