Weighing the Pros and Cons of Setting up a Business in China
Is China a good option?
China is quickly transforming into a mass consumer market. It has never been a better time to expand as China offers tremendous prospects for international expansion, as it is one the fastest growing emerging market. To start a successful business venture here, one needs to have sufficient knowledge and expertise. China’s decision to welcome the west has made foreign investments very easy. China offers an entrepreneurial economy for any expanding business and is considered so powerful that it sets the global benchmark for prices. Being both enterprising and intimidating in equal measure, the China Price is virtually a synonym for the world’s lowest cost, with suppliers even often asking their leading clients to open factories, or find subcontractors here.
There have been remarkable changes in China over the past quarter of a century. It has transformed from an agrarian economy to a market with a limited private sector into the world’s manufacturing base. This expedient progress in turn has given way for significant opportunities for starting a business venture in China in all the major sectors like energy, technology, engineering, healthcare and finance. So Whether you are in a service or product related industry, now is the time to enter china as China is set to become second largest consumer market in the world by 2015.
The business opportunities that China offers
When doing business in China, expect to encounter differences in human resources, government policies, and the legal system as well as the language. Having the right attitude and understanding that business might be done in different ways internationally is important to keep in mind.Regional cities offer a diverse range of opportunities to businesses interested in setting up a business in China and sectors like Advanced Engineering , Environment & Climate Change, Financial & professional Services,Infrastructure , Energy , Information Communication Technology are listed as priority.
Quick glance at the most lucrative cities in China
Latest studies have recognized the 35 most lucrative cities for companies interested in an intercompany transfer pricing in China, and they are Baotou, Changchun, Changsha, Dalian, Daqingm, Dongguan, Dongying, Foshan, Hangzhou, Harbin, Hefei, Jinan ,Nanjing ,Nantong ,Ningbo, Ordos,Qingdao, Shaoxing, Shenyang, Shijiazhuang, Suzhou Tangshan, Tianjin, Weifang, Weihai, Wenzhou, Wuhan, Wuxi, Xiamen, Xi’an, Yantai, Zhengzhou, Zhuhai, Zibo.
Overcoming the Challenges
With a market potential of 1.5 billion people, China’s size is its biggest challenge and also its biggest advantage. Most pitfalls in business can be avoided by meticulous research and preparation and China is no exception. Only one piece of advice can be given about the regulatory procedure in China, it is to begin early. Knowing the regulatory filings requirements that you will need to obtain for your products is an important first step in this process. As is any new market, China poses unique challenges which can be abated by enlisting the assistance of specialists. Having the right people working with you in China can set you up for success. It can be an office with qualified staff, or a consultant hired to assist you but having support from those experienced in the market will be a huge advantage to your company.
Processing your request, Please wait....
