China Strategy

Evidence has shown that the contextual difference or gap between a foreign firm's home country and China is a key reason for business failure in China. This Section helps in developing a better understanding of China's context in terms of its general environmental segments, and a number of strategies to deal with new and updated contextual issues in China. How much does context matter in doing business in China? How do foreign firms deal with new and updated contextual issues in China?

Foreign entrants are often puzzled by varying types and unique features of players they encounter in China, and often make mistakes by treating the locations in China as homogeneous. This Section helps in developing a better understanding of China's context in terms of its players and locations, and a number of strategies to deal with them in China. Who are the players in China? How do foreign firms identify and differentiate different types of Chinese players? What does subnational location mean in China? How do foreign firms respond to the idiosyncratic natures of different Chinese locations?

The success of doing business in China is influenced by the choices of entry mode. This Section explores the advantages and disadvantages offered by different entry modes, and also the different resources and time commitments required. We also introduce cross-border E-commerce, an increasing and emerging new entry mode. What is entry mode? Why are different entry modes chosen? What are the pros and cons of each entry mode? How do foreign firms choose entry mode? What is cross-border E-commerce in China and how do foreign firms use this new entry mode?