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Doing Business Abroad

Nancy Baxter and several other small busi

ness owners joined a trade mission to China to explore

market opportunities there. The group learned that China has a population of 1.3 billion and is

the third fastest growing export market for small

-

and medium

-

sized US firms.

In any given year, the Chin

ese software market grows by 30% and the number of Internet users

quadruples. Furthermore, the demand for management consulting services is increasing,

especially information technology consulting.

Members of the group were surprised by the number of peopl

e who had cell phones and

regularly surfed the Internet, especially in large, urban centers. On the downside, they found that

counterfeit goods (from clothing and leather goods to software and CDs) were available at a

fraction of the cost of legitimate mer

chandise. In addition, the members found that local

merchants expressed an interest in doing business only with vendors with whom they had

established relationships.

In this assignment, you will review different concepts discussed in the course and critica

lly

evaluate how the business venture you are proposing could be successful in a different business

culture, such as China.

Tasks:

Using the Internet or the

University online library resources, research how people do business in

China and how the Ch

inese culture can affect your traditional business thinking.

Now, respond to the following questions:

·

What types of businesses would prosper in China? Why?

·

What are the challenges and risks associated with doing business in China?

·

What steps should Baxter

take to address these challenges and risks in order to increase a

chance of success in the market?

Submission Details:

·

in about 300 words, post your responses to this

Discussion Area

.

Doing Business Abroad

Nancy Baxter and several other small business owners joined a trade mission to China to explore

market opportunities there. The group learned that China has a population of 1.3 billion and is

the third fastest growing export market for small- and medium-sized US firms.

In any given year, the Chinese software market grows by 30% and the number of Internet users

quadruples. Furthermore, the demand for management consulting services is increasing,

especially information technology consulting.

Members of the group were surprised by the number of people who had cell phones and

regularly surfed the Internet, especially in large, urban centers. On the downside, they found that

counterfeit goods (from clothing and leather goods to software and CDs) were available at a

fraction of the cost of legitimate merchandise. In addition, the members found that local

merchants expressed an interest in doing business only with vendors with whom they had

established relationships.

In this assignment, you will review different concepts discussed in the course and critically

evaluate how the business venture you are proposing could be successful in a different business

culture, such as China.

Tasks:

Using the Internet or the University online library resources, research how people do business in

China and how the Chinese culture can affect your traditional business thinking.

Now, respond to the following questions:

 What types of businesses would prosper in China? Why?

 What are the challenges and risks associated with doing business in China?

 What steps should Baxter take to address these challenges and risks in order to increase a

chance of success in the market?

Submission Details:

 in about 300 words, post your responses to this Discussion Area.