Posted by: changholt | August 3, 2009

How is China doing?

Given the current economic crisis I often get asked by academics and professionals, “how is China coping”. In sum, China remains one of the world’s most promising markets. While the US government had a well publicized “stimulus package” the Chinese government also tired to spur economic growth with a humble $500 billion dollar infrastructure package of its own.

Recent Chinese government measures to encourage domestic consumption, enhance infrastructure development and improve environmental standards have created opportunities for US companies. Are you poised to take advantage of these opportunities?

Given its massive manufacturing capabilities China has been forced to create state-of-the-art supply chain services, technological know-how, financial infrastructure and English is widely spoken. It’s not Mao Zedong’s China anymore. Shanghai (my home away from home), is the epicenter of Chinese commerce giving US companies access to world-class professional and financial services that will help grow their Chinese businesses.

If you’re concerned about the legal issues surrounding doing business in China, HSI recommends having contracts in Hong Kong. With Hong Kong’s strong rule of law, it is also a proven risk manager for China, further enhancing its reputation as a global sourcing hub with excellent service infrastructure that upholds the western values of corporate governance and intellectual property protection.
Remember, the Chinese think HK is a special administrative region of China and therefore Chinese! Therefore, you can use their own pride against them and get the “protections” you and your investors require. HK is a safe harbor for investors.


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