Setting up a business in China Essay Example | Topics and Well Written Essays - 2500 words

Setting up a business in China - Essay Example This research will begin with the Chinese business culture. Chinese people perform a different form of business and culture as compared to the rest of the world especially the West. However, with the uniqueness of the Chinese history and background, China always has a special culture of business and etiquette. A simple business culture can mess a working relationship that was doing well. Conflict of culture between Chinese and another culture may cut short a working business relationship. Chinese businesses are usually based on being referred by another business associate; could be in the same business or in another business field. However, a strong recommendation from such an associate is required to win favour of clients and get good deals.Chinese business starts on a social plate and continues along the same line unless something happens that may break relationship between parties involved leading to business termination. Unlike Western culture where business is profession based, Chinese business is more of a social affair than a professional one. This is essential to help attract more clients and win hearts of many people in business. It helps maintain one’s clients in business socially rather than professionally and this increases business returns. The more one goes social in business in China, the higher the returns. Getting personal in business and sharing one’s personal life acts as an incentive to business partners. Business partners usually take this as getting close to them and this may be their interest even before they do their business with the party involved. It is therefore imperative to get personal and avoid too much of being professional as this will guarantee high returns within a short period of business. Spending time in sharing personal life in business attracts business associates from China. Personal life may include political views, hobbies, and family life among others. Protocol and priority are vital in business in Chin a. Protocol and priority comes in when dealing with people of different ranks. Recognition is of essence to show these individuals that one recognizes their rank. Address people with their correct designation, for example, Director, Doctor, Professor, and Chairman. This will make the parties see that their rank in whatever field they are in is highly recognized even in business. Giving business cards during business meetings indicates that one is serious in doing business. A business card should face the recipient. Such a card should have one side translated to make it easy for the Chinese party to understand what one is selling to them or buying from them. It is important to mention one’s company and the rank one holds before business gets underway. Business in China pays much attention to respect. Parties are supposed to display respect to each other according to rank. It may not be easy to excel in business in China without understanding that respect is tantamount to busin ess success. It is necessary to establish contact with a client one is dealing with so as to get as much referrals as possible from that client as business progresses. One should act as an interpreter to himself to make it easy to identify with Chinese as they like business where they understand what they are dealing in. It is vital to explain legal aspects of the business one is handling to be sure of the legal implications when doing any kind of