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Since the 1970s,when China’s foreign trade policy was liberalized ,many Western firms have been very enthusiastic about capturing this market of over one billion consumers. On average ,throughout the 1980’s ,China was visited by one Western government advisor every week.This interest of Western authorities and businesses can be compared with Western interests in Japan,a far more important trading partner.Western businesses’ interest in China decreased somewhat after the Tiananmen Square incident in 1989.
1.Introducing…………………………………………………………………………3
2.Lobbyng……………………………………………………………………………5
3.Budget offer………………………………………………………………………..8
4.Technical discussions……………………………………………………………...9
5.Final offer…………………………………………………………………………10
6.Formal negotiations……………………………………………………………….11
7.Managerial implications…………………………………………………………..13
8.Conclusions……………………………………………………………………….15
In most the deals in China, buy-back and export is the matter of lengthy period with many stages.While foreign firms are entering China due to the size of its market,
the Chinese,in its turn see the foreign firms as the source of technology and foreign exchange earnings.
The pace of negotiation in China is very slow .The presentations are formal and orderly.
The third part such as government still plays a major role in the negotiation process,
since the people there are still collective minded and it plays a large role.
RECOURCES
1.Easson,A The incentive for Foreign Direct Investment in the People’s Republic in China.Paper presented at The International Conference on Management in China Today,
June 20-21 ,1988 Leuven,Belgium.
2.Ingmar Bjorkman The management of human resources in Western Companies in
China To match or not to match with the environment .1992.Stockholm.
3.Henrikki Tikkanen.Marketing and International business.1998.Turku.
4.Kerin.A.Rodger &Peterson.Robert. Perspectives on Strategic Marketing Management. 1983.Boston .
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