Challenges and Advantages of Doing Business in China Essay Example

involved with doing business in China involves the cultural barrier. This includes both the customs and the language differences. The customs of Chinese and Americans are really different. Without a good understanding of the Chinese culture, doing business in China could be a diaster. Something as simple as giving a gift to a Chinese businessman could go wrong if the wrong gift is given.

Such an example would be a clock. The gift of a clock in America doesn’t seem like a big deal, but in China, the giving of a clock symbolizes the wishing their early demise. This is probably the reason that doing business in China is currently so challenging. In addition, there is always the language barrier to overcome as well. Despite the fact that most Chinese are learning English as their second language, there is no doubt that being able to speak Chinese as an American coming to China for business has a huge advantage over the rest of the competition.

Another challenge is that despite the ability to manufacture products cheaper in China, there is a flip side to this situation and that is that sometimes, that “made in America” sign on the back of a product could mean more than the few dollars more it costs to buy that product. Some Americans, in their spirit of patriotism, care more about supporting the American economy than saving a little bit here and there buying products that were manufactured outside of the United States.

Balancing the stigma sometimes associated with making a product in a foreign country with the lower costs that usually comes along with that is important in doing business in China

as well. As one can see, there is ample opportunity for business in China. China’s economy is expanding very quickly. In order to be successful overseas however, there are many important points to keep in mind. In learning these obstacles and figuring out how to overcome them will define success in China.