China Business
« Previous EntriesChina’s New Culture Gap is the Generational Kind
Wednesday, October 24th, 2007I was recently asked to give a talk on negotiating a first deal in China. Talking to a group of new ex-pats about the cultural norms of doing business in China used to be a hot industry in Shanghai, and there are still plenty of people making good money at it. I’m finding, however, that […]
10 Signs that your China Deal is Getting Too Complicated
Monday, August 6th, 2007Negotiating with Chinese counter-parties is getting easier all the time, but there are plenty of situations to look out for. Many westerners who enter into a negotiation with a Chinese counter-party are so sensitive to cultural and interpersonal issues that they lose sight of business issues. Big mistake.
Deals in China can go off the rails […]
Successful Negotiation in China: Fool me once, shame on me.
Monday, June 18th, 2007If a counter-party lies to you once, they will lie to you again. This is true ANYWHERE IN THE WORLD, but for some reason, western investors and managers looking to do their first deal in China need to be reminded of this.
Just for the record, a lie includes:
Saying they have already have ISO 9000 certification […]
Negotiating in China: Assume NOTHING!
Friday, May 25th, 2007What do you know?
What do you know you don’t know?
What do you NOT know you don’t know?
Sounds like a word game, or a ‘new age’ philosophy discussion. In China, though, figuring out what you DO NOT know is your top priority for surviving your first year. Before you start doing RESEARCH on […]
In China, Service Contracts are not automatic
Tuesday, May 15th, 2007I was on the Shanghai subway recently – which is looking a little less shiny and new these days. It is still damned impressive though - bordering on ‘Sci-Fi’ to a New Yorker who is used to standing on naked concrete platforms as the antique R train goes shambling past. But here, in the futuristic […]
Chinese Negotiations: Hiring China consultants with connections
Wednesday, May 9th, 2007Many local Chinese consultants and partners offer overseas businesses a shortcut to success in the Mainland by offering to use their connections or “guanxi” to help make things happen. Is this a good idea?
Overseas SMEs should think of business in China like a race. Local Chinese managers like to sprint off the line […]
Negotiating in China: Price Bands for Service Providers
Tuesday, May 8th, 2007China business has a well deserved reputation for 2 things – low costs and low quality levels. That’s not necessarily a bad thing – there are times you are more sensitive to cost than to quality. Most businesses, however, have certain standards and minimum levels of quality standards that they must satisfy in order to […]
Negotiating Sales and Partnerships in China
Tuesday, April 10th, 2007Approach negotiation as part of the sales process. It’s not an end unto itself; nor is it a minor detail on the way to the final close.
By the time you approach the negotiation phase of a deal, you should have a pretty good idea about your counterparty’s plans, strategies and goals. This is a great […]
Winning Negotiating Techniques for China – Multiple partners
Tuesday, April 3rd, 2007Here’s a negotiating technique that will make your China-based counter-parties hate you – and your US investors and partners love you. Have multiple potential partners in China, and play one off against the other. You’re going to find yourself with lots of time on your hands, waiting for the other guy to make a decision […]
Negotiating in China: Ignorance is Power
Friday, March 23rd, 2007If your China business model involves B2B selling, there is a good chance that you will spend a lot of time negotiating with people who don’t know – or care – about how your product or service works. You are an expert in something that your counter-party is unfamiliar with. In the US, […]
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