The Bridge to Entre China --Hong Kong
Grant MacEwan University
2010
The Bridge to Entre China * Hong Kong
Table of Contents Introduction 3 Reasons to do business in China 3 How to enter the Chinese market (through Hong Kong) 5 China’s global financial centre 6 Relationship with western countries 6 Language used in business environment 7 Hong Kong education (different between China – English) 7 International Trade: Fast Facts on Canada-China Commercial Relations 8 Hong Kong business policy/ Law 10 A successful example of starting a business in Hong Kong and moving to China – DeBlock Consulting (China) Ltd. 11 Conclusion 12 References 13
Introduction
China is an important county for international businesses. China has made a significant change in recent years that China to become more open mind and willing to do business with different countries. However, China is still a juror in international business world. This research paper will discuss an important city which acts as a bridge for international business to enter China. This city is Hong Kong.
Reasons to do business in China
There several reasons to do business in China. First, China has a large population that provides a huge market for companies to do business. In 2007, China had 1.32 billion people. This made it the most populated country in the world. About 23 percent population lives in China. China is a developing county and requires a lot of goods to support its expansion. In addition, China provides lower labor cost. In China, 70 percent of business workers’ average monthly incomes are between 800 yuan (US $97) to 2,500 yuan (US $302). Companies are able to take advantage of this to become more competitive in price. In recent years, China’s has grown quickly. In 2009, China’s GDP was 8.9%. Compared to other countries in the world, China is very strong. China and Canada are becoming closer and closer. China and Canada’s import and export markets have increased significantly within these past
2010
The Bridge to Entre China * Hong Kong
Table of Contents Introduction 3 Reasons to do business in China 3 How to enter the Chinese market (through Hong Kong) 5 China’s global financial centre 6 Relationship with western countries 6 Language used in business environment 7 Hong Kong education (different between China – English) 7 International Trade: Fast Facts on Canada-China Commercial Relations 8 Hong Kong business policy/ Law 10 A successful example of starting a business in Hong Kong and moving to China – DeBlock Consulting (China) Ltd. 11 Conclusion 12 References 13
Introduction
China is an important county for international businesses. China has made a significant change in recent years that China to become more open mind and willing to do business with different countries. However, China is still a juror in international business world. This research paper will discuss an important city which acts as a bridge for international business to enter China. This city is Hong Kong.
Reasons to do business in China
There several reasons to do business in China. First, China has a large population that provides a huge market for companies to do business. In 2007, China had 1.32 billion people. This made it the most populated country in the world. About 23 percent population lives in China. China is a developing county and requires a lot of goods to support its expansion. In addition, China provides lower labor cost. In China, 70 percent of business workers’ average monthly incomes are between 800 yuan (US $97) to 2,500 yuan (US $302). Companies are able to take advantage of this to become more competitive in price. In recent years, China’s has grown quickly. In 2009, China’s GDP was 8.9%. Compared to other countries in the world, China is very strong. China and Canada are becoming closer and closer. China and Canada’s import and export markets have increased significantly within these past
References: Asia Pacific Foundation of Canada. (2010, April 1). Canadian Outward Foreign Direct Investment to the World. Retrieved from http://www.asiapacific.ca/statistics/investment/outward-foreign-direct-investment/canadian-outward-foreign-direct-investment-w Asia Pacific Foundation of Canada. (2010, April 1). Canadian Inward Foreign Direct Investment from Asia. Retrieved from http://www.asiapacific.ca/statistics/investment/inward-foreign-direct-investment/canadian-inward-foreign-direct-investment-asi DeBlock Consulting Ltd. (2010, January 20). “Building a China Strategy”. PowerPoint Presentation in Hong Kong Canada Business Association Seminar. Education Bureau. (2009, September 3). Kindergarten, Primary and Secondary Education. Retrieved from http://www.edb.gov.hk/index.aspx?nodeID=397&langno=1 Foreign Affairs and International Trade Canada. (2008, October 28). International Trade: Fast Facts on Canada-China. Retrieved from http://www.international.gc.ca/commerce/visit-visite/china-chine2/facts_china-faits_chine.aspx News.gov.hk. (2010, November 8). Hong Kong Government to promote Hong Kong as China’s Global Financial Centre. Retrieved from http://www.info.gov.hk/gia/general/201011/08/P201011080186.htm News.gov.hk. (2010, November 18). Hong Kong Government to promote Hong Kong as China’s Global Financial Centre. Retrieved from The Government of the Hong Kong Special Administrative Region. (2010, September 17). Hong Kong &Pearl River Delta – A Winning Business Strategy. Retrieved from http://www.investhk.gov.hk/default_bodies/whyhk/en_gateway.html