CHINA: Understanding & Dealing With the Chinese Way of Doing Business!

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As China is such a vast country there are many hundreds of dialect differences which do not always render them collectively intelligible. It roughly translates as 'honour', 'good reputation' or 'respect'. It is critical you avoid losing face or causing the loss of face at all times. Public criticism therefore, or putting someone on the spot are absolute no-nos in China.

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How A Better Understanding Of Guanxi Can Improve Your Business In China

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Doing business in China: Five tips for success

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What will you Learn? Don't use red ink when writing or signing documents — this implies you are severing ties. The number eight is considered the luckiest number, while the number four is considered unlucky due to it sounding similar to the word for death. Direct questioning is common in China, so don't be offended if you're asked how old you are and how much money you make. Privacy, especially of one's personal life, is generally not practiced in China.


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Draw on the informal, personal relationships you have with local cultural informants to understand the hierarchy. In meetings or negotiations, note the key Chinese decision makers by observing who walks into the room first, who opens the discussions in the meeting, who sits in the middle of the table and who the delegation defers to. In addition, China is an advanced digital economy. Make sure that you set up your WeChat account while doing business in China for network connection and enhancing market reach.

China is a complex and challenging market with an often uncertain regulatory environment. Investing time and resources in understanding your market segment is essential to build the right networks and develop a market entry strategy. Relationships are key, as is engaging local Chinese staff or China based partners to provide on the ground insight and representation. Companies should not assume that success in Australia, or other export markets, will automatically translate in China.

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