Doing business in China: Five tips for success - NiceNIC.NET

Here are five things you should know before doing business in China.

1. A mosaic of markets
China is the world's most populous nation, with its sprawling 1.3 billion people making up a highly diverse market.
There is no single consumer profile, and analysts suggest companies remain flexible and innovative, while understanding how their company would fit in each specific market. You need people who've been in the market, you talk to trade associations, you talk to trade promotion bodies, you talk to people and bit by bit you get to understand the dynamics.

"If you have something they want, they'll do business with you no matter whether you can hold chopsticks or not." - Stephen Perry, 48 Group Club

2. Business culture and etiquette
Operating in a country with a history of thousands of years -- and ways of doing business that go back as far -- it is valuable to develop insight into China's business culture and social etiquette to avoid misunderstandings that could scuttle deals and harm working relationships.
One key aspect of Chinese culture is the concept of "face", a mix of public perception, social role and self-esteem. A foreign CEO can give face by attending meetings, accepting invitations, providing suitable expensive gifts and showing sensitivity to Chinese culture.

"The most important thing is, whoever you're meeting with or whoever you're dealing with, to treat them with respect." - Jack Perkowski, entrepreneur

3. Taking a market-based approach
Western businesses looking to tap the Chinese market should be aware of local preferences, and adapt accordingly.
For example, Starbucks started serving green tea lattes in a bid to get a traditionally tea-drinking nation hooked on coffee; McDonald's adapted its menu to include items like spicy chicken wings and chicken burgers in an effort to appeal to local tastes.

4. Procedures in China take time, patience and money
It's very important when a western company tries to go to China they have to realize that success in China takes time, it requires patience and it costs a lot of resources.
China is growing in the field of consumer goods and it will grow fast so people have got to find a way to match the future impact of China with the current characteristics of China.

"The only way you are going to ultimately be successful is by putting together a good team." - Jack Perkowski, entrepreneur

5. Build a strong local team
When you're just starting, you've got to recognize there's going to be a limit to what you can do traveling back and forth to China. Surrounding yourself with local talent can help you break deals, understand the culture and the complexities of the market as well as compensate for the language barrier for those who don't speak Mandarin.

Contact NiceNIC.NET for helping you build audience in China!

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8 Steps to Starting a Business in China - NiceNIC.NET

1. Do your homework.

Talk to people who have opened offices in China. Ask them how they succeeded and especially how they failed.
Make sure you're informed about the state of the industry you're in. A lot of this research can take place from your own home.

China wants high-tech.

China does not want pollution.

Chinese want businesses that will give a lot of people good jobs.

Chinese want to encourage development inland.

2. Pick a location
First, get to know the big cities. Shanghai, Beijing and Guangzhou are the major business, government, and industrial centers.
Once you've settled on a region, you have to find an office, since you'll need proof of a lease to register your business.
You have to get an office rent agreement and you can use that as your office address, the agreement essentially promises you the space on the condition your business gets approved

3. Choose an entity status

A joint venture requires a partnership between a foreign business owner and a Chinese citizen.
Representative offices are an easy, low-cost way to go, but it drastically limits the scope of what you're allowed to do in China. 
The most common type of entity, therefore, is a wholly foreign owned enterprise, known as a WFOE.

4. Develop a business plan
A detailed five-year business plan is crucial, because once the government approves it, you will be able to operate only within its guidelines.

Make sure you include your location, projected revenues, product or service description, expected number of employees and budget requirements in the plan.

5. Find a liaison … or several
No matter how informed you are, you won't get very far without consulting a representative to register your business.

A qualified liaison should be able to tell you where you need to go to register, whether it's the local, provincial or national government, and should do the talking once you get there. You need somebody who has negotiated that territory a number of times before and you absolutely have to have people who speak Chinese to go meet with the local officials.

6. Find a bank
This part should be quick and easy, since there are plenty of banks with a huge presence in China.
If you're dealing with a bank that doesn't have any relationship with banks in other countries, it makes it tough to keep track of your money. You need to make sure you have a bank in your own country and a bank in China that has some sort of corresponding relationship, so your banking is more transparent.

7. Hire a staff
Hiring in China is a delicate process, especially when it comes to hiring managers. Don't assume that just because a person's English is impeccable they'll be able to run the business properly.
If all things are equal, the language skills can be greatly beneficial, but it's far more important to have a smart business person in that role who's going to run the company the way you want it run.
Good talent doesn't come cheap, according to the experts, so if you want the best, you have to be willing to pay them what they're worth.

8. Take it slow
Now that you're all set up, you have to manage expectations. 
Don't jump into quick business deals just to turn a profit. It takes time to build business relationships over there.

What will win you success in the Chinese market is patience. The Chinese have been doing business in a certain manner for thousands of years. Don't even start to think for a millisecond that you're going to change it.

Visit NiceNIC.NET website to get more practical advice on getting connected with the huge market of China!

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.Club Teams Up With TLD Registry For The China Market - NiceNIC.NET

According to a press release out this morning, .CLUB Domains, LLC, the company formed to own and operate the new ".CLUB" top level domain, and TLD Registry the company behind the new gTLD for the Chinese IDN for Online (.在线) as well as the registry for the new gTLD (.中文网) (Dot Chinese Website) have teamed up to market .Club to the China market.

The new gTLD for the Chinese IDN for Online (.在线) as well as the registry for the new gTLD (.中文网) (Dot Chinese Website) should have broad appeal both for companies in China and global brands wanting to easily represent Chinese language versions of their online properties, have agreed to collaborate on introducing some of the most popular new Internet extensions to the Chinese-speaking world.

With half of all Internet users being in Asia, and a quarter of those in China alone, .CLUB and TLD Registry are poised to make a big impact by sharing resources to promote their Chinese language domain names.

The word "club" is recognized and understood throughout the world and in nearly every spoken language, including in Mandarin Chinese.

"TLD Registry understands the Chinese marketplace better than anyone in the gTLD space, so we know we've chosen the best partner to collaborate with to help introduce .CLUB to registrars and to the millions of Chinese Internet users," said Colin Campbell, CEO of .CLUB. "As we travel throughout the country, we continue to see and hear the word ‘club' spoken, written and used in marketing, so we are confident it will be a popular web address as the Internet continues to expand."

China is the second largest economy in the world, and by 2015 it's estimated that China will have nearly twice the number of Internet users as the U.S. and Japan combined.

With that kind of growth in mind, .CLUB and TLD Registry will be exploring mutual efforts to maximize their respective exposure in China and other markets through co-marketing, sales, and joint promotion.

Both .CLUB Domains' .CLUB and TLD Registry's Dot Chinese Online (.在线) and Dot Chinese Website (.中文网) have been in their Trademark Sunrise period.

The Sunrise for TLD Registry ended on March 17, 2014 and .CLUB's Sunrise ends March 29, 2014.

Chinese IDN Registrar - http://nicenic.net

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