The Business Environment Of China Essay

Throughout recent history, two main schools of thought have been formed based on the distribution of wealth and the involvement of the state in “private” affairs. One side taking a more conservative approach by not wanting the state 's involvement in their financial status and reducing regulations on their private enterprises. The other side calls for more regulation on business even going as far as making the state directly involved and the equal distribution of wealth. Regarding which side is correct is widely up for debate.

Globalization has, for better or worse, altered the economic arena for every country in the world. For many less developed countries, globalization has leveled the playing field so that their economies can compete with the larger, more developed ones such as the United States and other large western economies. For instance, technical engineers in India and China are now just as qualified as engineers in America, but at half the cost. The once large and prosperous service sector in the United States as well as telemarketing services have largely been sourced to India as a large exodus of American multinational corporations find cheaper workers who deliver comparable quality. This then seems to be the essence of globalization - businesses

Microeconomic reforms serve to make the chinese economy more responsive, productive and competitive in a global economic environment, ensuring growth and development. There is a need to upgrade chinese industry and limit development in capital intensive industries, and seek high value added

Trade had a positive and/or negative effect on the people who were located in the regions of China and the Americas. People in the world region of China had many positives. The Americas had both positive and negative results. Some positives for China included, a good ripple effect in its economy and a lot of tributes being sent. Positives for the Americas included an expansion of knowledge, as well as discovering more from the world.

Since the reform and opening up, the economy of China grows significantly, as an emerging economy, China's economy has made tremendous contributions to the global economy, and Renminbi has become one of the most important currency in the world. According to the survey conducted by China National Bureau of Statistics found that from 1979 to 2012, China has attained an annual average growth rate of 9.8% for its national economy, while the annual average growth of the world economy is only 2.8 % during the same period. In past 30 years, China's GDP surpassed Japan’s, China became the world 's second largest economy, in addition, the huge total volume of trade makes China become the world 's largest trading nation. The contribution of China’s

Laws affect how citizens live and work within businesses there are Laws and regulations that all businesses have to follow so each citizen gets treated equally and there are laws to protect them. To protect businesses and to protect all citizens involved in a business there are certain laws that have been put into place, without these laws businesses will not succeed this is why politics is so important to business, this essay will define Democracy and explain the relevance to business, different types of democracy with the definition and a country, state or town that’s government use the type of political ideology and also how it affected society in the past compared to the present.

It seems as though our country has never been more divide and our two national parties seem to be drifting further apart. This means there will need to be changed in our national or state legislatures. Consequently, this can lead to a massive shift in government policy, especially that of business regulation. The massive political factors

So which means ，‘Anytime political power is held by few men, or even a few hundred as in a representative democracy, there is always an opportunity for corruption as powerful interests can focus all their attention and money on swaying only a relatively small group of political players ’. so if the government control much power, and many company can pay money for them and change the decision. This is bad for citizen, and it it un fair to anyone, and nobody want to like

The following examines the nation of China and its trade relations with the world, particularly the United States. The focus is primarily on China’s culture and how it impacts business dealings with other countries. Areas examined include: Religion, Management Philosophy, and Business Etiquette. Also discussed is China’s growing status as a world super power and how that has impacted the global business landscape. Likewise, various trading partners are examined and the effects of doing business with China, specifically for the United States. Points of concern for the United States are things such as the

According to research, commerce prospers or is successful when business sector includes independently owned companies that exist to make and increase profits (Axtmann 89). A country such as Britain uses a democratic form of governance or political system, and because of this, the country is one out of the many countries that diverse companies want to venture their business it. This makes the country a stable business environment of international companies. Democratic political system business laws ensures all businesses especially in the private sectors are independent in that they carry out their own business operations with the intent of making profits and revenues; thus grows and improves the economy. In a totalitarianism political system, there is a difference in that this form of government has vague business laws. There is no guarantee that international enterprises would prosper in countries practicing this government. For example in North Korea, the business laws are nebulous in that multinational companies are not protected. The international firms can be taken by the government, and this occurs when there are international issues or wrong movements by the companies. This shows that it is risky to do business with totalitarian nations such as North Korea; thus it is not a conducive environment for international companies or businesses.

     Cultures are varying among different parts of the globe. People with different cultures have different characteristics and viewpoints on the subjects due to diverse understanding and method of learning. During the past few decades, the international trade grows in a very rapid rate due to the advantages that it provides; “increased sales, operational efficiencies, exposure to new technologies and broader consumer choices” (Heslin). Therefore, when considering the culture aspect to current business world, it is crucial for business to understand the culture aspect because of the tremendous growth of international business as well as utilize the international market to its maximum

I found this article "Foreign direct investment: Companies rush in with the cash" on the financial times website (www.FT.com) published December 11, 2002 written by John Thornhill. The reason for choosing this article is my personal interest in the Chinese economy and its attractiveness to the foreign investors. Apart from the foreign direct investment this topic has also helped me in understanding the impact of Chinese economy on the global market.

With China emerging as a global power in business within the last decade, knowing about doing business in China has become more important than ever. There are both many advantanges and challenges with doing business in China in this modern era, and understanding both sides of this coin is the key to being successful in China. Some aspects to keep in mind include the cultural barrier, the price of the work force in China compared to the United States, and have the “made in China” brand be accepted back in the United States.

Political & Legal environment: The political system of a country is an important part of a companies marco-environment. ‘Who governs the country?’ ‘What does the government follow?’ and ‘What legal regulations follow from these policies?’. The most important factors a company is subject to are policy uncertainty, macro instability, and tax rates. Considering China is a country in transition all of the above factors are subject to change, to a degree substantially larger than it is in stable developed countries. We have recently seen changes happening in China on all of the above factors. One example is the new regulations regarding copying, which turned out in favor of Starbucks. However, what will happen in the (near) future is hard to tell. Whatever happens though, Starbucks will be subject to the consequences, whether positive or negative.

THE POLITICAL ENVIRONMENT: The critical concern Political environment has a very important impact on every business operation no matter what its size, its area of operation. Whether the company is domestic, national, international, large or small political factors of the country it is located in will have an impact on it. And the most crucial & unavoidable realities of international business are that both host and home governments are integral partners. Reflected in its policies and attitudes toward business are a governments idea of how best to promote the national interest, considering its own resources and political philosophy. A government control's and restricts a company's