Taiwan’s global dominance in many leading technological sectors and its international managerial expertise make Taiwanese companies ideal partners for Chinese firms seeking leadership positions in local and global markets. C.Y. Huang explains how combining the complementary capabilities of Taiwanese and Chinese firms in sectors such as retail, food, electronics, and financial services spurs the development of China-grown brands that may dominate domestic, regional and global markets.
He covers such topics as:
Michael Kurtz talks about the current trends in cross strait relations from a business perspective. Taiwanese companies have been using China as a manufacturing base for over twenty years. Now, as the Chinese market matures, targeting the Mainland consumer directly (especially in the financial services sector) could become the main China-Strategy for Taiwanese companies.
China is embarking on its own path to globalization and increasing its presence in international markets as it continues to evolve its companies and society.
China is the largest M&A market in Asia. The China M&A Association provides the research, experience and the guanxi necessary to help deals move forward. With clubs in five cities, each headed by a prominent local official and members taken from the top five players in any given field, the China M&A Association is a positive catalyst and resource to change China for the better. Mr Wang says:
For decades international investors have grown their businesses in China both organically and by mergers and acquisitions. In 2009, Coca-Cola and Huiyuan, China’s largest juice company, agreed to combine. If consummated, it would have been the largest foreign acquisition of a Chinese company in history. The Chinese regulatory authority blocked the deal as having an anti-competitive impact on the market. Executives at both Coca-Cola and Huiyuan, and many professional financial and strategic investors, were shocked.
Victor W. Nee talks about the importance of building synergy in China, whether it is with the government or your local partner. Since confidence and personal trust are even more important than any written contract in Chinese society, the building of this confidence through synergy and win-win agreements is an essential ingredient for the success of any business venture in China.
As available capital and labor pools shrink in China, local and foreign companies will be forced to transition from labor-intensive to value-added industries to sustain growth. Michael Kurtz discusses the two main trends that will affect the nature of economic activity and the financial markets in China over the next decade.
China is more efficient and open than it has ever been, but the government still has a heavy hand in the market. No analysis of China’s financial markets is realistic unless it accounts for distortion in favor of government policies and goals. Distorting effects of Chinese business culture and intense government involvement in the market are facts of business life in China. Mr.
Mr. Chapman discusses future trends in wealth creation and management in China, such as capital markets liberalization to allow derivatives and securitization, as well as the effects of the global financial crisis in the local economy. He also shares insight on the likely development pathway that these markets will experience in the following years.