The Rationale for Taiwan as the Management Hub for Greater China

China's increasingly dominant position in the world economy makes it an undeniably important component of any company's global business strategy.  Unfortunately, doing business in China still requires players to run a gauntlet of bureaucratic and practical obstacles.  Professor Chen suggests looking to Taiwan for help entering the China market.  Taiwan has linguistic and cultural links with China, as well as a mature legal environment that could make it an ideal home base for Greater China operations.

Professor Chen examines the benefits that may arise from increased cross straits convergence for industries in Taiwan and China. He argues that the Economic Cooperation Framework Agreement (ECFA) could make Taiwanese goods more competitive in the mainland market, thereby spurring economic growth in Taiwan, while mainland companies could benefit from increased access to Taiwanese technical and management know-how.