China as a market for products and goods is awfully large, yet at the same time it is a very heterogeneous market, actually split up in a number of almost isolated sub-markets, with relatively little exchange between them in the sense of contacts and a subsequent flow of goods and services. Network links between these sub-markets are still very weak.
To take for granted to cover the whole of China by starting at a strategic location doesn't look like a realistic objective. In practice, a company opts for a market that spans only one or several provinces.
A company starts its negotiations with a business partner focusing upon a certain region. The opportunities for expansion through the same partner are often already very limited. The many mutually competing networks often stand in the way of doing business with China at large as a strategy with the help of a number of partners. Also, differences in or uneven economic development of the various regions play their part.
A good, feasible objective when you are operating on the Chinese market is like a job half done.
Yujie Services comes each month with a premise that focuses upon a certain aspect of the Chinese business culture where things may go wrong.
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