by:
Seb
China is an economic superpower. It is house to several of the world's most industrious manufacturers who are responsible for the creation and export of many an leading user
brands familiar to folk about the world. Currently, China's economy is growing at a fantastic 9% per annum. If ever there was 'undiscovered territory' in the earth of joint ventures, China would-be for sure qualify!
Joint Ventures in China
China is a playground for joint ventures and strategic alliances. The economic set-up is perfect: China mass produces quality products at really low cost - America and Europe have consumers who'll pay top-dollar for those products. In the middle are companies who can generate a great deal of revenue from facilitating the export/import and product distribution, effectively connecting the sellers with the buyers.
Chinese manufacturers are only too happy to establish joint ventures with companies who have a market for their products. Given that creation price are low, joint venture companies find that they can distribute and sell products from China at a 70% or 80% profit margin, and still undercut the competition in their house country!
So, how do firms in the 'West' go just about establishing joint ventures with Chinese firms? The answer is to register an interest with companies who specialize in matching joint venture applicants together. These firms include the likes of JV Base (http://www.jvbase.com) in the UK.
Manufacturers, master distributors and agents in China can be found via these 'matching' companies. It does the process of establishing a joint venture relationship really easy indeed.
Just just about the author:
Content is provided by Seb Jay on behalf of http://www.jvbase.com
