How to do business in China

China is the great economic success story of the last 30 years, there is no equal example of sustained economic growth. Since the political "reform and opening" in 1978, since then more than 400 million people have left poverty. China is a country well known for its manufacturing capacity, it is the world's largest producer of toys, textiles, washing machines, cameras and computers (among hundreds of other products). It is also the world's largest consumer of iron, steel, coal and cement. More than one million companies have prospered and close to 40 Chinese have entered the list of Fortune 500. With this rapid and constant industrialization and urbanization of cities, a vast and rapid growth of consumption has turned the domestic market. But China is also the world's largest ICT market, with more than 600 million mobile users and more than 400 million Internet users. All this makes it a very attractive market, but it is not easy to do business in China, then a series of cultural aspects that you must take into account.

one

Find a local partner. Nobody knows these keys better than Chinese employees themselves. Hence the importance of hiring qualified local talent, another of the great obstacles. To do business with guarantees it is important that you join a Chinese company or qualified personnel. It is very common to make companies with Chinese and foreign capital. These companies are characterized mainly by investment and joint management and the sharing of risks, gains and losses. As a general rule, the foreign part must not be less than 25% of the registered capital.

two

Study the legal system, which sectors have tax incentives (such as those associated with technology and R & D) and which do not; which geographical areas are the most appropriate; necessary steps in the constitution of the company.

3

Unlike what happens in our culture, in China women do not benefit from so many standards of cordiality. When arriving at a meeting, the woman in the group should not be greeted first, unless she is the boss, since the position is always respected more than the gender. Much less you have to arrive and greet a woman with a kiss, she only gives her hand with much respect, just as it is done with a man.

4

Be patient and create bonds of friendship. Chinese managers do not usually trust anyone outside their immediate environment, they are opportunists. That is why creating bonds of friendship with potential customers is such an important prerequisite. In the West a business relationship can lead to a personal friendship. In China it is just the reverse.

5

The ritual of handing out a business card is not as trivial as in the West, since in China a certain protocol must follow. You must deliver and receive with both hands and never save it as soon as they are delivered, but you have to read it and show interest, otherwise it is a lack of respect.

6

Aspects such as knowing how to deal with bureaucracy and administration or knowing the legal processes to combat product copying and corruption are other fundamental chapters for doing business in China.

7

If a foreigner only comes to do business, the Chinese will not take the trouble to serve them as if it were with a delegation of other businessmen. You should go in a group, never alone, because that gives you credibility to show them products or deliver customer data.

8

When you make a business appointment, write down all the data of the same (date and time) correctly. The cancellation of an appointment or the lack of punctuality in China is an offense to the person or persons waiting for you. You must be very punctual to start your relationship in China. As always in these cases, it is best to arrive with a certain advance (better to arrive a little earlier than a little late).

9

The best dates to arrange interviews and meetings are from April to June and from September to October. When scheduling your visits and appointments, consider the Chinese calendar parties that do not usually coincide with those of the Western calendar. One of the most important dates is May 1, in which businesses and businesses can remain closed for a week. The date is not always the same, because the official announcement of the party depends on the authorities.

10

The usual office hours are from 8 in the morning to 5 in the afternoon from Monday to Saturday. However, in the larger cities the westernization of their habits has led to working hours from Monday to Friday.

eleven

Visit the Spanish embassy in Beijing to help you do business in China: Ambassador: Mr. Eugenio Bregolat Obiols. Clerk's Office: Embassy of Spain. Chaoyang Qu. Sanlitun Lu, 9.- 100600 Beijing (Beijing). Telegraphic direction: EMBASPAIN PEKING.E-mail: