1. Distribute your goods directly 2. Establish a joint venture 3. Find a qualified agent or distributor with a vast sales network
Before exporting your goods into China or choosing a Chinese partner, it is advised for you to conduct thorough market research and due diligence. Companies should be mindful of possible problems in export rights, regulations and intellectual property rights protection. If the company decides to distribute the goods directly, then it will have to be aware of the distribution rights and understand the licensing process in China.
Distributing your goods directly may be a complicated and time-consuming process as one may not be familiar with China's business practices and government regulations. Application for distribution rights and establishment of own distribution channels will be difficult. Chances of failure will be higher as a result. Establishing a joint venture will thus be a better option. Establishing cooperation with a local partner can allow you to have faster access into China's market and with the local partner's knowledge and experiences of China's market, your success rate will be higher and goods can be better distributed.
Acquiring help from a local partner does give you many advantages in penetrating the China's market. A side issue to note will be that joint venture usually requires large amount of capital and China's government may have capital control towards outflow of funds should one transfer his/her funds back to his/her home country. The government will also need to assess the potential economic benefits that it can bring to China, e.g. does it create job opportunities for the local population before approving it.
For small and medium sized companies, the best way to enter the China market is through a reputable or well-known agent or distributor. These companies are located regionally and typically have large sales network. Thus they will be able to have a better understanding of the China's market and can provide assistance in developing distribution strategies in China and the region. In this way, new products can be launched easier into the market and distribution network can be set up rapidly without any problems dealing with distribution rights and licensing.
Besides all these, the most important step that one must take before exporting his/her products into China will be to have a thorough understanding China's customs, regulations and controls towards imported goods. A sound market entry strategy is also necessary in order to penetrate the China's market successfully. An assessment of your goods? strengths, weakness, opportunities and threats can allow you to promote and distribute your products better. Understanding the profitability and marketability of your products in the China's market is thus vital before exporting your products into China.
Some of these moves could include sanctions imposed on and against Iran unless it reverses the course it is on now. It must also agree to halt all enrichment activities it is currently participating in. Anything related to making nuclear weapons must stop. What a surprise that is.
The proposal which was brought forth by Iran was considered as a serious one by the US, the State Department said. The statement read that it will be reviewed. But upon closer inspection the statement said that the program fell way short of any conceivable guidelines or criteria needed for the US to comply.
The statement also said that they are consulting closely, including with other members of the Security Council, on the next steps to be taken in this process. The next deadline date set by the United Nations is next Thursday. A reply is due from Tehran by then.
President Bush had met with Secretary of State, Condoleezza Rice at the White House grounds. Their discussion revolved around the proposal from Iran. The talk took place with U.N. Secretary General, Kofi Annan. The telephone call was apparently started by Mr. Annan.
The Bush administration, trying to throw some weight around, has cautioned Iran that it will seek sanctions in the Security Council of the United Nations if Tehran does not stop producing materials which could be used to create nuclear weapons. Sort of sounds like a little kid warning his friend that he will tell the classroom teacher. This is quite amusing to say the least.
Later on, Secretary of State Condoleezza Rice phoned Mr. Javier Solana, the senior European diplomat. What is his job? His job is to oversea the exchanges with Iran. Apparently, not even a mention of her meeting with the president or phone call with Mr. Annan was mentioned, interesting.
Iran has repeatedly rejected the statement that they are creating nuclear weapons. Well obviously, would they admit to anything even if they were or are? This is such a joke. Apparently, everyone is working with their allies, and everyone is reviewing everything right now. It sounds like a high school student council picnic.
France has recently found some backbone and stated that Iran must stop uranium enrichment at once, if it wants to continue negotiations. That is funny coming from France in my opinion. Iran has met the deadline which it created itself. Well that is an accomplishment if I ever heard one.
Meanwhile, on Capitol Hill, there has been a report issued which concluded that Iran is indeed a threat and it focused on making nuclear weapons. Well which is it? Is Iran a threat or are they not? Cannot someone make up their mind anymore?
Both Hitesh & Adrian Barrett are contributors for EditorialToday. The above articles have been edited for relevancy and timeliness. All write-ups, reviews, tips and guides published by EditorialToday.com and its partners or affiliates are for informational purposes only. They should not be used for any legal or any other type of advice. We do not endorse any author, contributor, writer or article posted by our team.
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