What separates Chinese companies from their western counterparts? For the most part Chinese firms don't necessarily desire total management control of their western acquisitions or investments. On the other hand American or European companies buy foreign businesses, for one of two reasons. One is pure profit. Will it make profitable or it will be profitable long term. Two is market share. Will the new entity give the leverage required to gain market share or dominate the market.

What do these Chinese buyers want? When Chinese companies acquire new companies, they really do it gain knowledge and not profit or market share. They plan to educate and learn as much as possible about the specific market or industry the acquired. Over time they plan to profit and gain market share but the primary objective is knowledge.

The strategy of acquiring western business has been working. The Chinese economy has been soaring for some time. The Chinese are shrewd investors and do not seem anxious to make a deal unless they calls the shots in the deal making process.

So what do you need to do when doing business with China? First and foremost you will need to add value in a different way. Education is the key to Chinese businessmen. Showing Chinese how your business, market and industry work goes a long with during your first impression to closing the deal.

Second, learning Chinese will reap long term dividends. China is the fourth largest economy in the world with annual growth slated for 10 percent a year. The Chinese language will soon be mandatory in the business world along with English. If you choose to learn Chinese the business advantages are staggering.

Where will you be positioned when your business needs require you to enter China? By understanding how Chinese companies acquire new companies and how to add value to your Chinese counterparts will allow you to quickly gain entrance into the Chinese market.