(Keynote) Chinas Markets - No Option for German SMEs

Abstract

China has reached the champions’ league for export. Today China is one of the most important markets worldwide. From Europe and Germany big global companies are already settled in China. But the German economy is driven by small and medium sized enterprises mainly. Over 90% of all German companies are SMEs with less than 500 employees. Many high tech evolutions are coming from small start-ups. These have much more difficulties to go to China then big players. Chinese business needs all-time presence. SMEs who want to get a food in the Chinese market door have to invest in a branch office at least. Even more efficient is a production subsidiary. Strengths and weaknesses as well as opportunities and risks of the company and the management should be evaluated. For SMEs focused on realistic expectations it is possible to plan the business for short, middle and long term run. In some points Chinese business works like somewhere else in the world: The right technique at the right spot at the right time. Quality is very welcome in China. Strong price discussions signaling high interest and are an honor to a strong partner. China is open for small and medium-sized companies. Province and city government supports foreign investors and potential business partners. Once a partnership is established on equal level for both parties operating with respect and trust, the mutual benefit will succeed.