1. Summarize the political risks of operating a manufacturing company in China. With over 20 years of plastic manufacturing experience, Riordan Manufacturing has proven the industry their design concepts, manufacturing capabilities, product quality, and care for their customers have placed them where they are today. Still, with everything Riordan has to offer, they may still become vulnerable to foreign political environments when Riordan chooses to expand its global operations. With current successful operations in Hangzhou, China, Riordan now has plans on continually expand its manufacturing operations in China.
What advantages would China offer foreign companies to list on its exchanges? Are these advantages greater than the disadvantages? Explain. The world has seen China's enormous potential and companies do not want to miss out an opportunity for future growth. China's strong and effective state machinery has been modernized and effective tool for mobilizing resources.
In this essay, I will be writing about some positive and negative perspectives caused by international trade based on the three sources given. Trade with China can act as an immense opportunity or as a threat to our country. Kenichi Ohmae, a Japanese business consultant, stated, “China is a threat, China is a customer, China is an opportunity.” China is a massive part of economic globalization. It has the fastest and second largest
More and more companies are doing business in China due to the lower production costs. When doing business in a different country, they could have some policies and regulations that are different than the ones in the United States. They are many officials in these countries that will take a bribe in order to ensure a fast turnaround time in order for your company to receive a license. The Foreign Corrupt Practices Act of 1977 (FCPA) was empowered by the United States to investigate allegations of bribery anywhere in the world and are stepping up their activities in China (Roberts 2010). Technically, China does have some laws against taking bribes but there is a fine line between bribes and gift giving.
Analyse the potential operations management problems that may result from accepting the Chinese department store’s order. (10 marks) One potential problem that may result from accepting the Chinese department store's order is that Burkinshaw may see a drop in the quality of their products. This is because the Chinese factories have a 10% defective rate whereas the UK factories only have a 5% defective rate. This could be a problem for Burkinshaw in particular because the order for the Chinese department store is for 'exclusive, high quality, traditional' products. This in turn means that if the products are defective and not up to standard then they could damage the relationship with the Chinese department store.
Lastly, how to reduce the economic gap between coastal regions and inner periphery? In other words, we can learn that this kind of economic of development is not good for China from the texts. In order to know how China’s coastal cities are developing better than inner periphery region, we have to study the open-door policy under Deng’s leadership. “By opening its Pacific Rim to market forces, by exploiting its huge working class, and by encouraging millions of Overseas Chinese…to invest money in their homeland” (Blij 374). This quote is the best interpretation of the Special Economic Zone’s features.
China The massive trade surplus, large foreign exchange reserves, low cost of goods, and massive market size are the main strengths of the country. The economy is still undergoing a transition to more of a market economy. However, policy makers are committed to making these changes (China Business Forecast, 2014). Some of the weaknesses in the Chinese market is the over-supply of residential housing, resulting in ghost cities. The banks are under-capitalized in their inadequate financial system and this increases China’s banking sector risk (IHS, 2014).
Without the one-child policy, the population of China will keep increasing. With a big population stress Chinese families cannot get better living conditions. The increasing population is only not a burden for China; it is also a burden for the world. With the limited natural resources, controlling population is a good way to ease the presses. In other words, one-child policy is another way to reduce the resources.
India and China were somewhat similar in their economic systems in that trading networks were developed which helped to provide great wealth for each civilization. However, as a result of trade Indian culture will have a much larger impact on the world than does Chinese culture. India and China were also somewhat similar in their
In President Obama’s case he just makes money, re-opens failing businesses and spends more than we create or can pay back to china. I think a Economist should be our president and only economist, The presidents use facts from them and depend on them to make sure things are right. I don’t believe I can recall how many times both presidents said they got “analysis economists looked at”. I really don’t understand why they can’t go from deficit to surplus without causing chaos and make this economy a better place for