China is one of the biggest markets in the world if you look at population. It is also a market that is increasing its GDP by
over 7% per year. The GDP per capita in 1999 was 6546 RMB (about 770 USD) but there is a big gap between the richest and the poorest thus indicating China’s successful transition into a market economy.
My experience of doing business in China has stretched over a period of twenty years. In that time a lot has changed, at least in the technologies employed to do business. The basic
relationships between people and the negotiations needed at the time of doing business haven’t. In general the starting point for a Chinese businessmen is to trust no-one. Only when trust is achieved can business
start. This is more so in the North of China than in the South. Even so, don’t expect an open dialogue with no catches. There always will be. Learn about “guanxi”. Translated it bascially means “You scratch my back
and I’ll scratch yours”. A lot more can be achieved at all levels of life in China if you spend time making the right contacts.
