CHINESE BUSINESS

Chinese Business

Chinese Business

Introduction

China and Africa are currently enhancing and boosting up their partnership. The corporate relation among these regions is strengthening and turning to be beneficial for both. China has an effective investment strategy of imposing no such political conditions or standards. As time rises China is expanding its presence more in the region focusing on the major and potential corporate sectors. The Chinese business model is now recognized all over the globe. Even many developed countries are focusing on this leadership and investment model. China has entered the global corporate sector with very effective strategies. There was a time when this nation was in search for foreign direct investment, but things changed and the effective use of those investment resulted positively in the country's favor. Now, China has a bank of reserves and currently is the only nation to hold the highest amount of dollars.

Chinese business interests are diversified and they tend to invest in all the gaps or markets that have the potential. The good part is that there model has always resulted as a success factor for them as well as for the firms they invest in. A commission was formed to improve the conditions of the African continent as it was in high crisis. There are other countries who took the initiative for investment in Africa, but China has taken a competitive edge. Currently, Africa is among the most potential and emerging markets on the globe. There are numerous Chinese countries operating in the sub continent. They are not only located in South Africa but in many other part of the continent like, Ghana, Kenya, Tanzania, etc. African continent has an edge over others because there is a lot to discover and develop, whereas in the others there is high penetration of other investors. So, Africa involves less risk with higher margin of attraction.

There will be some risks incurred by these relationships but they must standards to be met and maintain these relations. An important element of the African market is the low cost labor force which is bringing an edge over the Western multinationals (Chukwuemeka & Anazodo et. al, 2011, pp. 101-109). China's penetration in Africa can no doubt help the continent in leading as one of the most developed economies with potential resource.

Chinese Investment Strategy

CIPA - China Investment Promotion Agency, an organization serving as a promotional agency for China. The aim of the company is to increase the outbound investment by China, the going global strategy, and attracting Foreign Direct Investment to China. The organization is responsible to coordinate with the international organization associated to the economical factor.

The Chinese companies are adopting the global strategies of investment. The reason of the Chinese interest towards investment strategies is the positive economic development of the country. The Chinese companies adopt more high tech or potential ventures to get heavily involved and associated with the potential sector of the market, all over the globe. The best part of the investment strategies by ...