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International business of chinese companies

International business of chinese companies

SUMMARY:- Many observers have argued that Chinese managers are particularly quick to diversify their enterprises. Fueled by robust economic growth and the scant enforcement of intellectual property rights that could serve as barriers to entry, Chinese companies appear to be aggressively expanding into new industries whenever economic opportunities appear to beckon. There is much anecdotal evidence to support this view. But because the Chinese economy is extraordinarily large and dynamic, it is difficult to know whether anecdotes reflect an underlying trend toward greater diversification.

DISCRIPTION:- The first step a company can take toward building a more responsible business is to prepare a sustainability report. Such reports are voluntary and function as in-house audit on environmental and ethical practices. Through the process of compiling such reports, companies can measure their impact in several areas including their use of natural resources and the way their business impacts society. Reporting can help a company take stock of the sustainability of its operations as well as for its products and services. Success in the triple bottom line requires addressing both these areas. Sustainability reports can later be used as a tool to establish a better business model by starting internal processes

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that lead to cutting waste, improving relations with company stakeholders, such as employees, consumers and the government as well as identifying new business opportunities that take advantage of the growing market for sustainable business solutions which is growing in China. Automakers, for example, are hedging their bets that China will be a leading future market for small, hybrid cars that pollute less and use alternative fuels.

Last year, Toyota together with its local partner the China FAW group started selling its fuel-efficient Prius model in China. While Chinese car-makers including Chery, Chang’an and SAIC as well as global manufacturers such as GM, Ford, Buick and Volkswagen plan to launch their own hybrid models. China is already the second largest car market in the world, now the world’s biggest automakers expect that it will also soon become the leading market for cleaner cars.

This could help address the challenges of air pollution and increasing energy demands from China’s growing fleets of cars. It could also lower prices of hybrid car models globally which could shake up the auto industry worldwide.


1.      www.china.org.cn/english/international

2.      www.chinadaily.com

3.      www.iht.com/articles/2008/10/20/business/20yuan.php


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