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Category Archives: China Business

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Negotiating With Chinese Companies. The Pros And Cons of MOUs.

Posted in Basics of China Business Law, China Business

We have a number of times written on the problems that can arise from using memoranda of understanding (MOUs) with Chinese companies. See the following for some of those posts: The China MOU (Memorandum of Understanding). Use Them At YOUR Peril. China MOU. Like I Really Care. China MOUs. I Really Do Care. Deeply. Mostly… Continue Reading

Selling Your Product In China Through A China Distributor. Easy-Peasy.

Posted in China Business

For years now, we have been extolling the virtues of American and other foreign companies selling their products into China through distributors. Not saying that is the only way or even the best way to do that for many companies, but I am saying that it is increasingly a very good and relatively easy way… Continue Reading

China Law Enforcement Efficiencies Rising

Posted in China Business

Just read an FCPA Blog post, entitled, China law change would blacklist work safety offenders. The post is on how “China’s lawmakers have reviewed a draft amendment to the workplace safety law that will increase oversight, impose harsher punishment, and slap a ban on new projects for offenders.” And it got me to thinking. About how computerized China… Continue Reading

Where To Locate Your China Business. Nike? Starbucks? Intel?

Posted in China Business

Back in the mid-1990s, Jardine Fleming Securities (now part of JP Morgan Chase) came up with the Swoosh Index, which was its theory that once Nike selects a country for its newest factory site, economic growth, rising stock markets, and other foreign companies follow. A Business Week article, entitled, The Swoosh Index for Emerging Markets, explains it: Nike first started… Continue Reading

How To Hide Your Imports From China

Posted in China Business

If you import a product into the United States from China, the odds are good that your competitors can find out about it. And by find out about it, I mean they can easily and very cheaply (sometimes even for nothing) use a service such as Import Genius, Panjiva or Tradesparq or others to determine what you… Continue Reading

Join Our China Law Blog Group On Linkedin

Posted in Basics of China Business Law, China Business, China Film Industry, China Travel, Events, Good People, Legal News, Recommended Reading

We started a China Law Blog Group on Linkedin with the goal of creating a spam-free source for China networking, information and discussion. We now have nearly 8,500 members and, more importantly, a number of lively discussions. We have had some absolutely terrific discussions, both based on the numbers (a number of the discussions have received around 100 comments… Continue Reading

Getting Your China Employee Into Your WFOE From A Third Party Agency

Posted in China Business, Legal News

As China inexorably continues increasing its restrictions on hiring personnel via third party employment agencies (sometimes referred to as FESCO companies or as staffing agencies), our China lawyers are more and more often being tasked with helping our clients move their personnel from the third party hiring company to a newly formed (0r even existing)… Continue Reading

Using China Social Media To Leverage Your Brand

Posted in China Business, Recommended Reading

Sam Flemming was tracking China social media before most people even knew what social media even was. Let’s put it this way: the first time I discussed social media with Sam he was focused on bulletin boards. Who even remembers those? Anyway, when Sam talks about social media — and he did recently talk about… Continue Reading

How To Avoid Fake Test Certificates From Your China Manufacturer. Do It Yourself.

Posted in China Business

One of our China lawyers got an email the other day from an American company that just learned it is in trouble here in the United States (yes, I am being deliberately vague here) stemming from having imported and sold a whole slew of electronics products that are listed as UL certified, but are not…. Continue Reading

Doing Business In China. The Policy Matters.

Posted in China Business

I spoke last year at a doing business in China conference where the keynote speaker stressed the need for companies doing business with China to adjust their China business plans to China’s Five-Year Plan. If you want to know where China is going over the next five years, read its Five-Year plan, as China has… Continue Reading

You Can’t Make A Good Deal With A Bad Chinese Company

Posted in China Business, Legal News

The title is stolen from the Warren Buffett line, “You can’t make a good deal with a bad guy, regardless of any piece of paper. And it is so true. Our China lawyers are always telling our clients the following: Legitimate Chinese companies do not want to get sued. In our experience, they are even… Continue Reading

Beijing Sheraton Great Wall. China Writ Large Or Me Just Being Petty?

Posted in China Business

So before anyone accuses me of being angry, petty and spoiled, let me flat out say that I cop to all of those things. But here goes. I am Starwood Platinum – Starwood’s highest level of loyalty in its frequent stay program. According to Starwood, this means the following: Our highest level, Platinum, is reached after completing… Continue Reading

Why American Companies Fail in China. A Contrarian View.

Posted in China Business

I love baseball and basketball and I like football. What I most like about football is that any idiot (myself included) can on Monday morning blame such and such loss on such and such coaching shortcoming. You can, of course, do that in baseball and basketball as well, but it just ain’t quite as satisfying…. Continue Reading

The End Of Cheap China. The Next China Will Be The Post-China 16. Maybe.

Posted in China Business

A Vietnam consultant friend of mine sent me a Stratfor article (from about a year ago) talking about how rising labor costs in China were slowly causing low-end manufacturing to leave China for other countries, seeking my thoughts on the article. Stratfor’s theory is essentially that clothing manufacturing and mobile phone assembly are precursors to other industries… Continue Reading

Doing Business In China. Writ Large.

Posted in China Business

When we first started this blog, the media was obsessed with “doing business in China stories.” Nearly every week there would be a good first person account from someone recounting what it is/was like to do business in China. I often found those pieces quite helpful as they tended to deal with on the ground… Continue Reading

Cheated By China. Check Your Insurance.

Posted in China Business, Legal News

Though we have written about this scam a few times previously, I HAVE to write about it again because it just keeps happening, in even greater numbers and in even more diverse circumstances. And this is the one fraud to which I have time and time again seen extremely savvy and sophisticated companies fall prey…. Continue Reading

China Holiday Schedule 2014

Posted in China Business, Events, Recommended Reading

If you are like me, you are constantly getting waylaid by China’s confusing and often changing holiday schedule. If you are like me, you fully realize it is a holiday on the day it starts. To help you (and me) avoid that, I recommend that you check out the China Real Time post, China’s 2014 Holiday… Continue Reading

Making Money Off China’s Wealthy In The Comfort Of The United States

Posted in China Business

The Wall Street Journal did a story by Wei Gu on the spending habits of Chinese tourists when overseas.  No surprise, they are buying tons of luxury goods. As Wei Gu so aptly puts it: When Chinese go abroad, they are transformed from obsessive savers and bargain hunters into serious shoppers, much to the joy… Continue Reading

China’s “Quality Fade.” Is There Really Such A Thing And So What If There Is?

Posted in China Business

Many years ago, a number of people (china consultants, in particular) were applying the concept of quality fade to China. The idea was that once a foreign buyer became comfortable with its Chinese manufacturer, it could expect that manufacturer to start skimping on quality to save money. In other words, your product might go from… Continue Reading

China Business The Right Or The Wrong Way. The Home Office/China Office Tension.

Posted in China Business, Legal News

One of the tougher issues we as China lawyers face is what we call the Home Office/China Office tension. These situations are tough for us because we are so often put smack dab in the middle. Let me explain. On the one side you have the US home office, often replete with well trained in-house… Continue Reading