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China

The document provides information about China, including its geography, demographics, economy, culture, and factors affecting business such as infrastructure, industries, consumer behavior, benefits of entering the Chinese market, and modes of market entry. Key details include China being the most populous country in Asia with over 1.4 billion people, the largest economy in the world, and manufacturing being a dominant industry sector.

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Ayushi Shukla
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0% found this document useful (0 votes)
94 views

China

The document provides information about China, including its geography, demographics, economy, culture, and factors affecting business such as infrastructure, industries, consumer behavior, benefits of entering the Chinese market, and modes of market entry. Key details include China being the most populous country in Asia with over 1.4 billion people, the largest economy in the world, and manufacturing being a dominant industry sector.

Uploaded by

Ayushi Shukla
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as PPTX, PDF, TXT or read online on Scribd
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Presented By:

Ayushi Shukla
Roll No. : 87
Country Profile
•Continent – Asia
•Region – Eastern Asia
•Capital: Beijing
•Size – 9,596,960 km²
•Language – Mandarin, Chinese (various dialects)
•Religion – Officially atheist
•Monetary Unit – Yuan
•Natural Resources – coal, iron ore, petroleum, natural gas, mercury, tin,
tungsten, antimony, manganese, magnetite, aluminum, lead, zinc, uranium
•Neighbouring Countries - Mongolia, Russia, North Korea, Vietnam, Laos, Burma,
Bhutan, Nepal, India, Pakistan, Afghanistan, Tajikistan, Kyrgyzstan, Kazakhstan

•Population – 1.43 billion (in 2019)


•Average Life Expectancy – 73
•Capital City – Beijing
•Largest City – Shanghai (22,315,474 )
INTERESTING FACTS ABOUT CHINA
1. FOOTBALL (SOCCER) WAS INVENTED HERE.
2. CHINA IS THE WORLD’S MOST POPULOUS COUNTRY
3. THE SUNRISE IN PARTS OF CHINA CAN BE AS LATE AS 10 AM.
4. THE ELDERLY RIGHTS LAW
5. CHINA HAS THE WORLD’S LARGEST ECONOMY
6. THE CHINESE NEW YEAR CELEBRATION LASTS FOR 15 DAYS
7. MORE THAN 45 BILLION CHOPSTICKS ARE BEING USED PER
YEAR IN CHINA.
8. CHINA HAS THE WORLD’S LARGEST STANDING ARMY
9. PAPER MONEY WAS INVENTED IN CHINA.
10. IN 2020, IT’S ESTIMATED TO BE 30-40 MILLION MORE
CHINESE MEN THAN WOMEN
11. IT’S MANDATORY FOR COSMETIC PRODUCTS TO BE TESTED
ON ANIMALS
12. IT’S MANDATORY FOR COSMETIC PRODUCTS TO BE TESTED
ON ANIMALS
13. FACEBOOK HAS BEEN BANNED IN CHINA SINCE 2009
14. WANG, LI, AND ZHAN ARE THE MOST COMMON SURNAMES
15. ONE IN EVERY FIVE PEOPLE IN THE WORLD IS CHINESE
16. CHINESE CONSIDER NO. 8 AS LUCKY.
17. FORTUNE COOKIES ARE NOT A TRADITIONAL
CHINESE CUSTOM
PESTEL Analysis of China
• Political factors affecting China: The Communist Party of China
is the founding and ruling political party of the People’s
Republic of China. Although China enjoys a stable political
environment, the lack of political freedom is an area of concern.
• Economic factors affecting China: China is the 2nd largest
economy in the world by nominal GDP. However, it is the
world’s largest economy on a purchasing power basis.
• Social factors affecting China: The country has lifted over 68
million people out of poverty in the last five years. It should be
mentioned that China aims to eliminate absolute poverty by
2020. However, there are some social challenges facing China
today. For example, ageing population is an area of concern.
• Technological factors affecting China: There are some big tech giants
in China e.g. Baidu, Alibaba and Tencent. China has set a vision to be a
global leader in science and technology. To achieve this, the country
launched ‘mass entrepreneurship and innovation’ programme.

• Environmental factors affecting China: China’s rapid economic


development has impacted on its natural environment severely.
Water and air pollution, industrial waste, deforestation, climate
change, and biodiversity loss are some of the examples of
environmental challenges facing China today.

• Legal factors affecting China: There are a number of laws that


regulate business and employment practices in China. For example,
labour standards, employee remuneration and benefits, labour
disputes, and other relevant issues are regulated by The PRC Labour
Law 1995.
Infrastructre of China:
• Land allocation in China is strictly regulated, with high
competition for sites for logistics use.

• Industrial real estate investment has been changed due to


domestic retail consumption and the expanding online
shopping habits of the middle class.

• Demand for warehouses in tier-one and tier-two cities is


being fulfilled.

• The expressways connecting Shanghai and nearby cities


provides easy access to urban areas and enables
construction of regional distribution centers.
Culture Of China
INDUSTRY SECTORS
• The most dominant sector of China’s economy remains its
manufacturing industries.
• Major industries include: Mining and ore processing, iron,
steel, aluminum, and other metals, coal; machine building;
armaments; textiles and apparel; petroleum; cement;
chemicals; fertilizers; consumer products, including footwear,
toys, and electronics; food processing; transportation
equipment, including automobiles, rail cars and locomotives,
ships, and aircraft; telecommunications equipment,
commercial space launch vehicles, satellites.
• Today, China is the world's largest producer of agricultural
products - ranking first in the world for rice, wheat, potatoes,
sorghum, peanuts, tea, millet, barley, cotton, oilseed, pork,
and fish.
Chinese Consumers’ Behaviour
• Older consumer vs Younger consumer.
• Chinese consumer behaviour can be separated into several
groups with distinguishing characteristics:
 Wealthy retired
 Frugal forties
 Wealthy forties
 Thirties
 Twenties
 New generation
 Migrant workers
 Frugal retired
 The rich
Benefits of entering in China
• China wants to become largest economy of the world.
• Cheap labor
• Infrastructure
• Availability of resources
• The rise of the Chinese middle class (this offers any
international company doing business in China for an
immense variety of services and goods).
• China has very competent individuals who are keen to excel
not just for their personal gain, but also for the larger aims of
their company.
• Chinese people have a very high work ethic and developed a
wide array of professional skills.
Modes Of Entry
• Generally one can enter into a foreign market through:
 Joint Venture
 Licensing Agreement
 Exporting Directly
 Online Sales
 Start Manufacturing there.

• Chinese society is generally considered a very traditional one, where


interactions are governed by status, and fostering good relationships with
the right people is key to success.

• When doing business in China is only possible if international organizations


have the skills and know-how necessary to navigate the many geographic,
linguistic, religious and cultural differences present in Chinese culture.

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