Business Considerations When Expanding To China

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...When Expanding to China : This 5 paper provides an overview of items that a business would want to consider when expanding to China. The paper focuses on education and human capital. Suggestions are provided. Bibliography lists 4 sources. SA142ch.rtf


When establishing a business in China, there are many things to consider. This is particularly true when expanding an American company. The culture is different as is the language. One has to be cognizant of a variety of factors. For example when KFC decided to open its doors in China, it not only had marketing considerations, the company realized that doing business in China would be difficult under communist rule. Also, China was expected to demand a huge amount of scarce managerial resources and the primary constraint had been the limited number of Chinese-speaking KFC managers (Morrison, 2000). This fact may apply to any business. When a company locates to China, language is a factor. Also, the fact that managerial resources are scarce suggests that a company...

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