China Table of Contents
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China Table of Contents Doing Business in China ___________________________________________ 11 Market Overview ______________________________________________________________ 11 Market Challenges ____________________________________________________________ 11 Market Opportunities __________________________________________________________ 12 Market Entry Strategy __________________________________________________________ 13 Political Environment ______________________________________________ 14 Selling US Products & Services _____________________________________ 15 Using an Agent to Sell US Products and Services __________________________________ 15 Establishing an Office _________________________________________________________ 15 Representative Office _________________________________________________________ 15 Wholly Foreign-Owned Enterprise _______________________________________________ 16 Joint Venture/Licensing ________________________________________________________ 16 Equity Joint Venture (EJV) _____________________________________________________ 16 Cooperative or Contractual Joint Venture (CJV) _____________________________________ 17 Franchising __________________________________________________________________ 17 Direct Marketing ______________________________________________________________ 18 Selling to the Government ______________________________________________________ 18 Distribution & Sales Channels ___________________________________________________ 19 Selling Factors & Techniques ___________________________________________________ 20 Localization _________________________________________________________________ 20 Logistics ___________________________________________________________________ 20 eCommerce __________________________________________________________________ 21 Overview and Current Market Trends _____________________________________________ 21 Domestic eCommerce (B2C), Cross-Border eCommerce, and B2B eCommerce ___________ 21 Mobile eCommerce, Popular Mobile Platforms, and Social Media _______________________ 21 Major Buying Holidays ________________________________________________________ 22 eCommerce Intellectual Property Rights __________________________________________ 22 Trade Promotion & Advertising __________________________________________________ 22 Trade Promotion _____________________________________________________________ 24 Principal Business Associations ________________________________________________ 25 Pricing ______________________________________________________________________ 27 Sales Service/Customer Support ________________________________________________ 27 Protecting Intellectual Property __________________________________________________ 28 2 IP Attaché Contacts: __________________________________________________________ 28 Beijing: ___________________________________________________________________ 28 Shanghai: ________________________________________________________________ 29 Guangzhou: _______________________________________________________________ 29 Due Diligence ________________________________________________________________ 29 Online Due Diligence Resources: ________________________________________________ 30 Local Professional Services ____________________________________________________ 30 Accountants ________________________________________________________________ 30 Attorneys ___________________________________________________________________ 30 Management Consultants _____________________________________________________ 30 Principal Business Associations ________________________________________________ 31 Limitations on Selling US Products and Services ___________________________________ 33 Web Resources _______________________________________________________________ 33 Leading Sectors for US Exports & Investments ________________________ 34 Agricultural Industry ___________________________________________________________ 34 Overview ___________________________________________________________________ 34 Leading Sub-Sectors __________________________________________________________ 37 Opportunities ________________________________________________________________ 38 Beef _____________________________________________________________________ 38 Animal Feed ______________________________________________________________ 39 Cotton ___________________________________________________________________ 39 Dairy Products ____________________________________________________________ 39 Tree Nuts ________________________________________________________________ 39 Fresh Fruit________________________________________________________________ 39 Wood and Wood Products ___________________________________________________ 39 Offices ___________________________________________________________________ 39 Web Resources ______________________________________________________________ 40 Automotive___________________________________________________________________ 40 Overview ___________________________________________________________________ 40 Leading Sub-Sectors __________________________________________________________ 42 Specialty auto parts _________________________________________________________ 42 Recreational Vehicles _______________________________________________________ 42 Trade Shows and Events ____________________________________________________ 42 Aviation _____________________________________________________________________ 44 Overview ___________________________________________________________________ 44 Leading Sub-Sectors __________________________________________________________ 45 Aircraft Parts: Manufacture and Repair __________________________________________ 45 Opportunities ________________________________________________________________ 46 3 Airports __________________________________________________________________ 46 General Aviation (GA) _______________________________________________________ 47 Helicopters _______________________________________________________________ 49 Challenges _________________________________________________________________ 50 Reforming China’s Airspace System and Improving Operational Efficiency _____________ 50 Trade Events ______________________________________________________________ 51 Web Resources ______________________________________________________________ 51 Government Authorities _____________________________________________________ 51 Airlines ___________________________________________________________________ 51 Aircraft Manufacturers _______________________________________________________ 52 MRO Facilities _____________________________________________________________ 52 Aircraft Trading Companies __________________________________________________ 52 Other ____________________________________________________________________ 52 U.S. Commercial Service Contact for Aviation Sector ______________________________ 52 Construction and Green Building ________________________________________________ 52 Overview ___________________________________________________________________ 52 China’s Increasing Emphasis on Green Building __________________________________ 53 Smart Cities _______________________________________________________________ 54 Leading Sub-Sectors __________________________________________________________ 54 HVAC ___________________________________________________________________ 55 Lighting __________________________________________________________________ 55 Wood ____________________________________________________________________ 55 Plumbing _________________________________________________________________ 55 Insulation _________________________________________________________________ 55 Windows and Doors ________________________________________________________ 56 Opportunities ________________________________________________________________ 56 The National New-type Urbanization Plan (2014-2020) _____________________________ 56 Trade Shows & Events ______________________________________________________ 56 Web Resources ______________________________________________________________ 57 Education and Training ________________________________________________________ 57 Overview ___________________________________________________________________ 57 Leading Sub-Sectors __________________________________________________________ 58 Opportunities ________________________________________________________________ 58 Education Events __________________________________________________________ 59 Web Resources ______________________________________________________________ 59 Environmental Technology _________________________________________ 60 Overview ___________________________________________________________________ 60 Leading Sub-Sectors __________________________________________________________ 60 Air Pollution Control ________________________________________________________ 60 Water ____________________________________________________________________ 61 4 Soil Remediation ___________________________________________________________ 61 Opportunities ________________________________________________________________ 61 Air Pollution Control ________________________________________________________ 61 Industrial Air Pollution Reduction ______________________________________________ 62 Power Plant Emissions Reduction _____________________________________________ 62 Solid Waste and Recycling ___________________________________________________ 63 Recycling of Discarded Electronics _____________________________________________