Here is the synopsis of our sample research paper on OPTIMAL CAPITAL STRUCTURE - MULTINATIONAL ENTERPRISE. Have the paper e-mailed to you 24/7/365.
Essay / Research Paper Abstract
This 5-page paper focuses on the type of business structure and etiquette needed for doing business in China. Bibliography lists 2 sources.
Page Count:
5 pages (~225 words per page)
File: D0_MTcapstrch.rtf
Buy This Term Paper »
Unformatted sample text from the term paper:
The first question we need to know is, what is the best capital, or corporate, structure for the business? Typically, its said that the best type of
business structure in China is joint venture, at least until the overseas company understands the business culture and etiquette of doing business in China. With a joint venture, its on
the shoulders of the Chinese company to do the paper work, including the project application form and other necessary forms (HKTD, 2008). On the other hand, a foreign investor wishing
to establish a wholly owned subsidiary in the country has to not only submit a report to Chinas foreign trade and economic corporation, as well as a formal application (HKTD,
2008). Other paperwork includes an application for a business license, feasibility study report and an application letter for establishing the wholly owned subsidiary (HKTD, 2008).
For purposes of this report, its probably a better idea to go with the joint venture idea - the Chinese JV partner would not only know
how to negotiate the government paperwork, that partner would also have contacts on the ground to help our company get set up.
Other things need to be considered as well when doing business in China. Lets move onto the etiquette. For one thing, cultural mores are quite different. A glance at the
Hofstede country scores show that China has a very high ranking for its Long-Term Orientation, meaning this is a country that believes in overcoming obstacles, and taking the time to
do so (Williams, 2008). While this is all well and good, it also needs to remember that Chinas Individualism ranking is 20, the lowest of any Asian country due, very
...