Chinas Market Size essays

China's Market Size essays China's attractive market size and the economic advantages of opening factories there raise a host of controversial issues. Without even touching upon human rights issues, it is easy to see the problems inherent in China's demands that multi-national corporations transfer modern management skills and technology. Ideally, the relationship would be reciprocal: if companies choose to locate production facilities in China then they should be willing to share valuable information such as technological and managerial expertise. However, doing business in or with China is more complicated and tricky than this. Boeing and other companies would indeed risk losing sales if they transferred technology and/or managerial knowledge. Chinese companies that capitalize on this knowledge and technology would create an incredibly competitive market that would drive prices down and would also probably lower standards of quality. The repercussions for the environment as well as for human rights could be potentially devastating, as Chinese companies could operate with fewer restrictions and regulations in these areas. Because production costs would be potentially much lower for Chinese companies than for multi-nationals, it would be nearly impossible to compete with Chinese companies on the However, it is possible to strike a balance. If Chinese companies glean knowledge from the multi-nationals that locate there, such as Volkswagen, Isuzu, and Boeing, then perhaps import taxes could be levied on Chinese goods; that would at least ensure a fairer market. Transferring technology could benefit industries that might benefit from further innovativeness; if Chinese companies are taught the fundamentals of an industry it is likely that the industry as a whole could benefit from added Because the bottom line is the most important thing for such corporations, however, the most likely outcome of ...