How Have Some Chinese Companies Achieved Success in Foreign Markets?

CONTENT MAP

MAP OF ST!"CT"!A# FEAT"!ES $ S%&NPOSTS While many factors have contributed to the success of major global Chinese companies, perhaps the most notable factors are as follows: their willingness to learn from others, their ability Thesis

FACTO!S

to implement what they have learned into their business strategies, and their product selection/market positioning. This essay will discuss these key factors in detail using e amples from major global Chinese companies including !enovo, "aier, "uawei, and TC!. Out'ine p'an Signa' p'an

FACTO! () 'earn *rom others

# willingness to learn from others is a central component to the success of the aforementioned companies. This willingness is demonstrated through the establishment of close ties with

Topic sentence

E+p'ain point ,re*erence source-

successful western companies, taking the form of $collaboration, joint ventures or licensing agreements with foreign companies% &Teagarden and Cai, '(():**+. , amples of such alliances can be seen through "aier%s licensing agreement with !eibherr -roup and "uawei%s collaboration with Te as .nstruments &Teagarden and Cai, '(()+. .t is from these

&ive supporting e+amp'es ,re*erence source-

Conc'ude point

partnerships that Chinese companies gained crucial insight into technologies and business practices.

/eyond a willingness to learn, it is perhaps even more useful to FACTO! .)

Paragraph transition

imp'ement 'earning /ivide point into aspects) a- process innovation $ 0- product imitation ,re*erence source-

e amine the ability to implement this learning, when discussing the success of major global Chinese companies. These companies have demonstrated the ability to implement the knowledge they have gained from e isting companies, most noticeably through their adaptation of process innovation and product imitation &ibid+. # clear e ample of Chinese companies imparting process innovation into their business strategies can

Topic sentence

&ive supporting e+amp'e *or aspect a,re*erence source-

be seen through the evolution of human resource management. -enerally speaking, they shifted their focus toward emphasi0ing a corporate culture that established values, set forth goals for 1uality and customer satisfaction, stressed personal accountability, and rewarded performance &ibid+. .n addition to process innovation, a common strategy took the form of product imitation. Through their links with #ink

/iscuss aspect 0,re*erence source-

established companies, Chinese companies were able to utili0e the knowledge they had ac1uired to imitate their $partner%s% products. This proved valuable as it provided $knowledge platforms and supporting capabilities that would serve as the basis for innovation% &ibid:*2+.

FACTO! ) imp'ications o* product se'ection$ market position

3inally, it is necessary to e plore the implications of product selection/market positioning in the success of these global companies. #ccording to 4eng and Williamson &'((*, in The Economist, '((*+, a key reason for their success lies in their decision to focus on further developing e isting products rather than attempting to innovate brand new products. The

Topic sentence

E+p'ain point

,conomist &'((*:5+ concludes, $this enhances their ability to

,re*erence source/eve'op point with 1uotation ,re*erence source-

both e pand and customi0e their product ranges, focusing on improving the goods people buy now rather than on ne t6 generation goods with uncertain consumer appeal%. The benefits of product imitation in the case of emerging Chinese companies into the global market are clear. Choosing to develop e isting products rather than introducing new products

into the market has allowed the Chinese companies to e ploit /raw out conse1uences e isting technologies, capitali0e on their ability to offer low 2 the 0ene*its *or Chinese prices, and enter into the market place with some degree of companies security. "aving e amined the rise to success of four global Chinese companies, it is clear that there are noticeable commonalities at play. .n general, these companies have demonstrated a !e*er 0ack to *actors and re2a**irm their ro'e in the success o* Chinese companies willingness to learn from others, to transfer ac1uired know6how to their business strategies, and to develop e isting products rather than introduce brand new products. #ll of these factors have played a considerable role in the success of these companies and enabled them to make the most of their ability to offer low prices, and enter into the market on a sure footing. .t is with this foundation in place that these companies are now well6e1uipped to assume a powerful position in the global market. Conc'uding statement !eturn to thesis and e+pand argument 0ased on essa3 *indings Signa' conc'usion

!e*erence #ist

Teagarden, 7. 8 Cai.9. &'(()+ :9evelopmental lessons from

China:s -lobal Companies:. Organizational Dynamics, ;2:*;6 2< The ,conomist &'((*+ :9isruptive 9ragons:. '=th >eptember: ?6 5