| China and the United States have different economic | | | | China Partners Support US Small Businesses Local |
| and politic agendas which impact business relationships | | | | Chinese business consulting and marketing |
| between the countries. However, over the years, | | | | organizations are well suited to assist small US |
| the United States and China have continued to grow | | | | businesses to develop their China business plan and |
| in importance to each other - despite trade tensions. | | | | to reach targeted Chinese markets. These Chinese |
| In 2006, the USA sold over $55 billion in goods to | | | | support businesses are expanding rapidly in China to |
| China. So, while there is negative publicity about the | | | | meet the demand from US companies. US firms have |
| roughly $290 billion in imports from China, there are | | | | access to local Chinese business partners with |
| enormous business opportunities for USA businesses | | | | experience in virtually all Chinese market segments. |
| working with Chinese businesses - buying and selling | | | | For small US firms planning to do business in China, |
| to drive top line and bottom line growth. | | | | having a professional local Chinese partner can be |
| Small Business Opportunities with China are Growing | | | | critical to success. Local business partners would |
| It is not only large multinational USA companies that | | | | typically be available to assist USA firms successfully |
| are benefiting from their business relationships with | | | | expand their presence in China - by answering |
| China. The number of small and mid-size USA | | | | questions, such as: |
| companies trading with China continues to grow. | | | | - How can local Chinese marketing & |
| Over the past 15 years, small and mid-size companies | | | | manufacturing partners be identified and qualified? |
| that export to China have grown ten-fold to nearly | | | | - What investment options might be considered in |
| 30,000 companies. | | | | China since it is now in the WTO? |
| According the US Census Bureau, the US has a trade | | | | - What types of governmental legal, financial and |
| surplus in 8 out of 10 high-technology product | | | | taxation regulations must be managed to do business |
| categories. The majority of the US trade deficit with | | | | in China? |
| China is primarily in consumer products, such as | | | | Penetrating China Markets |
| electronic games, CD/DVD players and laptop PC's. | | | | Chinese markets afford tremendous opportunities for |
| For many US market segments, there is relatively | | | | USA businesses. Local China partners can guide US |
| balanced trade with China. | | | | firms by assisting in; |
| Small and mid-size companies are taking advantage of | | | | - Identifying Business Opportunities |
| growing opportunities to sell unique products to China | | | | - Finding Strategic Trading Partners |
| customers as the standard of living improves in China. | | | | - Working with Local Authorities |
| US companies are also driving growth by filling | | | | - Assisting with Business Development |
| product gaps with China products intended for US | | | | |
| customers. Of course, US companies also continue to | | | | Manufacturing in China |
| source greater numbers of competitively priced | | | | US companies interested in expanding their |
| components in China to improve their global | | | | manufacturing presence in China to improve their |
| competitive position. | | | | cost competitiveness could partner with local Chinese |
| "Many businesses assume that trading with China is | | | | organization with expertise in planning and execution |
| limited to the fortune 500 companies", said Darrell | | | | of manufacturing operations in China. Specifically, |
| Wilk, President of WW BusinessNet and Senior China | | | | firms should consider: |
| Consultant. "However, China can present vast | | | | - Facility Planning |
| opportunities in sales growth as well as improving | | | | - Geographic Location |
| cost competitiveness for small and medium sized | | | | - Legal and Tax Issues |
| businesses." | | | | - Supply China Considerations |
| "There are professional Chinese supply chain | | | | - Risk Mitigation Actions |
| management organizations that are anxious to | | | | - Implementation Planning |
| partner with US small and medium sized companies | | | | |
| interested in taking advantage of opportunities in | | | | Sourcing in China |
| China", according to John Gotthardt, Purchasing | | | | China business partners are available to assist US |
| Manager of Ace Label Systems in Golden Valley, | | | | firms understand the Chinese supply chain |
| Minnesota. "These China sourcing organizations can | | | | opportunities and challenges in China and can improve |
| assist with identification of Chinese sources, | | | | the probability of success by: |
| conducting vendor audits, and negotiating supplier | | | | - Finding Professional Sourcing Partners & |
| agreements." | | | | Suppliers |
| Business and Political Complex Agendas Trying to | | | | - Helping with Taxes and Legal Documentation Issues |
| improve business conditions between China and the | | | | - Assisting in Supplier Management and Audits |
| USA through political trade barriers could negatively | | | | - Providing Logistics Import/Export Support |
| impact the standard of living in each country by | | | | Today, small US businesses are competing in global |
| potentially reducing trade between the countries, | | | | market environment - almost regardless of their |
| raising consumer prices, driving up interest rates, and | | | | product market focus. Considering the positive and |
| slowing the economic growth of both countries. | | | | negative impact of China their business strategy can |
| Pitting the largest global economy in a trade war with | | | | critical to sustain long term success, whether it is |
| the world's fastest growing economy is risky | | | | China's rapidly growing markets or China's highly |
| business in deed for the entire world economy. | | | | competitive manufacturing and sourcing opportunities. |
| Just in the USA, small and mid-size business that rely | | | | "A well thought out China strategy should be a |
| on China as a source of supply and/or a market for | | | | strong consideration for small businesses", said Darrell |
| their products could be forced to rethink their supply | | | | Wilk. "It could make the difference in the growth and |
| chain strategy and business development plans that | | | | prosperity of your company. |
| are critical to their business performance goals. | | | | |