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Rating: 
Summary: Essential reading before doing business in China
Review: Much of today's perception is that China is a giant country marred in communism and corruption. The reality revealed by Ms Keister is quiet different. Since 1978 Chinese have sought to reproduce Japanese and Korean successes and reformed Chinese economy, favouring Business groups. Like Japanese Keiretsu and Korean Chaebol but with behaviour closer to Taiwanese business networks (qiye jituan), Chinese business groups try to cope with their market's imperfect nature, looking links with finance corporations for their funding, regional alliances to penetrate local markets, pooling of resources and know-how to diminish costs. These business groups are protected by the Chinese state in order to enhance China's overhall performance. The book also demonstrates that companies belonging to business groups are more reliable, performing and profitable than those who do not.Because the implications on business dealings of Westerners with China, reading this book is essential when doing business to pick up the right partner, understand one does not deal with a single company but a giant corporate group with informal relations and that hindrances found on the path of negotiation are not Communist Party blocking but those giants trying to get the most out of their Western partner without given too much. 'Blindside' from Eanmon Fingleton written about Japan is very revealing on how Corporate Japan is structured. China is exactly the same, 10 times bigger. The book is especially precious now China officially favours the creation of 50 major business groups to improve Chinese competitiveness on global markets. Just like for Japan this does not mean that Chinese markets will be more open to foreigners, except for those companies and individuals which can bring essential resources and know-how to fulfill their global strategy. China Inc is not a myth but free-wheeling American-like Chinese capitalism is not for tomorrow either.
Rating:
Summary: Essential reading before doing business in China
Review: Much of today's perception is that China is a giant country marred in communism and corruption. The reality revealed by Ms Keister is quiet different. Since 1978 Chinese have sought to reproduce Japanese and Korean successes and reformed Chinese economy, favouring Business groups. Like Japanese Keiretsu and Korean Chaebol but with behaviour closer to Taiwanese business networks (qiye jituan), Chinese business groups try to cope with their market's imperfect nature, looking links with finance corporations for their funding, regional alliances to penetrate local markets, pooling of resources and know-how to diminish costs. These business groups are protected by the Chinese state in order to enhance China's overhall performance. The book also demonstrates that companies belonging to business groups are more reliable, performing and profitable than those who do not. Because the implications on business dealings of Westerners with China, reading this book is essential when doing business to pick up the right partner, understand one does not deal with a single company but a giant corporate group with informal relations and that hindrances found on the path of negotiation are not Communist Party blocking but those giants trying to get the most out of their Western partner without given too much. 'Blindside' from Eanmon Fingleton written about Japan is very revealing on how Corporate Japan is structured. China is exactly the same, 10 times bigger. The book is especially precious now China officially favours the creation of 50 major business groups to improve Chinese competitiveness on global markets. Just like for Japan this does not mean that Chinese markets will be more open to foreigners, except for those companies and individuals which can bring essential resources and know-how to fulfill their global strategy. China Inc is not a myth but free-wheeling American-like Chinese capitalism is not for tomorrow either.
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