Daxue Consulting regularly conducts studies on marketing strategy in China to enter this new market, including allocation of investment, store-checks, image analysis, habits of consumption based on our data and information.
As it the market is steadily growing, China market entry has become a crucial stake for Western companies of all shapes and sizes. Understanding how to enter China market is the first step of successful development in China. Daxue Consulting provides all the customized tools to assist you in your China market entry.
Our rigorous and proven methodologies, as well as our great international staff, enable our clients to have an exhaustive vision as possible to know how to sell and to provide access to distribution networks in China and other second-tier cities like Hangzhou, Guangzhou, Shenzhen, Tianjin ect. Project managers provide recommendations as operational as possible.
Daxue Consulting’s team is involved and work closely with your staff in every step of your China market entry. We help you to identify your market, we drive you to choose the most suitable location, we conduct valuable market research, we support you to hire a great staff and we provide you knowledge and expertise on due diligence. To optimize each of these steps, Daxue may use various methodologies:
Our team aims to assist you in the development of strategies customized to your specific market in China, thanks to a strong understanding of this market. Still, as we think that a China market entry is not just about opening a door, we also support you in the execution of your strategy in China and we keep providing information about a trend and further opportunities for development in China.
We strongly believe that Consulting is about mutual investment and share of idea and expertise, we work closely with your staff to leverage your company’s competitive advantage in the most adapted way in China. Your expertise of your own activity and our knowledge on every aspect of China market, including local customer tastes, local competition, and regulation, ensure great results.
As China market Entry is also about cross-cultural adaptation, we are happy and proud to work with a great international team. Therefore, our services are multi-language and multi-cultural. We also provide proven business training for you and your staff to adapt to a new and complex market in an easy and faster way.
In these years, the WFOE has been the most popular vehicle for Western investors to operate in China and the second tier cities like Guangzhou, Shenzhen, Tianjin, etc.
One of the main advantages of this investment vehicle in China is that it takes less time to establish than a Joint Venture. Indeed, the foreign company that wants to enter the Chinese market does not need to select a local partner or negotiate a Joint Venture contract. Also, the WFOE structure gives Western companies more control over their operations, as no local partner is involved in the process. Most foreign investors find it much easier to recruit and train employees when the Western investor is in the total control of the employer side of the relationship.
The growing popularity of WFOEs in China does not eliminate the need to work with Chinese partners. Hiring local managers is crucial to the company’s success in the Chinese market because their compensation requirements are considered to be lower than their foreign counterparts, and they are more familiar with local market conditions. WFOEs should also interact with local companies to get access to distribution channels and customer relationships.