5 Ways to Accelerate Your China Market Entry
Time is money, so the speed and timing of your market entry could be crucial to your success. Read these 5 tips to accelerate your market entry in China so you can make sure
your efforts are are timely as possible.
1. Have a Long-Term Strategic Plan and Detailed Operating Plan with Realistic Financial and Staffing Goals
As mentioned earlier in this book, successful business entries in China are all about research, planning, and preparation. Getting started in China can be a long and difficult process, to make it work out you need to be fully aware of your goals, limitations and your financial starting point. Make sure you have done sufficient background checks on anyone you plan to work with and have a full understanding of the layout of the market place you’re entering. Also, make sure you are fully ready for the time and cost of getting started as a
WFOE. If you do not you could use up a whole lot of your resources before you are even up and running.
2. Have a China-Knowledgeable Project Manager with Recent In-Country Experience to Lead the Process
You need a good project manager to help you get your business going. Someone who knows who, why, where and how. Without this, you face countless delays as you try and navigate the unsteady terrain yourself. Your project manager should be somebody who is well connected, somebody who has sufficient access to other business leaders in your field and knows the market place well. This is why you need to hire someone specialized and specific in this role. You will not be able to get away with an easy option, you need to hire smart.
3. Parallel Process as Much as Possible
Parallel processing in business is completing numerous different tasks simultaneously. This is a good way to speed up your China market entry. There are a lot of processes you have to go through to get your business off the ground in China, these can add up and look very
time-consuming. By making sure your parallel processing you can be rolling through all these steps that have been discussed so far, setting up a company, applying for trademarking, hiring, making connections, all this can be happening at once if you plan correctly and have the right people helping you. It is all about hitting the ground running once you have set yourself up and making sure you are prepared to start operations as soon as you are ready.
4. Be Prepared to Make Decisions Quickly and Delegate as Much as Possible to the Project Manager
Having just noted how important it is to have an experienced and knowledgeable project manager, you will also have to know when to decide to let go of some decision making and pass the responsibility on them. A whole lot of decisions that you will need to make when setting up your business could be passed on to your project manager in an attempt to speed the process up and stop yourself from getting too delayed in the process. If you have taken your time to go out and hire a top-quality project manager, then you should make sure you utilize them in every way possible.
5. Have a Trustworthy Local Chinese Representative/Liaison to Follow-Up with Local Government Officials on the Business License Application
Your WFOE formation can be a long and drawn-out process as it is, it is always advisable that you have someone on the ground who can get that process sped up. Whether you hire someone yourself or make sure that the lawyers you have working on your application have someone, having someone with contacts in your local district government can help make sure that your WFOE does not experience serious delays. Make sure this representative is credible and knows the right people, someone can make sure your application is constantly moving forward and you can avoid any unwanted and unnecessary delays.
Excerpt from Market Entry 10x Series (2020), co-published by Brainsfeed and TCP Growth