Nobody downloaded yet

International business: The economy of China - Assignment Example

Comments (0) Cite this document
Summary
International Business Introduction The company is a UAE-based company started in 1950 as a family tailoring shop. Since then, the company has expanded and currently, it specialises in historic Islamic inventors. an example of this product is cannons that were worn used during Islamic medieval times…
Download full paperFile format: .doc, available for editing
GRAB THE BEST PAPER96.8% of users find it useful
International business: The economy of China
Read TextPreview

Extract of sample "International business: The economy of China"

Download file to see previous pages The company is a UAE-based company started in 1950 as a family tailoring shop. Since then, the company has expanded and currently, it specialises in historic Islamic inventors. an example of this product is cannons that were worn used during Islamic medieval times. The company has a stable market given that it operates in a region where the Islam is the official and the largest state religion. Over the recent years, the company has experienced growth in its production and market share within the United Arab Emirates. The company would like to expand its operations to cover the overseas market, specifically China. The company was prompted to do this because of the increasing Islamic population in China yet there is only one company that produces these specific products.As stated above, the company was motivated to expand its operations to China because of the increasing Islamic population and yet there exists only one company that meets their specific needs related to products of historic Islamic inventors. The Muslim population in China includes both Chinese Muslims and immigrant Muslims. According to the 2009 census, there were 21,667,000 Muslims in China (Pew Research Center, 1). This is an indication that there is a large potential market for the products that will be produced by the company for the Chinese market. This market also has the potential of expanding due to the revival that Islam is experiencing in China. The company conducted a brief needs analysis among the customers in this market and found that some of the potential customers backed away from Historic Islamic inventors present in the market because of their high prices. This group mainly comprised of people of middle and low class. Basing on this information, the company established that there is a large and ready market in China for its products and it intends to use the low price strategy to capture this market. Even with lower prices, the company is bound to achieve an economic value in its operations in this market because of the expected high sales. There is a high concentration of Chinese Muslims and immigrant Muslims in urban areas compared to rural areas. There is therefore a high accessibility to the target market. Market Analysis China is a peaceful country and has enjoyed a good political stability over the recent years. Its political situation is therefore less likely to disrupt the operations of the company once it begins operating in it or when it starts exporting its products to China. The company is based in an Islamic country and therefore the political situation in relation to Islam in its target market is very important. Israeli (106) explains that in 1978, the Chinese government started to relax its policies towards Islam and currently, Muslims are not sidelined. The same applies to companies owned by Muslims or those based in Islamic companies. All other factors held constant, there are high changes of the company experiencing growth because of the existing political situation in China. The economy of China is good and this increases the chances of the company achieving good levels of business. English.eastday.com. (1) reveals that unlike the communist China, one important feature of the economy of the modern-day China is that it is based on private ownership of property. Being a private company, the economic climate of China is good for establishment and growth of the company in its overseas target market. The average economic situation among the Muslims specifically is also good and this means the company does not have to sell its products at a price too low to make significant profits. Although the 21.6 million Muslims comprise only 1.6% of the total population in China, this market is substantial for making good business. The infrastructure of China is well developed and therefore accessibility to customers will not be an issue to struggle with. With the nature of product that it produces, the operations of ...Download file to see next pagesRead More
Cite this document
  • APA
  • MLA
  • CHICAGO
(“International business: The economy of China Assignment”, n.d.)
Retrieved de https://studentshare.org/business/1392266-international-business
(International Business: The Economy of China Assignment)
https://studentshare.org/business/1392266-international-business.
“International Business: The Economy of China Assignment”, n.d. https://studentshare.org/business/1392266-international-business.
  • Cited: 0 times
Comments (0)
Click to create a comment or rate a document

CHECK THESE SAMPLES OF International business: The economy of China

International Business Case Study: China

...Strategies 12 Conclusion 13 References 13 IMF, World Economic Database (2005). GDP Accumulated Growth, in percent, constant prices. < http://www.saylor.org/site/wp-content/uploads/2011/02/Economic-Growth.pdf> 14 International Business Case Study: China Background The growth of the Chinese economy has captured global attention, especially due to its 15-year sustained progress. The miraculous economic prosperity started in 1979 with the implementation of Xiaoping's economic reform policy. This earned China the status of being the world’s fastest-growing economy. Such growth is difficult to achieve considering that the country’s population...
11 Pages(2750 words)Essay

International Business - Bicycles and Economy

...on bicycles, therefore neither a small country can help us launching our product, nor a big country having a lot of poverty in it can. We all have to think keeping the nature of product and nature of market in the mind. If something that is commendable in making international business possible than it is globalization, and its importance can be analyzed from the sentence: "As the world's economies become more integrated and international business becomes more globalized, the nature of international business management concerns changes as well. New areas of international business...
5 Pages(1250 words)Essay

International business and economy

...countries, including Britain, Germany, Japan, China and Thailand have been cited by demographic experts as being on the cusp of a crisis brought on by the unprecedented shift of population toward the elderly. That "crisis" translates into business opportunity for PM Company through enhanced sales potential. The three countries that represent the greatest of this potential are Japan, China, and the European Union in general - Britain and Germany in particular. An aggressive move by PM into these markets today will reap substantial financial benefits tomorrow. Japan Japan is, without a doubt, the highest priority overseas market for PM Company's product line. Recently published government...
5 Pages(1250 words)Essay

International Business - UK and China

...to a tenth of the UK's. The mere fact that China is such a successful player in the global economy means that small businesses in the UK are affected by the growth of the Chinese market. There are mutual benefits for both UK and Chinese businesses. China has a strong manufacturing base but is in need of technical expertise and innovative technologies that can be provided by Welsh companies. Moreover, there is a strong incentive for Chinese companies to co-operate with Britain as it can be used as a gateway to Europe, and in turn the biggest consumer market in world. Chinese labor costs are very low. There is a fear from some small firms that...
7 Pages(1750 words)Essay

Indian economy(international business)

...consumer’s individual demands are being supplied by the market, their collective needs such as a clean environment and a robust health-care system are not striven towards. The income gap between the most affluent and the down-trodden sections of the society had widened during the last decade. These factors have led to an air of tension and ill-will among the populace. In some of the above mentioned aspects China and countries in south-east Asia offer better standards. Obviously that will make them the first choice for off-shore projects. Unless the policy makers in New Delhi make necessary changes in the development model and adopt a comprehensive notion of prosperity and well-being, the recent flourish may...
2 Pages(500 words)Essay

International Business - Export Business Plan - China

...their profit margins. In short, the business friendly policies although enabled China to now become a 2nd largest economy and ‘a place to produce goods for customers across the globe’, however, these strategies, policies and tactics have adversely affected its environment. Many industrial cities such as Beijing (capital), Shanghai, Chengdu and Guangzhou in China have seen an increase in pollution as factories dispose their waste including, paper, dye, fertilizer, chemical waste, and many other different products. Also, the increase in standard of living has increased the demand of cars, automobiles and other means of transport. Simultaneously, the demand of fossil fuels...
10 Pages(2500 words)Essay

The BRIC (Brazil, Russia, India and China) countries are increasingly important in international business. In this case briefly describe the economy of the BRIC countries and identify reasons why the BRIC countries are growing in importance

...Kowitt, B. (2009, June 17). For Mr. Bric, nations meeting a milestone. Retrieved from CNN Money: http://money.cnn.com/2009/06/17/news/economy/goldman_sachs_jim_oneill_interview.fortune/index.htm Ministry of External Affairs, Government of India. (2012). Fourth BRICS Summit. Retrieved from BRICS India: http://bricsindia.in/index.html Pidd, H., & Stewart, H. (2012, June 24). Bric nations rocked by aftershocks of eurozone crisis. Retrieved from The Guardian / The Observer: http://www.guardian.co.uk/business/2012/jun/24/bric-nations-hit-by-eurozone-crisis Qobo, M. (2012, April 17). The BRIC Pitfalls and South Africas Place in the World. Retrieved from South African Institute of International...
10 Pages(2500 words)Term Paper

A comparative analysis of international business environment in china and russia to determine which of these countries is in better position to succeed in the new global economy

...of this, globalization refers to the progression towards unifying business interactions across the global platform as opposed to within a given country or organization’s locality. It is the framework upon which international business is structured, and is the direction that business transactions are taking in recent times. However, there are various conditions that define the international business environment, and as such, this affects the success rates of various nations in succeeding in the new global economy. To this end, a comparative evaluation between Russia and China can highlight their viability...
12 Pages(3000 words)Essay

IKEA IN CHINA ( international business)

...are given more opportunities. Moreover, there are also possibilities of a Free Trade Agreement. Also, the currency in Qatar is stable and no foreign exchange controls are imposed (Zahra, 2014). IKEA in Qatar has to go through a detailed political insight before establishing their business. Qatar is open to the foreign businesses and the political factors will help IKEA to prevail their policies. The stable currency allows IKEA to carry out their strategy of good quality products in affordable prices. Reduced tariffs and no unnecessary trade restrictions would allow IKEA to carry out their sales without hindrance (Fromherz 112). However, there are certain tender bond requirements and joint venture...
6 Pages(1500 words)Research Paper

China Economy

...Indicators of Chinese current economic strength Growth in GDP- the reason for choosing GDP is because it has grown by a great margin when comparing 1978 and 2010. “In the year 1978, it was US$230 only and in the year 2010 it had grown to US$4000” (Tong & Wong, 2012) this is a very wide margin. Increasing exports-, this is a major indicator of China’s improved economy. The country itself has a large internal market and given that its produce is becoming more export oriented, it is a good indicator of economic growth. Growth in inward FDI indicates economic development in China. A country with a poor economy will no attract foreign investment. The share...
4 Pages(1000 words)Coursework
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.

Let us find you another Assignment on topic International business: The economy of China for FREE!

Contact Us