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Entry of The American Clothing Company into China - Essay Example

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There are several companies that have not considered this step despite their seemingly high capability of expansion into a market like China. The paper "Entry of The American Clothing Company into China" analyzes the case of one of such organization is The American Clothing Company…
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Entry of The American Clothing Company into China
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Download file to see previous pages The company may also consider operating under a different name once it decides to enter China. While doing business, it is very important that the business bears a name that customers can associate with. For this reason, the company may consider adopting a name that reflects with the people of China. Operating under the same name in China would give competitors a higher edge in that other organizations may take pride in being home grown and purport understand the market and the needs of the customers better. The company must thus realize that it is a neck stiff competition that requires strategic planning at all stages.
In making this decision, the company must also consider the right entry mode. It may consider going into a merger with a relatively smaller organization, or acquiring another company that is already established but perhaps not doing very well in the market.
Further, the company would need to do some internal re-organization in order to find out the necessary personnel who may need to relocate to the other country for managerial purposes. As the new company, it would be in appropriate to rely on the labour force available in China to start up operations. In as a much as this labour would be instrumental in running the business, it would be important that individuals from the US work at the initial stages of establishing the company as this would help to instill the company’s core values, objectives and mission into the new market. ...Download file to see next pagesRead More
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