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Business Management

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DESIGN INSTITUTES

Design institutes were typically responsible for the technical design of all new plants in China. They specified the technical specifications of the equipment to be installed. Historically, design institutes had been part of state-owned enterprises. However, with industrial reform starting in the mi.... readmore

CUSTOMERS

SHAIC's actual and potential customers were primarily SOEs. With a growth in the number of wholly foreign-owned enterprises (WFOEs), it was possible that in the future some of the customers would fall outside of the direct administrative control of the Chinese government For the immediate future, ho.... readmore

THE MARKET PRODUCT

Electromagnetic (or magnetic inductive) flowmeters measure mass flow in pipes. They installed and used as process control instruments in a wide range of industrial applicat including water cooling systems in the steel industry, drinking water supply, mining, chen industry, power industry, beverage i.... readmore

COMPANY BACKGROUND

SHAIC is a Sino-German JV located in the Minhang ETDZ, southwest of Shanghai (see Exhibit CS 10.1 ).3 After two years of negotiation with the central government in Beijing, the jv was established in 1986 between Honggong Instrument Works (Shanghai) and Kruger (Germany). Honggong Instrument Works is .... readmore

MARKETING ELECTROMAGNETIC FLOWMETERS IN CHINA

Looking out of his office window, Mr E.j. Broekers, general manager of Shanghai Honggc Advanced Instrument Co., Ltd. (SHAIC),' a Sino-Gemian joint venture (JV) in the Minh. Economic and Technological Development Zone (ETDZ) of Shanghai, noticed the I smokestacks of the main Shanghai electric power s.... readmore

SERVICE EXPECTATIONS

Over the years Asian managers have developed technical expertise in buying indus products. Despite comparatively low labour costs, they often select capital-intens rather than labour-intensive, processes. Often-cited reasons are a search for quality, fact that machines are easier to manage than work.... readmore

BACKYARD OPERATORS

These local companies, with little technical expertise and purchasing power, represent a challenge for the Western firm. They play a useful role in the dom< economy, manufacturing simple consumer goods aimed at the traditional segment small scale. While overall they form a major economic factor, the.... readmore

THE ASEANIES

Growing demand from the transition and traditional segments, coupled with ste foreign demand for manufactured exports, has caused sales of raw materials and se manufactured goods to grow rapidly. New plants and equipment are needed to replace existing equipment and to expand capacity (either because.... readmore

JAPAN

when Japan took steps to lower tariff and non-tariff barriers in resr to Western criticism, it became clear that there were other obstacles to We exports: networks of Japanese firms buying frop each other; subtle administj

guidance that favoured local firms; a c6mplex distributiori system; cl.... readmore

CONCLUSION

It is clear that competitive positioning and long-term successful operations in a global market require a working knowledge of the decision-making and negotiating process of managers from different countries. These processes are complex and often interdependent. While managers may make decisions tha.... readmore