CBi China Bridge interviewed by Finnish Aalto University magazine

Cathy Huang is the president of CBi China Bridge. Her objective is to help multinational companies understand Chinese customers. She says that in order to succeed, you need to do your homework.

 

MISTAKES. Foreign companies often fail to consider the local culture and consumer behavior. Too often they simply assume locals are eager to try foreign goods.

 

Also, China is a large and versatile country that should not be perceived as one entity. There are great and socio-economic situations. Therefore, you should not make any assumptions other than that there is a lot of variation in the services and products Chinese consumers are looking for.

 

Finally, you should remember that the Chinese move at a very fast pace when doing business and often wonder why Europeans do not seem to follow along.

RESEARCH. You need to understand the culture and market before you adjust your business strategy accordingly.

Because of the size of China, you need to decide where to go and how to best approach the area – and then strategically plan for expansion. Be aware of and respect local differences.

 

Good communication will help you go further. Often it is not the language differences that are the barriers, but the lack of communication. Remember that you cannot change China and that China cannot change you!
FUTURE. China is a very fast-growing market. The big cities are as global as their Western counterparts. China's third and fourth tier cities, along with the Western part of the country, are still to be evolved, so the business potential is huge. The Chinese government's Western development program encourages businesses to "go west", and in the coming years, it is these areas that have high-growth potential.