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BUS 230 UNIT 5 UNIT 5 DISCUSSION

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Question;For many global;companies, China represents a very attractive market in terms of size and;growth rate. Yet, it ranks lower in terms of economic freedom and higher in;political risk than other countries' markets because it has a communist;government. Despite these risks, many popular and reputable companies have;established manufacturing operations in China.;This is largely because;the Chinese government makes sales in China contingent on a company's;willingness to locate production there. The government wants Chinese companies;to learn modern management skills from other international companies and;acquire technology. Some observers believe that when Western companies agree to;such conditions, they are bargaining away important industry knowledge in;exchange for short-term sales.;Answer the following;questions based on the situation described;Should companies comply;with China's terms?;Should they risk losing;sales by refusing to transfer technology?

 

Paper#51679 | Written in 18-Jul-2015

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