China re-opened its doors only a few decades ago, but its market has evolved over 5,000 years and across 17 dynasties. This is a key point that is well understood but often overlooked by foreign companies in China. Articles and books are either writtren by LB Chong, Director of Advisory (see our team) or feature interviews with him. Unless otherwise stated, access to INSIGHTS requires registration.
Sincerely yours? A value driven management approach
Nestle: Crafting the art of goodwill in China
News headline: “PepsiCo accuses its Sichuan joint venture partner of transferring ownership of its shares without consulting”. This article gives perspectives on managing a Chinese partner, and was published in the newsletters of Manchester Business School and IE Singapore.
Not just profits: the softer side to a successful IPO
In 1979, Nestle started negotiations for re-entering China, eventually inking its first joint venture in 1987; and it has been honing the art of crafting goodwill in China ever since. This article was published in the newsletters of Manchester Business School, Nanyang Business School and US-China Business Council.
How much profit does my company need to IPO? This is one of the most common questions raised by companies aspiring to become publicly listed. This is a very important and valid question, but somewhat misguided because there is more to an IPO than just "hard" profit.
Managing a Chinese Partner: Insights from Global Companies
Danone, Nestle, Coca-Cola and SABMiller are similar in some ways, but adopted different approaches in China with different consequences. This book takes a look at the development of these four global giants in China over 2-3 decades.
Localization: It’s harder than you think.
Opening Happiness: An oral history of Coca-Cola in China.
Fortune article by Scott Cendrowski featuring interviews with LB Chong, our director. Coca-Cola’s journey to be where it is now in China – from a western soda that was banned by Mao in 1978 to becoming its third largest market in the world. Registration not required, click to read...
“Rupert Murdoch gives up on China with sale of Star China TV”, this headline blared on The Telegraph; and James Murdoch conceded at the end of the article that Star China TV had made “tremendous strides” since coming under Chinese control.
Fund Raising: Lessons from the tortoise and the hare
Realistic expectation is one of the vital factors that contribute to the success of a fund raising exercise – for the company, its advisors and potential investors. When expectations are not aligned, chances of failure in fund raising are increased.
Localization & Performance: A Tale of Two JVs.
Based on two advertising media players in China, this book looks at the impact of localization on their respective corporate performances over a 7 year period. Both are foreign owned, started around the same time, but delivered contrasting performances.