With the present paper we tried to create a quite comprehensive picture of China, it’s economy, education, law and culture and, based thereof, what challenge a German company that considers expatriating staff to China can possibly encounter.
Though entering the Chinese market with its great potential for future growth is understandably attractive for globally acting firms, setting up shop in the People’s Republic needs to be considered carefully and planned thoroughly.
Besides many other difficulties, the question of how best to make use of German and local staff is vitally important. The success of operating in China will largely rise and fall with the ability of the German expatriates who are responsible for setting up operations in China. Therefore, choosing the right staff for expatriation, training, supervising and caring for it is of utmost importance.
Because of the vast cultural differences, China is probably one of the most demanding expatriation destinations there is. As we showed in our section about culture, China differs from Germany considerably in all but one of Hofstede’s dimension, the most significant difference being the long-term orientation and collectivism. These cultural differences are of course reflected in the way the Chinese work, manage and negotiate. In order to be successful, the German expatriate not only needs to know about these differences, he or she has to adapt to them. As Posth states in his remarks and experiences in China, most foreign enterprises in China fail not because of too high costs or lack of competitiveness, but because cultural interaction problems and missing understanding of each other (Posth, 2006).
Based on the expatriation experiences of Bosch and Volkswagen, the paper gives general recommendations for firms which want to send expatriates to China.
Inhaltsverzeichnis (Table of Contents)
- China - Geography, Culture, Political System and Infrastructure
- Geography
- Religion, Culture and Society
- The political system of the People's Republic of China
- Form of government
- Institutions
- Foreign relations of the People's Republic of China
- Infrastructure in China
- Economy
- The Economic System of the People's Republic of China
- Reforms & current state
- Challenges
- Economic Sectors
- Main Industries
- Imports and exports
- Foreign Direct Investment
- Background of FDI in China
- Trends and restrictions of FDI today
- Structure and Proprietorship of Chinese Enterprises
- The Chinese Procurement and Sales Market
- The educational system and labor market
- The educational system of China
- The development of the Chinese education system
- Schools in China - Public or Private
- Universities in China
- Number of universities and students
- Facts and Figures
- Labor market
- Trends in China's labor market
- Migratory labor
- Labor market: State owned enterprises – Private sector
- Labor market: Domestic enterprises – Foreign-invested enterprises
- Foreign employees in China
- The situation for academics in the Chinese labor market
- Situation of local university graduates
- Recruitment and retention
- Organization of employers, trade unions and labor law in China
- The organization of employers in China
- Trade unions
- The right to strike
- Walmart in China
- Labor Law
- Overview of Chinese labor law
- Recent development in China's labor law
- Workplace democracy at the example of a major foreign MNC
- Global Mindset and Culture
- The model of Kluckhohn and Strodtbeck
- Relation to the environment
- Relationships among people
- Mode of Human Activity
- Belief about Basic Human Nature
- Orientation to Time
- Use of Space
- The 5 Dimensions of Professor Hofstede
- Power Distance
- Uncertainty Avoidance, Collectivism and Masculinity
- The model in relation to China
- Halls research
- Context
- Time
- Space
- Limitations of cultural models
- Mianzi/ Face
- Guidelines for face saving behavior in China
- Implications of mianzi in the business world
- The role of guanxi in Chinese business culture
- What is guanxi?
- Its role in business
- Expatriation Experiences of German Companies & Best Practices
- Negotiation Tactics of Chinese Managers
- Best practices of expatriation in China from Robert Bosch GmbH
- Preparation
- Reintegration/ repatriation
- What to do for expatriates in China
- Expatriation Experience at the example of Volkswagen
Zielsetzung und Themenschwerpunkte (Objectives and Key Themes)
This paper aims to provide a comprehensive overview of expatriation in China, exploring its various aspects from geography, culture, and political system to the economic environment, educational system, labor market, and business culture. The paper focuses on understanding the challenges and opportunities of expatriation for German companies in China, providing valuable insights and best practices for successful international assignments.
- The geography, culture, political system and infrastructure of China
- The economic system, sectors, and challenges of China
- The educational system and labor market in China, including trends, migratory labor, and the situation for foreign employees
- The organization of employers, trade unions, and labor law in China
- Global mindset and cultural differences, focusing on the models of Kluckhohn and Strodtbeck, Hofstede, and Hall, and the concepts of Mianzi and Guanxi
Zusammenfassung der Kapitel (Chapter Summaries)
- Chapter 1 provides an overview of China, covering its geography, culture, political system, and infrastructure. It discusses the country's unique landscape, diverse religious and cultural traditions, the political system, and its infrastructure development.
- Chapter 2 delves into the Chinese economy, examining its economic system, sectors, and challenges. It discusses the reforms and current state of the economy, explores key economic sectors, and analyzes imports, exports, and foreign direct investment.
- Chapter 3 focuses on the educational system and labor market in China. It outlines the development and structure of the education system, highlighting the role of public and private schools, universities, and the number of students. The chapter also discusses trends in the labor market, including migratory labor, the dynamics between state-owned and private enterprises, and the situation for foreign employees and academics.
- Chapter 4 explores the organization of employers, trade unions, and labor law in China. It examines the role of employers' organizations, trade unions, and the right to strike. The chapter also provides an overview of Chinese labor law, recent developments, and the dynamics of workplace democracy.
- Chapter 5 examines the global mindset and cultural differences, utilizing the models of Kluckhohn and Strodtbeck, Hofstede, and Hall. It explores the concept of Mianzi/Face and its implications for business interactions, and the importance of Guanxi in Chinese business culture.
Schlüsselwörter (Keywords)
Key terms and concepts explored in this paper include: Expatriation, China, Geography, Culture, Political System, Infrastructure, Economy, Economic System, Education System, Labor Market, Foreign Employees, Employers, Trade Unions, Labor Law, Global Mindset, Cultural Differences, Mianzi, Guanxi.
- Quote paper
- Christian Brockmann (Author), Carsten Dietrich (Author), Dirk Salmon (Author), Daniel Scholz (Author), Alexander von Reth (Author), 2009, Expatriation in China, Munich, GRIN Verlag, https://www.grin.com/document/141077
