Purpose -This paper sets out to analyze the determinants of foreign direct investment (FDI) on both the country and regional level through the extensive review of past research studies, as well as through the development of a multiple regression model for identifying key determinants of FDI at the regional level in China during the critical year of 2002. Design/methodology/approach -The development of a multiple regression model to identify statistically significant determinants of FDI by region in China. Findings -As reforms continue to take place, FDI in China has been unevenly distributed. This paper examines five potential determinants of FDI in 30 regions (including provinces, centrally controlled municipalities, and semi-autonomous regions) of China using a regression model. The specific focus is on 2002, as it is the first full year after China's accession to the World Trade Organization, and the first year in which China exceeded the USA in attracting FDI. From this initial study, one can conclude that the government should consider encouraging capital-intensive FDI through the further development of a skilled workforce. This means increasing funding for higher education, and infrastructure, while also encouraging more openness in state-owned enterprises. This paper sets up further research that may help expose regions with greater potential for FDI, as well as identifying regions which need to improve certain conditions in order to receive more FDI. Originality/value -This paper analyzes the determinants of FDI by region in China in 2002. This year is particularly interesting as it is both the first full year after China's accession to the World Trade Organization, as well as the first year in which FDI was greater in China than in the USA While this research study is only a snap shot of a topic that is of increasing importance to China, it has direct relevance to the FDI development efforts of the individual regions. This study provides evidence that GDP that proxies for the market size and potential is shown to be a big attraction for FDI. Labor quality and the progress of reform or the degree of openness are also important determinants of the distribution of FDI. There is some mild evidence that high labor cost deters the inflow of FDI and the level of infrastructure has positive relation to FDI. These results have important implications for both the central and regional governments as they can be useful in helping the authorities to allocate funds and resources which will help attract FDI.

This paper critically examines the affect of the Internet on industrial sales channels. The technology and strategy of industrial exchanges is discussed. Recent critiques of B2B activities are reviewed within the context of the motion control industry. Conclusions are provided that should assist managers in this industry.

Egghead Software, Inc. was a successful computer software and hardware multi‐channel retailer in the USA until the mid 1990s. Then, in 1998, they closed down their retail operations and Egghead Software, Inc. became Egghead.com – an eCommerce only retailer. This paper presents the key decisions, management changes, and environmental factors resulting in Egghead.com’s ultimate demise. Conclusions are made that can help retail and other sales channel managers and executives learn from Egghead’s mistakes, so that they can increase their market presence, strengthen their relationship with customers, and increase their power in the supply chain.

Purpose -This paper aims to present the observations of an Italian expatriate who has made China his home. It provides insights into the reasons he has been successful, which will help western firms learn how to better do business with the Chinese. Design/methodology/approach -This paper is based off an intensive interview with a Western entrepreneur. Findings -This paper reviews the case of JESA industrial limited featuring comments and the perspective of its expatriate founder as he leads the further evolution of JESA from roots as an industrial market research and outsourcing consultancy focusing primarily on small and medium sized enterprises in Italy, to one that combines western and Chinese knowledge and experience with technical expertise and competency to serve a growing base of western businesses and Chinese expatriates. Originality/value -This study is original in that it provides insight from the perspective of a successful business person who has gone through the process of integrating into the Chinese business world. Linkages are made to other studies, and literature. The paper helps foreign executives in small, medium, and large enterprises understand some of the nuances involved in doing business in and with China from the perspective of a successful western expatriate.

The CEO of a large United States-based manufacturer was angry. A service and support plan was not in place for a new line of electronic controls that was a critical part of the company’s growth plans. This product was also the first jointly developed product since a French competitor acquired the CEO’s firm three years earlier. The executive team was looking for 500% sales growth over the next five years, and had made it clear that everybody’s job was on the line if the team failed to produce. The product management and marketing team was given the specific challenge to develop a plan for service, support, and training. They had less than 90 days to review the current situation, and to then develop and begin to implement a new plan that centered on managing the flow of information between a number of key stakeholders.

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