A Flexible Response to Guo Qing: Experience of Three MNCs Entering Restricted Sectors of the PRC Economy

Tseng, Choo-sin; Foster, M. John

doi:10.1057/palgrave.abm.9200188

Cited by 8 publications

(17 citation statements)

References 5 publications

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“…This theory tells us that the real costs of a firm cannot be limited to the costs of production, but also need to take account of the costs of coordination, or transaction costs (Williamson, 1975; Williamson, 1985; Williamson, 1991). This simple insight has important implications when firms seek to reduce the costs of production through outsourcing (Thorelli, 1986), particularly when the supplier may be based in a relatively remote location both politically and geographically (Tseng and Foster, 2006; Wilkinson et al , 2006). In simple terms, it may be that although production costs may be reduced (i.e.…”

Section: Discussionmentioning

confidence: 99%

“…Other studies have found that in dealing with Chinese suppliers, firms often find that they are by default dealing with government agencies, either directly or indirectly. As a result they are forced to be flexible and cognisant of local rules requiring relationships to be structured along the lines of “necessary reciprocity” (Tseng and Foster, 2006). Under such structured trading conditions it can be expected that transaction costs could be increased, or at least to be largely out of the control of the buying firm.…”

Section: Discussionmentioning

confidence: 99%

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Sourcing from China: experiences of Australian firms

Wang

Singh

Samson

et al. 2011

Supply Chain Management: An International Journal

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PurposeThis paper aims to investigate the motivations of Australian manufacturing companies for sourcing products and services from China, the results achieved and whether these lived up to expectations, related barriers and problems, and how these problems were dealt with.Design/methodology/approachThe study is based on a survey of 35 Australian manufacturing firms, which have moved to import some goods or components from Chinese sources.FindingsMost firms that source components or products from China do so because of the cost reductions that were expected. In actuality, significant cost reductions were achieved, however these reductions were on average less than expected. Along with these cost reductions, importing goods or components from China had some quality problems and delivery delays. Control procedures, improved communications and relationship‐building strategies were employed to overcome and deal with such problems, and most firms reported remaining committed to their China sourcing strategies.Originality/valueThis study demonstrates and measures the motivation, degree of success, performance outcomes, and challenges that can be anticipated by firms wishing to source products or components from China.

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Section: Discussionmentioning

confidence: 99%

Section: Discussionmentioning

confidence: 99%

Sourcing from China: experiences of Australian firms

Wang

Singh

Samson

et al. 2011

Supply Chain Management: An International Journal

View full text Add to dashboard Cite

show abstract

“…Therefore, even though a company should understand Chinese characteristics (guo qing) in order to deliver a product with the value, quality, and convenience that will appeal to Chinese consumers (Yan, 2004) and adapt culturally, it might be beneficial to limit the process to a certain degree and choose familiar aspects from the home country that fit the Chinese market for the rest (Mänttäri et al, 2007). In this respect, a flexible approach to guo qing has been suggested (Tseng and Foster, 2006) Other barriers to entry include physical distance, customs regulations and other trade barriers (Lindqvist, 1991). Communication between business partners is possible within seconds, but when it comes to goods delivery, it's not that easy.…”

Section: Theoretical Background: Factors Influencing Purchasementioning

confidence: 99%

Chinese distribution practitioners' attitudes towards Italian quality foods

Hasimu

Marchesini²,

Canavari³

2008

Journal of Chinese Economic and Foreign Trade Studies

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Purpose: Food products' ultimate destination is intended for the general public, but those who supply the international markets are usually composed of a relatively small group of businessmen including international buyers, purchasing agents and importers. Understanding the motivation behind their purchasing decisions and the perceptions they have of the source countries can be considered a key factor in developing a successful marketing approach. This study focuses on understanding the position of such a powerful minority towards imported Italian, high-quality agro-food products in China, as well as the current communication, marketing, strategic and organizational approaches of Italian producers, especially compared to other European competitors. Design/methodology/approach: An exploratory approach based on qualitative interviews is adopted, with the aim of highlighting Chinese perceptions regarding Italian food suppliers' relevant strengths and weaknesses. The primary data were collected through personal interviews with 25 key informants in Shanghai, Beijing and Guangzhou. Findings: Survey results indicated that while Italian products are appreciated, current market shares remain inferior to other countries due to inadequate marketing strategies and low investments in promotion. Price sensitivity of Chinese consumers, less-established distribution channels, and competition with local products hindered further the market penetration. Chinese distribution practitioners' attitudes towards Italian quality foods MARCHESINI M., HULIYETI H., CANAVARI M.

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“…This reform has been especially painful in old industrial regions (this ambiguous link is illustrated to a degree for an individual company by Tseng and Foster's (2006) adaptation of Porter's 'five forces').…”

Section: Background -China's Economic Systemmentioning

confidence: 98%

Upgrading Resource-Based Regional Industrial Clusters to Innovative Clusters: The Case of Shanxi Province in China

Cao

Zeng

2008

Asian Bus Manage

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This paper is aimed as a contribution to the process of upgrading old industrial clusters towards a new status of innovative clusters. The concept of 'lock-in' is followed as it applies to a specific resource-based industrial cluster, to assess the value of this concept in the degradation of such clusters in a Chinese context. After identifying factors leading to the lock-in situation, we introduce the analytical framework of He-Xie Management Theory to investigate the potential role of this emerging management theory in promoting transition from old industrial clusters to innovative regions.

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A Flexible Response to Guo Qing: Experience of Three MNCs Entering Restricted Sectors of the PRC Economy

Cited by 8 publications

References 5 publications

Sourcing from China: experiences of Australian firms

Sourcing from China: experiences of Australian firms

Chinese distribution practitioners' attitudes towards Italian quality foods

Upgrading Resource-Based Regional Industrial Clusters to Innovative Clusters: The Case of Shanxi Province in China

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