Research materials for Business Innovation

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//Before discussing about the consequence of the global financial tsunami on the business environment of the PRC, we have to first of all interpret briefly about background of PRC business environment, in order to make clear the real position of the business environment in China. So, firstly, we will write about the overview of the PRC business environment under the heading of Introduction, for example: //

Introduction:

The term 'PRC business environment' can be defined as the People's Republic of China. The population in the China is very enormous, which also makes the business market of the People's Republic of China immense. For the business activities in the PRC business environment, it is necessary for all the interested parties to have great and patient efforts. Most of the organizations and foreign investors adopt the joint venture strategy to do business in the PRC.

At the same time, the business environment of the People's Republic of China also causes some barriers for the operators of the foreign joint ventures. These barriers in the business environment of PRC are related to the certain rules, regulations and laws, so as to regulate the business and investment. Generally, these issues include the business vehicles of the enterprises for the foreign investment. For the establishment of the joint venture enterprise in the PRC business environment, the foreign investors and the interested parties require to have some business negotiation with the partner in the PRC (Ash, 2003). Some political, economical and social issues in PRC also affect the business environment of the foreign investors. The reason for the difficult situations in the financial market and unreasonable low credit risk are the relative causes of the financial tsunami (Klinz, 2008).

The foreign investors also penetrated some business opportunities in the enormous market of the China. In the past times, the Government of People's Republic of China imposed some restrictions on the foreign country's investors, who wanted to do business in the particular environment. The most unusual restriction, which was imposed by the Government of China, was to have the large number of negotiation by the foreign investors at various levels of business. All the business organizations in China demanded the multiple negotiations at different levels of the business, forcefully. In the People's Republic of China, each business negotiation has a different feature.

The investor from the foreign countries has to be aware of the general business practices. It is because the strategies and the styles for the business negotiation in China changes from person to person and business to business. There are also many other formalities, which were faced by the foreign investors for the entrance in the business environment of PRC. The foreign investors couldn't hold more than 49% interest in the joint venture with the partners of Chinese trading organizations.

The foreign investors were not allowed to act as the major stakeholders in the China (Raddock, 1993). It has been causing various strict requirements in the People's Republic of China. But, these requirements are not affecting the business activities of the foreign investors, as they are accomplishing their activities successfully. Yet, these activities are not matching with the business regulation standards in PRC. It is making the business activities in China very complicated for the foreign investors.

//After talking about the business environment of the People's Republic of China, now moving to the next part of instructions, in which we will talk about the Preliminary literature review of the global financial tsunami on the PRC business environment. I am just providing a brief overview to enhance your learning skills. You are free to add more to this part. //

Literature Review:

The problem because of the financial tsunami in the business innovation about the manufacturing in China can be supported by the help of literature review. For the literature review various academic sources, such as journals, books are reviewed. The review of the books and journals was very helpful to find out the most important aspect of the financial tsunami in the business innovation about the manufacturing in China.

Effect of Financial Tsunami

The article written by Sonny Lo provides the information ...