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Blog Doing business in China: How US companies see it (infographic)

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Doing business in China: How US companies see it (infographic)

by Bobby Lee | 28 October 2015

Doing business in ChinaHow Americans feel about the Sino-US business future

President Xi Jinping's first State visit to the United States last month paved the road to continued cooperation between the two super powers of the world.

America's third largest exporter, despite reeling from stock-market turmoil pledged $16bn to global initiatives and is still a immensely profitable partner, with trade having topped $ 592bn last year.

The relationship between these two nations are as important and interdependent as ever before, and for American companies looking to do business in China the success of it is equally as important to their own success in the Far East.

The folks over at Bain & Company collaborated with AmCham China in conducting a survey of more than 450 AmCham China member companies to bring us their thoughts (and some interesting figures) on doing business in China, and presented it in a great infographic that you can see below.

So join us as we take a look at how US companies see the business landscape in China and what we can learn from it. 

Doing business in China: How US companies view the landscape



  • American companies are still profitable in China

American companies are not reporting as much y-o-y sales as before, however, they still remained profitable according to the latest survey. This is still positive news for American companies looking to set up shop on the Mainland, but greater effort needs to be taken to ensure that products and services are tailored for the Chinese market (see below).

  • China is still a priority, but the trend is shifting

 Confidence in China is slipping somewhat, with American companies regarding it more as one among many investment destinations. China's volatile stock-market and the instability of the RMB are key factors in this shifting trend.

  • Products/services specifically designed, developed and tailored for the Chinese market still bring in more than 50% of revenue for a third of the respondents

Doing business in China and ensuring the success of one's products and services is very dependent on whether or not they can be tailored to suit the tastes of the mass market in China. This is certainly one area that American companies should be focussing on. Another area business owners should be focussing on is ensuring they now how to properly deal with their counterparts (click below to get your FREE eBook).

  • Their are still many challenges that American businesses face with their China operations

Doing business in China certainly comes with its own unique set of challenges that are becoming increasingly more difficult to navigate, but there is a lot being done to help foreign business owners thrive.

American business people now enjoy the liberty of being able to apply for a 10 year China business/tourist visa, barriers to company formation in China are also being broken down, and preferential tax policies are helping to provide Americans with a more suitable business platform. 

Visa application for China

  • The outlook is still optimistic

Despite the challenges, problems with growth and the shifting trend of investment in China not being a top priority anymore, 69% of respondents are optimistic - slightly optimistic about their company's domestic growth.

As these two nations continue to cooperate and work on the issues/challenges that restricts trade and mutual benefit, the outlook will continue to become more positive!


10 step guide to Chinese Business Culture & Etiquette 

Topics: Running a business in China

Bobby Lee

Bobby Lee

Helping make China companies easy since 2007 as a Senior Consultant