From smh.com.au: Arrogance and lack of experience can often be the downfall of businesses rushing to set up in China, writes Kirsty Needham.
IT IS the new gold rush. Suit-clad gold diggers are pouring into the land of promise at a rate of a billion dollars a week. American, European and Australian investors are certain this is the once-in-a-lifetime opportunity: a billion Chinese customers and inept, rusting, state-owned factories ripe for the picking.
They are confident they have learnt the lessons of the broken capitalist dreams that litter the path before them, nightmare tales of stolen technology and quagmired deals.
Rule No.1: you need a Chinese partner with connections. Rule No.2: don’t get screwed.