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Instead, choose a foreign country anywhere in the world. You have been assigned

ID: 431493 • Letter: I

Question

Instead, choose a foreign country anywhere in the world. You have been assigned by your boss to research everything you can find that your organizatiorn in order to begin marketing a product or service in your chosen country. Bel additional topics, you're a great employee! The more complete and comprehensive your findings, the more points you earn. Happy hunting is worth 50 points. ow is a list of relevant areas about which we need to know. if you think of Exercise 1. trade surplus/deficit, gross domestic product, gross national income, monetary exchange rate 2. political structure 3. geographic (climate, physical characteristics, locational relationship to other countries etc. 4. population demographics and growth rates 5. Holstede's cultural dimensions 6. infrastructure and technological capabilities 7. government tariffs, quotas, trade agreements, and taxation 8. religion(s) 9. language and literacy rates 10. labor availability, costs, skills etc.

Explanation / Answer

Country: China

Trade surplus

They have a trade surplus of $105 billion with the US in the first five months.

GDP

They contribute to 19.7% of the world economy and GDP of China in 2017 was $12237.70 billion. The GDP growth is 6.9% in 2017

GNI per capita on Purchasing power parity

$15470 in 2016

Monetary exchange rate

$1=6.82 Yuan in 2018

Political structure

They are a socialist republic run by a single party, the communist party of China. It is a single party ruled by the communist party of China.

Geographic climate

Physical characterstics

Located in south-east Asia, it is a third largest country in the world in terms of land area. It covers 9,596,960 km of land area. The country is spread across the coast of the Pacific ocean. Their climate ranges from subarctic to tropical. Their area includes the highest peaks, beautiful valleys, plains. The threat of floods is constant but land is fertile. Most populated is the southeastern part of the country. Agriculture is possible in only 15% of the country. Only 1/3rd of the country is inhabitable. Their landscape includes rivers, valleys, plains, mountains, deserts etc.

Locational relationship to other countries

China is to the south of Mongolia and Siberia, west of Korea and Japan, North of south-east Asia, East of central and south Asia.

Population demographics and growth rate

Population as of 2018 is 1415045928, almost 60% of the population lives in urban areas. The average age of the country is 37 years. The population growth rate is .5% of the population from 2017.

Hofstede's Culture

The power distance

High rate of PDI which is 80, they believe inequalities in income are acceptable. There is a clear superior-subordinate division and power abuse is common

Individualism vs. collectivism

Highly collectivist culture with a score of 20, all decisions are made considering the impact on the group. Hiring is also done with preferential treatment to closer group and family.

Masculinity vs. femininity

With a score of 66 China is success driven and work-oriented society. Work is preferred to leisure and even student focus more on performance than leisure time.

Uncertainty avoidance index

They have a 30 score in uncertainty avoidance. They have closely held family-owned business. The business is driven by ambiguity and rules are adapted according to the situation.

Long term vs. short term normative orientation

They have a score of 87 in this dimension, it indicates they are very pragmatic and people believe that the truth is dependent on the situation, time and context.

Indulgence vs. restraint

They are a restrained society with a score of 20 meaning they don’t spend time and money on personal gratification, they are inclined to be cynical and pessimist.

Infrastructure and technology capabilities

Second largest country in terms of R&D and account for 20% of R&D spends worldwide. They are the science and technology powerhouse which has emerged recently. Technology and innovation are major are areas of development in their 13th five-year plan. They want to be a global leader in science and innovation by 2050.

Government tariffs

A tax (Most favored nation tax rate) was imposed on 948 items from Jan 1, 2018. The provisional tax rate for 27 IT items is from June 2018. A tariff of 10% was imposed on import of broken rice from July 1, 2018.

Quotas

Tariff quota management is continued on 8 items like wheat and 3 kinds of fertilizer etc.

Trade agreements

They have FTA with Georgia. They also have agreements with Pakistan, South Korea, Iceland, Costa Rica, Switzerland Etc. They also have Asia Pacific trade agreement and economic cooperation trade agreement with Taiwan.

religion

Five Predominant Religions Are Buddhism, Taoism, Islam, Catholics And Protestants

Language

Common language used is Mandarin

Literacy rate

They have a 100% literacy rate with just 5% of the elderly who cannot read or write.

Skill sets

They have a shortage of skills related to IT, Finance and green fields.

Trade surplus

They have a trade surplus of $105 billion with the US in the first five months.

GDP

They contribute to 19.7% of the world economy and GDP of China in 2017 was $12237.70 billion. The GDP growth is 6.9% in 2017

GNI per capita on Purchasing power parity

$15470 in 2016

Monetary exchange rate

$1=6.82 Yuan in 2018

Political structure

They are a socialist republic run by a single party, the communist party of China. It is a single party ruled by the communist party of China.

Geographic climate

Physical characterstics

Located in south-east Asia, it is a third largest country in the world in terms of land area. It covers 9,596,960 km of land area. The country is spread across the coast of the Pacific ocean. Their climate ranges from subarctic to tropical. Their area includes the highest peaks, beautiful valleys, plains. The threat of floods is constant but land is fertile. Most populated is the southeastern part of the country. Agriculture is possible in only 15% of the country. Only 1/3rd of the country is inhabitable. Their landscape includes rivers, valleys, plains, mountains, deserts etc.

Locational relationship to other countries

China is to the south of Mongolia and Siberia, west of Korea and Japan, North of south-east Asia, East of central and south Asia.

Population demographics and growth rate

Population as of 2018 is 1415045928, almost 60% of the population lives in urban areas. The average age of the country is 37 years. The population growth rate is .5% of the population from 2017.

Hofstede's Culture

The power distance

High rate of PDI which is 80, they believe inequalities in income are acceptable. There is a clear superior-subordinate division and power abuse is common

Individualism vs. collectivism

Highly collectivist culture with a score of 20, all decisions are made considering the impact on the group. Hiring is also done with preferential treatment to closer group and family.

Masculinity vs. femininity

With a score of 66 China is success driven and work-oriented society. Work is preferred to leisure and even student focus more on performance than leisure time.

Uncertainty avoidance index

They have a 30 score in uncertainty avoidance. They have closely held family-owned business. The business is driven by ambiguity and rules are adapted according to the situation.

Long term vs. short term normative orientation

They have a score of 87 in this dimension, it indicates they are very pragmatic and people believe that the truth is dependent on the situation, time and context.

Indulgence vs. restraint

They are a restrained society with a score of 20 meaning they don’t spend time and money on personal gratification, they are inclined to be cynical and pessimist.

Infrastructure and technology capabilities

Second largest country in terms of R&D and account for 20% of R&D spends worldwide. They are the science and technology powerhouse which has emerged recently. Technology and innovation are major are areas of development in their 13th five-year plan. They want to be a global leader in science and innovation by 2050.

Government tariffs

A tax (Most favored nation tax rate) was imposed on 948 items from Jan 1, 2018. The provisional tax rate for 27 IT items is from June 2018. A tariff of 10% was imposed on import of broken rice from July 1, 2018.

Quotas

Tariff quota management is continued on 8 items like wheat and 3 kinds of fertilizer etc.

Trade agreements

They have FTA with Georgia. They also have agreements with Pakistan, South Korea, Iceland, Costa Rica, Switzerland Etc. They also have Asia Pacific trade agreement and economic cooperation trade agreement with Taiwan.

religion

Five Predominant Religions Are Buddhism, Taoism, Islam, Catholics And Protestants

Language

Common language used is Mandarin

Literacy rate

They have a 100% literacy rate with just 5% of the elderly who cannot read or write.

Skill sets

They have a shortage of skills related to IT, Finance and green fields.