China Sales Dog Blog

Hidden obstacles to you biz success in China

A successful international consultant we know was recently talking to a board member for a Los Angeles area industrial products manufacturer. The board member expressed concern about the rate of the company's sales growth in China. Specifically, he felt they may need professional advice, possibly support, to put their China business on a faster track. China sales being our company's forte, the consultant suggested to the board member that "China Sage Consultants" might be able to help.

The board member directed their international sales manager to contact us and he did. I met him in CA and listened intently to his story about their business in China. He said "We have our guy in Hong Kong who supports our few Chinese distributors as

Labor, your other competition in China

Assume you manufacture and sell "cherry picker" and other types of lifts used for maintenance work on buildings and structures. You've done well in the US but it's a mature market and you need to grow. There's a lot of buzz about China so why not try there. Not a bad idea but before you jump in, you'd better put on your Chinese thinking hat and size up the situation, from a Chinese persepective that is. Specifically, you must decide whether you can compete effectively with the local "competitors".

The National Export Initiative: Why NOW is the Time for American SMEs to Export to China

“So tonight, we set a new goal: We will double our exports over the next five years, an increase that will support two million jobs in America.”

-President Obama

 

    The President’s ambitious plan to double America’s exports over the next five years, which he announced at the 2010 State of the Union, makes this the perfect time for SMEs to start to export. The details of this plan were laid out in the National Export Initiative (NEI), and an Export Promotion Cabinet was established to spearhead the effort. The NEI pools resources and leadership from the Small Business Administration, the Export-Import Bank, the U.S. Trade Representative, and from the Commerce, State, and Agriculture departments.

     Priority number one of the NEI is to increase government assistance to SMEs looking to export.

Alibaba.com can test your products' competitive hurdles in China

So you have a great product that is sure to have an excellent export sales opportunity in China. After all, sales are good in the US, China has 1.4 billion people, and the Chinese can't make a product even close to yours. You have been making this product for years and it's a real top seller in the US. The more you think about it, the more primed and ready you are to plunge into China. As you begin to jump you think

That tricky sales process in China ...

Forgetting Chinese are very different from ourselves, Americans attempt selling to Chinese as they do with other Americans. When they fail to succeed, they can only return home befuddled by what may have gone wrong. Here is a story about a real-life sales situation in China, one that I hope will give you more insights to add to your quiver. 

Different Orientations: A real life sales & negotiation session in China

 

The client and I had hoped to narrow things down and possibly close the sale during our meeting. Unfortunately, the Chinese distributor was very vague and non-committal as we asked the questions we sought answers to. Later reflection revealed some keys into the differences in Chinese and American thinking, particularly in the context of trying to close a sale in China. Following is something all Americans should bear in mind when selling in China.

Doesn't Add Up: US export price vs. Chinese end-user price

Any company selling in China knows that "price" is always an issue; even when it's not really an issue, it's still an issue! That's just cultural and, hey, why not. Even the worst negotiation training courses in the west teach "always flinch at the seller's price". What we learn in school, the Chinese do very naturally.  The main point is price is an issue in China and so why do many US exporters overlook the fact their export price and Chinese end-user price are two very different things in China.

A whitewater analogy for seeking business guidance in China

Ever been whitewater rafting? Unless you’re an expert, you know it’s not as easy as it seems. Yeah, water is water and a boat is a boat; but once you're floating down the river, you realize very quickly there’s a  whole lot to manage and manage fast, lest you end up in the water (to be clear, if you’re not a “river expert”, you WILL end up in the water). “Boulders”, “holes”, “eddies”

China, Land of Opportunity .... and Risk!

China is the new land of opportunity but, if you do not approach China correctly, you stand to lose a whole lot. This is especially true when talking about smaller newcomer US companies seeking to sell in China. With zero or limited China experience, small US companies fall easy prey

The Chinese will buy it ... not!

 When it comes to "advice on China," there are so many things to talk about, one can become easily distracted. Case-in-point: this blog is intended to offer insights on selling in China but we've yet to offer anything (because there's so much other stuff to talk about). I suppose we ought to fix that ...

Key Points of Post:

• China doesn't want to buy junk from the rest of the world and there are even government policies against it
• Chinese prefer new latest technology products and equipment
• China can produce much of what it needs to outfit its factories and buildup its infrastructure