18.47% of the total world population is located in China. With a population of over 1.386 billion, it ranks number 1 in the list of countries by population. Not surprisingly, it contains a large number of companies to support its economy. According to a report by the Chinese Government released on January 19, 2017, the number of market entities (companies and registered organizations) in China by the end of 2016 is 87,054,000.
However, how many of these 87 millions of market entities involve in import and export activities?
Most credit management managers in multinational companies found that it is relatively difficult to do credit management in Greater China (Hong Kong, Taiwan, and China). The challenge is mainly due to the dissimilarity of legal system, the business culture gap, and the lack of statistical data. The Greater China market is too important to be ignored, isn’t it?
There is abundant perception about Chinese businesspeople not abiding by the contract. How true is it? Is there independent evidence to prove it?
If you speak the official national Chinese, Pŭtōnghuà, and travel around China, you will quickly realize that you often don't understand what the Chinese people around you speak. What happened?
Most multi-national corporations are stringent on compliance, yet few foreigners are aware that a signature on a Chinese contract has less enforcing power than a seal on it. Is this serious?
AIC should more correctly be referred as SAIC, the State Administration for Industry and Commerce (in Chinese: 国家工商行政管理总局). It is the authority in China responsible for advancing legislation concerning the administration of industry and commerce. What is SAIC responsible for?
In December 1999, Jack Ma and 17 other founders released their first online marketplace, named "Alibaba Online". It is the world's largest online Business-to-Business trading platform for small businesses. Founded in 2003 by Alibaba Group, Taobao, is China's largest consumer online shopping platform. Back in 2003, most people in China did not have credit cards nor debit cards for online payment. If Alibaba wanted to grow its online retail business, it had to find a way to get paid. Is this how Alipay was born?
In international markets, an invoice is sent to the customer and inform them to pay according to the agreed payment terms. It is then a voucher used to credit the revenue account and debit the receivable account in the general ledger.
When a businessperson comes to China, the meaning of invoice versus “Fapiao” (in Chinese: 发票, literally means invoice) normally generates some confusion. Knowing the difference is important because this is closely related to how you get paid by Chinese customers or handle payment to Chinese suppliers.
As a large country, China is composed of 56 ethnic groups that are officially recognized by the government of the People's Republic of China.
The Han Chinese (汉族) are the largest ethnic group accounted for 91.51% (1.2 billion) of the overall Chinese population in 2010.
Although the currency of China is officially called Renminbi (in Chinese: 人民币), which literally means "people's currency", people are often puzzled by the currency acronyms of RMB, Yuan, CNY, and CNH.
Alexander has over 25 years of experience in Business Information Management and Information Technology. Previously, he has held leadership positions in the world’s leading Business Information providers, including Managing Director of Thomson Reuters Asia, and General Manager of Dun & Bradstreet (D&B), Hong Kong and Taiwan. In addition, he personally managed Hong Kong's Commercial Credit Bureau while working with D&B, and the Consumer Credit Bureau through his directorship at TransUnion Limited.