China Business: The Rules of the Game

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The Chinese government can start throwing its weight around, and it will undoubtedly have an effect on the kinds of games that flood app stores throughout the year. At least it might cut down on the staggering number of poker games to choose from.

China Business: The Rules of the Game

The A. Andrew Liszewski. Share This Story. If our business leaders don't know how to navigate Chinese business culture, they're taking risks that could be avoided. Credit: Vince Caligiuri.


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Part of the problem is that the culture of Australian business is rooted in Western, transactional models and businesses are not yet showing signs of adapting to Asia's very different cultural norms. Corporate Australia has made some headway, but it still lacks deep Asia experience, especially at board and senior executive level. There is a common over-emphasis in Australia on tactical management skills around products and corporate strategy and very little by way of investment in cross cultural leadership skills that can enable business leaders to be prepared for moments of crisis they can't predict.

Credit: Bill Hinton Photography.

Mahjong becoming more popular in US

When it comes to engagement with Asia, this is what is desperately lacking in the Australian corporate landscape: leadership skills to navigate the "unknown unknowns" — which are significant in Asia. The recent Australia-China Joint Economic Report produced by academics in Australia and China estimates that even with a pessimistic economic growth scenario in China of less than 5 per cent GDP growth over the next 10 years, Australian goods and service exports to China will still grow by 28 per cent.

We don't know the exact circumstances that led to Chinese authorities arresting 18 Crown employees But a study commissioned by the Australia China Business Council released last month questions whether Australia is ready for even moderate growth in Chinese consumption: "Are we prepared for the day when 25 per cent or more of Australia's service exports will be destined for China? If our business leaders don't know how to navigate Chinese business culture, have poor Chinese language skills, don't understand the politics of China and haven't spent enough time living or working in China, they're taking risks that could be avoided.

The arrests in China come as the Chinese government is sending clear signals about gambling and capital outflow.

We warned in October that the trade war was approaching a more dangerous phase in which collateral damage to business would go well beyond tariffs. Conflicts of interest have long been viewed as part and parcel of doing business in China, but the associated costs are starting to bite.

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What steps should companies take to successfully investigate and resolve them? This website uses anonymous cookies to improve your experience of our website Read more. Leadership Our Experts. Home China Business.

Future-proofing your China business: a view of a changing market.



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