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China Business 2.0 - Henk R. Randau


Year 2015

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Part I China 2.0: The New Stage1 China 2.01.1 Reform Via a Step-by-Step Approach1.2 The New StageINSIGHT: Stephen Green, Standard Chartered BankSuggestion for Further ReadingReference2 China's Maturing Economy2.1 GDP by Sector2.2 GDP by Origin2.3 ProductivityINSIGHT: Binzhen Wu, Tsinghua University 2.4 Inward Foreign Direct Investment2.5 Outward Foreign Direct InvestmentSuggestions for Further ReadingReferences3 The Economic Landscape3.1 Significant Economic Differences Between Regions3.2 Geographical Areas3.3 Northeastern China3.4 The Yangtze River Delta3.5 The Pearl River Delta3.6 Central and Western China3.7 Special Administrative RegionsSuggestions for Further Reading4 Domination of State-Owned Enterprises 5 Rebalancing the Economy: The 12th Five-Year Plan5.1 Economic Restructuring5.2 Strategic Industries and Innovation5.3 Social Equity5.4 Environmental InitiativesINSIGHT: Jim Rogers, BeeliSuggestions for Further Reading6 Moving Forward: China's Plan to InnovationINSIGHT: Dr. Stephen Dyer, A.T. Kearney7 The Rising Middle ClassINSIGHT: Dr. Daniel Zisper, McKinsey & Company& CompanyKey Chinese Consumer TrendsA “new mainstream”ImplicationsSuggestions for Further ReadingReferences8 The Banking SectorReference9 A Regulatory Challenge: The Chinese Stock Market9.1 Share Classification9.2 Reputation and VolatilityReference10 Internationalizing the RMBSuggestions for Further Reading11 China's Infrastructure: An Overview 11.1 Railways11.2 Roads and Expressways11.3 Air TrafficPart II Challenges12 Energy: Growth, Supplies, and DependenciesSuggestions for Further ReadingReference13 Securing Resources: China's Diminishing SupplyReferences14 Intense Growth: The Environmental Impact References15 Demographic Dilemmas15.1 One-Child Policy15.2 Gender Imbalance15.3 Aging Society15.4 WorkforceReference16 Social Concerns16.1 Abuse of Power and Status16.2 Egoistic Culture16.3 Food Concerns16.4 PollutionSuggestions for Further Reading17 High Risk: China's Real Estate17.1 Land Use Rights17.2 Economic Relevance18 Urbanization: A Transforming Country Suggestions for Further ReadingReference19 Unequal Wealth Distribution20 China's Evolving Social Welfare System 20.1 Pension20.2 HealthcareReferences21 Corruption: Skating on Thin Ice 21.1 BriberyINSIGHT: Chris Torrens, Control RisksSuggestions for Further Reading22 Be Aware: Fraud RisksINSIGHT: Belinda Tan, Deloitte(1) Common Red Flags of Fraud in China(2) Forensic Due DiligenceSuggestions for Further ReadingReferences23 A Snapshot on Mass Media23.1 Print Media23.2 TV and Radio23.3 Internet and Social Networking23.4 Control and CensorshipSuggestions for Further ReadingPart III Doing Business24 Understanding Entry ModesSuggestions for Further Reading25 China's Tax Structure25.1 Tax Legislation and Administration25.2 Execution and Interpretation25.3 Tax Treaties26 Types of Taxes26.1 Registration26.2 Tax Incentives26.3 Enterprise Income Tax26.4 Withholding Tax (WHT)26.5 Value Added Tax26.5.1 The Golden Tax System26.6 Business Tax26.7 Consumption Tax (CT) (Table 26.6)26.8 Other Applicable Corporate TaxesINSIGHT: Titus von dem Bongart, Ernst&YoungSuggestions for Further Reading26.9 Individual Income Tax26.10 Method of Calculating IIT26.11 Foreign Individual Taxpayers27 Passing Audits and Annual Examinations 27.1 Financial Statements Under the New CASINSIGHT: Sheng Tantzscher, Ernst&YoungSuggestions for Further Reading28 Protecting Intellectual Property 28.1 Patents28.2 Trademarks28.3 EnforcementINSIGHT: Elliot Papageorgiou, RouseSuggestions for Further Reading29 Chinese Migrants: The Hukou System 30 Work Culture and Effective Management Style31 Human Resource Challenges: Retention and Skills31.1 Retention31.2 SkillsSuggestions for Further Reading32 Playing by the Rules: Employment Regulations32.1 Recruitment32.2 Labor Agreements32.3 Wages, Benefits and Social SecuritySuggestions for Further Reading33 The Education System: The Big Picture33.1 School Education33.2 Higher Education33.3 Learning and Pressure on ChildrenSuggestions for Further ReadingReference34 Chops: The Chinese Form of Signature 35 Negotiation: How to Make Deals in China Part IV The Chinese Way36 China and the West36.1 The First Emperor36.2 Imperial China36.3 Modern China36.4 The People's Republic of China36.5 The New China36.6 The Attitude Towards the WestSuggestions for Further Reading37 Administrative Structure and Ethnic Groups37.1 Administrative Structure37.2 Ethnic Groups and Language38 Political System: The One-Party Nation 38.1 Chinese Communist Party38.2 State Government38.3 National People's Congress38.4 People's Liberation ArmySuggestions for Further Reading39 Philosophy and Religion39.1 Confucianism39.2 Taoism39.3 LegalismSuggestions for Further Reading40 The Importance of Family 40.1 Chinese Names40.2 The Extended Family41 From Collectivism to Individualism References42 Generations of Change42.1 1950s and Older42.2 1960s and 1970s42.3 1980s and YoungerReferences43 Etiquette: Dos and Don'ts43.1 Meeting and Greeting43.2 Body Language43.3 Gift GivingSuggestions for Further Reading44 Chinese Festivals: Knowing the Roots 44.1 Moon Calendar44.2 Chinese New Year (Chinese Spring Festival)44.3 Moon Festival45 Business Banquets45.1 Timing45.2 Seating45.3 Structure45.4 Toasting45.5 Alcohol45.6 Conversation45.7 Payment45.8 Table Manners in China46 Social Concepts: Mianzi and Guanxi46.1 Face (Mianzi)46.2 Connection (Guanxi)
 
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