Business management Essay Example | Topics and Well Written Essays - 4000 words

Business management - Essay Examplemainland China is one country which escaped from the current global financial crisis without much damage. As per economical gurus, Chinas economy willing surpass that of the USs within 20 years of time. Earlier, China was reluctant in opening their economy, yet at present their economy is more transparent than even Japans economy. Moreover, Chinas trade in 2004 was equal to 70% of its GDP, plot of ground that of Japan was 24%. China received $60.6 billion of foreign direct investment in 2004, while Japan, received only $20.1 billion (Overholt, 2005, p.5). China has take an economic policy in which they were ready to open the unimportant sectors for the FDI whereas the critical sectors were kept under government control only. They have encouraged privatization in many a(prenominal) small scale industries and less important industry sectors and that also in bulk. Xinhua, Chinese day by day, has quoted the opinion of the World Bank chief economi st, Deepak Bhattasalithe recently. He has told to the Chinese daily that, not only the Chinese Governments effective policies on taxation, but its long-term investment in infrastructure construction also contributed to a more sweet investment climate (Xinhua, 2004).There is no second opinion about the immense economic developments happening in China. Economic growth of a rural area is controlled by many parameters like, political stability, lack of agitations in the society or industrial sectors and also the countrys ability to mobilize the internal resources on with attracting foreign direct investments (FDI) in the country. The peoples living standards, unemployment problems, educational levels, infrastructure developments, overall domestic peace levels and also the relationships with the neighboring countries, all will reflect the economic growth of a nation. China has all the above qualities and hence corporate can think about investing in China.China is the number one countr y in the world as