International Business assignment help please!?

Question

For many global companies, China represents a very attractive market in terms of size and growth rate. Yet, it ranks lower in terms of economic freedom and higher in political risk than other country markets because it has a communist government. Despite these risks, Volkswagen, Isuzu, and Boeing are just a few of the hundreds of companies that have established manufacturing operations in China. This is due in large part to the Chinese government making sales in China contingent on a company’s willingness to locate production there. The government wants Chinese companies to learn modern management skills from non-Chinese companies and acquire technology. Some observers believe that when Western companies agree to such conditions, they are bargaining away important industry knowledge in exchange for sales today. Should Boeing and other companies go along with China’s terms, or should they risk losing sales by refusing to transfer technology?

Answer 1

china represents the cheapest possible workforce due to standards of living AND the immense competition for jobs represented by a billion+ population. giving away such technology as that of Volkswagen is acceptable, but Boeing manufactures aircraft, airframes, and anti aircraft/ anti-anti-aircraft materials, such technology can be used against anyone and should not be in such an unstable/unfriendly government.

i myself am attempting t start a company, i Will limit the amount of things that come from and go to countries like Palestine, Jordan, north Korea, and china.

(disturbing list of things made in china for USA)
*childrens clothing found to be manufactured with cancer causing agents.

*the largest producer of american flags

*over 90% of the ship to shore spec ops marine's boats, boats that may some day be used against "friends" of china.

and much much more.

Answer 2

If you are looking for new markets, China could be a country that looks like gold. Billions of people, literally, greater buying power because of all the money that is coming in from outside manufacturing moving into the country. However, the restrictions and the possibility of esponage where employees use confidential technology and give it to someone say the government to create competion is a problem. Boeing may need the new market more whereas Volkswagen might want to weigh the possiblilty of yet another automoble company into a market already overflowing. Boeing however may balk more than Volkswagen and Isuzu because they haven't really dealt with government restrictions. Germany raised tariffs on foreign car imports to make Volkswagen the most affordable car on the market. It really depends on the particular company if they want to go to China, frankly I would recommend India. Software dollars, no Communist government, and an infrastructure not ready to be real competition to big business. Of course there is the shifting government, but pump enough money and training into both sides and that goes away.
Face it going into a developing country is tricky business, but there are better options than China, that should be explored. The government is desperate to create more exports and generate more income. So they'll send in raiders and then disavow any knowledge, and the only worrisome thing about that is they have the resources to become a threat to the raided company in a good ten years. It will take Mexico, India, Iraq, and other that long if not longer to learn all they need to know to even begin to do something similar.