Setting Up Wholly Foreign Owned Enterprises In China

Do you want to manufacture or trade in China? If you are looking at investing in a China manufacturing or service operation in China, then this book is for you. This Guide is a practical overview for the international businessman to understand the rules, regulations and management issues regarding establishing wholly foreign owned enterprises in China. We will help you to understand the implications of what can initially appear be a complicated and contradictory subject. This book tells you the basics of what you need to know, and point you at the structures you should use as well as some of the pitfalls. This book is the second in our new series of books on doing business in China, which will progressively cover such topics as setting up joint ventures, tax, IP and many other vital issues for foreign investors in this exciting market.

Do you want to do business in China? If you are already in this vast country and want to know more, or if you have never tried your hand at this fascinating market, then this book is for you. This Guide is a practical overview for the international businessman to understand the rules, regulations and management issues regarding establishing Representative Offices in China. We will help you to understand the implications of what can initially appear be a complicated and contradictory subject. This book tells you the basics of what you need to know, and point you at the structures you should use as well as some of the pitfalls. This book is the first in a new series of books on doing business in China, which will progressively cover such topics as setting up wholly foreign-owned enterprises, setting up joint ventures, tax, IP and many other vital issues for foreign investors in this exciting market.

Written for international business managers and executives, this book offers a comprehensive and authoritative discussion of foreign direct investment in the People's Republic of China. The authors note at the outset that although the events of Tiananmen Square brought both trade and investment to a virtual standstill, new investment is now again flowing into China (but at a guarded pace). For those wishing to pursue the numerous opportunities that still exist, this volume offers a full analysis of the risks involved, a thorough treatment of the different forms of investment activities in China, complete coverage of China's investment policies and incentives, and specific case studies of foreign direct investment in China. The authors begin by providing an overview of the Open Door Policy and China's economic and managerial systems. Next, they discuss special economic zones and open cities; investment policies, such as flexible foreign ownership and choice of investment location; new incentives after 1986; and investment motivations. The modes of foreign investment covered include equity joint ventures, contractual joint ventures, wholly foreign-owned enterprises, joint oil exploration, compensation, and trade. Separate chapters analyze foreign investment inflows, identify the organizations involved in foreign investment, describe investment negotiation and approval procedures, and provide a detailed example of a joint venture feasibility study. Three case studies and an evaluation of the outlook for future foreign investment in China complete the volume. Numerous explanatory tables and figures amplify points made in the text. Two appendixes provide a sample contract and articles of association for joint ventures in China and the regulations for development and opening of the Shanghai Pudong New Area. A third appendix lists the rules for the implementation of Chinese law on wholly foreign-owned enterprises in China.

Prepared by the East Asian Institute, NUS, which promotes research on East Asian developments particularly the political, economic and social development of contemporary China (including Hong Kong and Taiwan), this series of research reports is intended for policy makers and readers who want to keep abreast of the latest developments in China. This volume summarises four features of the common principles of foreign investment laws in market economies and surveys four aspects of recent developments in Chinese foreign investment laws towards these principles.

This brand new guide book is a comprehensive overview of establishing joint ventures in China. It details all applicable decision making processes such as assessing your potential partner, choosing the relevant JV structure, conducting legal and financial due diligence. The guide contains complete JV contract and articles of association as well as an overview of JV law, details negotiation issues, land use rights, IP Protection and technology transfer, in addition to tips on staff hiring and HR. It also describes the tax and audit responsibilities in addition to buying out a JV partner and liquidations. It is a concise, detailed yet pragmatic guide of use to anyone considering or owning a JV in China.

Seminar paper from the year 2011 in the subject Law - Civil / Private, Trade, Anti Trust Law, Business Law, grade: 1.7, University of applied sciences, Munich, course: MBA, language: English, abstract: Executive Summary: Investing in China is still considered as one of the most profitable business opportunities. On the one hand side the Chinese market brings around 1.3 billion new potential consumers and on the other an annual growth rate of around 10%, both are quite attractive for foreign investments. Moreover, the Chinese government is permanently improving the investment climate for foreign enterprises and investors by improving respectively building the required infrastructure or revising business laws and lowering market entry barriers for foreigners for instance. Investing in China is not only a subject for large and international enterprises but also for small and mid sized private companies. China’s progress in accepting market-oriented economic and business principles as well as their 2001 entry into the World Trade Organization (WTO) is attracting foreign investors the same way as a growing Chinese middle class and low labor costs. Companies of all sizes understand that by ignoring this prospering and huge market for their goods and services or by not taking ad-vantage of the latent labor arbitrage that they are risking to fall behind their competition. The assignment is providing some statistics on foreign investments in China, is dealing with a brief overview of the different industry areas for foreign compa-nies and investors in China and explains the main investment forms which can be considered for business establishment in China. The work is concluding with some general information about legal protections for foreign investors and the ITM checklist. Table of Contents: Executive Summary I List of Abbreviations III List of Figures IV List of Tables IV 1. Introduction 5 2. Foreign Investment Categories in China 7 3. Legal Forms for Foreign Investors in China 9 3.1. Joint Venture 9 3.1.1. Equity Joint Venture 10 3.1.2. Cooperative Joint Venture 10 3.2. Representative Office 10 3.3. Wholly Foreign Owned Enterprise 11 3.4. Holding Enterprises for Foreign Investors 11 3.5. “B” Stocks 12 4. Legal Protection of Foreign Investors in China 12 5. Conclusion 13 ITM Checklist 14 References 16

This accessible book offer a comprehensive and critical introduction to the law on business organizations in the People�s Republic of China. The coverage focuses on the 2005-adopted PRC Company Law and the most recent legislative and regulatory develop