White Lies And Red Flags - KLM BlueBiz Blog Post

11 April 2018
When selecting business partners in China, the western idea is that Chinese counterparts are trustworthy, until proven otherwise. Yet most Chinese business leaders act according to the opposite principle – trust has to be earned. It is important to be aware of this potential business culture clash, as I have experienced numerous times when performing […]
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The Golden Rule For Exploring China - KLM BlueBiz Blog Post

11 April 2018
What is the first thing a (foreign) company should do before even considering winning the affection of 1.3 billion potential Chinese consumers? Before opening an office or selling online in China, even before scanning and visiting China for suppliers, partners or distributors, it is absolutely crucial that that you make sure that you own or […]
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Resolving Issues With Chinese Supliers - KLM BlueBiz Blog Post

11 April 2018
Question: “I bought goods from a Chinese supplier, but after my full payment they sent me a container containing products with a market value of close to zero! I want my money back. What can I do?” “Unfortunately, fraud in sourcing is not uncommon in China. Although the risks will never be eliminated, there are […]
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New Developments to Impact International Arbitration in China

23 March 2018
Traditionally, many foreign companies have preferred to resolve disputes with Chinese counterparts through arbitration outside of China. Some arguments to choose for international arbitration: Arbitration outside China may be deemed more reliable than litigation or arbitration within China. Under the Convention for the Recognition and Enforcement of Foreign Arbitral Awards (New York, 1958) to which […]
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How to reclaim your Domain Name in China?

6 February 2018
With an increasing number of businesses conducted online, China attracts a growing number of entrepreneurs seeking for new opportunities. However, when looking into registering their domain names, they often encounter the problem that their Chinese domain names (such as .cn and .com.cn) have already been registered by somebody else, putting in danger their marketing strategies […]
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China Cuts Taxes for Foreign Investors

10 January 2018
  1.     Introduction Following an announcement by the State Council on 28 July 2017, the Ministry of Finance (MOF) jointly with several other ministries followed up on 21 December with a Circular 88 allowing foreign investors to defer withholding taxes on profits that are re-invested into China. Circular 88 takes retroactive effect from 1 January […]
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Reaching 1.4 Billion Consumers: Sales Channels for International Retailers and Brands in China

3 January 2018
  1.      Introduction Despite China remaining the sourcing capital of the world, most companies nowadays enter China to sell their products, rather than to source (or produce) them. This is not surprising given China’s demographics: for example, it is already the world’s largest luxury market as well e-commerce market, and according to one study it […]
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Tariff Reductions to Impact Foreign Sales to Chinese Consumers

14 December 2017
Starting from 1 December 2017 new reduced import tariffs apply in China. It is the fourth time China has reduced its import tariffs since 2015. This is positive news for foreign companies that are already selling in the PRC and for companies that are pondering entering the Chinese market, as this newest measure will significantly […]
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Wuhan Intermediate People’s Court recognizes U.S. Judgment: Does this Open the Door for the Execution of your Judgement in China?

20 November 2017
1.           Introduction On 20 June 2017 the Intermediate People’s Court in Wuhan (IPCW) became the first PRC court to recognize a US judgment.  This judgment in combination with previous recent developments in the PRC (“China”) could have a significant effect on the way foreign judgments are treated by PRC courts, and make widespread recognition of […]
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Retail Alternative: How to Establish a Franchise in China

16 November 2017
Franchising is a popular business model used extensively in China as well as the rest of the world by many international retailers and brands to achieve business success. This article explores how to establish a franchise in China while highlighting the most important considerations unique to this market.
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