Economical Factors China is seen as one of the most energetic countries in the world when it comes to economic development. The new reforms in 1978 stimulated the Chinese GDP growth from 364 billion RMB to 63.6 trillion RMB within 30 years (chinability.com, 2015). China has persisted to be a primary beneficiary of the world’s destination of Foreign Direct Investment in the latest period. FDI reports 27% of the value added production, 4.1% of national tax revenue, and 58% of foreign trade (usi.edu, 2010). China was facing an economic growth and a huge development, even though the international financial crisis of 2008 left some marks on several aspects of China, above all the export-oriented light industry in southern China (chinapolitik.de, 2009).
Even though scholars believe that china’s economy have the potential to be blossom, but they practice rural economy. Example that can be chosen is the agriculture sector. But in 1949, China’s economy started to change. It all started when Mao Zedong who was China’s Communist party leader took power in 1949. He changed China’s economy from rural based economy to industrial sectors economy (Quick guide: China's economic reform, 2006).
The following decision was based on certain factors.First,it is pointed out in the case study that the Chinese food service industry grows from RMB 1.106 trillion in 2004 to RMB 1.996 trillion in 2009. This economic growth was recorded by GDP of the country that stands at 14.5% for a past decade (Bartlett & Han, 2010). Another factor relates to the successful entrance of the business competitors like KFC and McDonalds in theChinese market, which shows that it is safe to enter theChinese market. Further, the business thought that the local USA market has been completely utilized in successful expansion attempts. Therefore, expansion in anew country has become the necessity for the business development.
INTRODUCTION In the global economy some countries are growing faster than others while some are struggling. Emerging markets have a good example to other countries who are develop and to those who are not develop. By growing fast they encourage others countries which are struggling by giving the completion to compete against them. In South Africa we have a partnership with BRICS to move our growth forward. We still have Africa where we can work with them to change our continent because they need us since we are better country in Africa.
China also manufactures for business from other countries. Raw materials are shipped to China and then assembled in factories before shipping it back to the countries. Globalization has helped China’s economy a lot because without globalization, China wouldn’t have made money from all the manufacturing. (www.useconomy.about.com) Socially Globalization has greatly impacted China’s social connection to other countries around the world. This happens because globalization allowed exports and imports to run more freely.
The growth of economy, it had needs to produce different kinds of goods. It is result to increase the consumption of energy in the industrial sectors. The industrial sector makes up a large portion of the total energy consumption. The increasing demand for more energy in China has led to shortages in domestic coal and oil supplies. Energy efficiency first became a priority in the 1970s when Beijing scientists realized that China could not sustain its growth on the energy consumption path it was on.
It has a late start. However, currently, China's film production continues to increase who grossed rapid growth. Film type is also more abundant.（Ping He, 2011） AS Zhu Yuqing said to China National Radio (who is a veteran Chinese filmmaker), "China's entertainment industry has been growing
Apart from being a large manufacturing hub, China is also a global manufacturer and exporter which has helped to drive its economy. Over the years, China has been exporting high-technology goods. Its electronic exports accounted for 30% of Asia’s total in that industry (Hale & Hale, 2003). At the end of 2010, China has surpassed Japan as the world’s second-biggest economy (Flanders, 2011). Being a dual hub (Hale & Hale, 2003), with high levels of exports and imports, involved in manufacturing and trade, China holds an essential position in the global supply
The total import and export volume of China increased from $206 billion to $17607 billion. The massive changes are happing to a short time just after 2000, the rising of China takes China to the “Gilded Age”. In conclusion, both China and America concentrated on the development of the economic development and ignored the inequalities of society, economic and political and just make the countries into an ostensible and flashy prosperity and full of greedy and corruption in the government for a long time. But now they make great improvements to change it and become better
According to figure 3, a huge chuck of the total FDI in China is dedicated to the manufacturing sector which is allocated approximately 60% of the contracted FDI in 2009. In this sector, approximately half of the FDI is allocated to the labour-intensive manufacturing process namely the furniture, food processing, and clothing and textile, the technology- intensive ( electronics, medical and pharmaceuticals, and electrical machinery) and capital-intensive manufacturing ( chemical materials and petroleum refining) share the rest of the FDI in almost equally. This shows that foreign companies main motive for was to take advantage of the low labour costs that China was offering. The next sector in line is the real estate industry which accounts for 24% in 2009. The distribution sector, which is made up of the wholesale & retail trade and catering services, come in 3rd at