The five main challenges are:
- Limited funds = limited investment opportunities
- Cultural conflicts and lack of globalisation skills.
- Traditional Chinese business relationship model threatened by the Internet and e-commerce.
- Difficulty transiting from a family run business to a professionally managed company.
- Lack of political participation.
Chinese culture has visibly influenced how Chinese businesspeople have conducted their business activities. The numerous family-run companies scattered across China , South Asia & America demonstrate the importance of family. It might not make sense to many modern (and typically Western-educated) entrepreneurs, but to many (traditional) Chinese, loyalty is more important than competence.
For many overseas the lack of political participation in their adopted communities might be a vestige of the iron-fisted regimes of past Chinese governments. This is likely to change with the gradual loosening landscape in China , and progress will take quantum leaps forward with every new generation that is born and raised overseas.
See also section 15 – Internet and e-commerce.
