China still the land of procurement opportunity

 
China remains a procurement hub and a particular attraction to investment from U.S. and European businesses according to Stewart Ferguson, Head of Research and Consultancy at the China-Britain Business Council. The indications are that, despite the economic downturn, the country has lost none of its influence in this sector. In fact, businesses from Europe and the U.S. are still thriving in the region and China remains a business environment that encourages investment. While there are challenges for both China and those wanting to invest in the country, the qualities that made it a procurement hub are alive and well today.

 “China can produce quickly and in volume but sometimes there is a question over whether the quality slips. There is an onus on the person that is making the purchase in ensuring that their suppliers are capable,” Ferguson explained. Now is as good a time as any to conduct business in China, as it weathered the economic storm well. “I think the companies in China recognized the economic downturn a year in advance of companies in the West,” he added. “Western companies who had invested in the country to manufacture and sell into its markets are now seeing “phenomenal growth”, at a level of profitability unseen in Europe.

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