Tango, a Cell Phone Manufacturer from US Considering Doing Business in China-Sell Cell Phones in Chinese Market

Abstract

The purpose of this report is to advise Tango's senior management on the viability and mode of entry in China. The methodology used is based on the analysis that covers several relevant aspects pertaining to the business and its implications in reference to Chinese national business system, cultural differences, exchange risks, corporate social responsibility, competition, intellectual property protection, trade and investments patterns. It accounts the differences between the business environment in China and the United-States of America, and also includes potential risks associated with investing in China and possible ways to mitigate them. Based on the findings, Tango should move into the Chinese market due to industry prospects and great potential to generate huge profits. The abundance of cheap raw materials required in the cell phone's production process, low-priced qualified labor force, market size and trends, and current governments' incentives to attract foreign firms makes China an attractive environment for investment.

Keywords: Tango, cell phone, labor force, market size, Chinese national business system, etc.