Golden Rules To form The B2B Strategy For China Market

Western companies can be winners in Chinese market if they strategize the marketing principle considering few primary guidelines essential for this typical business environment.

After the recession, most of the western companies are targeting China as the most sought after market for business promotions. But it is not an easy task for a foreign company to develop business in China unless otherwise it thoroughly understands the ins and outs of B2B strategy in this country.

European companies aiming to be successful in Chinese business-to-business markets must consider the different factors varying on industry, geographical locations and a host of other reasons. However, for a Western company it is not impossible to achieve the desired result in the Chinese market, if it can utilize the basic rules of marketing with necessary customizations as required by the local environment. While chalking out its marketing strategy for China market a western company shout pay necessary attention on the following points:

Give priority to the marketing basics – An end to end research work should be conducted before and after entering the market. This will help to formulate the marketing principles regarding product, price, place and promotion ensuring the value proposition meets and continues to meet needs of the targeted market.

Be Patient – In China, the sales process is more complicated than in Western world. Even if you have successfully implemented the basic marketing techniques in the local market, the Chinese buyers will take time to be convinced that a Western company will really fulfill all the credentials to meet their needs. Therefore you need to wait with patience.

Understand the need – You will have to be careful in listening and ascertaining the local needs so as to meet the required criteria. Chinese companies are usually a bit skeptic in buying a product or service from a Western company that does not have much idea about the indigenous market.

Build relationships – A cordial relationship with focus on trust-building matters a lot in every business. China is also not an exception to this. It helps in resolving many business issues with ease.

Emphasize on your quality – high quality of product and services is the most important selling point for every Western company. You need to focus on that. It is also vital to highlight the value you add, with a clear explanation about how it is especially exclusive in China market.

Follow a method – Be systematic and do not forget to showcase this methodical approach which is considered to one of the plus points of European companies. Chinese people adore this quality as sometimes it is found to be lacking with the native business owners.

Be flexible – To establish your presence in Chinese market you need to have flexibility on issues such as product, service, payment terms and price. This flexible nature will help you to be successful in China as the consumer behavior also varies a lot from place to place.

Be open to negotiate – Negotiation and further negotiation is the typical nature of Chinese business. No tender or agreement is passed at one go. Therefore always prepare your price quotes with enough margin for price reduction.

Do not exaggerate – Be cautious on translating your credentials instead of unnecessarily inflating it, Chinese companies are sensitive as well as particular about trustworthiness of their suppliers.

The author is an expert in studying various markets including B2B Strategy the features and changing factors for different marketing needs.