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Why Chinese Companies Struggle to Go Global

A new study explains what’s holding them back, and how they can move forward.

Even as some Chinese companies, such as Lenovo and Haier, have become household names worldwide, others have stumbled in their efforts to go global. A new study by the World Economic Forum conducted in collaboration with Strategy& offers insight into what the roadblocks have been, and practical advice on how to overcome then.

The report, “Emerging Best Practices of Chinese Globalizers: Tackle the Operational Challenges,” is based on a survey of 125 leading global Chinese companies. Although the study targets Chinese multinationals, the challenges it identifies are universal: tensions between the home and host countries, between standardization and innovation, and between oversight and empowerment. Those companies that succeed have focused energy and resources on developing on operating model that’s enabled them find the right balance. These “globalization champions” are outperforming their peers when it comes to establishing their global footprint.

China’s “globalization champions” outperform their peers when it comes to establishing their global footprint.

Click here to read the full report. And to learn more about the moves Chinese multinationals are making today, check out Strategy& blogger (and partner) John Jullens.

Laura W. Geller

Laura W. Geller is senior editor of strategy+business.

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