Global professional services group Grant Thornton said mid-sized businesses known for their agility, adaptability and capacity to build long-term trusted relationships will be critical for Chinese trade.
Greg Keith, Grant Thornton managing partner and former Chinese partner, believes the characteristics of Australian mid-size businesses will aid in overcoming the challenges of entering new markets in China.
“Mid-sized businesses turning their mind to China will be challenged by complex rules surrounding profit repatriation, legal structure, business etiquette, language and culture,” Mr Keith said.
“However, the unique advantage for Australian mid-sized businesses is that Chinese businesses greatly value relationships with business owners who they know have authority, are agile and committed to long-term relationships,” he said.
These sentiments were echoed by Grant Thornton China chief executive Xu Hua.
“Chinese consumers and investors are increasingly looking towards Australia as a business partner,” Mr Hua said.
“Those businesses which are prepared to invest their time to develop trusted relationships first will benefit most in the longer term,” he said.
Mr Keith stressed that mid-size businesses looking to accelerate local growth plans are best placed to capitalise on inbound investment opportunity.
“Chinese investors prefer to deal with business owners with whom they can build long-term, trusted relationships which are consistent with Australian mid-size businesses,” he said.