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There are some POEs in China that have a lack
of experience in dealing with overseas business
strategy and the management of their business
entities overseas. For instance, some do not
possess adequate knowledge on:
>
>
Long-term overseas business strategy
development and risk appreciation.
>
>
The investment environment and culture of the
countries they are investing in.
>
>
Simply general experience in overseas
investment.
The unanswered question: What are
the business opportunities for Chinese
corporations?
The infrastructure initiative could create new
markets for Chinese companies. Corporations
from China will certainly be able to use the B&R
initiative as a platform to expand their businesses
globally. The reasons for these corporations to
go global are many, including penetrating new
markets for business growth, procuring natural
resources, and obtaining the latest technologies
and advanced management skills. Today, many
Chinese corporations are some of the largest in
the world and have, therefore, a huge amount of
financial firepower at their disposal to ensure their
global visions are a success.
WHAT OCCUPIERS WANT
The B&R initiative: Top business opportunities
for overseas corporates
Source: PwC, Cushman & Wakefield Research
Source: Ministry of Commerce,
www.comnews.cn,
Cushman & Wakefield Research
SOEs/non-SOEs (POEs) investment outflow (2011–2015)
100%
2011
44.90%
53.40% 56.10% 49.10%
65.30%
2012
non-SOEs
SOEs
2013
2014
2015
90%
80%
70%
60%
50%
40%
30%
20%
10%
0%
34.70%
50.90%
43.90%
46.60%
55.10%
Outbound capital projects and
infrastructure
Equipment / technology / intellectual
property
Engineering, procurement and
construction / project finance
New client developments
Chinese partnerships abroad for
accessing the Chinese market
Chinese funding for divestment,
fundraising, etc.
Outbound financing / private equity
funding
Enhancement of trade with markets
which have good infrastructure
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