Foreign companies' mergence, good or bad?

Foreign companies' mergence, good or bad?
Jul 18, 2007 03:40
JIMMYB Points: Join Date: Feb 7, 2007 Status: offline	Today more and more foreign companies have come to China and merge with Chinese companies, such as Ford, GM, BMW and Walmart. It has become an important way for China to attract foreign investment. However, people have different opinions on this matter. Some say that it can help Chinese enterprises to restructure themselves and it is good for the development of China's economy. Other argue that those foreign companies are big menace to Chinese enterprises. By merging, they can control those Chinese companies and the market. Chinese brands may become less and less. Some of them may disappear at last, such as Panda washing powder, Yangtze refrigerators and Peacock TV. In recent days, the dispute between Wahaha and Danone has been escalating. It is another failure of foreign companies' mergence. Any comments on this issue?

Jul 18, 2007 03:40

JIMMYB
Points:
Join Date: Feb 7, 2007
Status: offline

Today more and more foreign companies have come to China and merge with Chinese companies, such as Ford, GM, BMW and Walmart. It has become an important way for China to attract foreign investment. However, people have different opinions on this matter.

Some say that it can help Chinese enterprises to restructure themselves and it is good for the development of China's economy. Other argue that those foreign companies are big menace to Chinese enterprises. By merging, they can control those Chinese companies and the market. Chinese brands may become less and less. Some of them may disappear at last, such as Panda washing powder, Yangtze refrigerators and Peacock TV. In recent days, the dispute between Wahaha and Danone has been escalating. It is another failure of foreign companies' mergence.

Any comments on this issue?

Jul 18, 2007 20:27	#1
MAY001 Points: Join Date: Sep 28, 2005 Status: Offline	BAD. That's why Wahaha and Danone are disputing.

Jul 18, 2007 21:01	#2
ZOEY Points: Join Date: Nov 29, 2004 Status: Offline	Mergence is a sword with two blades. It both hurts and benefits. As long as China wants to accelerate its development, it's inevitable to draw Foreign Direct Investment. Naturally, the mergence, take-over and buyout are bound to occur.

Jul 18, 2007 23:11	#3
JOHNNY512 Points: Join Date: Nov 29, 2004 Status: Offline	At present, FDI is an very important way for China Economy. We need them to help us develop our enterprises. Of course, we need to pay something. However, those foreign companies should not eat up Chinese enterprises. If it goes no, more Chinese brands will disappear. The government should set rules to regulate FDI and make a more healthier environment for Chinese economy development.

Jul 19, 2007 06:34	#4
APAULT Points: Join Date: Mar 11, 2006 Status: Offline	Don't forget that China is increasingly buying up foreign companies too! And consider: If you are a worker and need a job, do you care if you work for a Chinese company or a foreign one? I believe it was Karl Marx that said that the workers of one country have more in common with the workers of another country than they do with the rich in their own country!!

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