Ye from Golden Dragon says that while many small companies are keen to tap the overseas markets, the higher exhibition costs are often a deterrent. "Overseas exhibition costs can often run into hundreds of thousands of yuan. These amounts are often beyond the reach of small companies."
Small or middle-sized companies can expect sizable returns only after they make considerable investments in overseas markets, he says.
The best way out of such a situation is for the local government and industry associations to help domestic companies in organizing/participating in international exhibitions and offering subsidies for R&D efforts.
Karl McCarrison, business development manager for Delta Strike, a manufacturer of laser tag equipment in the US, says that Chinese companies should invest more time to learn about the intended market and develop or modify products suited to that market.
"Consumers or purchasers will identify more easily with products that reflect their culture and interests. Cost is always crucial of course. If a consumer is offered three different products at the same price they will obviously choose the product they identify with the most."
Lisa Hanson, managing partner and founder of Niko Partners, a consultancy focused on the Asian game market, says that for Chinese companies that endeavor to enter a foreign market, market research and due diligence about the competitive, regulatory, and available market situations are necessary.
"I think that Chinese products will be competitive globally as long as the price is right and the quality is good, and most importantly are backed by excellent customer service," Hanson says.
At the same time, it may not be easy for Western companies to promote their products in China, despite their success in other markets.
Temperatures recorded since the end of November have marked the lowest to hit China in 28 years
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