Fundamentals of the China Economy and Investment Arena: A Critical Overview

This one-day course is the prerequisite course for the 7-day Investing in China course in Beijing. Designed as an entry point for anyone who is interested in understanding the Chinese economy and the investment arena this course provides background knowledge of the Chinese economic system, its emerging capital markets and investment venues for foreign investors, offering both historical perspectives and forward-looking ideas.

The course will also give an overview of the most common pitfalls and obstacles in making investment decisions in China using case studies. The main goal of this course is to give students an introduction and preparation for further study.

No sessions currently available. Contact client services to get the next available date.
CPE CREDITS
7.0
Anyone who is interested in understanding China's economy and investment opportunities, as well as those who are leery about the pitfalls of putting money into emerging markets.
No advance preparation required.
Students will be able to:
  • Demonstrate a practical understanding of the China economy and financial institutions
  • Have a clear picture of the landscape of China capital markets and the main differences from US capital markets
  • Be aware of the major pitfalls in investing in China
  • Form an opinion about the investment and business opportunities in China
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Chinese Economy: A bird's eye view with a historical perspective
  • From a pure command economy to (quasi) market system: A brief review
  • - The socialist vestige vs the entrepreneurial dynamics
  • - How
  • - the role of government and the entrepreneurial dynamics
  • From old industrial economy to the new economy (e-commerce)
  • - Case study: TaoBao (Consumer to consumer ) and Alibaba (B to B) e-commerce site
  • The slow yet steady transition from labor intensive to a service-based economy
  • Venue of Direct Investment
  • - Why some areas and sectors are restricted and regulated more tightly than others
  • - What are the channels of so called
  • - How to find a value adding local partner (via joint venture and private equity)

China's Capital Market:: A tale of two systems

  • The landscape of the banking system
  • - Discussion on recent acquisitions of Chinese bank stakes by overseas financial institutions
  • - The legacy problems or the Chinese banking system
  • - State-owned enterprises lending and policy lending
  • - Corruption
  • - Decentralization and fragmented data system
  • The Security industry in China
  • - Is the stock market in China a casino or an investment arena
  • - An objective measurement and cross country comparison
  • - How mature is the bond market
  • - The fledging credit rating system
  • - How the security firms in China conduct their business
  • - Case studies: Galaxy Securities
  • Private banking and wealth management
  • Shadow Financial System
  • - The underground banking network and money center
  • Private equity firms and their practice in China: An Overview

Pitfalls in investing in China

  • The common issues that foreign investors may face when entering the China market
  • Language and cultural elements
  • Guan Xi (connections) in doing business in China
  • The tricky business in building governmental relationship
  • Navigating the nexus of corruptions and legal imbroglio

Clients who register for this course will receive a complimentary 4-month subscription to FT.com. The Financial Times is the world's most respected financial newspaper, providing a broad assessment on finance, business and the industrial sector. The move to the electronic version follows an ongoing review of our environmental responsibilities as a global business and as part of the Pearson group. FT.com also has features that are not available in hard copy, such as: Special Reports, Alphaville, editor blogs, education sections and much more! Subscriptions will start within 6-8 weeks of the start of class and are limited to one subscription per client. (Please note: as of May 1, 2011, the electronic subscription replaces the hard-copy 3-month Financial Times subscription.)

Lunch is included for all students taking day classes.