Strategic Entrepreneurial Partners
China's Growing Needs: The maturation of the Chinese economy has seen an increase in globalizing tendencies by multinational corporations: as these key players move up the marketing and distribution ladder, they undergo the shift from investment target to investor. Much Chinese outbound investment has focused on forming strategic alliances with overseas companies. In fact, more than 55% of Chinese executives interviewed for a McKinsey survey put such partnerships at the heart of their global expansion strategy.
The benefits range from acquiring natural or intellectual resources, tapping new markets, or competing more effectively on the world stage by widening scale abroad. Many of these deals have been small and focused as a means to secure a particular benefit, as opposed to large-scale and transformative. However, research shows that China is sitting on an explosion in merger potential, much of which will be directed overseas. Seeking lower risk destinations for liquid investment and strategic partnerships have become a cornerstone in the strategies of top Chinese multinational companies.
San Francisco Opportunities: Nowhere is the possibility of such strategic partnerships more visible than in the San Francisco Bay Area, the world's center of innovation, venture capital and entrepreneurship: strategic partnerships with local start-ups are a prime avenue of expansion into the vast markets of North America. The options for finding new avenues and in-roads to the American economy are enormous: companies seeking a gateway to the markets and resources of the United States would be enhanced significantly by entering on a firm foothold of innovation and entrepreneurship in San Francisco.
