In addition, in China a lot of products still have a seller market, that is, the demand of the products is far above supply. A lot of products that do not have strong demand in the US will have a significant demand in China. But the key thing is that Chinese consumers have little information about US products and even though they have strong demand on these products they have no way to buy them. Thus we can expect that if a US company can get access to Chinese market successfully their market shares will be significantly increased in China. China has a different culture from western countries and knowing Chinese culture and their local market is very necessary for a US company to successfully sell their products in China.
Chinese people likes to do business with the people they are familiar with and that they trust.
In most cases, relationship dominates other conditions when Chinese people make buying decisions. The Chinese market is so attractive, and the knowledge of the local market and Chinese culture is essential for the success in Chinese market. But, this knowledge is hard to get for a US Company, thus it is very necessary to find a agent that knows Chinese culture, the Chinese language and the local market substantially. The agent will be a bridge to connect Chinese consumers with US products closely. Dr. Quan-Sheng Shu is a scientist of DOE and he has lived in China for 30 years before he came to US ten years ago.