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Market Entry Options for Foreign Firms

Licensing

Technology transfer is another initial market entry approach used by many companies. It offers short-term profits but runs the risk of creating long-term competitors.

Franchising

China is developing laws which specifically address franchising. Virtually all foreign companies who operate multiple-outlet retail venues either manage the retail operations themselves with Chinese partners (typically with a different partner in each major city) or sell to a master franchisee which then leases out and oversees several franchise territories.

E-commerce

The E-commerce environment is still fairly immature due to the lack of defined regulatory powers over the industry, effective Chinese certificate authentication systems, secure and reliable on-line settlement systems, and an efficient physical delivery system.

Trading Companies

Generally, foreign companies are not permitted to trade in China, with the exception of the products they manufacture in China. With careful selection, training and constant contact, US firms can obtain good market representation from a Chinese trading company, many of which are authorized to deal in a wide range of products.

Notes

market entry市場準入

option n.選項, 選擇權

license v.①to give or yield permission to or for同意：給予批準或許可

②to grant a license to or for; authorize.

See Synonyms at authorize準許：發放許可證

technology transfer技術轉讓

initial market entry approach初始市場進入方式

initial adj. of, relating to, or occurring at the beginning; first開始的：開始的，與開始有關的，發生在開始的；首先的

short-term profits短期效益

runs the risk of…冒險……

long-term competitors長期競爭對手

franchise ①n.authorization granted to someone to sell or distribute a company's goods or services in a certain area特許經營權：特許給個人在特定的領土內銷售商品或提供服務的權利

②vt.to grant a franchise to賦予特權

multiple-outlet retail多渠道銷售（零售）

retail n.the sale of goods or commodities in small quantities directly to consumers零售：直接以小數量售給顧客的貨物或商品

venue n.管轄地

retail operation零售業務（經營）

partner n.合伙人, 股東

master franchisee主經銷商

franchisee n.總經銷商, 有代銷權的人或團體

lease out出租

lease vt.to grant use or occupation of under the terms of a contract允諾使用：在契約的有效期限內準許使用或占有

oversee vt.to watch over and direct; supervise看管，指導

franchise territories特許經營區域（范圍）

territory n.領土, 地域

E-commerce電子商務

immature adj.不成熟的, 未完全發展的

due to the lack of…由于缺乏……

defined regulatory powers明確的管理權限

define vt.to specify distinctly清楚地規定

例：define the weapons to be used in limited warfare.

明確地規定只能用于局部戰爭中的武器

regulatory adj.管制的，控制的

certificate authentication system 證書認證制度

authentication n.證明, 鑒定

on-line settlement system 在線結算制度

physical delivery system 實物交割制度

permit v.許可, 準許

market representation

representation n.①the state or condition of serving as an official delegate, agent, or spokesperson代表，代理：作為正式的代表、代理或發言人的狀態或情形

②the right or privilege of being represented by delegates having a voice代表權：由具發言權的代表所代表的權力或特權

authorize vt.to grant authority or power to授權，委托：向…授予職權或權力

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（來源：原版英語? 編輯：Julie）