The China Factor

| Total Words: 413

Unless you have been in a cocoon, you most likely are aware that China will in all probability become the next economic superpower in the world. The countrys economy is on steroids, growing at close to double digits over the past few years and this is not expected to change.

And if you understand the vast size of the countrys economic engine, you would also understand that China is a place where you need to have some capital invested. Of course, at the same time, you also need to fully understand the risk factors associated in investing in a country where the economy and corporate structure is strictly under the control of the communist-led government.

The concept of an open economy in China is debatable as there is the constant threat of government intervention at any time to suit the political agenda. Yet the risk is probably warranted given the vast growth opportunities that lie in the country for both multi-national companies and investors looking for some diversification outside of their borders. This region of the world will become the next big boom in economic growth as long as the Chinese government is willing.

A report just published by the...

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