Coursework in Internatial Human Resource Management Essay

Coursework in Internatial Human Resource Management - Essay Example After analyzing the positive factors, the firms will or should have to analyze the challenges that may impede its entry. There will be country specific challenges as well as industry specific challenges in those foreign markets. For example, the Asian country of China has some distinct aspects, which will surely act as advantages as well as challenges for the new firms, who are planning to enter it. So, this paper will analyze and asses the advantages and challenges in China. In the earlier decades, the cheap Chinese products only entered various countries’ markets. But, now seeing the potential of the Chinese economy and the market, many foreign firms or foreign invested firms have instead entered or entering the Chinese markets. This two way flow creates a multi-pronged business system benefiting China. That is, Chinese are benefiting when they manufacture Chinese products and export it to foreign countries and also when the foreign countries enter it, make investments and give them employment. The other thing, which is enticing the foreign firms, is the huge population, which translates into the biggest market of the world. â€Å"Most of the world’s major global firms are desperate to grab a slice of the world’s largest and most rapidly growing emerging market† (Gamble, 2006). With the huge population becoming financially better off, the purchasing power of the prospective customer is also optimizing, thus providing foreign firms good opportunities. Apart from the above discussed two important aspects (high economic growth and huge market), the main thing that allows the foreign firms to enter China is the relaxation of many restrictions imposed by the Chinese Government. China being a Communist country functioned behind an â€Å"Iron Curtain†, restricting the foreign firms and multinational companies to protect the home-grown firms. This continued for major part of the 20th