Doing business in China : how Australian companies make their decisions when entering the Chinese market

This report describes and analyses the experiences of Australian businesses which have established operations or conduct business in China, both successfully and unsuccessfully. The information was collected over the period from August to November in 2007. It involved interviews with 43 respondents from 40 different Australian businesses across both manufacturing and service industries. The project was motivated by the increasing significance of China to Australia’s economy (such as the demand for Australian iron and coal exports and the transfer of much of Australia’s manufacturing operations there) and its extraordinary growth and development over the past 10 years. Using the contemporary modes of international expansion as a framework, the research considered companies which had entered China through Wholly Owned Foreign Enterprises (WOFEs), Joint Ventures, exporting and other forms such as licensing and agents. Most of the participants had located their operations in China in the eastern region, including Shanghai, Beijing, Guanzhou, Shenzhen and Tianjin.

An analysis of factors of importance to international postgraduate students from Asia studying in Victorian universities

Student satisfaction is a key strategic variable in maintaining a competitive position in the international education market by Australian universities. The universities are facing the challenge of rising student expectations of quality, service and value for money, and the need to increase the satisfaction level of their students to retain and improve international student numbers. This process requires universities to carefully analyse the key factors contributing to student satisfaction.

Using logistic regression analysis with factor scores and aggregated satisfaction scores, this study examines the relative importance of factors and their impact on the satisfaction levels of international postgraduate students from four Asian countries studying at Victorian universities. The study concludes that the dominant factors that impact on student satisfaction include the quality of education, student facilities, reputation of the institutions, the marketability of their degrees for better career prospects, and the overall customer value provided by the universities.

The development of 'soft' strategic indicators for international client satisfaction

Despite the increasing significance of the construction industry as an emerging sector of the Australian economy, there is inadequate research performed on construction design firms in terms of theoretical and empirical foundations. Although past research has identified the barriers and success factors for firm market entry, evidence suggests that to date no research has explicitly explored the sustainability of construction design firms in international markets. SMEs and their approach to firm internationalisation differ significantly from large manufacturing firms and a vast majority of construction design firms operate as SMEs. This paper develops a sustainable business model for construction design SMEs, which rely upon the development of clear Client Following (CF) versus Market Seeking (MS) strategies to support internal firm strategic and operational management. The understanding of these strategies is vital as the application of either will shape the design management approach of firms, which would in turn impact on the sustainability of these firms in foreign markets. Long-term sustainability of firms in international markets relies heavily upon client satisfaction. Client and project team participants’ communication during various design processes has often been problematic and the added difficulty of communicating across international boundaries further compounds the problem of capturing and maintaining client’s requirements. Therefore this paper develops a model for business sustainability of Australian construction design firms working in international markets by exploring factors that affect client satisfaction across international boundaries, through the development of business performance indicators. These include not only the critical financial capital but also other ‘softer’ indicators, namely: social, cultural and intellectual capital. These act as a firm’s measure of success and the acquisition of this type of capital will provide significant advantages to firms’ success, hence sustainability in international markets.

International education : a tertiary level industry update

Recent developments in the international education industry are notable in three respects. First, international student mobility has more than doubled in the last two decades or so. Second, programme mobility encompassing distance education has also led to new forms of cross-border education. Third, institution mobility through such commercial deals asfranchises and twinning arrangements are becoming an increasingly important feature of cross-border education, although on a limited scale. Such developments are leading to the emergence of a new market place for the international education industry. This article documents and analyses trends in painting a picture of these contemporary developments in crossborder education.

From ivory towers to international business : are universities export ready in their recruitment of international students?

The main hypothesis examined in this study is that the success of export recruitment strategies of universities is partly determined by their export readiness, defined as a function of market orientation. This article seeks to fulfil both a research and a practitioner gap in the export of education field. There currently exists a lack of research and discussion concerning the business aspects of export education. Suspicion of the commercial aspects of what is essentially a public good is suggested as a possible reason for this absence of research. With the commercialisation of education growing at the phenomenal rate that it currently is, it is largely time that this research gap be addressed. This study provides an important contribution by examining the export readiness of universities, in particular pre-export market orientation, and its impact on subsequent export recruitment performance.

Discourses of antagonism and desire : marketing for international students in neighbourhood schools

This paper explores the consequences of these discourses for the ways that international students are identified and positioned within school communities. My argument is developed in four sections. The first describes my ongoing exploration into the impact of international student programmes in Australia. The second exemplifies my argument: exploring the day-to-day experiences of vice principals in two Victorian government state secondary schools as they market their schools, and examining the systemic and ontological discourses played out within those conversations. The third interrogates discourses of identity and difference, neo-liberalism and nave cosmopolitanism which I find shape teacher conversations about international student programmes. In the final section, I argue that the impact of the discourse formations implicit in teacher talk about international student programmes has been the objectification of international students and their ambivalent inclusion within the school community.

National and international financial reporting standard convergence and the relevance for non-participants in capital markets : a preparer perspective

This study presents some implications of recent policy moves to enhance the harmonization of financial reporting and disclosure by adopting international financial reporting standards. In particular the impact on small organizations that do not participate in capital markets is considered. The results of a survey of practitioners indicate a perception that the non-capital market sector is likely to be significantly affected by additional reporting burden that convergence with international financial reporting standards imposes. On the whole the results show there was concern that the traditional users of the financial reports of organizations who do not participate in capital markets, would have limited if any, use for financial reports that conformed to international financial reporting standards, The results of this study have implications for nations such as Malaysia and New Zealand, which are currently engaging in the differential reporting debate.

The effects of cultural barriers on market entry strategy

The increasing interests worldwide urge researchers to examine the strategies used specifically for tackling the Chinese market. This urgency is brought forward by the fact of a low success rate of international businesses operating in China in the past twenty years. This paper identifies the fundamental barrier — cultural difference and its impact on Australia-China business practices. It identifies the differences which impinge on basic decision making processes. It raises the issue of where cultural factors should be placed in organizations. It stresses that consideration of cultural differences plays an important role in the success of entering the Chinese market. Through a single case study of an Australian organisation's operation in China, it is demonstrated that cultural differences are to be considered at a strategic level rather than an operational level. In this method, appropriate implementations will be able to be carried out.

An exploratory survey of Australia's informal venture capitalists : a predicate to theory building in the context of international angel research

In Australia, as it is all over the world, finding and acquiring equity capital is one of the major problems facing entrepreneurs who are starting or growing entrepreneurial ventures. The informal venture capital market, made up of high net worth non-institutional private equity investors (or ‘business Angels’) provides risk capital directly to new and growing businesses and has been shown to be considerably more significant than institutional providers as a source of finance for entrepreneurial businesses. Building upon and comporting with Angel research undertaken overseas, this study generated and evaluated data resulting from an investigation of Australian business Angels which focused upon three primary research questions: (i) Who are Australia's Informal Venture Capitalists (Business Angels)? (ii) How do they behave? (iii) What are their investment criteria? Analysis of answers resulting from a survey of 36 carefully screened respondents produced a descriptive profile, depicted in twelve key graphs, of Australian Angels' identifying characteristics, patterns of investment behaviour and investment criteria. The study initiates Australian Angel research into the developing international continuum of formal Angel research and can serve as the generator of empirically sensible hypotheses for future research and theory development.

The dynamics of Latin American sovereign international bonds

This thesis investigated the behavioural dynamics of emerging market sovereign international bonds issued by key Latin American economies. The study allows deeper insights into the complex behaviour of an important segment of international bond markets in a single, comprehensive and penetrative study.

Post global financial crisis international business strategies

International business strategies are affected by economic conditions, although the resource-based view would suggest that company resources are a more significant factor. This paper identifies differences in the international strategy behaviours of companies located in countries which, as a result of the GFC, entered either a deep recession, a shallow recession or no recession at all. Empirical evidence is provided for companies with home country markets with each of these conditions. The ability of international strategy theories to explain these behaviours is considered. Based on observations of international businesses with home country markets in each of these categories, it is suggested that determinants of international strategy during financial crises (and immediately after) are influenced by the strength of the home country market, foreign market government protectionist behaviour, international exchange rate variations and local levels of rivalry.

Non-market strategy and the 'race to the bottom': lessons from the Baywatch experience

This article examines how international firms operate strategically in the non-market environment to secure advantages which improve their cost and/or revenue structures and, hence, their economic performance. It centres on a detailed case study of the globally popular Baywatch television show's efforts during 1999 to secure attractive locational subsidies by placing the states of New South Wales, Queensland (both in Australia) and Hawaii into competition with each other in a 'race to the bottom'. The article is organized into three main sections: the first briefly reviews the concept of non-market strategy; the second examines the Baywatch case in detail; and the conclusion presents some lessons for various stakeholders involved in this and similar non-market contexts.

Analyzing international travelers' profile with self-organizing maps

It is generally agreed that knowledge is the most valuable asset to an organization. Knowledge enables a business to effectively compete with its competitors. In the tourism context, an in-depth knowledge of the profile of international travelers to a destination has become a crucial factor for decision makers to formulate their business strategies and better serve their customers. In this research, a self-organizing map (SOM) network was used for segmenting international travelers to Hong Kong, a major travel destination in Asia. An association rules discovery algorithm is then utilized to automatically characterize the profile of each segment. The resulting maps serve as a visual analysis tool for tourism managers to better understand the characteristics, motivations, and behaviors of international travelers.

Reflexive capability maturity assessment for firm management of multipartner international projects

This paper reports the findings of a research project which was aimed at developing and promoting a greater understanding of the uniqueness of successful Australian-Malaysian partnerships and joint ventures undertaken on complex multi-partner mega construction projects. The aim of the investigation was to identify the critical success factors specific to such partnerships. The theoretical framework was grounded in a previous empirical study on design firm internationalisation which demonstrated that long-term success in international markets is enhanced by the management of integration of transformation of social, cultural and intellectual capital within the firm. A generic adaptive performance framework mapping the key performance indicators for each of these dimensions was developed which can be modified to unique contexts related to specific geographical localities. In the Australian Malaysian Institute study the framework is tested within the context of firm and shared partnership capital. The broad interpretive framework of adaptive performance was refined as a result of the findings of the four case studies of Malaysian organisations to develop a partnerships capacity performance measurement framework for Malaysian firms working on international projects. Six in-depth interviews were conducted with ten participants across the four Malaysian firms and a thematic analysis was undertaken of the transcripts. A reflexive capability maturity assessment tool was developed from insights gained into the underlying causes of key barriers coupled with common themes emerging in relation to the successful approaches used by case study firms to overcome those barriers. Specific examples of the case study firms' demonstration of reflexive capability in the areas of market knowledge, design management and market entry are presented.