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To: Andrew Vance who wrote (285)	2/20/1997 10:09:00 PM
From: Trader X	of 17305

Doing Business in China...... Check around with some other companies that have done similar projects after the China market opened up a few years ago. They literally flooded that country with their proposals to sell billions of goods to the Chinese. What's the catch? The chinese government is VERY (did I emphesise very enough?) very protective of it's people and business' and have the toughest trade restrictions in the world, including the japanese. The bottom line is that companies who go to China seeking to reap millions of $$$ end up having to sign into contracts that give all the labor to Chinese people, and majority of profits to national companies who Americans must work through. Margins become very small as hefty licence fees and percentages end up in Chinese hands. The Chinese suffered greatly at the hands of British imperialism a hundred years ago, and are now making the Westerners pay through the nose for doing business there. If the prospects are so great, why is the price so low? Two years out is not that bad to pay for a sure thing. Investors do it every day. If it sounds too good to be true... KH.

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