Hi! I've been living in Spain for almost twenty years. My wife is Spanish, my colleagues are Spanish, my customers are Spanish and by businesses are Spanish. Over these years I think I've learned quite a bit about "being Spanish".

If you want to get into the under-exploited fast-growing Spanish market, you need to know more than just how to speak Spanish. You need to understand Spanish customs, Spanish etiquette and Spanish business culture. Otherwise, you'll just be another American trying to "sell Spanish".

One of the biggest differences between American and Spanish cultures is our relationship with money. Let's face it, as Americans WE LOVE MONEY. We like to make money, we like to spend money and we like to talk about money. Our bookstores are full of guides to making money, and for us a successful business man often is considered a pretty heroic figure.

For the Spanish things are completely different.

In most circumstances talking about money, profits, or prices is considered crass. When there's a news story in the papers about a company's yearly profits the Spanish reaction is usually tinged with jealousy or suspicion. The Spanish bank, "Banco Santander" just announced there record-breaking yearly profits and basically everyone thought "They must be genuine thieves. How dare they make so much profit!"

Now don't get me wrong. Spanish businessmen want to make profits. Just like you, they are ambitious and willing to fight for success. They just don't talk about it in public. If you're having a private business conversation, it fine to speak openly about opportunities, results and potential earnings. But if other people are present you should be very careful.

Outside the "business environment" people seldom mention anything of the sort.

If you purchase something, do it in a way where no one sees the price. If you pick up the check, try not to let your guests see how much it cost (pay with a credit card instead of cash). Remember, the problem isn't having money but being obvious about it. It's fine to wear a Rolex or designer jeans, just don't leave the price tag hanging out!

Dennis H. Lewis has been living in Alicante, Spain with his wife and two children for almost twenty years.

He currently runs three successful companies entirely in the Spanish market.

Finding common ground.

I've been living in Spain for almost twenty years. My wife is Spanish, my colleagues are Spanish, my customers are Spanish and by businesses are Spanish. Over these years I think I've learned quite a bit about "being Spanish".

If you want to get into the under-exploited fast-growing Spanish market, you need to know more than just how to speak Spanish. You need to understand Spanish customs, Spanish etiquette and Spanish business culture. Otherwise, you'll just be another American trying to "sell Spanish".

One of the most curious Spanish customs is the "mating ritual" all Spaniards go through when they first meet a new acquaintance or colleague. Basically they spend between three and fifteen minutes trying to find "common ground". They ask where the other person is from and they start there phrases with "Did you know..." or "I once worked with..." or "The last time I was in ...".

This act of "finding common ground" serves several purposes:

* Trying to establish if they share common friends and colleagues.
* Trying to establish a sense of credibility.
* Showing an interest in the other's background.
* Showing how important one's status and experience are.

If you've just been introduced to a Spaniard, don't try and cut this process short. For him it is an essential step for building a professional relationship. Often there are no common ties between the two people, but something of interest always show's up.

You should always remember that Spanish culture doesn't like being in a hurry and rushing through things. You may want to get "straight to the point," but during this "ritual" he is busy sizing you up and deciding if he can trust you. So slow down and help him "feel you out."

Dennis H. Lewis has been living in Alicante, Spain with his wife and two children for almost twenty years.

Business in Singapore is very conducive and profitable venture. The country adopts a free market system which enables rapid adjustment of the economic activity in respect to market dynamics and optimum allocation of limited economic resources.

Business in Singapore is open and setting up an enterprise by a foreign firm is always welcome. According to a study conducted, Singapore proves to be premier nation when compared to most of the countries of the world. One can set up a firm in Singapore quite easily availing of full cooperation of government bodies, obtaining licenses, work permits, employing staff, registration of property and obtaining financial help and credit. Such lucrative economic conditions, increase competition amongst the local and the new entrants as well, leading to healthy competition and lower prices.

Currently, some of the thriving businesses in Singapore are related to the food and beverage industry, information and communication, manufacturing activity, private education and the retail industry.

The food and beverage industry in Singapore is a well established one. Ranging cafes, bars, pubs, chain of fast food outlets, restaurants and snack bar etc, all sorts of licenses, permits and assistance are provided to the business owners.

The information and communication industry is well established in Singapore. Firms which provide IT consultancy, internet access providers, wireless network providers, software development and the cinema industry and publishing industry also function well in Singapore.

With a wide range of manufacturing activity to choose from, the atmosphere is conducive to set up business in the areas of textile apparels, engineering products, food products, furniture, electronics, transport engineering products and printing industry.

Some other areas of profitable business ventures lie in private education ranging from pre school activity, school education and college education, educational institutions providing specialized education in the technology, aviation, science, research and business administration. The retail industry such as shopping malls franchises and departmental stores are some of profitable ventures which can be undertaken in Singapore

Ease in obtaining license, permits, employing staff, land or office premises, finance or financial credit are some of the factors which make Singapore a good place to do business and invest in. The related trade associations and their membership can be availed in case of further assistance and increasing trade related activities. At the same time opportunities to promote business are provided through participation in festivals at national and international level and other trade promotional activities can be undertaken. Business in Singapore is very attractive and with increasing networking opportunities, government aid and conducive business atmosphere.

The world is a small place thanks to the Internet, but there are still plenty of differences between people. Those differences often translate into problems when companies have to market across nations because people think and act differently by nations.

To market internationally well requires that marketing utilizes national and cultural characteristics. Differences in people by nations and culture need to be considered for target markets.

Global and Domestic Marketing 1: People In Every Nation Differ

As any marketing student can tell you, the market segment of the United States is dependent on many different factors, including demographic and psychographic characteristics and buying behaviors. Each of these types of characteristics change from nation to nation so marketing that doesn't also change is doomed to fail.

Good global marketing considers these characteristics and how they change what people want, need, and will buy. Effective global marketing campaigns alter marketing strategies, tactics, and messages to match the people in each nation.

Global and Domestic Marketing 2: Demographic Characteristics Change By Nations

Once you move beyond marketing in the United States, each country is defined by a different history and culture. Thus, marketing to the same generation differs. For example, what an 18-year-old in the United States wants, differs greatly from what an 18-year-old in Sudan wants.

Global and Domestic Marketing 3: Psychographic Characteristics Are Affected By Culture

A major part of the concept of marketing segments is psychographic characteristics. These also be differ across the nations. Every single culture on Earth has its own morals, values and culture, and that means different cultures will put different pressures on their citizens.

North Korea puts the pressure of following the "Glorious Leader" on its citizens, while Britain is very different. What one culture wants is very different from what another culture considers acceptable.

Over time, what a culture considers to be acceptable changes. Once marketers focused on women as being only housewives. In some countries that is still acceptable, and marketers still focus on that segment and attitude. But in many nations, marketers no longer portray women in that way.

Global and Domestic Marketing 4: Buying Power And Habits Vary

Throughout world markets, people buy differently because of different buying behaviors that have been affected by what they need, what they can buy and how much money they have. People with more spending power have very different buying habits from those with less money to spend. This is true across the world and within nations.

Furthermore, people's buying habits change. For example, in Europe people buy their food fresh for the meals they are having that day, while in North America, they buy what they need for a month at a time, and freeze it or store it.

North Americans don't want to keep going out to buy food, Europeans don't want to eat frozen food.

Global and Domestic Marketing Conclusion

Devising a marketing campaign for one country, and then using that same marketing campaign for another country is doomed to fail.

To do it right, there must be unique marketing campaigns for each country individually. However, it is important to first learn about the country and its people. Only with that information will global and domestic marketing have similar success.

Needless to say, China has become the world's leading manufacturing base. However, with the recent product safety scares and the constant media attention, "Made in China" has become a high-profile issue for consumers and retailers. So how does a foreign company minimize the risks of tainted/substandard products manufactured in China? In this article, we discuss contract terms which foreign companies should consider when entering into OEM relationships with Chinese suppliers. (While we highlight some of what we feel are the main issues to be covered by the agreement, we recognize that each case is unique and there is no such thing as a 'typical' OEM arrangement.)

Standard Form Agreements

An OEM may have a standard form agreement which they will be more than willing to provide to foreign companies who wish to use their services. While this may lower costs at the outset and allow the foreign company to 'build favor' with their Chinese counterpart, using such an agreement is almost never advisable, and foreign companies would be wise to consult counsel, who will assist the foreign company to properly negotiate and prepare agreements.Note that we often advise that the written agreement is preceded by preparation and negotiation on the basis of a business term sheet, which will outline the major terms of cooperation. The agreed points in the term sheet then serve as the basis for the written agreement.

Major Terms of Agreement

Below, we highlight several major (though non-exhaustive) terms which should be included in an OEM Agreement:

1. Products and Specifications: The products to be manufactured should be well-defined in the agreement, along with product specifications which should be described in detail in relevant appendix(es).

2. Forecasts and Binding Purchase/Supply Commitments: As OEM Agreements often require that firm orders are placed through Purchase Orders, in order to ensure that there is a binding supply/purchase commitment in the agreement itself, the parties will often designate a certain minimum commitment on both sides, to produce and purchase a certain amount of product within a given time period. Aside from the minimum requirement, the buyer will often provide a non-binding forecast to supplier, such that supplier can plan and allocate adequate resources (often 6-, 12-, 18-, 24- month terms).

3. Price: For those products designated as described previously, the parties should determine firm prices, which will either be effective throughout the term of the agreement, or at least a portion thereof, subject to (we recommend) maximum periodic price increases. Further, it is beneficial to include for discounts upon meeting certain pre-determined purchase volumes.

4. Quality Control: Buyer and supplier will agree on certain terms afforded to buyer/required of seller for conducting product quality control. Typical terms include i) access (often on short or no notice) to production sites, and ii) random testing of each batch of products before dispatch to buyer. Further, the parties may, depending on the value of the contract, provide for a representative of the buyer to be on-site on a full-time/regular basis, for the purposes of assisting in quality control. (The buyer's representative may also monitor supplier's use of intellectual property and other improper dealings, though their effectiveness will invariably depend on his/her loyalty to the buyer.)

5. Term: The parties will determine an appropriate term for their contract, and may make the agreement renewable on request by buyer. This term should be sufficiently long so as to ensure that buyer's initial investment can be adequately recovered.

6. Termination: Termination events, as in most agreements, will include those events which give rise to immediate termination rights (for example, unauthorized use of buyer's intellectual property and violation of non-compete terms), and those which require a notice period and the breaching party's right to remedy the breach (failure to supply products meeting specifications).

7. Consequences of Termination: In the event of termination, it is important for buyer specify those procedures necessary to protect its rights in the event of such occurrence. Often terms will include: sale of completed products to buyer, allowance for completion of partially completed products and sale to buyer, destruction or return of confidential information, and destruction or return of trademarks, logos, brochures, and other advertising materials.

8. Examination and Acceptance: Upon delivery of the products to buyer, it will be afforded a certain period to conduct inspection, subject to deemed acceptance in the event that a claim is not made within a certain period. Further, it is common for suppliers to require that upon buyer's acceptance of the products, they will be absolved of all further liabilities. Note that we do not recommend that buyers wholly accept such terms (and provide a minimum carve-out and continued warranty), as buyer, after acceptance, will have little grounds for a claim (even for the use of sub-standard materials which are often difficult to visually detect).

9. Raw Materials/Components: As part of the quality control process, buyer should require that supplier provide a list of its suppliers along with purchase orders over a pre-set period to ensure that the agreed upon raw materials/components are being used.

10. Insurance: Due to the relatively unsophisticated nature of manufacturers/insurance industry in China, factories are often severely under-insured from risks. As a result, it is advisable for buyer to require that supplier obtain a minimum level of insurance.

11. Intellectual Property: All intellectual property used to manufacture the product, including trademarks, patents, copyrights, and other business secrets should be licensed to supplier, for the limited purposes of complying with its obligations under the agreement. Further, buyer should carefully draft related terms so as to restrict supplier from exercising any rights of ownership to the licensed IP.

12. Non-compete: As an OEM relationship necessarily involves substantial transfer of intellectual property and confidential information, buyer must not only be careful to ensure that additional products are not produced by the supplier, but also by its affiliated companies and directors and management. (Note that the implications of failing to adequately provide for such terms may result in not only the product being sold in China but more importantly in the same markets as buyer, and at significantly lower costs.)

13. Arbitration: As manufacturing tends to be concentrated in lesser-developed regions in China in addition to cost/time/reliability benefits often associated with arbitration, we advise clients to select arbitration for dispute resolution. Arbitration can be conducted in China or internationally (in any New York Convention signatory state), though domestic arbitration allows buyer access to Chinese courts for injunctive relief.

Arguably more or at least equally important as negotiating and concluding a strong contract, is buyers careful monitoring and enforcement of the agreed terms.

Finally, although long-term relations are often desirable and we encourage buyers to find and work with a reliable supplier, as a practical matter, it is imperative that buyers have one or more alternatives, in the event of required termination of the primary OEM supply arrangement.

The Global Economy has witnessed remarkable growth in the last couple of years but its growth has been stalled by the spiraling crude oil prices. High Crude prices have spooked the global economy and its immediate fallout is the high rate of inflation, which is pinching common man's pocket round the globe.

High oil prices are likely to become a sustained feature of energy markets for years to come and will continue to present a "serious" risk to the global economy, an International Monetary Fund (IMF) official says. With sustained rise in food prices, essential commodities, the average global inflation is hovering around the 7-8% mark and with the crude prices closing on the $150 mark; inflation is something that the global economy has to come to terms with. The US dollar has declined significantly in the last two years further augmenting the problem.

While the world's top oil-producing and oil-consuming nations are busy blaming one another for the nearly 50 per cent spike in the cost of crude since the start of the year, it seems no one knows the price of a barrel of oil but everyone agrees sky-high oil prices are here to stay. Every analyst seems to paint a doom and gloom situation, so what should you do? Listen to them and blame the government and join the long list of people already passing the buck.

World Economy is going through a rough patch and the weakness of the US economy with its credit crunch has added "fuel" to fire. With the current situation prevailing for the next few quarters, analysts are of the opinion that global growth is bound to slow down with pockets of recession or even depression. The 'oil shock' has come as a bitter pill which a lot of economies cannot swallow and have already started exhibiting signs of derailment. Energy being one of the primary drivers of growth and with energy prices hitting the roof, growth of the world economy has no more legs to stand on. To rest the global meltdown in asset prices and to maintain global growth, it is high time that efforts on a global scale are undertaken not only to check the steep rise in crude prices but also stem the negative impact from such high prices.

The world is now reeling from an oil price shock, its ripple effects driving up the cost of food and countless other consumer goods. The days of cheap fuel are gone, most likely forever. Adjusting - and finding alternatives - is no longer just an option. Procrastination on this count would not only prove suicidal to the world order but to the world economy at large.

While domestic companies have a wide range of alternatives in establishing business operations in China, foreign companies are more restricted, with the most common business vehicles for foreign investors being:

- Representative Offices
- Wholly Foreign Owned Enterprises
- Joint Ventures (Cooperative and Contractual)

1.0 Representative Offices

General

The fastest and easiest method for a foreign company to establish a presence or 'footprint' in China is through registration of a Representative Office of a foreign company. While this is true, there are certain factors that must be considered when deciding whether an RO is the appropriate structure:
i) ROs cannot conduct direct profit-making activities (cannot earn income) and may only serve a liaison function between head office and suppliers/distributors/customers in China;
ii) ROs do not have separate legal personality and may only contract or conduct business on behalf of head office;
iii) practically, ROs are limited with regards to business relations with Chinese companies who may prefer to deal with Mainland registered company;
iv) taxes must still be paid (though there are no profits);
v) ROs, while simple to establish, are relatively more complex when closing.

An RO is permitted to:
- Conduct data collection and research on local market
- Liaise with local contacts on behalf of parent company
- Coordinate parent companies activities in China such as contract negotiations
- Coordination of warranty and after-sales service
- Conduct services for parent company such as coordination of import, export, and distribution of products

An RO is not permitted to:
- Directly engage in business for profit
- Sign contracts on its own behalf
- Represent entities other than the parent company
- Collect money or issue invoices for products or services

Representative offices are governed by the Procedures for the Registration and Administration of Resident Representative Offices of Foreign Enterprises in China and the Detailed Rules of the Ministry of Foreign Trade and Economic Cooperation for the Implementation of the Provisional Regulations Governing the Examination, Approval and Administration of Representative Offices of Foreign Enterprises.

Registration

Unlike many other countries, Representative Offices in China are subject to registration requirements. A filing must be made with the local Administration for Industry and Commerce, which, if successful, will issue an Approval Certificate for the Representative Office. Thereafter, a number of filings with other authorities such as the Foreign Exchange Bureau must be made, and a 'Business License' issued by the local Administration for Industry and Commerce.

Registration is generally valid for only three years and application must be made prior to expiration for renewal of the term.

It is important to note that in order to establish an RO in China, it is necessary to establish a physical office space (in cities such as Shanghai, only certain commercial buildings may be used to register ROs).

2.0 Wholly Foreign Owned Enterprises

General

Wholly Foreign Owned Enterprises (WFOEs) or limited liability companies whose investors are purely foreign are quickly becoming the most popular method of foreign investment in China. While foreign companies once thought (and were often compelled by laws) that a local partner was necessary to operate business in China, this is increasingly no longer the case in a wide range of industries.

Characteristics of WFOEs:
- Between one to fifty shareholders
- Restricts the right to transfer shares
- Prohibits public offering of shares
- Equity is divided based on contribution to registered capital and not allocation of shares
- Liability is limited to the amount of registered capital contributed

WFOEs are governed by the Law of the PRC on Enterprises Operated Exclusively with Foreign Capital, and relevant implementing regulations.

Advantages of WFOEs:
- Management control
- Simpler establishment procedures
- Easier to terminate
- Easier to increase investment
- Protection of intellectual property

Disadvantages of WFOEs:
- Lack of experience and local connections
- May not be listed on stock exchange

Establishment

There are a number of steps required to establish a WFOE:
- Filing of articles of company introduction letter, articles of association, feasibility study, and other corporate documents with the local foreign commerce bureau for approval and issuance of Foreign Investment Approval Certificate.
- Collateral filings with other government authorities such as:

o Local and national tax bureaus

o Foreign exchange bureau

o Customs bureau

o Statistics bureau

o Public security bureau
- Within 30 days of obtaining Foreign Investment Approval Certificate, obtain temporary Business License from the Administration for Industry and Commerce
- Make Registered Capital Contributions and Audit by Domestic Accounting Firm
- Submit investment report to Administration for Industry and Commerce to obtain Permanent Business License

Important considerations

Name

A company name must be in both English and Chinese, though, for practical purposes, only the Chinese name is important. It cannot be identical or similar to a previously registered company name. The name can be pre-reserved for a period of up to six months, which will expire if not used for establishment purposes during this time.

Business scope

Unlike companies in many western nations where they are permitted to do any range of business activities unless otherwise stated in laws and regulations, foreign investors in China are required to define their company's business scope at the outset of operations and must conduct business within this scope, subject to modification through re-application.

Registered capital

As per the business scope defined, a foreign investor will be required to invest a certain minimum amount of capital which must be registered or recorded with the appropriate authorities as having been made to the WFOE. Generally, this amount will range from RMB 30,000 to several million RMB for larger projects. Capital must simply be invested into the company and recorded as having been made with the local administration for industry and commerce.

Shareholders

Shareholders must all be foreign and there must be between one to fifty who hold an interest in the WFOE.

Directors

The WFOE must designate a board of directors (or single director) who shall act for the initial term of office (as set out in the articles of association).

Legal Representative

Only one individual may bind the WFOE through simple signature (without use of company chop), and they must be designated as the Legal Representative in the formation documents.

Senior Managers

At a minimum, the WFOE must designate its first general manager.

From a purely legal perspective, the directors, senior managers, supervisor and other senior personnel do not have to be a resident in China, though it may be more practical to do so.

Supervisor(s)

At least one individual who is not a Director or Senior Manager must act as the WFOE's supervisor.

Physical address

Each company must have a unique physical address at which the company is registered. Unlike other nations in which virtual offices are permitted, China requires that a company have a physical office space.

Annual filing

Within three months of the end of each calendar year, the WFOE must undergo an annual inspection. Prior to the annual inspection, the firm must hire a domestic accounting firm to conduct an audit of the books.

3.0 Joint Ventures

Joint Ventures, in this specific context, refer to a registered legal entity cooperation between at least one foreign investor and Chinese investor. Previously, this structure was more common, though it has been steadily decreasing due to the disadvantages set out below.

Joint Ventures can be classified into two different types:
- Equity Joint Ventures
- Cooperative Joint Ventures

The main distinction between the two is that the latter provides for more flexibility in distribution of revenues. Whereas Equity Joint Ventures require that the joint venture partners share in distribution of profits based on their proportionate contribution to registered capital, Cooperative Joint Ventures allow for distribution and sharing in losses based on the contractual terms of cooperation rather than on monetary/asset contributions.

Equity Joint Ventures are governed by the Law of the PRC on Equity Joint Ventures, and relevant implementing regulations.

Cooperative Joint Ventures are governed by the Law of the PRC on Cooperative Joint Ventures, and relevant implementing regulations.

Some advantages of Joint Ventures include:
- Only option, as industry is Restricted
- Guanxi (connections)
- Quick establishment/contribution of existing facilities
- Local expertise

Some disadvantages include:
- Inflexibility
- Difficulties in expanding investment (partners have pre-emptive right to purchase newly issued capital and transferred shares to third parties)
- Differing business plans
- Differing management styles
- Exposure and theft of intellectual property

Establishment

Establishment of a Joint Venture is very much similar to that of a WFOE, with the addition of one key document, the Joint Venture Contract. The Joint Venture Contract has many of the same features as a WFOE's articles of association, however, it contains more terms akin to a Shareholders' Agreement.

This type of documentation and negotiations with the Chinese party can get quite complex and will usually require the assistance of a lawyer.

If you are still measuring your business client base by a radius, you're a dinosaur. It used to be that a retailer would consider a radius of 3, 5, or 100 miles in relation to their shop as the basis for their advertising, client base, and saturation point.

This is the 21st century and distance no longer exists. True, not everyone is going to be a prospect in most cases, but are you sure of that?

Since distance is no longer a factor, you have to be more critical of identifying your criteria for someone who qualifies as a prospect, customer, or client.

You are "in their face" so to speak, with this century's technology. What are you doing to develop, establish, and improve your business image?

You have to be easy to reach, easy to communicate with, and very easy to do business with, because any hurdle, even a minor one, can send the customer elsewhere. They will leave with the click of a mouse to your competitor's site and it won't matter which corner of the globe that they are located in.

Examine your consistency factor; is there a smooth transition between your physical location, cyber location, and your image? There should be consistency right down to the business cards and the way the phone is answered when it rings. Your image has to stretch from the receptionist to the corporate jet.

I'm tired of hearing executives spout about the fact that we are in the information age. We are past the information age and have fallen into the realm of too much information. The business world responds to who can sort through the information and deliver what is really needed through easy to understand and follow solutions.

Even more important than providing the solutions is the ability to communicate. The 21st century is a time of communicating what you want, when you want it, who you want it from, where you want it, and maybe, why you think you want it.

There is no substitute for great communication, but bad communication will provide the reason behind the refusal to do business.

There is no distance to work, there's only a physical place where you gather in-person with others. Work merely involves communicating with someone at the speed of sound and understanding their needs, communicating a solution, and listening as to how you can communicate better.

The word "distance" is a relic. Distance is evolving from a physical form of measurement to nothing more than an intangible entity, like time. We know that time and distance exist, but do they really exist?

Remember this; If distance equals zero, then communication must equal everything.

Strategic Alliances are partnerships that exists for a specific period with the goal to combine skills and expertise in pursuit of a cooperative venture.

Cooperative agreements between potential or actual competitors are formed for various strategic purposes, which include entry into a foreign market and the sharing of costs. It is also a way of merging complementary skills and assets that neither company could easily develop on its own.

The term 'strategic alliance' is often used to embrace a variety of arrangements between actual or potential competitors, which includes cross-shareholding deals, licensing agreements, formal joint ventures, and informal cooperative arrangements.

Licensing

Licensing can be described as an arrangement between a licensor, who grants the rights to intangible property to another entity, the licensee, for a specific period. Intangible property includes patents, inventions, formulas, processes, designs, copyrights or trademarks. In return for the intangible property, the licensor receives a royalty fee from the licensee.

Licensing is motivated by the fact that the licensee puts up most of the capital necessary to get the overseas operation going, which means that the firm does not have to bear the development costs and the risks associated with opening a foreign market. This type of alliance can also be an attractive option, when a firm is unwilling to commit substantial financial resources to an unfamiliar or politically volatile foreign market.

Licensing is frequently used when a firm possesses some intangible property that might have business applications, but it does not want to develop those applications itself.

Joint Ventures

Joint Ventures can be described as commercial companies that are created and operated for the benefit of the co-owners. The companies involved takes an equity position in one another (Pearce&Robinson, 2005).

The motivation behind a Joint Venture is that a firm benefits from a local partner's knowledge of the host country's competitive conditions, culture, language, political systems and business systems. It is also beneficial for a firm to establish a Joint Venture when the development costs or risks of opening a foreign market are high, in that they can share these costs or risks with a local partner.

Hiring errors are devastatingly costly to organisations and their impact is hard to quantify when considering loss of revenue, damage to morale, failure to realise opportunity, and lost time interviewing and screening applicants. These costs are even more dramatic when a business is expanding internationally and attempting to build a workforce abroad. Resources are available to assist with international recruitment, but managers must also employ their own tools to assure that wise hiring decisions are made with consistency.

Managers should ask three questions about each candidate they interview to help to make hiring decisions with confidence:

Are they likely to do the job? Psychometric testing is an easy way to assess candidates objectively, though, these tests work best when the same evaluation is given to successful, existing members of the team and then used on new recruits. This allows for a comparison with those known to be successful, but also with statistical averages from the test itself.

Can they do the job? Many managers try to envision a person when developing a specification for a role. Specific criteria can be helpful, but, competency-based assessment is much more useful. Instead, evaluate: Does the individual have the required skills and knowledge? Can they apply these skills in a variety of workplace scenarios common to the role? Have they become overconfident in their abilities? The correlation between years of experience and skills/knowledge obtained is not 100%, therefore interviewers must assess actual ability rather than what should have been obtained through education and time on the job.

Have they done it? Past performance is the best indicator of future success. Careful review of references, behavioural-based interviewing and a review of past performance evaluations can all be exceptional sources of information. By assessing the individual's performance record and the environments in which they have thrived, much can be determined about how the individual will perform in their next role.

It is impossible to eliminate all hiring errors, but steps can be taken to limit the risk involved, which is crucial when new hires may be miles away or hard to supervise daily. Psychometric testing, competency-based interviewing and past performance assessment gives employers the ability to make well informed decisions and to gain an overall perspective. When done correctly, this triangulated process of selecting candidates pinpoints the best applicants and helps employers to make well informed decisions.

Do you know no matter solution any expert proffers, most entrepreneurs will still continue to struggle? Do you also know even if every African business owner is given up to 1 billion as loan, many may still pack up?

This fact remains true because the real biting problems are not what loan facilities and power supply alone can solve. The 5 plagues are: 1) Low sales, 2) Under-performances, 3) Poor conversion of promotional campaigns, 4) Sagging or slumping sales and 5) Choking competition.

While these 5 malaises are poisonous, however, their hidden origin can be traced to one 'devil' which is that "Business owners lack intimate understanding of their customers buying emotions."

I knew this fact based on the many years of hard core experience in assisting entrepreneurs improve sales, boost profits and earn more revenues with stellar strategies.

Therefore, the Nigerian and African business owners, always have need for proven growth strategies, especially how to effectively increase sales, generate profits and enjoy steady growth.

In the same vein, I know too well that most business owners require solid ideas to get more customers, retain existing ones and almost lack genuine strategies to influence customer to repeat patronage consistently.

The Problems of Business Marketing Experts In Nigeria / Africa
Unfortunately, most business experts based in Africa are deficient in the right expertise and knowledge to adequately assist business owners achieves their desired success. Instead, they often sing funeral dirges after power outage, bad roads, lack of facility and all that familiar stuff.

Yes, these facilities are extremely vital to the success of any enterprise. However, the truth is that, even if you have complete access to them, failure cannot be avoided unless you are empowered with key knowledge to control his market and bring in regular sales and profits.

Building Business In The 21st Century
You see, business in the 21st century has clearly evolved beyond the understanding of most business and economic pundits who are merely pontificating ideas that are archaic, complicated, unproven and sometimes, totally useless.

In this wake, the worst hit sector is the Small Business, because an average small business owner cannot grow on mere theories, instead he needs steady sales, sometimes fast sales coming in if he must remain in business and grow.

For example, I remember a woman few years ago, who spent lots of money to set up a sophisticated business only to be confronted with poor sales and was almost heartbroken.

She invited us to assist her, and we did. Just applying two or three strategies we shared with her, the following morning, she was confronted with hordes of new customers waiting to patronize her business.

The funny reality is that those customers came from her neighborhood - the same people who hitherto did not notice her business.

Therefore, my candid advice is that, YOU - the entrepreneur must discard mere theories and concentrate on how to overcome those 5 big problems to improve your business. And remember; always have a full-time focus on your customers.