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36
| Suitable for Growth
Company
Global Revenue 2011
(MDKK)
Employees global
(FTE)
Established in China
(Year)
China Revenue 2011
(MDKK)
C1
900
573
1994
60
C2
650
460
1994
48
C3
260
63
2003
12
C4
714
655
2003
10
C5
700
484
2005
240
C6
752
220
2006
1
The six companies involved in the project are:
Appendix
The six companies participating in the SfG project have been selected based on
the following criteria:
· Mid-sized Danish company with a global turnover of DKK 250 ­ 1,500 million
· Experience with international business activities
· Local presence and setup in China
· See China as a strategically important market
· Willingness to invest time and resources in a business development project
A
part from the criteria for participating, the participating
companies have several characteristics in common as they
all:
· belong to the group of Danish mid-sized international compa-
nies, where resources are relatively scarce and limited.
· serve a high-end niche market in their existing mature mar-
kets, where they are successfully delivering high-value and
quality products to their customers.
· operate in the B2B market, which for many, means they have
limited access to the end users of their offerings.
· consider costs as one of their main challenges in targeting
the Chinese mid-market.
· are experiencing increasing pressure from local Chinese com-
panies that deliver products similar to their own, but at much
lower prices.
Being in China is strategically important to all the companies,
but for various reasons. For some companies (C1, C3 and C5),
their presence in China is driven by the need to be present and
able serve their global customers, who are operating in China.
For the others (C2, C4 and C6), the main driver has been the
growth opportunities and prospects of their industry in China.
Looking at the value chain and the activities that each company
has established in the local market, the companies who have
moved to China due to the presence and need of their global
customers are more mature with more local functions. See
figure.
APPENDix