Is China really a dangerous place to do business?

As an American in China, I am often asked by my friends and family back home if it is dangerous here.

My response is that I feel very safe in terms of lack of physical danger, but as far as financial risk, it is indeed a place where if you need to be careful.

By nature American’s are trusting of others and we assume the best rather than assume the worst. But this can be a very dangerous attitude when trying to do business in a foreign land, especially if you are just off the plane and don’t speak the language or know your way around the business norms.

I’ve grown numb to all the articles in the daily news here about scams, corruption and intellectual property abuse. But as an informal survey, I picked up the paper today and decided to get a feel for what percent of the articles deal with these dangers. I highlighted all the stories that relate to these topics.   Keep in mind; the Shenzhen Daily English version only has about 10 pages total, so you may be shocked at the amount of yellow highlight below.

This is a typical new day.

scams, corruption, IP theft


more scams, corruption, IP theft


even more scams, corruption, IP theft

You have been warned.

Don’t be scared. Be prepared!

Wishing you successful China Sourcing!

Best Regards,

Mike Bellamy

China Operations Director, PassageMaker Sourcing Solutions (3rd party assembly & inspection to protect intellectual property and ensure quality.)

Chairman of the Advisory Board, China Sourcing Information Center

Author, The Essential Reference Guide to China Sourcing

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  1. Jason on December 26, 2013 at 1:17 pm

    There might be a lot of corruption in China, but if a company or factory wants to maintain your business it’s going to perform for you. I’m encouraged when I listen to this interview of someone who found the right business connections in China and is doing really well. The key is vetting your partners properly and doing constant Q & A.

  2. […] Unless you, the investor, is based in China or has people you trust looking after the investment, it is very easy for local parties to manipulate the books and take advantage of your investment. If you think China is a safe place to do business, you will enjoy the wakeup call in this blog post: […]

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