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Go China! - Zvi Shalgo

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Go China! - Zvi Shalgo

  1. 1. More than Management ™Competitive business models in the Chinese MarketZvi Shalgo – CEO, PTL GroupMarch 20th 2013
  2. 2. China Economy forecast
  3. 3. Higher Labor Cost China employee monthly salary
  4. 4. The number of Chinese Internet users is increasing at a dramatic pace — over 2100% in thelast 12 years. Internet Users in ChinaSource: Social Times
  5. 5. Studies are showing a dramatic increase in the amount of e-commerce that occurs in China,and expectations are that Chinese online trade will grow to be the world’s largest by 2015. Online Sales in ChinaSource: Social Times
  6. 6. Chinese Domestic Market Forces  FIE’s focus has shifted from top tier clients to the fast growing and extremely competitive mid-market.  Selling “advanced technology” and “European quality” alone are not enough to sustain a marketing advantage.  The Chinese Government is supporting chosen local industries financially, technologically and commercially.  Rising operational cost reduces China’s attractiveness as a low cost manufacturing center. Over 70% (AmCham 2011 survey) of manufacturing FIE’s are “made for China” oriented.www.PTL-Group.com
  7. 7. Chinese Domestic Market Forces Effective Operations and Strategic Investments in support infrastructure has become THE MAIN CHALLENGE in the race towards a competitive advantagewww.PTL-Group.com
  8. 8. What normally goes wrong during penetration to China?
  9. 9. New Operational Concepts:• Outsourcing key management & operations resources• VC, PE - Getting investment from Chinese-Foreign funds• Working with Chinese local governments to develop new support structures fitting small technology oriented companies• Following up Israel / China governmental support initiatives (“100 Million”, Joint R&D Funds)www.PTL-Group.com
  10. 10. Industrial Incubation
  11. 11. Local R&D operation as your foot hold in China  localization of products and knowhow  pre-sale and after-sale focus  investment/cost saving  local supply chain supportSigning Ceremony between Matrix Global and CZ Government
  12. 12. Chinese & Israeli Governments start to develop updated approaches to support technology oriented companies  Local operations are a key to commercial success in China  Local operations are a key for local investment CZ Mayor Yao Xiaodong (right), Chinese Ambassador to Israel Gao Yanping (center) Industry, Trade and Minster Shalom Simhon participated in a ceremony to mark the signing of Matrix Global’ s agreement.
  13. 13. Contact Us: Zvi Shalgo Shanghai Head Office Email: exec@ptl-group.com Room 301, 798 ZhaoJiaBang Rd. Shanghai, 200030, P. R. China Mepi Frankel Phone: +86 21 64453190, Fax: +86 21 64453191 Email: mepi@ptl-group.com www. PTL-Group.com China • Israel • The Netherlands • Italywww.PTL-Group.com
  14. 14. What PTL Group Does? Management Industrial Business Solutions Projects Investment Recovery Operations Management Industrial Turnkey Operational Audits Equity Investments Project Management Distribution Turnaround of Partnering with PE/VC Logistics Industrial Incubation underachieving Warehousing subsidiaries in China Human Resources Financial management Marketing projects``
  15. 15. Some of Our Leading Clients

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