Did you know?
Fraud has been called a staple of the Chinese economy. Recently the share price of a well known retail clothing maker fell more than 10 percent amid published allegations that the firm had overstated the number of its outlets in China. A few months earlier reports that a major agricultural firm had exaggerated the size of its China operations ultimately led to the suspension of trading in the company's shares on the HKEX. We have said it before, but this type of fraud where firms exaggerate their sales, profits, sales network or other attributes to inflate their value is common if not endemic. Any foreign firm considering a legal partnership or M&A with a Chinese firm must follow the “Trust but Verify” policy and adhere to three actions – due diligence, due diligence and due diligence.
Amer-China Partners: Your Risk Management Experts in China
2011 marks ACP’s 21st year of helping foreign invested enterprises succeed in the Chinese market. Over the past two decades Zhai Zhihai, ACP’s founder, has established an enviable track record solving operational and legal issues for foreign firms. In recent years ACP has sharpened its focus on the core competencies of risk management, crisis response, and conflict resolution. ACP's history of success includes projects completed for a list of over three dozen premier multinational clients from the media, financial, private equity, manufacturing, IT, and services industries.
ACP not only understand the pitfalls foreigners face in China, we also know how to navigate the government-private maze to reduce your risk. We use our know-how to bridge the gap between western companies and the Chinese businesses and people they work with, and when problems arise we help you to resolve issues, whether with local partners or official agencies, that threaten your investment or your reputation
Specific services, which include due diligence/background checks and reputation profiles, vendor vetting, pre-employment screening; investigations of intellectual property theft, internal fraud, and corrupt activities; and market research and government relations, are detailed in The ACP Advantage.