Corporate America's Relationship with China
Corporate America has been eager to tap into China's economy for years, but now China is shifting to a sell-mode, causing CEOs to be more cautious. Despite the current economic challenges in China, multinational firms are unlikely to completely sever ties with the nation due to the deep economic connections between the U.S. and China.
Key Points
- China officials are now in sell-mode, a reversal from past years
- Multinational firms are cautious due to a power dynamic shift between the U.S. and China
- Despite economic challenges, businesses are reluctant to completely sever ties with China
Pros
- Deep economic ties between the U.S. and China
- Historical eagerness of Corporate America to tap into China's economy
Cons
- China's economic prospects currently look grim
- More foreigners are pulling funds out of China than investing in it