Doing Business In Taiwan
If a company is wanting to establish business in Taiwan or in any country, it has to take some factors such as the economic environment, Legal environment, business environment which, if properly analysed can give the company an idea of the degree of risks involved by running that company Other factors like the social and business culture are crucial for establishing connections with the Taiwanese . By analysing these elements we can than decide, what to invest in, and how to approach the company representatives in Taiwan to insure the best possible outcome. I will now talk about the current state and future prospects of investing in Taiwan by understanding the different environments, cultures and risks that are present.
Economic environment-
Over the past six decades, Taiwan’s economy has evolved from reliance on agriculture (primarily rice and sugar) through manufacturing to services. Agriculture now constitutes just 1.7 percent of gross domestic product (GDP), down from 35 percent in 1952, while services now account for over 70 percent of national output and over half of all employment. One of Asia’s economic “tigers”, Taiwan, with a population of 23 million, is a dynamic, middle-income economy that is at the leading edge in a number of high-technology sectors. Taiwan’s nominal GDP exceeds US$400 billion, and has a per capita nominal GDP of around US$18,000. Taiwan is the world’s 17th largest trading entity, with over 70 percent of GDP derived directly or indirectly from exports.
President Ma has set some ambitious economic targets. These include an annual GDP growth rate of 6 percent, an unemployment rate of less then 3 % and per capita income of US $30,000 by 2016. The four key areas of expanding domestic demand, improving the investment environment, strengthening the economy, and increasing the quality of life will achieve economic progress. Under the program Ma plans to invest approximately 140 billion, sourced from private...