Chinas Water Service Market - Strategies for Foreign Companies

Since the beginning of the "Open-Door-Policy", China has scored remarkable achievements. However, the resources that such growth demands have raised deep concerns about the long-term sustainability and hidden costs of the growth. Many of these concerns are associated with the state of Chinas water resources. As demand for water has increased, so too have problems with water shortages, pollution, falling groundwater tables and flood/drought damages. To tackle these challenges the Chinese government increasingly encourages foreign companies to engage in the Chinese water market. Market studies claim that this market holds promising business opportunities. This book questions this observation from a foreign investors perspective. It shows that the Chinese water market indeed holds business opportunities, but that these opportunities are tied to certain sectors and regions. A questionnaire carried out between managers shows that these opportunities go together with high market entry barriers and market risks. Therefore, this book pays special attention to potential risk treatment measures.