9 July 2014
Online CBA: What Are the Requirements for Establishing Foreign-invested Market Research Enterprises in China?
Q: What Are the Requirements for Establishing Foreign-invested Market Research Enterprises in China?
A: According to China’s Catalogue for Guidance of Foreign Investment Industries, foreign investors can only set up market research enterprises on a Sino-foreign contractual joint venture or Sino-foreign equity joint venture basis, and are not permitted to set up wholly-owned market research enterprises in China.
Foreign investors who are interested in setting up market research enterprises on the mainland should first seek a mainland company with relevant operations and discuss the possibilities of cooperation on a contractual or equity joint venture (JV) basis. Both parties should decide on the registered address of the JV before submitting an application to the local commerce bureau for examination and approval.
The local authorities will approve or reject the application in accordance with relevant regulations. Successful applicants will be issued a Certificate of Approval for Establishment of Enterprises with Foreign Investment or a Certificate of Approval for Establishment of Enterprises with Investment of Taiwan, Hong Kong, Macao and Overseas Chinese. On the other hand, a written explanation will be given for rejected applications.
(The HKTDC provides one-on-one China Business Advisory Service free of charge to assist companies in resolving problems encountered when doing business in China. For enquiries and appointments, please call (852) 1830 668 or register online.)