The Consequences of Incompliant Business in China

by | September 7, 2015

The Consequences of Incompliant Business in China

by | September 7, 2015

Are You Aware That Incompliant Business In China Could Put You In Jail?

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“This is part of the new anti-corruption moves and so foreign companies are going to need to change their thinking and fast…If you want to stay in China, now is the time to make sure that you are operating legally there and to take immediate action if you are not”

Source: http://www.chinalawblog.com

1421 Insight 

China Law Blog is seeing the same phenomenon happening in China as we do at 1421.This implies that the Chinese government is enforcing stricter rules and regulations for all businesses, but particularly towards foreign entities. 2-3 years ago, China would have ignored irregularities and incompliant behaviour in the prospect of foreign direct investment and the creation of Chinese jobs, Nowadays, with the enforcement of China’s anti corruption policy, China wants to ensure that all foreign companies are fully compliant with Chinese business laws. The consequences of not complying are very severe, including heavy fines that will put financial strain on your company’s profitability, deportation of workers or even jail depending on the offence.

But how do you identify whether you are fully compliant with these laws, especially if your company, since establishing in China, has been operating under the old system of officials ignoring incompliant behaviour? It is very difficult to identify, especially when you do not know any other business practice.

So we ask you the question, are you 100% confidant that your company is fully compliant with Chinese business law? If not, it is important to be proactive and address any issues first before you are investigated and they become a larger problem. “If you want to stay in China, now is the time to make sure that you are operating legally there and to take immediate action if you are not.”  We fully agree with this.

Making sure your company is compliant to the rules and regulations in China can be a daunting task. 1421 could assist with this with their Chinable Business Scan.

Source: http://www.chinalawblog.com

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What happened in the year 1421?

From 1421 to 1423, during the Ming Dynasty of China under Emperor Zhu Di (朱棣) the fleets of Admiral Zheng He (鄭和), commanded by the Chinese captains, discovered Australia, New Zealand, the Americas, Antarctica, the Northeast Passage; and circumnavigated Greenland.

Due to this endeavour we can conclude that “1421 is the year that the Chinese discover the world”.