The Dilemma of Cash Management in China: Presenting Entrusted Loans as a potential Solution Jan Freidhof

Revision with unchanged content. During the past few years China has attracted investment by foreign mulA­tiA­naA­tional companies. With its entry into the World Trade Organization on 11 DeA­cemA­ber 2001, China promised to further open up its market to foreign goods and services, and to welcome foreign investment in the following five years in preA­viously restricted sectors such as banking and financial services. However, Chinaa??s cash management environment still provides many impositions and obA­stacles to challenge corporate treasurers. Moreover, unwritten local customs and practices, coupled with the lack of written regulations, do not ease situation. Hence, this paper introduces the reader to the complex requirements, imA­poA­siA­tions and obstacles of cash management in China. In this paper the author focuses on two cash management instruments, netting and cash pooling, and presents the associated dilemmas. Furthermore, the author highlights enA­trusted loans as an alternative solution. In the course of the paper it becomes clear that implementing cash management instruments requires testing the boundaries of regulation and technology. The paper addresses financial managers and treasurers, economists as well as enA­trepreneurs. Это и многое другое вы найдете в книге The Dilemma of Cash Management in China: Presenting Entrusted Loans as a potential Solution (Jan Freidhof)