Areas to Focus to Establish a Branch in China Successfully

Opening a New Branch in China
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Opening a New Branch in China
China has a different business environment from the U.S. Matter, a public relations company has established a brand in the U.S. While the company is successful in the U.S, opening a new branch in China will mean that it has to make changes to the way it operates. What has worked for Matter in the U.S. may not necessarily work in China. The company needs to understand the differences that exist between the two countries. This essay provides recommendation to Matter to allow it to establish a branch in China successfully.
Defamation
China and the U.S. have different laws when it comes to defamation. In the U.S., federal defamation law is closely tied to the First Amendment (Ruane, 2014). As a result, federal defamation laws are more defendant-friendly. An opinion is not considered to be defamation in America. However, false statements of fact that harm the reputation of a plaintiff are not protected under Constitutional Free Speech provisions. For plaintiffs to win a lawsuit in defamation, they must prove that the defendant published or broadcasted an unprivileged, false statement of fact, the publishing or broadcasting caused material harm, and that the defendant acted negligently or with actual malice. When the plaintiff is a public figure, the standard of actual malice should be met.
In China, however, the government takes defamation seriously. Unlike in the U.S., individuals found guilty of defamation can be locked behind bars for a long time. Articles 87 and 246 of the Criminal law criminalizes defamation (International Labor Organization, 2019). Truth is not a defense and defamation applies even when someone is dead. While defamation is generally treated as a civil matter, it can become a criminal offense if it is deemed to be a severe threat to the public order or national interest. As a result, the penalty for defamation is heavy where offenders can be imprisoned, deprived of their political rights, detained, and subjected to public surveillance. In essence, Matter public relations agency should be careful when publishing anything to avoid any possible defamation.
Copyright
While both China and the U.S. have copyright laws, China is less strict in the enforcement of copyright than the U.S. A report by the International Intellectual Property Alliance indicated that 90% if the DVDs distributed in China are unauthorized copies (Beam, 2009). The Chinese Government has made efforts towards improving the intellectual property rights environment. However, reducing copyright infringement in China has not been achieved throughout the country. Enforcement remains mostly ineffective and non-deterrent (Rosen, 2014). Another significant difference is that unlike the U.S., China does not criminalize the infringement of copyright done without the intent of making a profit. For instance, buying copyrighted material in China and distributing to friends without any monetary gain is allowed. In the U.S. however, courts may impose penalties on copyright infringers who act without the intent of making a profit out of it.
The rampant infringement of copyright in China is largely due to cultural factors. Chinese people do not ...