As trade with China and the
Far East continues to grow
at an unprecedented rate it
is becoming increasingly
important for South African
companies to make sure they
understand this business
environment.
And it’s not always easy
since much of the success in
dealing with the Chinese is
built on trust and knowing
your business partners well.
Margrit Wolff, managing
director of Mercury Freight,
has worked for years to build
up an extensive network of
partners in the Far East.
“China is built upon
relationships,” she says.
“Getting to know you is a
key part of their business
culture and it does not
happen overnight. They
will only begin to explore a
business relationship once
they have got to know you
and are able to vouch for the
person that you are.”
Making it in the Far East
market therefore requires a
strong network with partners
that are supportive, based
on strong relationships
that started with personal
introductions and developed
from there, says Wolff.
“I have worked very
hard at building those very
relationship over the past
12 years. The Chinese are
very loyal to friendship and
respect it,” says Wolff.
For the Chinese, honour
and good reputation are key
for successful relationships.
Says Wolff: “The Chinese
are very different from us
and one must understand
those differences to be able
to operate in that market.
It takes time to truly
understand business in the
Far East and one must be
willing to put in the effort
in coming to terms with
the culture difference. One
must also realise that they
have gone from being a
totally communist society
to a consumer society with
only a communist central
government.”
According to Wolff, it is
however integral that South
African companies realise
the importance of this
particular market.
“If one looks at the scale
of the investment China is
making in Africa, then one
understands the importance
of doing business with
them or losing out. Just as
important is the way they
are investing,” she says.
“Infrastructure projects
are high on the agenda and
the way they are doing it
is by putting up the money
up front and then taking a
percentage of the profits as
payback. That means they
are here for the long haul by
entrenching themselves in
our market.”
She says for this reason
companies such as Mercury
Freight have to continue to
build relationships in the
Far East, making sure they
are growing their existing
partnerships.
“South African
companies need the
alliances and partnerships,
but more importantly we
need to make them work.
China is a dynamic country
and while its growth may
be slowing down slightly,
it remains a powerhouse of
utmost importance to us in
Africa.”
Wolff says that Mercury
Freight is focused on
offering clients a total onestop
solution when it comes
to the Far East.
“We can ensure domestic
distribution into retail stores,
if necessary becoming
another department within
the company to ensure a
fluent supply chain.”
CAPTION
Margrit Wolff ... fluent supply
chain.
