This all according to an article in China Briefing? dated December 4 2010. In essence this is a press release as China Briefing is their in-house mag that they send out to clients …
?
?
Here’s what they say.. we’ve highlighted some of the more interesting comments? and do link at the url below if you want to read the full article as we’ve only included about half of it… and what about those pesky workers demanding more rights and pay .. How dare they !
http://www.china-briefing.com/news/2010/12/04/dezan-shira-agm-reveals-shift-in-china-policy.html
Dezan Shira & Associates AGM Reveals Shift in China Policy
Dec. 4 ? The foreign direct investment practice Dezan Shira & Associates have just concluded their four-day-long Annual General Meeting with members of the firm flying into Beijing from each of the firm?s 10 China offices, plus country managers from India and Vietnam. Commenting on the practice development, Alberto Vettoretti, managing partner for China, observed that ?the global supply chain is shifting? and the practice needs to adapt to new market conditions in China and across Asia.
While the firm?s billing in China showed a healthy increase, the China business registration division, comprising of legal services related to corporate formation in China, has slowed down and is coming under increasing pricing pressure from local consultants. However, clients are buying more sophisticated services such as transfer pricing, tax structuring and restructuring services, while payroll is a growth market. India, meanwhile, is showing a large increase in corporate formation, boosted by the increasingly favorable investment climate, opportunities in infrastructure development, a sizable domestic market, and tax reform that is expected to decrease corporate income tax liabilities from 45 percent to 30 percent by the middle of next year. Vietnam is also showing an increase in billing.
The firm will invest significantly in IT during 2011, including the development and acquisition of software platforms to provide enhanced administration services to clients, including payroll, HR and business licensing and administration. Chris Devonshire-Ellis, the firm?s principal, commented that overall the China market is slowing down and this is impacting on the types of investment entering the China market, but the medium term prognosis for FDI and opportunities for foreign companies will remain positive for those refocusing on domestic sales opportunities, although it may take some time for other investors to adapt. However the overall business environment in China has shown some trends of protectionism and an increasing militancy among Chinese workers generally over expectations and some unwillingness to perform as well as would have been expected in the past. While the firm?s own staff has remained loyal and hard working, a trend of labor unrest is developing on a national basis and this is impacting upon certain clients. Labor law disputes, he suggested, will become more common, and the productivity of Chinese workers is starting to fall.
Significant growth is expected in India for 2011, and the firm is engaged in an aggressive recruitment campaign there that will see more employment requirements in India for the firm than in China during 2011, and a need to evaluate the market potential in Pune and Hyderabad has now arisen with the possibility of investment in these cities for 2012. Overall, continuing growth for the practice will come from a continuing policy of geographical expansion throughout Asia, which over the next five years should see the practice establish operations in most Southeast Asian countries. Growth from existing clients is also expected in the form of selling more services and products to them, especially in the IT related services sector.
Offices are planned to be established in Southeast Asia for 2011, probably Singapore, and also in China, with some debate concerning the destinations. Suzhou, Chengdu and Xiamen are all under consideration as possible locations for new Dezan Shira & Associates facilities, while an office based in the United States is expected to be established in 2012.
Plenty more at the link above.
Do they intend to become Asia’s first super law firm in the mold of the likes of B&M or CC ?
?
