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Market Entry Options for Foreign Firms Licensing Technology transfer is another initial market entry approach used by many companies. It offers short-term profits but runs the risk of creating long-term competitors. Franchising China is developing laws which specifically address franchising. Virtually all foreign companies who operate multiple-outlet retail venues either manage the retail operations themselves with Chinese partners (typically with a different partner in each major city) or sell to a master franchisee which then leases out and oversees several franchise territories. E-commerce The E-commerce environment is still fairly immature due to the lack of defined regulatory powers over the industry, effective Chinese certificate authentication systems, secure and reliable on-line settlement systems, and an efficient physical delivery system. Trading Companies Generally, foreign companies are not permitted to trade in China, with the exception of the products they manufacture in China. With careful selection, training and constant contact, US firms can obtain good market representation from a Chinese trading company, many of which are authorized to deal in a wide range of products. Notes market entry市场准入 option n.选项, 选择权 license v.①to give or yield permission to or for同意：给予批准或许可 | 
