– China is still a land of opportunity!

China is a large and complex market, but it does not have to be so difficult to navigate. The head of our offices in China believes Norwegian companies can achieve great success there with a little support along the way.
Åtte mennesker foran et juletre
Our team in Beijing. Back row, from left: Gao Peng, Alex Jian Wu, Henning Kristoffersen, Michelle Liu, Lei Qu. Front row, from left: Emma Zhu, Jiwu Zhang, Lin Song. Not pictured: Qin Shi and Jessie Ji from our Shanghai office.
© Anja Elise Husebø Øijordsbakken

‘Soon, half of all the world’s ships will be built in China. The scale here is on a completely different level from most other countries. It may seem overwhelming, but getting a foot in the door does not have to be that difficult,’ says Henning Kristoffersen, who heads our two offices in China, in Beijing and Shanghai.

We have nine employees in China, based at the embassy in Beijing and the consulate general in Shanghai. This enables us to work particularly closely with the Norwegian Foreign Service in China as one 'Team Norway'.

‘In China, the rule is that you need to spend more time building relationships than you would at home. You need to build a network. We at Innovation Norway’s offices in China can help you with that,’ says Kristoffersen.

China is home to almost 1.4 billion people. That is equivalent to around 250 Norways. Or two whole Europes. Beijing and Shanghai each have populations large enough to rank among Europe’s ten largest countries.

‘Just as California in the US is one of the world’s largest economies, China’s regions are vast economies in their own right. You cannot view China as a single entity or a single market. You need to know what to do where in the country,’ Kristoffersen explains.

– The support we received from Innovation Norway has been invaluable

One of the companies Kristoffersen has worked with is Highsoft, based in Western Norway. Highsoft provides data visualisation services for websites. In 2023, the company signed an agreement with Tencent, one of China’s largest companies.

'The support we have received from Innovation Norway and the consulate in Shanghai has been invaluable,' says Atle Sivertsen, CEO of Highsoft.

Tre ansatte ved INs kontor i Shanghai
Our team at the Shanghai office. From left: Joanna Hu, Jessie Ji, Qin Shi
© Innovasjon Norge

‘We already have customers in China. But an agreement with a major player like Tencent will help us reach much further than before.’

We have advised Highsoft on how to navigate the challenging Chinese market.

'I understand that Norwegian companies find it difficult to communicate with Chinese companies. You often need to use an interpreter while also building mutual understanding and relationships,' says Sivertsen.

Kristoffersen at Innovation Norway says that Highsoft is a good example of a Norwegian company that can succeed in China.

Henning Kristoffersen står foran en bilvei i Kina med høye bygninger i bakgrunnen
Henning Kristoffersen, Head of our offices in Beijing and Shanghai.
© Emma Zhu

'Our door is always open to companies like Highsoft. Companies ready to take the next step can gain a great deal from our services,' says Kristoffersen.

– Huge market for smart solutions

Larger Norwegian companies also use our services in the Chinese market. Technology company Tomra is a key player in China’s growing circular economy market.

‘China is a strategically important market for Tomra,’ says Tomra CEO Tove Andersen.

Andersen is grateful for the support she has received from us.

'Our long-standing partnership with Innovation Norway in China has been very important, particularly in helping us connect with local authorities and businesses,' she says.

China has introduced strict rules for waste management and recycling to tackle environmental problems in several parts of the country. This has created a need for advanced sorting technology.

Tomra has supplied recycling systems to the city of Xiamen since 2013, among other projects. With more than four million residents, Xiamen would rank among Europe's five largest cities.

'In China, Xiamen is one of many cities with a huge need for smart solutions in the circular economy and many other areas. This also creates a huge market,' says Kristoffersen at Innovation Norway.

Much to learn in China

After many years in China, where he has worked for DNV among others, Kristoffersen has gained valuable experience.

‘China is still a manufacturing country, but it is also so much more. Technology is advancing at a rapid pace, with major changes every year. Security policy and human rights are also important factors. It is not always straightforward for Western countries and companies to determine how to engage with China,’ says Kristoffersen.

China is also one of the world's most digitalised markets, he points out.

'It offers unique opportunities, plenty of inspiration and valuable lessons you can apply in other markets.'

How your company can succeed in China

Here's how:

  • Do your homework thoroughly. Know what you want to achieve. Entering a foreign market requires considerable effort and perseverance.
  • Think short term and long term at the same time. Things take time in China – but they can also move quickly. You need to be patient while staying ready to seize opportunities at short notice.
  • Put sustainability at the heart of your business. China takes the green transition very seriously. Without a sustainable business model, you have no more place in China than anywhere else.
  • Protect what needs protecting. Make sure you have a strategy for patents, brand names and other assets. Copying remains widespread in China.

What you should avoid:

  • Don't be dazzled by the billion-dollar market. Yes, China is a huge market, but carry out a thorough analysis to identify the share you can realistically capture.
  • Don't give away the whole shop to the first person you meet. Far too many agents fail to deliver on their promises. Build your network. In such a large and complex society, it is vital to have trusted local contacts who will look after your interests.
  • Don't cling to your plan. The Chinese market is constantly changing. Come to China with a flexible plan.
  • Don't embark on a long journey without help. Get help with networks, funding and legal matters – either from us or others. It may seem expensive, but even simple processes can quickly become much more costly if you get them wrong.
Published 7 Dec 2023Last updated 28 Feb 2024
This page is translated with the assistance of AI