China briefing put up an excellent article on the plant based meat market in China, and they covered a lot of aspects. Notably, they did not name finding the right people as a key to success. That is likely why Western companies are not as strong as they could be in any market. They mention Starbucks, and I know they are one of the only big Western companies to make sure they are making the right hires. Others muddle along and hiring is a key reason. Like the picture says, we need to mind the gap.
They mention right partner, licensing and trademark, brand name start, regulatory approvals, safety and quality. Not a bad list. I note they did not list any hiring issues. That is either an aside or you leave it all to partner. The value of having the right boots on the ground cannot be overstated. This is where you win or lose. See also Internal is External in China Business.
Unfortunately, it seems most companies do not think carefully enough about China fraud risk in the hiring process or in the results.
Two Frauds a Spur to Finding the Right People
Even more concerning, many candidates will collude with HR and HR collude with outside Recruiters to get extra money in the process. (Actually it is your first hire who can start developing this bad process.) How do companies prevent this problem? I suggest they to often ignore that risk to their loss. Interestingly, most of our customers totally kick HR out of the process. Others come to us for their first hires to keep clean at outset. They kick this risk out by these ways. See also The China Recruitment Process is Broken.
The next risk is when the people planning on ripping you off get a job inside your company. It is hard enough to avoid problems outside. Now you have empowered them inside. Even passive fraudsters my be tempted under pressure. You need candidates who will not plan and even resist such temptations.
Can you see now how the first type of risk above leads directly to hiring people which is the second source of risk? This two punch combination can cost you a ton.