SILVER FILIGREE WORKEvaluation of the Chinese

Business Environment

Group A

Gaurav Rai, Jayshree Dugar, Abhishek Kumar, Nikhil Goyal, & Raja Kumar Pati

Contents

Introduction Origin History & Development Current State of Affairs Factors affecting Business Environment -

LEPESTCO Critical analysis Conclusions and suggestion

Introduction

Beaten silver is drawn into fine wires and foils which is then crafted into jewellery.

 Its capacity to remain unspoiled with the passage of time. Items like necklaces, brooches, ear pendants, anklets, hair

pins, decorative key rings and bangles etc. Items for men like tie pins and cufflinks. Decorative items like boats or boita, replicas of temples,

horses, elephants and other animals and chariots besides a variety of other items. Even utility items like plates, cups, bowls, ancient vermilion containers and ladies handbags etc.

Today export extends to various regions of the world such as Australia, US, Myanmar, Sri Lanka, UK etc. This

Origin

Silver is mostly produced as a by-product of Copper, Gold, Lead and Zinc refining.

History & Development of the Topic

The early kingdoms of Peninsular India, including the Satavahanas, Kakatiyas, the Vijayanagar Empire, Golconda and Asaf Jahi rulers have contributed greatly to trade, commerce and enterprise in the region. 

 Artificial political borders and geographic areas were not responsible but trade and migration routes were responsible for designs and craftsmanship.

Silver filigree has been produced in Karimnagar (Deccan India) for more than 250 years. Silver filigree objects in India have always been considered luxury, the privilege of Rulers and Aristocracy. Filigree was made of pure silver, rarely of gold.

Some shapes of the objects show the Chinese influence on Indian filigree. The boxes formed as clouds resemble the heads of Chinese jui sceptres (meaning “what you wish”). Lotus could be used as a motif in many Oriental countries.

Current State of Affairs

Demand for Imports of Silver The white metal's widespread use in industry and

jewellery China as a Consumer

Second best consumer of silver in the whole world Government’s policy vis-à-vis silver

Chinese government been moving toward holding precious metals in reserve such as silver as an alternative to paper currencies like the U.S. Dollar.

Silver market is likely to remain bullish Imports are set to hit a new high and due to the white

metal's widespread use in industry and jewellery silver market is likely to remain bullish even though global economy drifts towards a low side.

Factors affecting Business Environment Legal Political Economic Social Technological Competitive

Legal

Regulated Market Mineral resources exploitation (White Paper)

The Company Law of the People's Republic of China Chapter XI – Branches of Foreign Companies

Taxation The Corporate Tax rate = 25% Effectively higher than India Tax benefits for joint ventures but wholly

foreign enterprises also encouraged

Legal

IPR protection – Design Patent First to File System Design patents are provided protection for a period of 10

years after the date of filing Settlement of Disputes

Cases mostly unreported Equitable relief not present Foreign arbitration decisions enforceable subject to

public policy WTO membership

Kinds of arbitration

Political

Government Centralized Unitary Government – Not Federal

Political System Single Party Communist Socialist Extensive governmental control

Economic and Trade Policy Open to Investment

Political stability Managed by monopoly power of CCP

Political

Regulations Promotion of financial activities Eliminates the capitalization of system Results in making profit within shorter time Five-year tax refund program allowed, and

tariff-free treatment extended. Competition Policy

Promotion of Competition as being a full member of WTO.

Protection Policy Protects through intervention

Economic

Market AccessRisk management (company,

personal)Cheap LabourShift from being an exporter to a

consumer Demand increased massively

Social

Size, diversity, cultural ‘distance’, language

CorruptionHandling people / relationshipsEconomic Nationalism

Technology

Mode of work Partly by machine Partly manually

Overall Acceptance of technology Positive indication towards technology Conclusively determined by being amongst

the best consumer

Competitive

Law regarding merging with other company is compulsory in order to establish business

Critical Analysis

Legal- The laws are favorable and shows a Positive inclination towards the trade, economic and protection policies.

Political- Government has political stability and regulatory measures favouring the establishment of business.

Economic- China being the best net importer and one of the best consumer of silver drifts the economic scenario concerning trade of silver.

Social- China has a great social acceptance of the materials made by silver.

Technology- Overall acceptance of technology is favorable according to the need of the society.

Competitive- WHAT TO WRITE?

Suggestions and Conclusions