To grasp the full range of opportunities that flood the real estate market, one must both embrace creative thinking and the full scale of possibilities that modern real estate environment offers due to the technological innovations. Therefore, to advance in the Chinese real estate market, a project aimed at creating a shopping and entertainment complex will be designed. The complex will be built in Guangzhou as the tier one city in China, thus attracting a broad range of customers from all backgrounds. As a result, the project will immediately gain attention and recognition needed to establish a powerful and vast presence in the Chinese market. Since the retail industry has been flourishing in China, with its sales having reached the astonishing US $187 million in 2016 (U.S. Department of State, 2020). Furthermore, given the popularity of large cities among Chinese residents and tourists alike, the role of the retail industry in urban areas is going to grow exponentially.
Although the project described above appears to be generally safe, there are certain risks to consider and develop strategies against when launching the project into the Chinese real estate market. Namely, the fact that the current state of Chinese economy creates premises for massive implosion and the resulting pricing collapse raises massive suspicions. Furthermore, given the current environment of the coronavirus affecting people’s choices of leisure and pastime, the probability of the complex being visited very rarely and by a very small number of customers remains a plausible danger to the success of the project. Nevertheless, the described project is likely to attain success due to the increasing role of China in the global economy, namely, its role if a global supplier.
Reference
U.S. Department of State. (2020). 2020 investment climate statements: China. Web.