Danone: China and India was abandoned at the same time.

<P> Almost the same time, up to choose with their two most important markets in Asia, business partners broke up. .Although each has its own joint-venture relationships are the reasons for the collapse, but Danone's Indian and Chinese-style divorce, the greater concern is the behavior of the local environment of the joint venture is a huge remodeling forces. .</ P> <P> simple terms, the core of all wars is the control of local brands. .Version in India, Danone, Wadia, without the consent of the Indian partners, jointly owned with a biscuit brand "Tiger", and accused of violating each other's non-competition agreements have been reached. .Version in China, Danone that their Chinese partners, without permission, established use of each other, total brand "Wahaha" in the range of companies, damaging the interests of the joint venture. .</ P> <P> when two operators are close to the end of the war, when the two sides trade barbs over China and France reached a climax - China's largest shareholder problem was traced Wahaha "tax" issue; Danone, also had been considered by a .China's most successful international food giant, has become a formidable and controversial foreign image. .In India, although there is also a high degree of media exposure and court each other, warring parties have been a relatively peaceful way to play against. .Although so far lasted for nearly a year, Indian law does not exist the two sides never seemed to turn against the problem. .</ P> <P> unnecessary right and wrong from a commercial dispute turned into personal tax mean? .In China, the tax can be serious enough to overnight the end of the commercial fate of a private entrepreneur; Also in China, the tax may also be a problem no problem. .FT, a tax expert, said the Chinese network, in theory, as long as Chinese citizens do not take the initiative to declare their offshore income, the Chinese tax authorities have no way to trace the corresponding tax liability. .</ P> <P> to such "tax" applied to the Wahaha events, to some extent, explains why the foreign experience in China, such a predicament. .China's major shareholders may be in this business because of tax issues lost the war. .But the other side of the coin, as a first-class multinational, Danone chose a "non-compliance" of the people as their business partners and senior managers, and nearly a decade in its "illegal" act stupid .However, be aware of, or the silent connivance? .</ P> <P> Why a commercial disputes of similar nature in the two countries would resort to different solutions? One of the most fundamental reason is that, compared to India, China for the understanding of the market is too open surface, the relevant policy .there are many worthwhile to review the place. .</ P> <P> Danone and its Indian partner in the dispute, the play is so crucial to a rule: for in India has established a joint venture of foreign capital, if want to set up a second can cause the same industry .competition, joint ventures, you need to get from the first joint venture partner in India is not against the state (NoC). .In other words, if not reconciliation with the Wadia, Danone want to start all over again in India, the Lord of the business plan can only be stranded. .</ P> <P> the surface, this regulation a "favor" a local business is suspect. .But the overall perspective of the study, such a market liberalization policy has played two obvious effects: First, foreign investors must be careful to choose a local partner, the second is at a distinct disadvantage financially and technically, local businesses, get the proper constraints of transnational .opponents of the tool, thus creating their own survival and growth of the space. .</ P> <P> more interesting, although Danone's joint venture with the Wadia occurred in the 90s last century, this regulation was introduced in 2005. .According to local media reports the Indian government to invoke this legislation in 2005, Danone must be told repeatedly that no objection from the Wadia stated. .</ P> <P> Although Danone dispute with Chinese partner Wahaha in a rather complex disputes do exist, one can imagine, if the awful legal case in India, would be a completely different start and end. .</ P> </ p>.