On January 1, 2024, we at EqualOcean published an article titled “We Pushed Global Expansion to Become the Mainstream, Yet We’ve Decided to Pour a Spoonful of Cold Water.” In this article, we aimed to remind everyone to remain cautious and acknowledge the risks that come with global expansion, even as the momentum grows.
Now, on January 27, 2025, the day before the Chinese Lunar New Year’s Eve, we have consolidated insights from deep interviews and discussions with thousands of entrepreneurs, both domestic and international, over the past year. From this, we have summarized a series of key "anchor points" for enterprises venturing abroad. We hope this letter reaches every global dreamer who dares to sail steadfastly into the unknown, no matter the storm.
2024 marked a year of significant achievements for Chinese companies going global. It was a pivotal moment for Chinese enterprises to directly face off with international counterparts and a year for Chinese companies to reshape their global identity.
With TikTok caught in the back-and-forth between "bans" and "liberations" by the U.S. government, Chinese enterprises have gained a deeper understanding of “geopolitics” on one hand, while also growing increasingly cautious about the path of global expansion.
When "brainstorming" collides with "systematic decision-making," when "relationships" face off with "stakeholders," when "complexity" confronts "precision," and when "experience" challenges the "unknown," Chinese enterprises have encountered significant challenges on their global journey.
Just as a revolution without bloodshed is merely a youthful ideal, a failed attempt at global expansion is nothing more than a utopian fantasy.
Break through conventional thinking and actively embrace change.
“Ellos son nuestros buenos hermanos, pero parece que no nos consideran parte de la familia.”
"They are our good brothers, but it seems they don't view us as part of the family." — A local employee of a Chinese company in Mexico once said.
Prejudice is an invisible wall that blocks trust and understanding. When Chinese companies first venture overseas, cultural barriers and communication errors often lead to misinterpretations, portraying them as rigid or indifferent. However, prejudice is not insurmountable. Language can break the ice, actions can bridge the gap, and respect and sincerity are the keys to overcoming biases.
First impressions are the initial report card that a company gives to its global employees. A company that respects local cultures and emphasizes communication is more likely to earn employees' trust. Conversely, indifference and detachment become invisible barriers, pushing employees to silence and distance themselves.
The warmth of management determines the enthusiasm of the team. Taking Latin America as an example, employees value being recognized and look forward to growing alongside the company. How Chinese companies find a balance between goals and human nature is crucial to winning team support. Only by treating employees with sincerity can a team be transformed from "workers" into "partners."
Establishing local representatives is the first step in bridging communication gaps; respecting cultural differences is the basic principle for enhancing efficiency. While salary and benefits are important, corporate culture and care are what truly activate the team's potential. In 2025, may more Chinese companies embrace inclusivity and innovation, infusing global markets with lasting vitality through warm management.
Rather than a zero-sum game, win-win is the main theme of global expansion.
“Ellos son nuestros buenos hermanos, pero parece que no nos consideran parte de la familia.”
"When they are our good brothers, they are even more competitive than our fellow countrymen." — The owner of a Chinese company’s factory in Mexico once said.
When the tides of culture surge and the collision between East and West often catches us off guard, managers stand above the waves. They must balance the rhythm of both sides while also listening to the voices from across the ocean. Cultural differences are never the entire challenge; how to find resonance amidst them is a journey that requires both wisdom and patience.
We often define success by efficiency, yet forget that each rhythm reflects a different life philosophy. Slow and fast are not opposites, but complements. The miscommunication between cultures—East and West—is often just an amplified version of the "North-South" differences.
A global enterprise that enters foreign markets with impoliteness, arrogance, or a high-handed attitude will face challenges far beyond what they expect. They say an actor's first lesson is to "free the nature," shedding the constraints of their past. Perhaps, this too will be an inevitable path for global entrepreneurs.
In the midst of cultural conflicts, everyone is interpreting the world through their own logic. To move forward together, we must first break through the bias of "prejudgment."
Management is a game of hearts and minds. Systems are bridges, but trust is the foundation. When we emphasize "efficient" management, do we sometimes overlook the vibrant, living individuals behind the systems? Only by truly feeling and understanding can management shift from rules to empathy, from rigidity to flexibility.
Treat employees as friends, not mere numbers in a "cost-to-output" equation. A sincere glance can ignite more passion than any policy. The essence of management is respect, not control.
Evaluation mechanisms must be grounded in reality: focus on those who truly work, not those who just talk. Let diligence and capability become the true currency in the workplace, and don't let the smooth-talking upward communicators win the day.
With the advantage of being a first mover, go to unfamiliar lands and share development opportunities.
"I understand that we may not be well acquainted, but I am not someone who easily offers praise. However, the digital strategy you've provided is truly impressive."
"This is not the first praise Benni has received, nor will it be the last. In the early days of the internet era, we crossed the river by feeling the stones of foreign markets. Today, Chinese companies have gradually developed a unique online marketing strategy and have reaped an unprecedented prosperity in the online market."
There is no one-size-fits-all method for global success, nor can any company grow independently without its roots. In unknown markets, a company’s value lies not in its name but in how it integrates into the lives of consumers and how it connects with the local rhythms and temperature.
Differences are not just between cultures, but also between people. Beyond systems, genuine communication is needed to build mutual trust. This is the challenge of management and where its warmth resides.
Consumers in Europe and America may not understand "321, click the link," but they are willing to listen to your story face-to-face. Trust among European and American consumers is built through offline conversations, and a brand’s warmth comes from interactions, not cold numbers.
Brand stories should draw inspiration from local cultures, not be told in isolation. A story that resonates emotionally will win hearts more effectively than any expensive ad campaign.
Brand consistency is the foundation of trust; brand localization is the key to rooting. A unified image brings familiarity, while local adaptation fosters trust. Both are indispensable.
Push online, walk offline. The market needs a dual approach. The wave of digitalization is sweeping the globe, but the power of face-to-face communication remains undeniable.
The "Hero’s Journey" is not just an adventure for the brand, but an expectation of the consumer. In challenges and breakthroughs, let consumers find a sense of belonging that is uniquely theirs.
Companies that prioritize experience over innovation will miss the opportunity to lead in global expansion.
Before copying someone else's homework, make sure you understand the exam question. Management methods that are effective domestically are not universal formulas. Every land has its own growth patterns.
The weekly salary system for overseas employees reflects a particular understanding of life. They choose short-term enjoyment, while we pursue long-term stability. Neither choice is inherently superior; it's simply a matter of different cultural perspectives.
"Rapid response stations" require not just speed, but also decision-making capabilities. Shortened links are not about getting "faster" but about getting closer to the market and the people, reducing misunderstandings and delays.
For companies going global, each step from research to practice requires patience and sincerity. As "outsiders," adhering to local rules and understanding local cultures is not a restriction but the key to unlocking the market.
From focusing on individual points to systematic layouts, passively shifting the "customer is king" mindset will only cause companies to lose their initiative. The loss of initiative marks the beginning of strategic losses.
Localization for a company is a process that moves from unfamiliarity to familiarity, from contact to trust. It's not just a strategy or a design but the ability to resonate with local cultures. Only by truly integrating can a company grow strong roots in foreign soil and bloom in its own unique way.
Standing at the crossroads of global historical change, gazing towards the magnificent future ahead.
The year 2024 is destined to be a significant one in the history of Chinese companies going global. It is both a year of great achievements and a profound dialogue with the world and with ourselves. In this conversation, we continuously discover that global expansion is not only a competition of hard power, but also a contest of soft power—a fusion of culture and wisdom.
We know that on the road to chasing the dream of globalization, challenges are inevitable. Facing cultural differences, management conflicts, and market uncertainties, Chinese companies have not achieved success overnight, but they stand up every time they fall, and start anew every time they hit a wall. Just as behind every story lies its own details, the success of every company is the result of continuous, patient effort.
Rather than saying that going global is a journey of rationality and science, it is more accurate to say it is an inner exploration and a warm transmission of values. Chinese culture, as our root, provides us with wisdom and tolerance. This wisdom is the very force that drives us towards the world. We bring with us the advantage of being first movers, as well as the warmth of our culture, to unfamiliar lands, sharing opportunities and development with the global community.
On this challenging global stage, we have learned more respect and listening. We have come to understand that true management is not about control, but about understanding and care; true cooperation is not about unilateral output, but about mutual growth and resonance.
The experiences of 2024 serve as an inspiration for every Chinese company venturing abroad. They make us understand more clearly that only by continuously surpassing ourselves can we create a truly unique international standing.
As we move into 2025, every company must reassess its position within the ecosystem:
Will China’s global manufacturing factories still be linked with "tradition"?
What changes will Chinese tech companies, like Yushu and DJI, bring to the existing global tech ecosystem?
How will AI software companies, such as DeepSeek and Doubao, impact the global software ecosystem dominated by India, the U.S., and Israel? The journey abroad is not just the effort of the "producers"; it is also the responsibility of us, the "service providers," represented by Yiou and EqualOcean.
Let us look forward to this "global expansion march," led by Chinese companies, with the world as a supporting player.