Professionalization of sales in China : a case study in a state owned enterprise | |
| Author | Ma, Yixue |
| Call Number | AIT RSPR no.SM-04-24 |
| Subject(s) | Sale of business enterprises--China Sales personnel--China |
| Note | A research study submitted in partial fu lfillment of the requirements for the degree of Master of Business Administration, School of Management |
| Publisher | Asian Institute of Technology |
| Series Statement | Research studies project report ; no. SM-04-24 |
| Abstract | To build up an effective sales force has been acknowledged as one of the critical reforming areas for the long-term development in China's State Owned Enterprises. After experiencing more than 20 years economic reform and two stages of its process (policy readjustment and restructuring), Chinese enterprises have engaged into the new competitive market place: three kinds of firm are competing in the domestic market and with different degree of reform and restructuring in sales system and sales force. Large SOEs traditionally rely very much on state central planning and less empowerment of running business and sales, which becomes a disadvantage in competing with foreign firms and JVs in the emerging market. Therefore, building a professional sales force to meet the renewed market requirements is an urgent job for the SOE's marketers. This research work shows that both management and individuals perceive relationship marketing and customer orientation as the core for the future sales development, although they may not exactly know how to build them well at the moment. The corporation has engaged in the long-term business relationship building; even though this restructuring and refo1ming process cannot keep out the exercise of traditional Guanxi. The more professional thinking about the sales force is mostly confined to the top-level management at the moment, and has not penetrated as extensively into lower levels. Chinese style relationship marketing indicates equal importance (half and half) about business cooperation and Guanxi (social connection and human interest) between the exchange partners. Relationship marketing does not mean Guanxi based marketing, but in China's context, relationship marketing includes the exercise of Guanxi. The individual big boss (common terminology in Asia for the top executive) level Guanxi has less impact on selling/buying decision making, but organizational level Guanxi is fairly influential on sales; in fact, the organizational Guanxi is mainly build up by the groups of big bosses, it is kind of official, open and large investment. Thus, we might say that Guanxi is being shifted from individual authority to the groups of big bosses that represent the Guanxi network among organizations (corporations), and it is being wide accepted since it takes the title of organizational relationship rather than the individual big boss level Guanxi, which is now often negatively perceived. Perceptions of sales are changing and being rethought, people are beginning to believe some necessary skills are needed in sales, but they have not fully realized the components in sales skills. Basically, product knowledge, favorable personality and interpersonal skills are accepted as the main elements of doing a sound sales work - this could be the very basic understanding of professional sales. |
| Year | 2004 |
| Corresponding Series Added Entry | Asian Institute of Technology. Research studies project report ; no. SM-04-24 |
| Type | Research Study Project Report (RSPR) |
| School | School of Management (SOM) |
| Department | Other Field of Studies (No Department) |
| Academic Program/FoS | Master of Business Administration (MBA) (Publication code=SM) |
| Chairperson(s) | Speece, Mark; |
| Examination Committee(s) | Zimermmmm, Willi; Dimmitt, Nicolas J. ; |
| Scholarship Donor(s) | Asian Institute of Technology Fellowship |
| Degree | Research report (M.Sc.) - Asian Institute of Technology, 2004 |