Despite the fact that 3G installations have yet to be finalised and that there is a promising value-added services market, investments in the Chinese telecommunications market may come to a standstill. This comes with the alarm sounded by certain analysts regarding a possible 'overinvestment' and a credit bubble that is yet to burst, which could lead to a global crisis.
However, there is no cause for alarm at this reduction in investments. China still has much potential for more development and promises tremendous opportunities for Western businesses. However, given the transition to a more stable growth, it is extremely important for said companies to gain an objective view of the market and see which market segments hold the best business opportunities. Indeed, it is an extremely competitive market characterised by many complex factors on various levels (political, economic and cultural), which must be assessed carefully for success.
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