The rising world status of China within the global economy in the 21st century: a cultural knowledge-based strategy for conducting successful businesses in China

China is the fourth largest country in terms of size after Russia, Canada and the USA. It is now the world’s second largest economy after the USA, if adjusted for differences in cost of living (purchasing power parity differences) (Economy Watch, 2010). China also represents the world’s biggest emerging economy, and has already become the number one world champion with respect to international trade (UNCTAD, 2010). It is similarly the most important manufacturing location for firms with both local and foreign investment (Murray et al., 2007).