Caution urged on global growth

Chinese companies should secure their position in the domestic market first and be prudent in overseas expansion, Charles-Edouard Bouee, president and managing partner of Roland Berger Strategy Consultants Greater China, said yesterday.

"Although there is a chance for the Chinese companies going global when some companies overseas are weak and available at present, it might not be the right time as they are not well prepared for the acquisition," he warned.

He also noted that Chinese companies should learn lessons from their Japanese counterparts, who experienced failure when they pursued aggressive merger and acquisition strategies in overseas markets 20 years ago.