Abstract
This chapter discusses partner selection and its impact on venturing success in China. It deals with an introduction of conceptual foundations for partner selection in an overseas market, followed by an illustration of partner selection criteria for foreign investors entering China. The chapter summarizes the empirical evidence pertaining to local partner attributes in relation to foreign direct investment performance in China. It presents managerial implications for international executives active or interested in the Chinese market. The chapter provides sources and guidance for identifying appropriate Chinese partners. Strategic orientation of local firms is important to venture success because the degree of match in strategic orientation influences inter-partner consistency in terms of strategic goals, cooperative culture, investment commitment, and strategic behavior. A local partner's ability to contribute to its international joint ventures survival and growth is positively associated with its organizational size. Organizational rank includes both business level and class in China.