China
4. Multinationals learning the market’s ropes
Multinational companies are expanding in China inorganically to gain expertise in understanding local tastes, get their hands on a locally relevant and popular brand, or tap into the distribution and geographical reach of local players. For example, Nestlé purchased a 60% stake in Hsu Fu Chi, a leading confectionery producer in 2011, to rapidly expand its confectionery market share through access to a strong brand, product portfolio and distribution backbone.