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The late Chinese leader Deng Xiaoping liked to say: "touching the stones while crossing the river" if you have no idea of how deep the water is. China, like other emerging economies is a challenging place for foreign companies due to some uncertainties and barriers. Without necessary knowledge and preparations before entering into China, prospective foreign companies may run risk of failure. On the other hand, China is also a huge market filled with promises and potentials with its one-fifth of the world's population and fast-growing economy. China is the only economy that recorded over 7 percent increase for the first 6 months of 2002 while other major economies are either in recession or slowing down. China's WTO entry at the end of 2001 will surely inspire more hope and generate many opportunities that are needed in this globally downward economy.