Renewable energy industries in Europe. Are they successful in the Chinese market?

This article analyses the number, type and presence of European companies – Italian, Spanish, French, German, Dutch, Rumanian, Bulgarian and English – operating in the renewable energies industry in international markets. Enterprises supplying energy from various sources and at different points of the supply chain have long faced the challenges that international and geographically distant markets such as China pose. Specifically, European enterprises appear to encounter difficulties in approaching the Chinese market, which is rapidly developing as a result of the latest five-year plan setting energy and climate change targets and policies. Indeed, the number of European firms investing in China is low due to their small size, high cultural distance and inadequate management strategies. Through the analysis of two business cases (Asja and Caleffi) that have established partnerships and a WFOE in China, the article identifies the main elements of their management strategies that led to successfully operating in China.