This research presents a wide spectrum of relevant information which is required for the market expansion of western based companies to China. China has developed from an ‘outsourced assembly line’ of foreign companies into an attractive sales market. The pure size of its population and the strong increase of its middle class offer good opportunities for western companies. The focus of this research is on the delegation of decision power from the head office towards the local subsidiary. This includes the aspects of the various market entry possibilities, leadership styles, organisational structures, cultural differences and the attractiveness of the employer. Additionally, also sensitive topics, such as corruption and intellectual property, are discussed.<br>In sum, this research identifies the contemporary issues managers of European companies in China are facing, and discuss them in respect of the existing literature of management. As a result, this research has become a handbook for foreign managers in China.