Contextualising the facts

A leading European gaming company sought entry into the Chinese market but faced regulatory hurdles exacerbated by negative media portrayals of foreign gaming entities. Cathay Insights conducted an exhaustive analysis of media trends, revealing widespread concerns regarding online gaming addiction and cultural sensitivities.

With this intelligence, we devised a targeted media strategy emphasizing responsible gaming practices and cultural adaptation. By addressing public concerns head-on and showcasing the company’s commitment to promoting healthy gaming habits, we mitigated negative perceptions and built credibility with regulators and the public alike.

As a result, our client successfully navigated the regulatory landscape, securing approval for their entry into Mainland China’s gaming market. The tailored media approach not only facilitated regulatory negotiations but also positioned the company as a responsible industry leader, paving the way for long-term success and positive public reception.

A Chinese investor in Italy’s renewable energy sector sought clarity on whether Italy’s withdrawal from the Belt and Road Initiative (BRI) would create a hostile regulatory environment for expanding their existing manufacturing plant and limit access to government-supported green energy tenders. Cathay Insights conducted structured conversations with diplomats, entrepreneurs and legal advisors, revealing that Italy’s withdrawal stemmed from a lack of perceived commercial benefits from the BRI.

Additionally, signing the BRI had committed Italy to a diplomatic alliance, distancing it from the US sphere amidst discussions of Mainland China-US decoupling. Despite this, the Italian business environment remained keen on attracting Chinese FDI and expanding trade relations. The study’s submission led the Chinese entrepreneur to invest in expanding production in Italy, with part of the project financed under Italy’s post-COVID government-backed recovery plan, PNRR.

A Japanese insurance group, aiming to enter the Taiwanese market through a JV with a local banking group and car manufacturer, sought insights into the historical relationship between the governing families of the potential partners. This aimed to mitigate the risk of the partnership failing. Cathay Insights conducted a thorough investigation using open-source intelligence and conversations with prominent professionals in banking, insurance, and media sectors.

This revealed individual conflicts of interest and personal alliances driven by intricate intergenerational family dynamics and political ties. The deep dive provided the investor with insights into the long-term intentions, interests, and strategies of key individuals in the targeted families, enabling effective conversations. Consequently, the foreign insurance group positioned itself consciously in Taiwan’s business landscape, ensuring a strategic approach to the three-way partnership.

In evaluating a potential investment in a company close to Epic Games, a US corporate investor sought insights into Tencent’s leadership strategy amidst discussions of imminent US-Mainland China decoupling and new gaming regulations in Mainland China. Through structured conversations and OSINT analyses, Cathay Insights confirmed Tencent’s awareness of US-Mainland China decoupling and its strategic approach to regulatory changes.

Indeed, Tencent had implemented proactive policy compliance measures such as integrating cultural elements into games and addressing addiction concerns among minors, all while maintaining friendly and contract-abiding relationships with foreign partners. This demonstrated Tencent’s strong commitment to maintaining a leading position in the global gaming market. As a result, the US investor decided to allocate capital to the investment, for which the study was commissioned.

An Italian shipping company sought clarity on rumors alleging its local branch president in Mainland China engaged in price-inflated supplying contracts for personal gain. Cathay Insights undertook the task of corroborating these claims. Through an examination of public registries and structured conversations with industry stakeholders, we cross-referenced the accusations. Our investigation revealed a general consensus affirming the president’s involvement in the questionable practices, which were perceived as standard business conduct.

Remarkably, these supplier-buyer relations predated his association with the Italian shipping company, indicating entrenched practices. This revelation not only validated the initial concerns but also highlighted systemic issues within the industry. Armed with this insight, the Italian shipping company could make informed decisions about changing its suppliers and management, renegotiating supply deals, and implementing stricter oversight measures in its operations in Mainland China, thereby mitigating potential risks and ensuring ethical business practices.

A US private equity investor aimed to persuade a Chinese animal hospital chain to opt for a private sale instead of going public. Cathay Research’s task was to identify decision-makers, understand the rationale for choosing an IPO, and structure a confidential negotiation.

Through conversations with stakeholders, Cathay Research found the CEO, with a resolute leadership style, leaned towards an IPO due to a non-binding agreement with a market-leading US investment bank. Fear of repercussions for unrelated investments and personal aspirations, believing the IPO would bring success, influenced his decision. Serving as a provincial industrial association president and having a prosperous academic career added to his motivations.

Cathay Research’s study identified key advisors and enabled the US investor to leverage the CEO’s affinity for data and personal aspirations, securing a pre-IPO investment.

An arbitration resolution between our client, a renowned Italian automotive company, and its Chinese supplier and distributor imposed a hefty fine on the client for terminating a production agreement. Simultaneously, it required the supplier to return patented technology designs to the Italian company. Suspecting foul play, the Italian client believed the supplier intended to illicitly produce the patented technology in Mainland China. Cathay Insights was engaged to validate these suspicions. Through thorough analysis of industry publications, we uncovered a consensus among Chinese consumers anticipating a similar technology’s imminent release.

Moreover, we found that the Chinese supplier in arbitration had formed a partnership with the Italian company’s current Chinese associate to manufacture the model in question. Armed with this insight, our client successfully appealed the arbitration resolution, significantly reducing the imposed fine. Furthermore, they initiated discussions with the Chinese consortium to formalise the new production arrangement.

A charity closely linked to a municipal government in Caracas, Venezuela, expressed interest in purchasing a building from an Italian cultural institution with ties to the Italian government. The Italian organisation engaged Cathay Insights to verify the solvency and legal compliance of the buyer with international sanctions. The situation was complicated by the presence of an irregular occupier who had established a mechanic shop on the premises under false pretences, claiming ownership rights.

The buyer stipulated the lawful removal of the occupier as a condition of purchase. Through strategic conversations with local law firms, neighbours, and authorities, Cathay Insights demonstrated the illegal occupation and facilitated the occupier’s removal. Leveraging personal contacts in the banking sector, Cathay Insights confirmed the buyer’s solvency and legal compliance, enabling acceptable payment terms.

A European technology manufacturer, specialising in supplying patented technology to a European-Taiwanese developer JV in the renewable energy sector, aimed to identify key decision-makers within the Taiwanese government to negotiate compliance with Taiwan’s supply chain localisation policies. Through structured informal dialogues with government officials, journalists, and developers, Cathay Insights empowered the manufacturer to identify the key government liaison.

They acknowledged their department’s effort to balance supporting local businesses and attracting foreign investment but noted internal debates led to inconsistent regulatory policies and prolonged approval processes. The relevant government department acknowledged these challenges and expressed a willingness to explore alternative solutions. Thanks to Cathay Insights’ findings, the European manufacturer secured alternative arrangements and concluded a substantial supply contract, a significant milestone in their regional business endeavours.

Mainland China’s industrial base. Cathay Research was tasked with verifying these assertions and assessing the partnership’s strategic significance. The analysis, which included field trips, expert interviews, and a review of business models and political landscapes, uncovered that the target company lacked technical expertise and primarily focused on activating stranded industrial assets in Mainland China.

Additionally, the local political connections touted by the developer withdrew support due to high capital requirements, indicating their inability to secure construction contract assignments. Cathay Research’s insights led to a restructuring of the joint venture, granting the client a majority equity stake, a larger profit share, and enhanced decision-making flexibility within the board.

A UK client sought to sell a high-value luxury item to a Chinese potential buyer based in the UK. Cathay Insights was tasked with verifying the potential buyer’s solvency. Through probing public registries, including home ownership, credit checks, and company registrations, we found that while the Chinese potential buyer complied with UK and Chinese regulations, there were no active or past legal or financial commitments or proceedings in Mainland China. This raised concerns about whether the buyer might be a nominee of another individual or entity. Our investigation prompted further verification into the origin of the buyer’s funds.

Neoprene o An Italian garment factory, aiming to enhance its production of a patent-protected fabric, tasked Cathay Insights with evaluating the competitiveness and reliability of a Chinese neoprene supplier.

As mystery shoppers, we contacted other factories in Mainland China to compare prices and assess market competitiveness. Additionally, we conducted a field visit to the premises of the target supplier to verify their operational capabilities and production processes.

Our investigation revealed pricing dynamics and a prioritisation system in production line queues, providing a detailed understanding of the supplier’s positioning in its local market. These insights empowered our client to negotiate a reduced price and make informed decisions regarding production timing, ultimately optimising their supply chain efficiency.

A prominent Taiwanese financial group aimed to hire a new US CEO and their accompanying team, constituting a substantial financial commitment. Cathay Insights was tasked with profiling the CEO’s management style and providing background information on their advisors. Leveraging our industry connections, we conducted structured conversations with former colleagues and fellow university students of the individual in question across the US, Mainland China, and the Middle East.

Our investigation revealed an authoritarian and inflexible management approach, often leading to long working hours and conflicts with employees. Despite offering monetary rewards to loyal collaborators, the CEO was unhesitant in pushing out those with whom they clashed. However, our research also highlighted a deep respect and personal connection between the CEO and their advisors. Armed with this insight, the Taiwanese financial group finalised the hiring process and implemented managerial safeguards to uphold the integrity of their group.