Tencent is one of my biggest client and I literally just worked all day long yesterday in their Beijing headquarter in YinKe building so please, stop preaching something I already knew.
I’m not saying our market is perfect and I do know the policy continuity problem (like the license thing you mentioned) is one major obstacle for any long-term investment happening down here. I also knew the exact number of 32 foreign films that can be approved each year 'cause I also have friends working in DMG. Let alone partnership stuff, and the ties between government and enterprises.
But then so what?
when you decide to do business in a country, the first thing you do is to evaluate social stability and government credibility, in other word, the cost. If you can withstand bullets flying over head and willing to tempting fate of course you can open a factory in some backward third world countries in civil war. And if you are not happy with certain conditions you simply withdraw. Yea, we have our problems, but Investment keeps coming in, because despite all odds China still provide foreign investment a relatively convenient and safe way of doing business. The profit overweight the cost, simple as that. Otherwise why are you doing business with us? Yes China sucks then try Georgia or Laos or Russia? Do you really think your fellow businessmen are that stupid, willingly stay in a death trap all the time?
When a German company came to my hometown local government would immediately take them to an already setup industry zone where utilities are ready to use, land flatten for you to build, and a paved road right in front of your door. Not to mention tons of discount of tax. Do you know what I got when I was trying to setup a factory in southeast asia? You get nothing but a rice field.
Not to say if you are willing stay there is a pretty good chance you earn some big money. You are doing business here, and making money is what you want. And it IS what you get when you come to China. Yes there are policies that you don’t like but in any other country outside of US you gonna feel the same.
Also despite everything happened to Tencent, just one of their mobile game brought them a total revenue of 1.9 trillion dollars in the last year. Huh yea Chinese market sucks.
p.s. Next time when you are at party with your friends laughing at how ridiculous our repressive autocracy regime is, ask them: Why would you go there if China is such a shithole for business owner? Why China top the FDI ranking for several years in a row? Are you insane?