This case examines the potential purchase by a western bank of a sizeable share of a Chinese bank. Particular emphasis is on the macroeconomic environment of China, to include issues of risk for the investor related to valuation of the renminbi, the global financial crisis, China's increased trade prominence, commitment of the Chinese government to reform, the process, staging, and timing of financial reform, domestic social stability, and the Chinese economy's interdependence with the outside world.

This case is intended for a broad range of student/executive audiences, and has the ability to be used successfully in a number of courses. It can be used in courses in international economics, international finance, international political economy, financial risk management, and regional courses focusing on the politics or economies of emerging markets/Latin America. Ideally, students/executives would have had macro- and microeconomics; however, I have found that students/executives with neither of these courses have still performed well in the case analysis. It is a challenging case study and is particularly useful in an MBA or executive MBA course, but can be taught successfully in advanced undergraduate courses.