China's lure for young professionals
By George Zhibin Gu
SHENZHEN - Regardless of how one feels about globalization, it has
unquestionably led to an unprecedented level of international interaction
around the globe, as national economies become increasingly interwoven. And as
the world's biggest developing market, China has become a top destination for
foreigners to work
and live: expatriates in China now number in the hundreds of thousands.
These latter-day Marco Polos come from anywhere and everywhere. They generally
value their China experiences highly: being in a rapidly developing society
such as China can often expand their horizons in many ways. Equally
significant, they act as bridges between China and the world. At the same time,
the Chinese public is, by and large, delighted to have them here. The Chinese
people are well aware that China has departed firmly from its past isolation
and entered a new era, and the expatriate presence shows that China has taken a
giant step in joining the global community. Overall, China's foreign workers
are a great blessing both for China and for the world. The change from 20 years
ago has been dramatic.
From here, there and everywhere
It is becoming easier and easier to find foreign-run firms in Chinese cities.
One such case is the import-export business of Ibrahim Othman, a Syrian
consumer products merchant. A veteran China player, he has maintained an office
in Shenzhen,
Guangdong province, for several years. His business model is
straightforward: he buys made-in-China products and ships them back to the
Middle East. To Othman, Chinese products are cheap and quality is
fast-improving. He said China has "a fast-growing market in [the] Middle East"
and "selling Chinese products has better profit margins" than selling other
products.
Other foreign nationals are experienced professionals. One of these is Sam
Woollard, a native of Cambridge, England. Previously he worked as a marketing
and media specialist for British Airways and several other companies in Europe
and Australia. Nearly two years ago, he landed in
Shanghai. Now he works as publications
manager for the German Chamber of Commerce in Shanghai. He finds his new
environment "stimulating and fun ... filled with daily interactions with local
Chinese ... [I] especially enjoy chatting with my 80-year-old Chinese
neighbor."
There is also a large contingent of entrepreneurs, who have found plenty of
work to do in fast-changing China. Steve Kuhn, from the US state of Minnesota,
exemplifies this group. After graduating from Harvard, he worked as a bond
trader for Goldman Sachs for many years. Beginning one year ago, he started new
ventures of his own in
Beijing, while remaining a consultant to Goldman Sachs. He
has given lectures at Peking University and Tsinghua University, two top
Chinese schools, on his investment knowledge. "These Chinese students are very
bright and I had a great time," he said.
Another Kuhn project is a new website called BeijingLives.com. This website is
somewhat like a Yellow Pages for the city; local businesses and organizations
can freely announce their events there. It goes further by providing general
news coverage and analysis on China. He wants to bring the best possible
information on China back to Americans: "Americans need to get [accurate]
information about what is happening inside China."
Kuhn's team members come from Canada, the US, Australia and China. Nicknamed
"can do" by his friends, Kuhn has found Beijing a perfect place for his
ambitions. In particular, he attaches a long-term perspective to his website:
"In 50 years, when people look at our archives, they will see how we really
lived in Beijing back then."
Another business consultant is Melbourne native Les Lothringer, already in
China for 20 years. Lothringer has traveled to more Chinese cities than most
Chinese, and now divides his time among Australia, China and the rest of Asia.
Culture shocks
This writer can well remember his culture shock after moving to the United
States in 1981 - the independent lifestyle of Americans, the absolute need for
a car, the way even 80-year-olds often need to drive to get groceries. Visiting
the UK was the same: the British treated afternoon tea like a religious
ceremony, repeating everything the same way at the tea-table every afternoon.
But culture shock is a double-edged sword. What shocks foreign nationals about
living in China?
Thomas Podvin, a Frenchman now working as a writer and editor for a US magazine
based in Shanghai, has been surprised by the openness of the Chinese around
him. He noted: "Chinese people can be more open-minded than what we think,
especially the older generation [who were] said to be conservative. They are
warm-hearted and also can show their feeling easily. They can cry for happiness
or sadness without any shame."
Kuhn had this to say about his life in Beijing: "My biggest surprise [was] the
relatively large amount of economic freedom there is - [it is] relatively easy
to start a business, [with] relatively low tax rates."
Othman was surprised by the friendly environment in China: "Though there are
always bad guys around anywhere, Chinese people are very friendly in general."
Woollard gave a detailed description about life in Shanghai as a foreigner:
"Living in Shanghai/China is a really eye-opening experience. Every day is
unique ... something new and interesting is always going on in this dynamic,
fast-moving city. Living in the heart of a Chinese community brings me closer
to the real way of life. It gives me a clearer understanding of the traditions
and way of life of the Chinese people."
What has surprised him the most? "How rapid the business community and the city
as a whole is moving forward, the drive towards modernization and the pace of
visible changes to the buildings and daily life," he said.
To Lothringer, being in China can get some of the best things in the world:
"Mainland Chinese food is better than anything in the West and the range of
dishes is amazingly large. Also, Chinese people are very helpful and if they
like you, they give you 110% of their efforts." His favorite place is
Sichuan province, with its people and
dishes.
Suggestions for the outside world
Living and working inside China, these foreign nationals have learned a great
deal about the country and its vast changes first-hand, and are eager to pass
on their knowledge and experiences to the world. But they also stressed the
difficulty of becoming and remaining an expert on China given the extremely
rapid pace of change.
Podvin said: "Many foreign countries see China as a virgin land, a land of huge
opportunities, but to [do] business or to get a company [running] as a
foreigner is the trickiest task. There are 1.3 billion people here, but one
forgets that 70% of the population are from [the] countryside, and don't have
much money to spend." What is his suggestion to foreign businessmen? "There is
always a Chinese businessman smarter than you; you need to make friends with
the right people."
Woollard feels the need for foreign businessmen to understand China's
marketplace. That is what he tries to do daily to assist the 400 German
companies in Shanghai: "Being on the ground, it gives me a really in-depth
insight into the marketing and media world of Shanghai and brings me into
contact with many interesting people, while at the same time helping me to
learn a lot about different projects that are going on in the city."
Lothringer had this advice for international traders: "China is a great place
to source products, but you have to be very selective about choosing suppliers
and then ensuring that they adhere to product specifications." On the
investment side, he cautioned: "Having a realistic business plan and finding
[the] right managers is a must; otherwise, things can go terribly wrong. For
this, nothing can substitute [for] first-hand experience."
He added: "The biggest disappointments come from foreigners who have no idea
how to adapt [to China] and [try to] impose their ideas and methods, as well as
hiring the wrong local staff."
Othman stressed the significance of right partnerships: "Finding right partners
is the way for success. Otherwise, life can become a mess."
Kuhn painted a large picture: "Tremendous opportunities are everywhere in China
today. Its economy is fast-expanding. So grasp your chances and grow with it."
Observing China's changes
The enormous scope of change in China is evident to its foreign residents,
along with its imperfections. Most expatriates are open to expressing their
opinions in this area as well.
One of China's biggest challenges is the fast-expanding gap between the rich
and poor. But this issue has no easy solutions. To Lothringer, "wealth
disparity is getting very serious, which demands quick action in order to
ensure social stability".
Woollard went further: "China needs to be more resourceful in some areas of
life and business. Money must be plowed into helping the poor people and
educating the population, especially in the countryside."
Also, corruption causes concerns. Steve Kuhn said, "My big disappointments come
from the daily stories and scenes of true sadness and tragedy that continue in
Beijing and throughout China."
All in all, China's development has yet to catch up with Japan or the nations
of North America and Europe. Podvin commented, "Living in China is okay,
especially in Shanghai, although the country doesn't offer the same comfortable
services as in Europe or the US for things like social insurance, health care,
pensions, and many other aspects [of] a quality life."
Nonetheless, many foreign residents hope for China's continued overall
development. For this to happen, environmental issues must be addressed.
Woollard noted: "China must focus more energy [on] solving its huge
environmental problems and into energy-saving itself. Three hundred million
people drink contaminated water. Once these kinds of problems are solved, the
country will really be able to stand proud [of] its recent achievements,
development and success."
Despite all the challenges the nation faces, many expatriates agree that
China's openness is bringing vast opportunities for the world. They also wish
to have more foreign residents join them, and believe strongly that their
involvement can make a difference in China's development. Even as China's
expats pursue their own goals, as they disperse through every corner of the
country, they have become a vital catalyst for change.
George Zhibin Gu, a business consultant based in China, is the author of
a new book, China's Global Reach: Markets, Multinationals, and
Globalization (www.Trafford.com),
with an afterword by Andre Gunder Frank. He can be reached at
gzb678@yahoo.com.cn.
Copyright (c) 2006 George Zhibin Gu. Used by permission.
