Emag: May - June 2010

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New Directions Taking Your Business to New Heights in China



May – June Issue Issue No.10, 2010 The e-Mag is an online magazine published every two months by the Canadian Chamber of Commerce in Shanghai (CANCHAM Shanghai)

Welcome CANCHAM New & Renewed Members

The Canadian Chamber of Commerce in Shanghai Suite 356 (East Tower), Shanghai Centre 1376 Nanjing Road West, Jing An District, Shanghai, China 200040 Tel/电话 :021 6289 8670 Email/ 邮箱:info@cancham.asia www.cancham.asia

Hurun Report Portman Ritz Carlton Manulife-Sinochem

Production Team Editor Graphic Designer Programmer Copy Editor Video Director Videographer

Tina Xie Ankar Yang River Lv Trista Baldwin Oscar Malpica Skyzone Creative Studio

Where to Next: Emerging 2nd and 3rd Tier Cities Expanding Operations: Q &A With Woodbridge

Contribution Colin Bogar Marc Kielburger Craig Kielburger Bronwen Smith Jason Inch

Colliers Free the Children Free the Children Co-Author of Supertrends of Future in China

Sustainability a Lofty but Attainable Goal

Special Focus: Where to Next?

08 5 Online Resources for the Business Leaders in China

Starting a Business in China: Things Canadian Entrepreneurs Need to Know

12 10 Special Focus: Expanding Operations

Free the children: Sustainability a Lofty but Attainable Goal

16 Reflections: Starting a Business in China


CANCHAM UPDATES

Welcome to New & Renewed CANCHAM Members New Company Members: Iaction Identica IMW Gap MMI Shanghai Nuoyi Aviation Parma Group Sheraton Suntech Power

New Academy Members: University of Victoria University of Toronto

New Individual Members: Alexander Ian Barker David Nicholson Matthew Bloomfield Dr. William Pierre Thibault Stacey Chen Xun Sean Lei Renewed Academy Members University of British Columbia

Renewed Company Members: Allens Arthur Atomic Energy of Canada CN Worldwide DHR EHC Great West Travel JJM Leader Consulting Nalco Ontario Trade Office PKF Pratt & Whitney Regal International Rona Trading Ruder Finn Royalton Hotel Red Gate

Renewed Individual Members: Frank Liu Raymond Chow Jon B. Anderson 4

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China’s Top Economist and Canadian Business Leaders to Speak at the Asia-Pacific CanCham Forum Hosted by the Canadian Chamber of Commerce in Shanghai, the Asia-Pacific CANCHAM Forum (APCF) will take place on June 2, 2010 at the Sheraton Hongqiao Hotel. The eminent Chinese economist Dr. Fan Gang will address participants at the opening ceremony. The forum will also include Eric Siegel, President and CEO of Export Development Canada (EDC) Services. The APCF is an annual forum in which business, government and public leaders from Canadian Chambers of Commerce across the Asia Pacific will meet to build stronger business alliances and explore key issues related to challenges and opportunities related to the economy in the Asia-Pacific.


The

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Get the most out of your CANCHAM membership! Join the Access Program and promote your business through our community! For more information, please contact frank@cancham.asia


MEMBER NEWS

Hurun Report to Release Best of Canadian Education on July 1

Hurun Report, the publisher best known for the China Rich List, announced its intention to publish the Best of Canadian Education. Released on 1 July (Canada Day), the guide is a must-have for Chinese parents looking to send their children to the top private high schools and universities in Canada. The occasion was marked by a pre-launch event in Beijing consisting of an education forum and buffet dinner, held at the private residence K채Ze is an information systems and technical services firm that provides solutions to complex information technology issues for government and commercial enterprises, which delivers you turnkey solution including Structured Cabling

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of Canadian-Chinese entrepreneur Jim Ye Mingqin. The event was attended by representatives from St. Andrew's College, one of Canada's most renowned boarding schools, as well as other leading Canadian figures including the Canadian Embassy's Deputy Head of Mission Jeff Nankivell.Rupert Hoogewerf, CEO of the Schools Guide series and founder of Hurun Report said: "Canada is an increasingly popular choice for education amongst Chinese parents. The Schools Guide: Best of Canadian Education seeks to provide them with a comprehensive overview of what is on offer ."The guide, the only one of its kind to be published in Mandarin Chinese, will have a distribution of 20,000 and will be distributed to China's top entrepreneurs, drawn from the Hurun Rich List. Topics featured include introductions to the leading secondary schools and universities, together with articles on how to make the transition from the Chinese to the Canadian education system.The Best of Canadian Education is produced in association with Streetsmart International Inc and sponsored by the Bank of Montreal. Systems (SCS), Local Area Network (LAN) and Wide Area Network (WAN), Corporate Internet Solutions, Information Consultation, IT Engineering and Designing, PBX, Voice Mail, Project Management, and Help desk Services. Since its foundation in 1999, our clients are all covering Fortune 500's and multinational


MEMBER NEWS

Manulife-Sinochem Earns Top Government Honor for Excellence in China Manulife-Sinochem Life Insurance Company was honored with an award for excellence for 2009 by China's top government body. At the recommendation of the China Insurance Regulatory Commission (CIRC), MSL received an "Excellent Organization" award from the State Council National Economic Census Commission - the only foreign life insurance company to earn this prestigious recognition. "We are delighted with this recognition, and particularly the outstanding support and encouragement that we have received from CIRC," said Marc Sterling, Chairman of Manulife-Sinochem. "As the only foreign-invested life insurer to be so honored, this award highlights MSL's progress at meeting the needs of Chinese consumers." The award stems from MSL's outstanding performance in a National Insurance Industry Economic Census review.

The Portman Ritz-Carlton, Shanghai Wins Best Business Hotel Award at the 2010 TTG China Travel Awards Ceremony

SHANGHAI, CHINA–The Portman Ritz-Carlton, Shanghai picked up the Shanghai’s best business hotel award at last night’s TTG China Travel Awards ceremony held in the Shanghai International Financial Center. The hotel is the only luxury five-star establishment from Shanghai to win the award in this category based on the nomination by the magazine’s advisory board and readers’ votes. Mr. Adrian McNally, Executive Assistant Manager, Rooms Division received the award on behalf of the hotel. Speaking after the ceremony, Adrian said: “We are delighted to have won this high-profile award. We feel that The Ritz-Carlton brand is really resonating with domestic and international business travelers in China and we

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SPECIAL FOCUS

Where to Next? Opportunities for MNCs in Emerging Second and Third Tier Cities By Colin Bogar

As China’s economy continues to rapidly expand, the challenge that multinational corporations (MNCs) continue to encounter is finding new channels to increase revenue and improve profitability. For many of these companies a strong option is the growing economic presence of China’s second and third tier cities where consumer spending, industrial expansion, and FDI rates surpass levels currently found in China’s larger first tier cities.

ment options, investors will generally focus on the internal rate of return (IRR) or a similar overall return metric. As the ability to achieve above average IRRs in first tier cities has greatly decreased due to rising land and labour costs, international developers and investors have turned their sights to second tier cities such as Chengdu, Tianjin, Shenyang, Chongqing, and Wuxi. Although Shanghai, and to a lesser extent Beijing, are still the key markets for these developers, the reality for this industry, as with many others, is that the low hanging fruit has been picked. With this being the case, the potential opportunities available in these second and third tier markets have become that much more attractive. Case studies from other industries show movement as well. The closure of Intel’s pro-

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Source: Colliers International Shanghai

The prime factors driving the emergence of these cities as important market influences are similar to those which drove the emergence of China’s first tier cities. Such factors include, but are not limited to, affordability, proximity to an educated labor pool, wealth concentration, regional center status, and urbanization rates. Take the commercial property industry as an example. When evaluating various invest-

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Hong Kong Developers

Singapore Developers

Cheung Kong

Capitaland

Hang Lung

Yanlord

Henderson Hutchison Whampoa Kerry New World China Sun Hung Kai Shui On Wharf USA Developers ProLogis Tishman Speyer Hines

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Source: Colliers International Shanghai


SPECIAL FOCUS

Although many companies now have operations or sell their services and / or products in many of these markets, the reality is that a majority of these companies are having difficulty differentiating between and formulating a cohesive market strategy for these cities. Most foreign managers can give an answer to the Beijing versus Shanghai debate, but the majority would have difficulty giving a convincing Wuhan versus Chengdu rebuttal, let alone discussing the merits of Zhuhai versus Shantou. When making decisions with regards to capital expenditure and human resources capital, it is imperative that managers fully understand the markets they are investing in, and what the comparative risk / reward profile is for these areas. According to a McKinsey White Note on the emerging market nodes in China issued in 2009, China could theoretically be divided into 22 distinct consumer clusters which will constitute 92 percent of urban GDP by 2015. Even the most sophisticated Fortune 500 companies are having difficulty formulating strategies for all these distinct clusters, as they realize the fundamental differences and business practices

1st tier city vs. 2nd Tier City Market Comparison 40.00%

5 year average real estate investment rate (2005 2009)

duction facility in Shanghai, and subsequent movement to Chengdu, highlights the improved infrastructure and human resources available in these emerging cities for sophisticated manufacturing operations. In the luxury goods industry, LVMH’s top cosmetic markets continue to be Shanghai and Beijing, however the overall sales in their next six largest markets (Shenyang, Chengdu, Hangzhou, Tianjin, Zhengzhou, and Changsha) are, as a whole, greater.

2nd and 3rd Tier Cities

35.00%

Xi'an Changsha

30.00% Wuhan Chengdu Chongqing

25.00%

Tianjin

Dalian

Nanjing Qingdao

20.00% Hangzhou 15.00%

1st Tier Cities Beijing

10.00%

Shanghai

5.00%

0.00% 10.00%

11.00%

12.00%

13.00%

14.00%

15.00%

16.00%

17.00%

5 years average GDP growth rate (2005 2009)

Source: Colliers International Shanghai

Overall, following the trend of the last five years, second tier cities should continue to see their GDP and real estate investment rate grow faster than the more mature first tier markets. While industry needs do vary, key cities will likely include Chengdu, Tianjin, Shenyang, Chongqing, and Wuhan. Without a proper understanding of these and other emerging domestic cities, companies may miss out on a prime opportunity to sustainably expand their domestic businesses and take advantage of the opportunities available in the dynamic Chinese economy. Colin Bogar, MBA, is a senior consultant with Colliers International in Shanghai. He performs research, consulting, and valuation for sovereign wealth, institutional, and private equity investors and end-users in the Chinese Market. Should you have any questions about the article or require further information regarding the Chinese property market, he can be reached by email at colin.bogar@colliers.com or colinbogar@gmail.com

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SPECIAL FOCUS

Expanding Horizons Q&A with Wilfred Cheng, General Manager and Director of China Operations, The Woodbridge Group

You were sent to China to build the China operations of your company from scratch, what is the most important thing when it comes to taking the first step? We have been fortunate to have our local Chinese partner helping us to organize a core start up team to work with our Canadian support team. However getting our patented new technology working in china is the most critical first step. Why is that? Lack of technical knowledge of the local team who does not understand our proprietory technology. So it required significant technical support of engineers from the United States, Canada and Japan to make sure that the equipment is well maintained and that processwise the formulas were correct. Of course, expanding our local customer base in China was also an extremely crucial in the beginning. Fortunately, we had the quality, delivery ability and price that met what they want. There are not a lot of local companies that can meet international automotive manufacturers' specifications of polyurethane (PU) foam products due to older technology. From 1 plant in greater China to now what is 4, 1 building in Guangzhou, and in the near future a trading office in Hong Kong: How was this achieved? Our international reputation in the PU industry helps greatly in our China business. We also have a very aggreesive growth strategy in China. Our Asia Pacific headquarters will be relocated to Shanghai later this year.

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What do you think is the greatest challenge to growth in China? China does not supply enough capable managers for her growing economy. Local management training is very challenging. The Chinese approach to initiative/leadership is very different. We also find that this challenge varies from region to region. But we are seeing very positive signs. We think that the opportunity in developing a capable local team is excellent. But we cannot be dogmatic in our approach. We cannot move a training program lock stock and barrel from North America to China. I always evaluate any suggestions or advice from headquarters carefully before implementation. Prior to coming to China, you have been working in Canada for over 30 years. What have you learned in Canada that has come in handy when doing business in China? The general Canadian attitude of being fair and open-minded and not taking shortcuts on health and safety and quality all help in getting more business from customers in China. Canada also has an excellent reputation for respecting diversity. I guess this attitude somehow and in some way shows up in Canadian behaviour when doing business abroad. Has working in China changed the way you form your business strategy? Yes. We have decided to install the latest technology. We have been rather conservative up to now because we do have concerns about the proper maintenance of our

.


SPECIAL FOCUS equipment, intellectual property protection and technology transfer. However, after almost five E6 in Los Angeles later this year. wouldn’t years of successful operations in ItChina, we surprise me to see some Hollywood types, who feel a lot more comfortable in managing those probably issues aren’t very good at math, buy these cars to demonstrate their green credentials, showing up at Oscar events and those sorts of What does manager have to keep in mind things. So I think we’ll see some of those being when working in China? sold, but I think it’ll be seen as a novelty. If I had You cannot impose Western or north American to put my money on one Chinese company that rules in China in managing a Chinese team. I think is going to win the trust of Chinese You have to show understanding and empathy consumers, my guess is going to be it will come to see their point of view while not losing sight from Shanghai General Motors. You bring the of product quality and production efficiency. In General Motors that people in America know leading a Chinese team or doing business in that ultimately is not going to be the state owned China it also helps that the leader is a good enterprise that it is right now. The US Treasury person and the company cares about will eventually sell its stake, and a lot of that corporate social responsibility. stake could end up going to Shanghai Auto. My bet will be on Shanghai GM as being the first What do you see in the next couple years? quasi-Chinese brand that we see with wide Generally I in think theStates. people and business acceptance theboth United in China will still be experiencing a fast growth. For Chinese people, I see a upward movement in the quality of citizenship and management ability oh international standards. For business, it will be an era of growth in all sectors. .

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FREE THE CHILDREN

Sustainability a Lofty but Attainable Goal

Carpet manufacturer treated environmental goals like a personal Everest then set about reaching the summit By Craig & Marc Kielburger Nothing about Ray Anderson’s somber pinstriped suit screamed mountaineer. Nonetheless, the 75-year-old is 60 percent of the way up his personal Everest. We recently saw the Atlanta-based businessman in Canada discussing his latest book, Confessions of a Radical Industrialist. It’s a travel diary of sorts detailing his trek up Mount Sustainability and how he made a significant profit while doing so. Mount Sustainability has a lofty, metaphorical peak – a zero carbon footprint for Interface, Anderson’s carpet company. It first came to fame in the 2003 documentary, The Corporation. Carpeting is one of many industries that are often overlooked in the environmental movement. When we think sustainability, we usually think cars, water bottles and light bulbs - not the soft fibres under our feet. For 21 years, neither did Anderson. After starting Interface in 1973, Anderson admits he gave the environment no serious thought. But in 1994 when customers started asking questions, Anderson began reading and was shocked by his findings. “I was flummoxed, I wanted to throw up when I heard how much we were extracting from the earth,” he says. “I resolved if there is going to be 1,000 or 10,000 generations

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of humans yet to come, our environmental impact needs to be zero.” That’s when Anderson started his ascent. “This was a big undertaking,” he says. “We realized the mountain had seven faces. We needed to clear each face in order to clear the top.” The first face was to eliminate waste. Interface began redesigning its products and processes to reduce and simplify. Material waste was remanufactured into new resources. In doing this, Anderson estimates they cut waste by more than half, diverted 100 million pounds of material and saved $372 million. “That’s a huge cost saver and avoider,” he says. “The progress we made on this face has paid for the mountain climb.” Next, by creating factories without smokestacks and effluent pipes, Interface reduced its emissions by 30 per cent as it moves steadily towards zero. That is being helped along by the mountain’s third face – renewable energy. So far, Interface has converted seven of its facilities to operate on 100 percent renewable energy like solar, wind and biomass. Anderson then looked to change the linear “take-make-waste” process. For most companies, materials are extracted, made into products and discarded at the end of its lifecycle. Instead, Interface looked to make that process cyclical by recycling synthetics and keeping organics uncontaminated so they can be returned to nature. That ensures at the end of a product’s lifecycle, it doesn’t become waste. Instead, it becomes a resource in making something new.


FREE THE CHILDREN

Interface continued up the mountain by reducing and moving towards resource-efficient transportation. By taking part in a number of voluntary emissions-offsetting programs, Interface has planted 87,000 trees since 1997. That’s helped reduce the impact of 174 million business-related miles. That brings Anderson to the sixth face shifting mindsets. Anderson constantly campaigns his message. And, through a speaking bureau at Interface, many employees deliver sustainability-focused speeches around the world. “We need to realize we don’t live on an infinite earth,” says Anderson. “We make a profit to exist. But, we must exist for some purpose.”

With Interface striving to fully meet these goals by 2020, Anderson is working on summiting to the seventh face – one that stems directly from changing mindsets. He explains there is a need to create an honest marketplace with new business models of sustainability. By proving to stakeholders that a business can be both profitable and sustainable, Anderson hopes others with follow, helping to redefine commerce by joining Interface on the peak. Only then can we leave something for the next generation. “We have to remember what we learned as children,” says Anderson. “You can’t squeeze the golden goose to death.”

squeeze the golden goose to death.”

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Moving towards a healthie economy and environmen

WORDS OF WISDOM

By Bronwen Smith

5 Online Resources for the Business Leaders in China All Roads Lead to China What it's all about All Roads Lead to China was established with the objective of providing accurate, up-to-date information on China’s current trends, macroeconomic development, regional differences and consumer preferences, to enhance the business intelligence of executives entering China who require a sophisticated, informed China strategy. Take a look 5 Characteristics of Successful Companies in China The Top 10 Consumer Trends Defining China’s Emerging Domestic Market

Chinese Negotiation What it's all about Under the Chinasolved.com group of sites, Chinese Negotiation is also written by a lecturer of International Negotiation which acquaints western business professionals with principles and realities of negotiation in China today. Westerners coming to China to negotiate business deals and partnerships need a clear understanding of the cultural and commercial environment in the PRC. Take a look The New Chinese Negotiator: From Harmony to Our Money (Part 1) Negotiating in China: Secrets of Success Conflict Resolution vs Conflict Avoidance in Chinese Business (Part 1)

China Solved What it's all about Written by an experienced management consultant and NUY lecturer based in Shanghai, Andrew often touches on success strategies that are insightful and interesting. Take a look How (not) to choose a business partner in China –by guest poster Arie Schreier, PTL Group 10 Commandments for Westerners in China

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WORDS OF WISDOM

China Law Blog What it's all about China Law Blog focuses on business law in China. It is written by Dan Harris, an international lawyer based in the United States and Steve Dickinson, an international lawyer based in China. Take a look Setting Up Your China WFOE's Branch Office. Five Things About China Deals That Differ From The West. Aspiration Matters Apple In China (Again) And Why SMEs Usually Do Better Faster.

Forbes.com's The China Tracker What it's all about: New to the block The list of bloggers who will be contributing contains a virtual who's who among contemporary China thinkers Take a look What Are The Politics of China’s New Real Estate Measures? Mapping China's Growing Global Clout Foreign Biz Climate in China: SchrÜdinger's Cat

Managing the Dragon What it's all about: If you want to do business in China, Jack Perkowski is your man. In Managing the Dragon he takes you into the heart of the Middle Kingdom and shows you the way with insight, humor and the kind of practical advice an entrepreneur or a down home tourist needs to navigate this fascinating and often bewildering colossus of a country. Take a look Building Relationships in China Mutual Trust Keys to Success In China

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REFLECTIONS

Starting a Business in China Things Canadian entrepreneurs need to know By Jason Inch

Many people come to China with the dream of starting their own business. While thoughts of a billion-plus Chinese consumers may still enter the minds of some, today's young entrepreneurs are more nuanced in their visions of China. I would like to share some of the important lessons of my recent past, as both an entrepreneur in China and a professor of entrepreneurship, with the hope that these ideas will help you achieve your entrepreneurship dreams. Let me focus on two key areas of concern to the Canadian entrepreneur: How recent visa restrictions have affected entrepreneurship activities, and start-up considerations specific for China. Of the two areas, the visa situation may be the most worrisome to budding Canadian entrepreneurs, especially those who lack the start-up funding to establish a legal Wholly-Owned Foreign Enterprise (WOFE). As is now common after the precedent set during the Olympics, business visas – long the mainstay of entrepreneurs as well as for those

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with no formal work sponsorship in China – are much harder to get due to the 2010 Shanghai World Expo. Until the Expo is over in October, there are stricter business visa documentation requirements and shorter durations, forcing entrepreneurs to be more creative, use risky visa agents, and spend small fortunes flying to Hong Kong to renew the shorter-term visas that are now the norm. The solution then, as is now, is to seek an employment opportunity that provides you with a residence permit (i.e. a working visa), yet enough free time to work on your start-up. Two jobs? Welcome to entrepreneurship. A tourist visa is also a common choice, yet of late has become so short term that its costs – flying out of the country every 90 days or more often – exceed its benefits. I suggest another visa alternative still unfamiliar to some: The student visa. This kind of visa may be procured through many of the city's top Mandarin programs such as Jiaotong University or Tongji University, with the proviso that you show up for class at least once in a while. Take my advice and kill two birds with one stone: A Canadian entrepreneur in China without the ability to speak Mandarin is more endangered than the South China Tiger. In terms of specific start-up considerations for entrepreneurs in China, a number of business policies formerly utilized by entrepreneurs are now being phased out. Nobody said doing business in a foreign country would be easy, but ironically for entrepreneurs, the post-WTO era in China is becoming stricter as China harmonizes regulations in line with international practices. One example worth noting: A unified corporate income tax rate rather than several years of one hundred percent and fifty percent tax holidays for foreign companies. A unified tax rate means


REFLECTIONS

that certain types of entrepreneurial ventures (e.g. a manufacturing startup) can no longer count on tax relief in the early years. For entrepreneurs, this means one thing – no advantage over local firms and, consequently, fiercer competition. In addition, China's business laws in general are now less friendly to entrepreneurship, both foreign and Chinese, than they once were. One local student from my MBA class of entrepreneurs told me that the while the new labor law enacted last year has been hailed as a boon for protecting workers’ rights, it is overly punitive on small businesses. For example, it is now significantly more difficult to fire employees. Entrepreneurs beware: Cash flow crunches are still the number one killer of business, and China's labor law makes it difficult to cut back on what is usually one of the largest costs. In the same vein, minimum wages have gone up in many cities including Shanghai and with them, employees' salary expectations. This tends to disproportionately affect smaller firms with less ability to carry a large payroll. My solution to all these problems: Go west. Globalization has made China's first-tier cities such as Shanghai and Guangzhou more competitive than ever. Not only do entrepreneurs face competition from savvy local firms with founders who have studied or worked abroad (so-called sea turtles, hai gui), they also face competition from other Westerners who are also chasing the China dream. Although more geographically fragmented, the lower tier cities offer much greater opportunities: China’s National Bureau of Statistics says that the third to fifth tier cities have more than double the population of the first two tiers, approximately 234 million

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REFLECTIONS

people versus about 118 million as of the last major census in 2005. That leaves the majority of China’s 1.3 billion in the less-developed rural areas. Incomes in the lower tiers are not necessarily low, the third to fifth tiers have on average half the salaries of the first and second, and 43 percent of China’s GDP is generated in the third to fifth tiers versus 34 percent in the first and second tiers, so there are plenty of under-served, newly-affluent customers. While living and working in a small and lesser known city may not be as exciting or fast-paced as a place like Shanghai, regulations are often easier to bypass (with the right guanxi of course), and there is less competition in many sectors from the aforementioned hai gui and Westerners alike. What's more, tax holidays are still available to

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firms setting up in provinces such as Anhui, Sichuan, and Yunnan. Be forewarned though: Big firms with deep pockets have woken up to the potential of many of these cities, electing to "surround the towns by taking the farmland," so entrepreneurs may still face intense competition. As always, success in entrepreneurship usually involves finding a niche that is small enough for the large firms to overlook. So, to paraphrase that most Chinese of tales, take a Journey to the West and seek your own China fortune. Jason Inch is a Shanghai-based consultant and the co-author of Supertrends of Future China. Please contact Jason Inch at Jason@chinasupertrends.com or www.chinasupertrends.com



LIFE BEYOND WORK

CANCHAM Turns Two! June 18th marks the 2nd anniversary of CANCHAM’s beginnings . From CANCHAM’s inception in 2008, the organization has grown from a single person operation with 50 members to a 7 person team with almost 500 members. Special thanks to our members for helping build a vibrant Canadian business community in China. Special thanks to Mark Ceolin, Nadir Patel, Mark Rowswell, Sandy O’ Reilly, Yves Nadon and Stéfanie Vallée for taking part in this video. Oscar Malpica, CANCHAM video director, is a freelance photographer and digital media creative director. He specializes in corporate and travel imagery. Please visit www.OscarMalpica.com for more information. This video is made by Skyzone Creative Studio, which offers dynamic, effective, innovative solutions to HD Video and Digital Photo for businesses. They run the entire production, beginning to end, or part of the services. For more information on

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LIFE BEYOND WORK

Fashion Trends in China Fashion Photographer Todd Anthony Tyler’s Take on Trends Shanghai is a very fashion conscious city but yet it seems that much of the trends still come from abroad. Do you think that China will ever become a fashion trendsetter? For me, unless you live in Paris, Milan or perhaps London or Tokyo, a person always feels like the trends are coming from abroad. I really don’t believe fashion trends are an East versus West thing. If you travel to the creative centers of fashion such as Paris, you will find the people working and designing there are not all just French designers but people from all corners of the planet. So ultimately fashion trends are coming from a global mix of talents and minds. It seems like most of the trendsetting designs and fashion sense are coming from abroad but this is just due to China being in an early stage for style, fashion and appreciation for fashion all together. Somewhat naturally when a subject is new to people they are attracted to the industry leaders who have the capital to market themselves on a huge international scale. At this stage in the current history of fashion in China, people are looking to the big brands for some direction. However, as the population’s fashion sense matures and people become more aware of design, shape, color texture, patterns and what works and what doesn’t, you will find a shift to domestic brands that are offering what the public wants.

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