Many foreigners living in China would know that there are hard to let the government people to follow their works sharply. They can seek for any excuses from your papers. It can be due to their want some benefit, else of it, they also want to know the applicants political background. It's for the purpose to climb to the higher positions in their career.
The applicants need to tell them what people they know associated with their job. For example, if the applicants is for applying the travel VISA where needs the stamp from the police authority, then, it needs to know other police station people's name especially if that person come with the higher position than them. Or it needs to tell them which communism party secretary they know. That communism party secretary is for the duty of owning the personnel affair. Usually and traditionally, it needs their recommendation for any promotion. Since they are the person can run through any different authority.
The attitude of the civil servants are not that good especially the department with no real power, such as renting residential apartment authority, they are only for receiving the document with no real or official stamp kept on hand. And their attitude is very bad and impolite.
Thursday, November 26, 2009
The side-revenue of China police
The salary of China police is not that high, around few thousand RMB only and it's even up to their working states and city. If they work in the big city like Shanghai or Beijing, the salary can be around USD1000 per month plus other social scheme, such as free hospital, sight-seeing places and police club etc.
For such salary, they need to face the internal violence of people, most of them do not think that worth of it. Some of them would be like a warrior, some of them not. It forms an sub-culture that they use their power and authority to seek for other side revenue. The common side-revenue are:
1. Collecting the bad-debt money especially for the finance service company.
2. Put the car for very low price auction to the second hand trader of the car and get commission
3. protection charge for the night club, sauna etc, they sell the info before any action or get constant money from them.
4. Check and track people's background from their database.
5. sell the writing of the document for releasing any person supposed in-jail or minimize their legal responsibility.
A simple police can get more than their salary monthly from the above ways. Do not think that it's corruption, it's common everywhere in China, the China police comes more legal and civilized way than most of the Asian countries.
For such salary, they need to face the internal violence of people, most of them do not think that worth of it. Some of them would be like a warrior, some of them not. It forms an sub-culture that they use their power and authority to seek for other side revenue. The common side-revenue are:
1. Collecting the bad-debt money especially for the finance service company.
2. Put the car for very low price auction to the second hand trader of the car and get commission
3. protection charge for the night club, sauna etc, they sell the info before any action or get constant money from them.
4. Check and track people's background from their database.
5. sell the writing of the document for releasing any person supposed in-jail or minimize their legal responsibility.
A simple police can get more than their salary monthly from the above ways. Do not think that it's corruption, it's common everywhere in China, the China police comes more legal and civilized way than most of the Asian countries.
The real China legal document from the China court
Many experienced China trade people or company know that there are many fake documents from the scammers in China. They dare do any legal documents from the police, military, court or any executive departments.
The court letter is one of the common fake document where push people to call to their advised hot line. Then, enter their scamming trap. So, I would like to share with all people about the real document from the court asking for the people.
In that letter, it reflect that most of the official company are no longer use the private money collection company to get their money back, they use the legal way via the lawyer to do so.
In fact, else of such option, people would pay private to the police for collecting the money from them. It's a sort of the main revenue for many police in China.
The court letter is one of the common fake document where push people to call to their advised hot line. Then, enter their scamming trap. So, I would like to share with all people about the real document from the court asking for the people.
In that letter, it reflect that most of the official company are no longer use the private money collection company to get their money back, they use the legal way via the lawyer to do so.
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| 寄件者 Mobile Phone Development and Cellular Development |
In fact, else of such option, people would pay private to the police for collecting the money from them. It's a sort of the main revenue for many police in China.
Tuesday, October 6, 2009
How rich of China
The GDP of China is more than USD3,000 on 2008. The question is most of the fortune are limited in few grade 1 cities only. For example, Shen Zhen, which is the city where the GDP is more than USD10,000 on 2008. And the children there in-born come with the tape water and even the digital life.
The following video is from a Shen Zhen Starbucks where a children taking the Sunday leisure with his parents and playing the online game with his laptop. And in the same time, in the middle part of China, the government is still under solving the problem where most of the family are still not possible to online even not enough of Internet cafe. And in the west part of China, many people are still not know the PC yet, people start to touch TV from 10 years ago only.
Where is about the unbalance of the fortune and the high development difference within China.
The following video is from a Shen Zhen Starbucks where a children taking the Sunday leisure with his parents and playing the online game with his laptop. And in the same time, in the middle part of China, the government is still under solving the problem where most of the family are still not possible to online even not enough of Internet cafe. And in the west part of China, many people are still not know the PC yet, people start to touch TV from 10 years ago only.
Where is about the unbalance of the fortune and the high development difference within China.
Friday, October 2, 2009
From 1999, I moved to China Shen Zhen from Hong Kong for setting up my first factory in China. I partner with a German to operate it. We worked in GSM unlocking, car diagnosis, and set up the online store to resell the China made digital electronics and mobile phone hardware repairing tools.
Since many people come from the other provinces, people demand also the family feeling of living there especially the culture from China where easily let people project the boss to be their parents. The annual dinner is a must have ceremony for the people to have the feeling likely together.
How i work with people and run my business?
1. co-operate with many developers to realize their product.
2. design the hardware interface for them.
3. produce the stuffs in my factory
4. resell that developer's products
5. some of the products are share profit 50/50 and provide also the technical support and customer service
6. share with my list, i operate the factory business via my online store
And now, I am still operating the car diagnostic tools aka automotive scan tool, and i keep of seeking the new individual, soho or any companies to realize their product and make them can use china production power to outsource their products.
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| shek kou factory photos |
Since many people come from the other provinces, people demand also the family feeling of living there especially the culture from China where easily let people project the boss to be their parents. The annual dinner is a must have ceremony for the people to have the feeling likely together.
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| annual diner 2007 |
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| annual dinner 2008 |
How i work with people and run my business?
1. co-operate with many developers to realize their product.
2. design the hardware interface for them.
3. produce the stuffs in my factory
4. resell that developer's products
5. some of the products are share profit 50/50 and provide also the technical support and customer service
6. share with my list, i operate the factory business via my online store
And now, I am still operating the car diagnostic tools aka automotive scan tool, and i keep of seeking the new individual, soho or any companies to realize their product and make them can use china production power to outsource their products.
My experience of operating the factory in China, many mafia and mafia alike country
I operate the factory in China for 8 years and live there in years. It's a mafia alike place of course. There was a time, a fire engine policeman came to my factory saying my fire engine regulation did not meet the government standard. And he provided me a name card with only his mobile phone #. At that time, I never know what i means, finally, i knew from a friend, it means he wanted to settle that problem in private. So, I under table him, and he can revise the paper submitting to the senior. My factory size was around 2000 square meters. And it costed me around USD2000 for private, if his senior know, then, more people need to share, it will cost USD5000.
When any foreigner go to China, do not imagine that no one know you, many people focus at you and decide if you have the money or not. If not, they would not do anything, they would use their way to check and make sure you have money, then, they would take the action with the government together for getting your money.
The commercial authority would come and say there is an yellow page alike guild book need to advertise there. If the factory do not advertise there, then, they would check each goods that the factory export. And of course, it will find also the excuse to refuse the issue of the export paper.
The custom would also use their courier to come and asking for the order. If do not share part of the transportation order to them, then, they would also use the excuse to hold that factory's shipment in the custom claiming for checking.
The recycling of the rubbish such as carton is a business belonged to the regional local mafia, if the factory try to sell on their own to other cities company, then, the factory would often come with the beggars staying in their entrance.
There are many DHL, TNT, FedEx and UPS in China, all of them are real, but never pay for the copyright licence. Since in their background, they are from the different government authorities. Each authorities, such as custom, commercial, tax are existed of their own networking company where use the name of other factory to run their own business and claim as reseller. So, the real FedEx from China can only sell them the quota in low price and let them seek for the customers locally too. If not, their business are even cannot run.
When any foreigner go to China, do not imagine that no one know you, many people focus at you and decide if you have the money or not. If not, they would not do anything, they would use their way to check and make sure you have money, then, they would take the action with the government together for getting your money.
The commercial authority would come and say there is an yellow page alike guild book need to advertise there. If the factory do not advertise there, then, they would check each goods that the factory export. And of course, it will find also the excuse to refuse the issue of the export paper.
The custom would also use their courier to come and asking for the order. If do not share part of the transportation order to them, then, they would also use the excuse to hold that factory's shipment in the custom claiming for checking.
The recycling of the rubbish such as carton is a business belonged to the regional local mafia, if the factory try to sell on their own to other cities company, then, the factory would often come with the beggars staying in their entrance.
There are many DHL, TNT, FedEx and UPS in China, all of them are real, but never pay for the copyright licence. Since in their background, they are from the different government authorities. Each authorities, such as custom, commercial, tax are existed of their own networking company where use the name of other factory to run their own business and claim as reseller. So, the real FedEx from China can only sell them the quota in low price and let them seek for the customers locally too. If not, their business are even cannot run.
The competition in China
It;s one of the hardest competition in the world. There are 2 famous stories circulating in China about how hard to working the investment in China.
First one is Singapore government. Their former prime minister travel to China for few times and finally select suzhou to rent a big land for building a city there for the purpose of bringing the foreign enterprise to invest there. Where the infrastructure and capital are invested from Singapore. In the first 3 years, such project success. And a lot of the multinational companies move there to run their production, part of them are even from Singapore to there and maintain Singapore to be their headquarter. For example, the Seagate, Toshiba IC and some software companies.
In the year 4, China build the exact one and use half price to let all companies from Singapore land to move to their land. It success partially, due to some companies still willing to keep in their existing place, however 40% of them are moved out. It's competition within China. Singapore cannot hammer China, it's not just due to the international power, it's also due to the commercial activities. And now, China use such experience to rent a big land in Mexico to let their production power to move there for exporting to the North American market, for the time of 40 years.
In the South side of China, there was a mall called CEPA mall particularly letting the Hong Kong retailers to set up the shop there, which is for celebrating the CEPA relationship from China and Hong Kong where allow many products from Hong Kong to export to China for free of import duty. Some of the retailers moved there to set up their China brand shop. In the first 3 months, it gained the money. In the month 4, more and more clone and copy shops were open there and use half price to get buyers. In month 6, the landlord approach them asking if they are willing to cut the 12 months renting contract and move out without penalty. half of the people agreed. And some of them refused. Then, their shop start to be stolen. Finally, that CEPA mall is only for the clone and copy product again likely Luo Wu in Shen Zhen.
First one is Singapore government. Their former prime minister travel to China for few times and finally select suzhou to rent a big land for building a city there for the purpose of bringing the foreign enterprise to invest there. Where the infrastructure and capital are invested from Singapore. In the first 3 years, such project success. And a lot of the multinational companies move there to run their production, part of them are even from Singapore to there and maintain Singapore to be their headquarter. For example, the Seagate, Toshiba IC and some software companies.
In the year 4, China build the exact one and use half price to let all companies from Singapore land to move to their land. It success partially, due to some companies still willing to keep in their existing place, however 40% of them are moved out. It's competition within China. Singapore cannot hammer China, it's not just due to the international power, it's also due to the commercial activities. And now, China use such experience to rent a big land in Mexico to let their production power to move there for exporting to the North American market, for the time of 40 years.
In the South side of China, there was a mall called CEPA mall particularly letting the Hong Kong retailers to set up the shop there, which is for celebrating the CEPA relationship from China and Hong Kong where allow many products from Hong Kong to export to China for free of import duty. Some of the retailers moved there to set up their China brand shop. In the first 3 months, it gained the money. In the month 4, more and more clone and copy shops were open there and use half price to get buyers. In month 6, the landlord approach them asking if they are willing to cut the 12 months renting contract and move out without penalty. half of the people agreed. And some of them refused. Then, their shop start to be stolen. Finally, that CEPA mall is only for the clone and copy product again likely Luo Wu in Shen Zhen.
Why the European and American resturant are willing to invest in Hong Kong for the China market user
Many Chinese people come to Hong Kong for experiencing the European food or American food. Since in Mainland China, the similar restaurant cannot provide the real food cook in the way that can taste in Hong Kong. Usually, the cook learn from the China local school, since they never really go outside to learn the real European Style and American style, so, they never get known how to serve the people good.
For example, in Europe, people would not say we have eaten fully, they would said, we enjoy that food a lot. It's due to people make the food likely a ceremony or an event. The eating environment, the people eating in the same place together, outside environment, service etc are the points bring them a good dinner environment. See from a video taken from me with my Mainland China friend in a Hong Kong local American restaurant:
We got an experience that the restaurant is a place for fun more than the food.
For example, in Europe, people would not say we have eaten fully, they would said, we enjoy that food a lot. It's due to people make the food likely a ceremony or an event. The eating environment, the people eating in the same place together, outside environment, service etc are the points bring them a good dinner environment. See from a video taken from me with my Mainland China friend in a Hong Kong local American restaurant:
We got an experience that the restaurant is a place for fun more than the food.
The retail in China, for the small and medium size enterprise
In Hong Kong, there are more and more Mainland Chinese go there to spend money. They are no longer buying the digital product or the famous brand fashion, China can source it cheaper now even after added the VAT. People go to Hong Kong to buy those stuffs are for the purpose of getting the good buying experience.
And now, there are the people to go to Hong Kong for buying the palm oil, soy, mineral water, especially buying from a super store called City Super. People even enjoy of going there for the coffee and salad.
The retail growth of Hong Kong is due to the trading area of Hong Kong is extended to overall south Side of China called Delta Pearl. People from Delta Pearl operate the production, then, the middle class from Delta Pearl come to Hong Kong to enjoy the high class life and experience.
In Hong Kong, the experience of the retailing are not that expensive, for example, the most deluxe hotel, Peninsula Hotel, where a cup of coffee charge are arund USD9.00 only, and it's the hotel even Bush and Clinton were living there when they came to Hong Kong. See a video fro me and my friend taking the high tea in that hotel.
And now, there are the people to go to Hong Kong for buying the palm oil, soy, mineral water, especially buying from a super store called City Super. People even enjoy of going there for the coffee and salad.
The retail growth of Hong Kong is due to the trading area of Hong Kong is extended to overall south Side of China called Delta Pearl. People from Delta Pearl operate the production, then, the middle class from Delta Pearl come to Hong Kong to enjoy the high class life and experience.
In Hong Kong, the experience of the retailing are not that expensive, for example, the most deluxe hotel, Peninsula Hotel, where a cup of coffee charge are arund USD9.00 only, and it's the hotel even Bush and Clinton were living there when they came to Hong Kong. See a video fro me and my friend taking the high tea in that hotel.
The biggest capitalism in the world: China
All people from China respect the business and a lot. People enjoy to called the title of other people. For example, if anyone are the general manager grade, and their surname lets say in Pu, then, they call Mr Pu to be GM Pu.
The trading in China is no longer talking the topic about Beijing, Tian An Mun, Old kingdom, dynasty etc. People talk more about money mainly. Most of the wine advertising in China are for the business purpose or the business community user. There are none of them for the family drinking or bringing the new user experience to the people drink their wine.
In here, money can buy most of the thing. Pay more for the construction worker if they are accepted to work in the danger site, in the coal workshop without air convention system, the danger outdoor repairing of building etc. In the factory of multi-national company, all workers are not accepted the short-sight people even China is existed the law forbidden the disable discrimination. The police can judge the criminal without the permit from the court. The police can also get the money and assign the policemen to be the security guard for the factory by packing the police car and bringing with gun.
There is another new industry newly born in China called Special Force Guard, they are the retired military at around 30 years old. For them, they use their power for working with the event, private ceremony, jet pot place etc. And the real military called Wu Jing is under paid to be the security guard for the transportation of the bank's cash. It's even one of the main revenue for the regional military power.
The trading in China is no longer talking the topic about Beijing, Tian An Mun, Old kingdom, dynasty etc. People talk more about money mainly. Most of the wine advertising in China are for the business purpose or the business community user. There are none of them for the family drinking or bringing the new user experience to the people drink their wine.
In here, money can buy most of the thing. Pay more for the construction worker if they are accepted to work in the danger site, in the coal workshop without air convention system, the danger outdoor repairing of building etc. In the factory of multi-national company, all workers are not accepted the short-sight people even China is existed the law forbidden the disable discrimination. The police can judge the criminal without the permit from the court. The police can also get the money and assign the policemen to be the security guard for the factory by packing the police car and bringing with gun.
There is another new industry newly born in China called Special Force Guard, they are the retired military at around 30 years old. For them, they use their power for working with the event, private ceremony, jet pot place etc. And the real military called Wu Jing is under paid to be the security guard for the transportation of the bank's cash. It's even one of the main revenue for the regional military power.
My third months of living in China
on 1-10-2009, it was the China national holiday celebrating the set up of People Republic of China for 60 years. In 60 years ago, there are not existed of highway in China, now, It's second longest highway country in the world. And China use only 30 years to build it. In the past 10 years, 50% of the cement are absorbed from China for re-building the whole China. More and more cities from China will build in the coming 20 years in order to create the jobs for the local people.
It provides many opportunities to the South East Asia country, since most of their natural resources, such as cement, wood, energy, fish and rices are exporting to China and gain such money for feeding their social weak.
There are many pain history from China in the past 100 years. And the young generation are started to get rid of it. They are no longer feeling themseleves "shorter" than the foreigner. And there are near 2 million university students studying aboard coming back to China. They bring the networking and foreign capital back to China too. They come back and start to build their own network saying as the community of the overseas students. It's very common in China, people demand a lot of the community in China, it's the place people making the friendship first before doing any business.
It's true that there are many production power in China. And China is also facing the truth that most of the global demanding are fulfilled from China. And China cannot grow sharply likely before of using the export power to create the job for the local excess labor. It's now in the path of developing the local market. It's for feeding the local labor, and the setting up of the cities is one of the main options for creating the jobs.
It provides many opportunities to the South East Asia country, since most of their natural resources, such as cement, wood, energy, fish and rices are exporting to China and gain such money for feeding their social weak.
There are many pain history from China in the past 100 years. And the young generation are started to get rid of it. They are no longer feeling themseleves "shorter" than the foreigner. And there are near 2 million university students studying aboard coming back to China. They bring the networking and foreign capital back to China too. They come back and start to build their own network saying as the community of the overseas students. It's very common in China, people demand a lot of the community in China, it's the place people making the friendship first before doing any business.
It's true that there are many production power in China. And China is also facing the truth that most of the global demanding are fulfilled from China. And China cannot grow sharply likely before of using the export power to create the job for the local excess labor. It's now in the path of developing the local market. It's for feeding the local labor, and the setting up of the cities is one of the main options for creating the jobs.
Wednesday, September 30, 2009
The sales and marketing in China
China is no longer the market lacking the hardware materials, it's the world factory, most of the stuffs can source from China. The question is the quality control and experience from using the products.
In the market of the developed countries, there are more and more focus at the experience of using the product, every high price product need to ask internally what new experience can bring to the user. In China, the consumer never ask for it before. And now, it starts.
Most of the international brands are start to set up their experience shop in China, it's not just Apple, the other brands like IBM, Samsung, Addidas etc are opening more and more experience shop in the level 1 cities.
And the China local mobile phone operators are also no longer selling the product and features. They start to sell the experience from using their service. The following post is from the China Mobile Telecom where they use the new experience bring to the user from using their 3G service.
And it even tells the users, such service is only as simple as using their advised phone models.
In the market of the developed countries, there are more and more focus at the experience of using the product, every high price product need to ask internally what new experience can bring to the user. In China, the consumer never ask for it before. And now, it starts.
Most of the international brands are start to set up their experience shop in China, it's not just Apple, the other brands like IBM, Samsung, Addidas etc are opening more and more experience shop in the level 1 cities.
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| 寄件者 China economy, China business, China trade, China tour |
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| 寄件者 China economy, China business, China trade, China tour |
And the China local mobile phone operators are also no longer selling the product and features. They start to sell the experience from using their service. The following post is from the China Mobile Telecom where they use the new experience bring to the user from using their 3G service.
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| 寄件者 China economy, China business, China trade, China tour |
And it even tells the users, such service is only as simple as using their advised phone models.
Thursday, September 17, 2009
Point of success: using the power of China
Hillary explained that there are existed of the smart power from USA which would help USA to get rid of the existing problem. In fact, smart power exist anywhere and country. In the commercial area, which is from the using of the China power.
We can use an example from the mobile phone and PC, almost all of them are assembled in China, since none of any place in the world would exist such plenty of the labor power and raw materials. And it's even offering for cheap price. When iphone deal with HTC, they provide only the software, all hardware design are from HTC, assembly in China, and even pay HTC after the shipment. So, hardware R & D, capital, labor, inventory, shipment, are all from China or mainly from China. iphone is only responsible for selling.
In the PC industry, all PC factory need to pay Intel payment first before shipment. And they credit for the reseller in European and USA. Those importers are also using the China labor, capital and natural resources to run their business.
Since none of anywhere can be like China to exist such big production scale. Who can own the innovative and marketing power, then, who can use the resources from China.
In the garment industry, it's also a typical sample of using China resources. The importer pay the supplier in near 6 months after the shipment. The buyer provide only the design and channel or marketing. Then all are from China to run their business.
When you have innovative and marketing power and comes with volume order, you can also withdraw that resources and power from China which is a main trend of the world: Outsource.
We can use an example from the mobile phone and PC, almost all of them are assembled in China, since none of any place in the world would exist such plenty of the labor power and raw materials. And it's even offering for cheap price. When iphone deal with HTC, they provide only the software, all hardware design are from HTC, assembly in China, and even pay HTC after the shipment. So, hardware R & D, capital, labor, inventory, shipment, are all from China or mainly from China. iphone is only responsible for selling.
In the PC industry, all PC factory need to pay Intel payment first before shipment. And they credit for the reseller in European and USA. Those importers are also using the China labor, capital and natural resources to run their business.
Since none of anywhere can be like China to exist such big production scale. Who can own the innovative and marketing power, then, who can use the resources from China.
In the garment industry, it's also a typical sample of using China resources. The importer pay the supplier in near 6 months after the shipment. The buyer provide only the design and channel or marketing. Then all are from China to run their business.
When you have innovative and marketing power and comes with volume order, you can also withdraw that resources and power from China which is a main trend of the world: Outsource.
Thursday, September 3, 2009
My life in China
I move back to live in China again on 1-7-2009, which is a day that Hong Kong go back to China for 12 years from 1-7-1997. I lived in China last time was on 2001, where overall China is a like a factory under the building and the state owned factories are under selling out too. In 2009, the city in Shen Zhen are full of decor, more university graduate people live here and even more civilized foreigners live here too. In 2001, there are mainly Indian, Arabian and Turkey.
China government really build the city to be more better for living as well as working too.
When I go to the restaurant, all shops in the city are under a big revolution of doing the mix and match, people use the traditional Chinese design to fit with the foreign design such as the following photo:
It's only a sample, full of places are doing it, it also reflect from the fashion of people too.
Some bad thing of course are maintained such as the following photo:
when u put a advertising board outside, people use it for writing their own advertising. Such as that company board, people use it for writing an advertising of selling the distilled water. Why? Because there are so many farmers enter city every year, it's about their mind of leverage.
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| 寄件者 China economy, China business, China trade, China tour |
China government really build the city to be more better for living as well as working too.
When I go to the restaurant, all shops in the city are under a big revolution of doing the mix and match, people use the traditional Chinese design to fit with the foreign design such as the following photo:
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| 寄件者 China economy, China business, China trade, China tour |
It's only a sample, full of places are doing it, it also reflect from the fashion of people too.
Some bad thing of course are maintained such as the following photo:
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| 寄件者 China economy, China business, China trade, China tour |
when u put a advertising board outside, people use it for writing their own advertising. Such as that company board, people use it for writing an advertising of selling the distilled water. Why? Because there are so many farmers enter city every year, it's about their mind of leverage.
Demonstration of banking in China
In Wall Street, many news criticize China bank service, it says:
Class A scale, because they are really big in capital
Class B Asset, because their assets are not really that good as compare with most of the international banks and funds, even more worse than Japan
Class C service, because it's not the customer oriented, it's about saving cost from sacrificing customer service and serving for the promotion if government bureau.
Class D profitability, because their net profit is much less than most of the international banks even government willing to provide them the good asset likely international pier, airport, highway, toll and even the natural resources.
See the video below would know why.
There is a bank from China, where 2 people in the receiption, 1 person take care entrance people, 1 person out for the ATM machine, 1 promotional girl stay in the outside table. And OPEN ONLY 1 WINDOW COUNTER for serving more than 10 people in a queue. And the more serious problem is that it needs more than 15 minutes for opening an bank account. And even need all people from the queue to wait for that more than 15 minutes.
When compare with Hong Kong, it takes less than 5 minutes and use the other windows for serving the opening of the bank account. And the branch manager would open much more windows subjected to the traffic of people from the bank.
Class A scale, because they are really big in capital
Class B Asset, because their assets are not really that good as compare with most of the international banks and funds, even more worse than Japan
Class C service, because it's not the customer oriented, it's about saving cost from sacrificing customer service and serving for the promotion if government bureau.
Class D profitability, because their net profit is much less than most of the international banks even government willing to provide them the good asset likely international pier, airport, highway, toll and even the natural resources.
See the video below would know why.
There is a bank from China, where 2 people in the receiption, 1 person take care entrance people, 1 person out for the ATM machine, 1 promotional girl stay in the outside table. And OPEN ONLY 1 WINDOW COUNTER for serving more than 10 people in a queue. And the more serious problem is that it needs more than 15 minutes for opening an bank account. And even need all people from the queue to wait for that more than 15 minutes.
When compare with Hong Kong, it takes less than 5 minutes and use the other windows for serving the opening of the bank account. And the branch manager would open much more windows subjected to the traffic of people from the bank.
Wednesday, August 12, 2009
The China beggar market
Most of people should hear a proverb: Pay one ten more will come, which is for explaining the beggar. Since they even dare to bargain with the giver. I did ever experience a time in hotel where a beggar come to to restaurant asking for the money, when I pay USD1.0 (around), 2 more comes and ask me why not pay them same.
All beggar from China are under the control from few community which is just a sort of the business here. The following picture is from the boarder of Shen Zhen and Hong Kong, where is a taxi terminal, 4 beggar comes with 4 different positions respectively asking for the money from the passengers. And there are existed of the polices and guards there, and none of them throw the beggar off. Since in China, the beggar community is one of the political power where belongs to the local powers. If the police and guards throw them off, then, they would even lost the job.
Secondly, when we see their different positions, we can also know that it's not from the natural or organic coming of the beggar, they uses the different ways to attract for the money.
Nest time when you come to China, don't pay them any money, you are not the charity, they just make it as business. If you want to donate the small money, go to paypal to do so.
All beggar from China are under the control from few community which is just a sort of the business here. The following picture is from the boarder of Shen Zhen and Hong Kong, where is a taxi terminal, 4 beggar comes with 4 different positions respectively asking for the money from the passengers. And there are existed of the polices and guards there, and none of them throw the beggar off. Since in China, the beggar community is one of the political power where belongs to the local powers. If the police and guards throw them off, then, they would even lost the job.
Secondly, when we see their different positions, we can also know that it's not from the natural or organic coming of the beggar, they uses the different ways to attract for the money.
Nest time when you come to China, don't pay them any money, you are not the charity, they just make it as business. If you want to donate the small money, go to paypal to do so.
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| 寄件者 China economy, China business, China trade, China tour |
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| 寄件者 China economy, China business, China trade, China tour |
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| 寄件者 China economy, China business, China trade, China tour |
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| 寄件者 China economy, China business, China trade, China tour |
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| 寄件者 China economy, China business, China trade, China tour |
Thursday, August 6, 2009
How and Why Starbucks in China can open much more shops than USA
The brand value of Starbucks in China:
The doll cost at RMB128.00 each, around USD15.00, where the same doll sell in the China hawker market cost at around USD1.00 or below. That's the brand value of Starbucks in China where can sell 15 times more of the price when label with Starbucks brand, and people still buy it from China. The Startbucks in China also provide other general China local made coffee cup, each one also cost 10 times more than the normal price form China.
Why Starbucks so success in China, it's due to there are many MOHO, Mobile Office Home Office, not SOHO from China. People make Starbucks as their office for meeting people especially in the summer, Starbucks provide excellent air condition place for the meeting, people use their unlimited time WiFi for the work and communicate with their clients and suppliers there. They buy 1 or 2 cups of regular coffee and stay there for around 6 - 8 hours. From the video below, it can see that there are totally 7 PC online in a Starbucks.
The cake in china Starbucks, the outlook are not so nice, however, it's one of the hot sales cake in South side of China Starbucks. You can imagine now why so many people say earning money in China need to stay there to evaluate the local people demanding instead of exporting the experience from Europe, America and Japan to China.
Local style moon cake made with coffee. The following product is the Starbucks moon cake which is typically serving for the China market due to the China moon festivals. That product sell only in China and also bring the good money more than the normal cake from China. Before Starbucks, there are no any coffee moon cake in China, which serve a niche market from China.
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| 寄件者 China economy, China business, China trade, China tour |
The doll cost at RMB128.00 each, around USD15.00, where the same doll sell in the China hawker market cost at around USD1.00 or below. That's the brand value of Starbucks in China where can sell 15 times more of the price when label with Starbucks brand, and people still buy it from China. The Startbucks in China also provide other general China local made coffee cup, each one also cost 10 times more than the normal price form China.
Why Starbucks so success in China, it's due to there are many MOHO, Mobile Office Home Office, not SOHO from China. People make Starbucks as their office for meeting people especially in the summer, Starbucks provide excellent air condition place for the meeting, people use their unlimited time WiFi for the work and communicate with their clients and suppliers there. They buy 1 or 2 cups of regular coffee and stay there for around 6 - 8 hours. From the video below, it can see that there are totally 7 PC online in a Starbucks.
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| 寄件者 China economy, China business, China trade, China tour |
The cake in china Starbucks, the outlook are not so nice, however, it's one of the hot sales cake in South side of China Starbucks. You can imagine now why so many people say earning money in China need to stay there to evaluate the local people demanding instead of exporting the experience from Europe, America and Japan to China.
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| 寄件者 China economy, China business, China trade, China tour |
Local style moon cake made with coffee. The following product is the Starbucks moon cake which is typically serving for the China market due to the China moon festivals. That product sell only in China and also bring the good money more than the normal cake from China. Before Starbucks, there are no any coffee moon cake in China, which serve a niche market from China.
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| 寄件者 China economy, China business, China trade, China tour |
Wednesday, July 8, 2009
Photo tells the living style in Shen Zhen China
Shen Zhen is one of the first grade city from China where the GDP is above USD10,000. The GDP above USD10,000 is an important index showing the place is in front of the door of being the developed country level. In China, only few cities meet such level, there are Beijing, Shanghai and Groug Zhou. The problem is the living style of the local people do not match with the style where the GDP 10,000USD people supposed to live.
The following photo was taken from Shen Zhen metro where a person taking the local metro:
It's not the specific case, it's common in Shen Zhen. People are still not matured in living in city or get educated of the proper manner of living in city too.
The following photo was taken from Shen Zhen metro where a person taking the local metro:
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| 寄件者 China economy, China business, China trade, China tour |
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| 寄件者 China economy, China business, China trade, China tour |
It's not the specific case, it's common in Shen Zhen. People are still not matured in living in city or get educated of the proper manner of living in city too.
Tuesday, June 30, 2009
How Hong KOng and Taiwan people see China
It was changed for 5 times in the past 30 years after China open the door to the world.
Before 1990, China was the factory base for the Hong Kong and Taiwan secondary industry.
From 1990 - 1995, China was the market for Hong Kong and Taiwan to export and develop the domestic demand.
From 1995 - 2000, China was the talent store for Hong Kong and Taiwan secondary industry again for investing the R & D.
From 2000 - 2005, after China joined the WTO, China was the casino for Hong Kong and Taiwan to involve into the crazy stock market and property market.
After 2006, China was the capital origin of Hong Kong finance market and Taiwan single biggest clients earning up to 45 billion USD annually and even export the capital and tourists there.
Before 1990, China was the factory base for the Hong Kong and Taiwan secondary industry.
From 1990 - 1995, China was the market for Hong Kong and Taiwan to export and develop the domestic demand.
From 1995 - 2000, China was the talent store for Hong Kong and Taiwan secondary industry again for investing the R & D.
From 2000 - 2005, after China joined the WTO, China was the casino for Hong Kong and Taiwan to involve into the crazy stock market and property market.
After 2006, China was the capital origin of Hong Kong finance market and Taiwan single biggest clients earning up to 45 billion USD annually and even export the capital and tourists there.
From 2008, China was never poor anymore
2008 was the year where the China GDP climb to be USD3,000. Some of the higher developed cities such as Shen Zhen, Shanghai and Beijing are even more than USD10,000. And the real figure is even much more than that, it's due to the calculation from China legal system is different.
1. The land value was never counted. Since in China, all the land are belonged to the government, people own only the development right for 70 years. After 70 years, the government can take it back without paying anything.
2.The private asset was never existed the legal identification. Only after 2007, the law allow the private asset claimed as the legal asset. Before that, all were counted to be the temporarily rented from government.
3. Underground banker aka China Private Equity Fund, their scale is even matched the state-scale economy and even trade a lot of the foreign currencies. And they are never counted into the GDP.
4. Hidden transaction, there are many non-invoice or cash transaction in China, such as shops, village economy, and all government accommodations. Especially the government commendations where are claimed to be the free, so, never counted into the asset.
When we invoice such indexes into the GDP, there are at least 30% more than the existing GDP. So, from 2008, China was never poor, the problem is from the unbalance of the fortune distribution.
1. The land value was never counted. Since in China, all the land are belonged to the government, people own only the development right for 70 years. After 70 years, the government can take it back without paying anything.
2.The private asset was never existed the legal identification. Only after 2007, the law allow the private asset claimed as the legal asset. Before that, all were counted to be the temporarily rented from government.
3. Underground banker aka China Private Equity Fund, their scale is even matched the state-scale economy and even trade a lot of the foreign currencies. And they are never counted into the GDP.
4. Hidden transaction, there are many non-invoice or cash transaction in China, such as shops, village economy, and all government accommodations. Especially the government commendations where are claimed to be the free, so, never counted into the asset.
When we invoice such indexes into the GDP, there are at least 30% more than the existing GDP. So, from 2008, China was never poor, the problem is from the unbalance of the fortune distribution.
The salary of China worker are not cheap, it start to match with Hong Kong and Taiwan
A sales from a China factory can drive a Volkswagen to see the customer and his official income is only RMB2,000, around USD290. The question is there are many hidden income to him.
Such as:
1. The factory pay for the food for free
2. The factory provide the apartment for free
3. The factory provide high commission base on the payment collect from his.
Those are the hidden cost in China. For a salesman working in the IC factory or reseller company, he/she can gain around RMB6,000 monthly. So, his net income is RMB8,000 due to no food and apartment cost.
Such way are common in China, since the worker and the factory can pay less tax. And the fixed payment of the factory is also lower.
And for that salesman, his net-expense power is even higher than the developed countries people.
Such as:
1. The factory pay for the food for free
2. The factory provide the apartment for free
3. The factory provide high commission base on the payment collect from his.
Those are the hidden cost in China. For a salesman working in the IC factory or reseller company, he/she can gain around RMB6,000 monthly. So, his net income is RMB8,000 due to no food and apartment cost.
Such way are common in China, since the worker and the factory can pay less tax. And the fixed payment of the factory is also lower.
And for that salesman, his net-expense power is even higher than the developed countries people.
The China Private Equity Fund means the money from the underground bank
It's just name in China call the Private Equity Fund, the backside of those Private Equity Fund are from the underground bankers. And they provide around 30% annual return to the people involved. They mainly load to the small and medium size enterprise. Since most of the official bank do not want to load to those enterprises.
And secondly, they provide also the underground currency exchange too, one phone call and easily arrange for million cash. In Hong Kong, there are many currency exchange shop for Hong Kong dollars and RMB, they provide better rate than bank and no exchange limitation.
Since such Private Equity Fund are as big as a state-scale economy, the central government cannot use the legal way to bit it down, otherwise, it harms also to the normal economic activities. Now, the government use the Private Equity Fund way to let them raise to the "sum" and make the capital flowing legally.
And secondly, they provide also the underground currency exchange too, one phone call and easily arrange for million cash. In Hong Kong, there are many currency exchange shop for Hong Kong dollars and RMB, they provide better rate than bank and no exchange limitation.
Since such Private Equity Fund are as big as a state-scale economy, the central government cannot use the legal way to bit it down, otherwise, it harms also to the normal economic activities. Now, the government use the Private Equity Fund way to let them raise to the "sum" and make the capital flowing legally.
Thursday, June 25, 2009
How the international brands use the investing in Hong Kong to capture the Mainland China consumers
In Hong Kong, the retail volume is around USD30 billion. If it serves only the Hong Kong market, there are not possible to meet such scale. It serves also the people from south side of China. It does not mean the touring people from the south side of China, it's the regular consumer come from the south side of China to shop in Hong Kong.
The traditional famous products are LV, GUCCI, ZARA and most of the European brands and Japanese digital electronics or ipod. And from few years ago, people also come to Hong Kong regularly for buying the mile powder and daily kitchen use stuffs such as wine, sol, palm oil, chocolate etc. since those non-china made stuffs are much more cheaper in Hong Kong and more stable of the source. If buy in Hong Kong, they can fell calm of buying the right products.
It means the trading area of the Hong Kong retail are extending to whole delta pearl. The investing in Hong Kong does not mean of serving Hong Kong consumer, it means for China market too. Some of the success brands such as city super (local high-end super market), maning, watson's (personal care products) are highly benefit from it. And even the European and American restaurant are highly benefited from it too due to the style in Hong Kong cannot have the same in China.
The second advantage is that, the people come from south side of China are the middle class people. Such mechanism indirectly filter the people with buying power to Hong Kong. So, the international brand investors can maintain the low tax and legal environment in Hong Kong and serving the China consumer. Some of the place in Hong Kong, such as International Fiance Centre, are typically doing it.
The traditional famous products are LV, GUCCI, ZARA and most of the European brands and Japanese digital electronics or ipod. And from few years ago, people also come to Hong Kong regularly for buying the mile powder and daily kitchen use stuffs such as wine, sol, palm oil, chocolate etc. since those non-china made stuffs are much more cheaper in Hong Kong and more stable of the source. If buy in Hong Kong, they can fell calm of buying the right products.
It means the trading area of the Hong Kong retail are extending to whole delta pearl. The investing in Hong Kong does not mean of serving Hong Kong consumer, it means for China market too. Some of the success brands such as city super (local high-end super market), maning, watson's (personal care products) are highly benefit from it. And even the European and American restaurant are highly benefited from it too due to the style in Hong Kong cannot have the same in China.
The second advantage is that, the people come from south side of China are the middle class people. Such mechanism indirectly filter the people with buying power to Hong Kong. So, the international brand investors can maintain the low tax and legal environment in Hong Kong and serving the China consumer. Some of the place in Hong Kong, such as International Fiance Centre, are typically doing it.
Wednesday, June 17, 2009
5 cases China are undering doing for surprising the world in the coming 10 years
China is doing a lot of the works for moving the country to be as strong as 300 years ago. Certain of the works that the America or Europe would not do and even cannot do.
1. Allow the foreigners to enter the government bureau, in Beijing, some of the government post are taken from the foreigners who own only the working VISA.
2. IN 2020, 50% of the cars in China will be the electric-driven, such project accept many investors to go, such as Ford. And China will replace Japan to be the single biggest car output country in the world.
3. China has rented a city in Mexico for 50 years which is for the purpose of serving the North America market by removing the China lowest production cost there and get the North America market. The same project will do in Turkey and Poland.
4. Else of using 1.35 billion USD to buy the IBM PC business, China is under seeking the next targets which will be 1 or 2 American leading technology firm. For the finance industry, China have entered such as Blackstone, China use USD3
5. Taiwan start to dissolve into Mainland China. An food enterprise call Wang Wang was from Taiwan and got almost collapsed in Taiwan due to their competitor United dump them. Wang Wang move to Mainland to operate, in 10 years later, Wang Wang get strong and go back to Taiwan buying up United. More similar cases are happening in China and Taiwan. And the next step is the China capital flow to Taiwan for the M & A.
1. Allow the foreigners to enter the government bureau, in Beijing, some of the government post are taken from the foreigners who own only the working VISA.
2. IN 2020, 50% of the cars in China will be the electric-driven, such project accept many investors to go, such as Ford. And China will replace Japan to be the single biggest car output country in the world.
3. China has rented a city in Mexico for 50 years which is for the purpose of serving the North America market by removing the China lowest production cost there and get the North America market. The same project will do in Turkey and Poland.
4. Else of using 1.35 billion USD to buy the IBM PC business, China is under seeking the next targets which will be 1 or 2 American leading technology firm. For the finance industry, China have entered such as Blackstone, China use USD3
5. Taiwan start to dissolve into Mainland China. An food enterprise call Wang Wang was from Taiwan and got almost collapsed in Taiwan due to their competitor United dump them. Wang Wang move to Mainland to operate, in 10 years later, Wang Wang get strong and go back to Taiwan buying up United. More similar cases are happening in China and Taiwan. And the next step is the China capital flow to Taiwan for the M & A.
Sunday, June 7, 2009
The serious problem from Taiwan economy
In 2008, all Taiwanese expect the more income from their new president, Ma Ying Giu after the 20 May 2008. 1 year has gone, the economy of Taiwan is still hard. It's not just Ma's problem. Since after their Chang president, Taiwan are no longer come out the visionary leader who or his team are capable to see the vision of Taiwan. From Chen president, overall Taiwan was like a cultural revolution. All countries in the world focus at economy, only Taiwan focus at politics. After that, most of the visionary Taiwan enterprise or the export enterprise move to China.
Now, the new government launch the 12 big infrastructures for fighting the economy of Taiwan trying to compare as Chang's contribution. And such investment may not help Taiwan. Since Chang's infrastructure were for synergy Taiwan's resource for exporting in 30 years ago. Now, Taiwan is a matured economic community, such infrastructure cannot contribute a lot for them. It needs the vision of leading Taiwan to innovation industry.
10 years ago, Taiwan had the opportunity if building an info land or letting most of the overseas info to pass Taiwan to land to China as well as he Asian info operating centre. And due to the internal political fighting, China raise up of it and build the network with the world directly and welcome the foreign enterprises to China directly too.
In the past 10 years, many countries and cities are changed their models. Singapore change to be the capital of ASEAN where monopoly most of the capital from ASEAN. Hong Kong change to be the China's New York and Florida. Macao change to be the China's Las Vagues. Korea change to be an R & D countries and outsource production to China. And Taiwan? Still waiting for the re-positioning.
10 years ago, China loved Taiwan experience a lot. Now, Taiwan experience is just one of China's resources. The competition of Taiwan is no longer from China, it's from the regional state of China such as delta pearl, Shanghai economic zone, Beijing economic zone etc. If Taiwan are willing to accelerate the moving to China, it can still be the second biggest share holder of China next to China communist party. Since the R & D power, international personnel network, technology sense, languages are still leading China for at least 10 years. If doing nothing, then, 10 years later, Taiwan is just one of the state from China likely Texas in USA.
Now, the new government launch the 12 big infrastructures for fighting the economy of Taiwan trying to compare as Chang's contribution. And such investment may not help Taiwan. Since Chang's infrastructure were for synergy Taiwan's resource for exporting in 30 years ago. Now, Taiwan is a matured economic community, such infrastructure cannot contribute a lot for them. It needs the vision of leading Taiwan to innovation industry.
10 years ago, Taiwan had the opportunity if building an info land or letting most of the overseas info to pass Taiwan to land to China as well as he Asian info operating centre. And due to the internal political fighting, China raise up of it and build the network with the world directly and welcome the foreign enterprises to China directly too.
In the past 10 years, many countries and cities are changed their models. Singapore change to be the capital of ASEAN where monopoly most of the capital from ASEAN. Hong Kong change to be the China's New York and Florida. Macao change to be the China's Las Vagues. Korea change to be an R & D countries and outsource production to China. And Taiwan? Still waiting for the re-positioning.
10 years ago, China loved Taiwan experience a lot. Now, Taiwan experience is just one of China's resources. The competition of Taiwan is no longer from China, it's from the regional state of China such as delta pearl, Shanghai economic zone, Beijing economic zone etc. If Taiwan are willing to accelerate the moving to China, it can still be the second biggest share holder of China next to China communist party. Since the R & D power, international personnel network, technology sense, languages are still leading China for at least 10 years. If doing nothing, then, 10 years later, Taiwan is just one of the state from China likely Texas in USA.
The strange suitation of Hong Kong famous brand retail store
IFC (International Fiance Centre) is the heart of Hong Kong finance, The Hong Kong foreign currency authority and a lot of the finance firms are operating there. And of course, in the ground floor till 5 floor, there are the shopping center selling the famous brands, such as ZARA, GUCCI, LV, ARMANI etc.
And we can find that the customer usually the one do not speak the Hong Kong local language, more than 50% speak Manderine or English. So, in Hong Kong, there is a proverb "serve the Cantonese speaker first". Because they are the one will shop and not window shopping.
Due to the high import tax, VAT for the international brands to sell to China directly, the Mainland people living in the south side of China go to Hong Kong to shop the brand famous brands. The another areas is the PC and digital electronics. Most of the traditional chain stores provide also the Manderine training for their staffs too.
And we can find that the customer usually the one do not speak the Hong Kong local language, more than 50% speak Manderine or English. So, in Hong Kong, there is a proverb "serve the Cantonese speaker first". Because they are the one will shop and not window shopping.
Due to the high import tax, VAT for the international brands to sell to China directly, the Mainland people living in the south side of China go to Hong Kong to shop the brand famous brands. The another areas is the PC and digital electronics. Most of the traditional chain stores provide also the Manderine training for their staffs too.
The China Sovereign Wealth Fund
Such fund is started the investing in Hong kong as a testing of flowing to "ocean". The ocean means the global finance market. The China government accept that it cannot base on the production or industry to gain the hard-earn money, it needs the finance way to earn money too. For example, Singapore. The population is around 3.5 million. And that country set up their own Sovereign Wealth Fund to invest globally and every year gain the money for feeding their people, even there are almost no industry in Singapore, such money can still allow that country to survive.
The China Sovereign Wealth Fund own around 200 billion USD, as compare with Arabian Sovereign Wealth Fund own around 625 billion, Singapore Sovereign Wealth Fund 325 billion, Norway Sovereign Wealth Fund own 322 billion, Kuwait own 213 billion, Russian Sovereign Wealth Fund own 128 billion, that money is a middle scale. And as compare with the big funds, such money is even in small scale only. And in China, it's due to not enough of international talent to operate such Sovereign Wealth Fund, so, it also cannot run in big scale.
The first stop of landing the Sovereign Wealth Fund in Hong Kong is due to Hong Kong is a deep-water pool and comes with security guard to see the market. People have excellent connection in Hong Kong where allows the fund to run in high transparency and low risk.
The China Sovereign Wealth Fund was ever rejected the invitation of some USA big fund firm. The join only Blackstone fund currently. Since the finance company is like a design company, the talent is the only asset, if the talents move out, the company is just a shell. So, the Sovereign Wealth Fund is a very conservative investment and still a the learning and "saving" info period, China do not want the Sovereign Wealth Fund finally change to be like the Japanese fund buying the American useless building and lost big money.
The China Sovereign Wealth Fund own around 200 billion USD, as compare with Arabian Sovereign Wealth Fund own around 625 billion, Singapore Sovereign Wealth Fund 325 billion, Norway Sovereign Wealth Fund own 322 billion, Kuwait own 213 billion, Russian Sovereign Wealth Fund own 128 billion, that money is a middle scale. And as compare with the big funds, such money is even in small scale only. And in China, it's due to not enough of international talent to operate such Sovereign Wealth Fund, so, it also cannot run in big scale.
The first stop of landing the Sovereign Wealth Fund in Hong Kong is due to Hong Kong is a deep-water pool and comes with security guard to see the market. People have excellent connection in Hong Kong where allows the fund to run in high transparency and low risk.
The China Sovereign Wealth Fund was ever rejected the invitation of some USA big fund firm. The join only Blackstone fund currently. Since the finance company is like a design company, the talent is the only asset, if the talents move out, the company is just a shell. So, the Sovereign Wealth Fund is a very conservative investment and still a the learning and "saving" info period, China do not want the Sovereign Wealth Fund finally change to be like the Japanese fund buying the American useless building and lost big money.
How crazy of the China property market?
An 200 square meter apartment sell at 4 million US dollars in Shanghai and Beijing. For that money, it can buy a farming village in USA, buy a casstle in Europe, buy a beach in Asian countries. And such 4 million USD apartment not own any land, it's just an apartment with the using right for 50 years.
The problem is , people still buy it. And now, get crashed. Before 2008, the property market was too hot and the people expect higher price without knowing the worldwide property price and the quality of China economy.
The development of the economy from Japan, Europe or USA are from the private businesses and base on the knowledge and innovation to develop it. And in China, it bases on the investment from the government to put into the fixed asset such as highway, airport etc. And also rely on the foreign enterprises to invest in China to move and usually such investment are not the high-valued added business. It means it serves the "rest-value" from the foreign enterprises. Sooner or later, the value of the market will get discount if the global economy get problem.
However, in China, most of the people do not see it. Since almost all people believe that their next generation will live better than them. So, they keep of putting the money in the "not-worth" finance products such as property and fund to buy their asset which cannot internationally flowing.
The problem is , people still buy it. And now, get crashed. Before 2008, the property market was too hot and the people expect higher price without knowing the worldwide property price and the quality of China economy.
The development of the economy from Japan, Europe or USA are from the private businesses and base on the knowledge and innovation to develop it. And in China, it bases on the investment from the government to put into the fixed asset such as highway, airport etc. And also rely on the foreign enterprises to invest in China to move and usually such investment are not the high-valued added business. It means it serves the "rest-value" from the foreign enterprises. Sooner or later, the value of the market will get discount if the global economy get problem.
However, in China, most of the people do not see it. Since almost all people believe that their next generation will live better than them. So, they keep of putting the money in the "not-worth" finance products such as property and fund to buy their asset which cannot internationally flowing.
The re-writing of China econmy
Before 2009, there were recorded annually 10% economic growth from China economy and it was even as hot as the government need to cool it down. It was due to 2 reasons, one of the joining of the WTO and the globalization where more and more jobs and capital and production move to China. And second was due to the too hot of the property market. Property market lead the further expand of home appliance, building materials, furniture, telecom, etc., there are near 50 industries growth due to property.
On 2008, the global crisis harm to the export and highly reduce the capital flow into China. Property get cool down automatically. Then, the internal economic growth engine discount the power. The export economy get even recessive.
The harmful of that crisis is even bigger than the 1997 Asian finance crisis. 1/3 of the factories in the south side of China get collapsed or collapsed alike. Even few of the publicly-listed company are collapsed too especially the garment, toys and mechanical industries.
The bigger problem is that the economic growth of China must maintain 85 growth a year, otherwise, a lot of the social problems will come out, such as jobless, government income and asset, banking system, foreign currency trading etc. Fortunately, the leverage rate from the bank or the fund companies in China are very small, the damage would not as big as USA.
On 2008, the global crisis harm to the export and highly reduce the capital flow into China. Property get cool down automatically. Then, the internal economic growth engine discount the power. The export economy get even recessive.
The harmful of that crisis is even bigger than the 1997 Asian finance crisis. 1/3 of the factories in the south side of China get collapsed or collapsed alike. Even few of the publicly-listed company are collapsed too especially the garment, toys and mechanical industries.
The bigger problem is that the economic growth of China must maintain 85 growth a year, otherwise, a lot of the social problems will come out, such as jobless, government income and asset, banking system, foreign currency trading etc. Fortunately, the leverage rate from the bank or the fund companies in China are very small, the damage would not as big as USA.
Is it worth to take a MBA degree from China?
There are a lot of the MBA degrees providers from China, probably it's the second biggest in the world. MBA start from 8 April 1908 from Harvest. In China, the annual MBA graduate are 14,624 people and in 2007, there are totally 127 universities provide the MBA degree.
Currently, 25% of the fortune 500 CEO own the MBA, 40% of high level management own the MBA, in wall street, 50% of the people own the MBA too.
In China, there is a hidden rule, any one want to promote to be the general manager grade, who must own an MBA. However the problem found from the market is that most of the MBA course skills are far from the real world demanding skills. Else of the famous university likely Beijing University, the MBA are for the networking likely a commercial club. The rest MBA are out of the market wants. The another problem from China MBA is that it employ the foreign star-grade people for the professor or even the MBA principle, such people come to China maybe only 1 month in a year and even do not know in-depth about the China market, it cannot provide the right training for the market. MBA is only for earning money instead of education. It also look like fast-food restaurant too.
Because it teach the skills, system, theory, comment ability etc, there are not enough for encouraging the ADVENTURE. It's the time for China MBA to re-focus the niche on providing the training of entrepreneur.s such as innovation, politician alike leadership.
Currently, 25% of the fortune 500 CEO own the MBA, 40% of high level management own the MBA, in wall street, 50% of the people own the MBA too.
In China, there is a hidden rule, any one want to promote to be the general manager grade, who must own an MBA. However the problem found from the market is that most of the MBA course skills are far from the real world demanding skills. Else of the famous university likely Beijing University, the MBA are for the networking likely a commercial club. The rest MBA are out of the market wants. The another problem from China MBA is that it employ the foreign star-grade people for the professor or even the MBA principle, such people come to China maybe only 1 month in a year and even do not know in-depth about the China market, it cannot provide the right training for the market. MBA is only for earning money instead of education. It also look like fast-food restaurant too.
Because it teach the skills, system, theory, comment ability etc, there are not enough for encouraging the ADVENTURE. It's the time for China MBA to re-focus the niche on providing the training of entrepreneur.s such as innovation, politician alike leadership.
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