In Rubble, Couple Clung To Each Other, And To Life

This NY Times article will blow you away.

14 comments May 18th, 2008

Chinese Ethnocentrism. Just As Hard To Accept As Western Ethnocentrism.

Westerners can be ethnocentric (see, e.g., my previous post and our comment discussion, Cultural Knuckleheads in the Global World); but let’s be fair — so can others, including the Chinese. And per Dr. Morris’ lecture with us we learned that a fair bit of this stems from China’s historical “we are the Middle Kingdom” and our emperor has a “mandate from Heaven” cultural superiority/bias/thing and that house of cards. On either side of the Pacific, ethnocentrism is not terribly attractive, in my view.

I also see over-the-top nationalism to be a subset of ethnocentrism. Example: “I love my country” = okay and it seems to me is not ethnocentric and is legitimate patriotism. But “I love my country because we are the best at or we have the best ____” or “We’re Number One!” many times = obnoxious nationalism and hence ethnocentrism (particularly when said by one who has not traveled much to be able to have a decent sample size to gauge what the “best” or “No. 1″ is or by someone who is afraid to try new things and/or is not terribly adventurous).

Yes, the line between legitimate patriotism and obnoxious nationalism is fine, but it’s important. It’s easy to tip from one into the other.

See Dan Harris’ recent China Law Blog post on this very subject (Chinese nationalism) and how it relates to business. It’s worth the read.

Some will argue one side caused or led to the other’s grief. I have no idea how to sort out the casual chain. Others will offer excuses for their ethnocentrism (whether it’s western, eastern, northern hemisphere, southern hemisphere, or other) (e.g., “But you misunderstand me. I am not really that way as a person; and how can I be classified as ethnocentric for believing what I believe. That’s not fair. And in any event, I am right, you know.”). That stuff does not much matter to me. At some point, we all just need to get over the reasons and excuses, cut out the feeling of being right and/or superior to the other, and move forward.

Your thoughts?

Prof. Carr June 10, 2008 addendum: See the WSJ article that just came out relating to this very post, Victim or Victor? China’s Olympic Odyssey

5 comments May 18th, 2008

National Geographic Specials on China

A hat tip to Gary Chou for sending me the below link. I am a National Geographic subscriber, remember the below issue coming out and reading it, but I forgot to put up a post and the issue had since disappeared into the mess on my office desk at home.

Click HERE to check out these great pics on China’s Instant Cities (the photo gallery link is on the right side of the page; the commentary by Peter Hessler is top notch, as is all of his work - e.g., Two Years on the Yangtze). And reading this very good Wall Street Journal article, On the Move: Chinese Officials Want More Farmers to Migrate to the City; But They Are Also Aware That Migration Brings Problems, will put these photos into a good big picture context for you.

Finally, last month, April 2008, National Geographic published a special issue only on China called, China: Inside the Dragon. Check it out. Again, some great short pieces by Peter Hessler and the usual amazing pictures. You can also click HERE to listen to the China Business Network’s recent podcast interview of the Editor-in-Chief of National Geographic Magazine, Chris Johns, about this issue on China. I also had no idea National Geographic is read by 40 to 45 million people each month. Cha-ching. And talk about a company that has put on a clinic for others re: how to manage and build its brand ….

Enjoy.

Prof. Carr June 13, 2008 addendum: see also this related post on instant city Shenzhen I just made (Shenzhen is located in southern China).

1 comment May 18th, 2008

The Rein Man

Nope. Not Shawn Kemp, the NBA player with loads of talent but not much production (that’s being kind).

This “reign man” is Shaun Rein, an up and comer in the US and China business circles. Check out this recent 6 minute video interview of Mr. Rein by Christine Liu of the Chinese Business Network. I have read some of his work, reports and seen other interviews and blog discussions about him. This is a smart business dude - also served as a teaching fellow at Harvard; did his undergrad work at McGill University in Montreal (good school; sorry OCOB MBA ethics team, not trying to put salt in the wound by saying the word “McGill” as in my view you got the short end of the stick that favored McGill on the time clock thing at your recent competition — chalk it up to a real world experience and an advance start for the “life ain’t fair” vicissitudes).

Continue to monitor Mr. Rein (a real reign man) and his career. He is young and I predict he is going to make it really, really, really big.

8 comments May 16th, 2008

Ethics, Cyclones and Quakes

Cyclone in Myanmar. Quake in China. Many dead. Not good.

Here is an article in yesterday’s Wall Street Journal titled, Does Being Ethical Pay? Companies Spend Huge Amounts Of Money To Be Socially Responsible. Do Consumers Reward Them For It? And How Much?.

The article reports a series of experiments that found that consumers will pay a small premium for ethically produced goods. But they will punish an unethically made product even more harshly by buying it only at a steep discount. These results are consistent with academic studies I have read on this topic.

In light of this devastation in Myanmar and China, what is your response to the following questions:

1. One way you can help brand your firm and do good at the same time, particularly if your firm does business in or with Asia, has Asian employees or clients or suppliers, any of which is highly likely given our locale in California, is reach out and show empathy by donating $$$ to victims in China and/or Myanmar. You could then in turn leverage this in other ways.

But who/what agency would you donate funds to to help these folks? Who is reliable? Who do you start with and how do you find this out? And do you donate in RMB or US dollars?

2. How would you broadcast your firm’s do-goodness in this regard, gently and humbly or other, to your various stakeholders so that they know you care and will remember you when they buy your product? What is your strategy?

No cop outs on the second question! That is, I would question your credibility and business savvy if you say, “Well, I am/my firm will be ‘above’ telling people about my firm’s good works and money donations to these regions in Asia. We won’t tell anyone about our do-goodness because that would be arrogant and will let our actions speak for us.” I don’t know one successful and profitable business run by people that took a marketing or strategy class that would take that approach to product or service differentiation, and be that selfless, particularly a public company that has to answer to shareholders about how they are spending their money.

Discuss.

By the way, here is a good blog from Chengdu, the mega-city in China that is 50 or so miles from the quake epicenter, Barking at the Sun. Said blog has some pretty good on-the-ground info re the quake and that region.

7 comments May 14th, 2008

Lesson on Negotiating (The Ultimate Sport), in Asia

On the trip you will kick yourself when you find out a classmate bought the same thing you did for much less. You will have the chance to practice the negotiating skills Dr. Peach taught you first hand. A hat tip to my friend and one of the best negotiators I have had the pleasure to work with, John Wu, for this video lead from the classic film featuring a young hottie named Harrison Ford, Gallipoli (battle) (click here for film info). Has direct relevance to China and India. Click HERE to check it out. And yes, it would be totally uncool to ask the merchant for your money back like the fellows in this clip when you were the one who was a poor negotiator.

Professor Carr July 29, 2008 addendum: Each year I try to take students, or at least give them the opportunity to go on their own, to the Silk Market in Beijing so they can practice their (usually lame, undeveloped and passive) Western negotiation skills. See this four minute must see Wall Street Journal video filmed at this very venue. This will give you a glimpse of what you are in for.

1 comment May 13th, 2008

Are You Bringing Business Cards?

In your trip prep materials I have given you lots of info about business cards. The who, what, when, why behind them, and how you present yourself with a business card (two hands) when the opportunity arises. If you have never before had or used a business card, this is an opportunity for you to practice and step up your game. Check out this recent WSJ article, Ensuring your Business Cards Mean Business. Great article. Great points (most I agree with; others depend on the person, job, industry, etc.).

Addendum note: Titles are a big thing in Asia. If you don’t have one on your card, create one, but, of course, it needs to be accurate and truthful. For example, Cal Poly MBA Student is/can be a title.

If it’s too late and you already made your cards, don’t sweat it. Live and learn. I have had mine a long time and there are a few things I need to change as well; I just need the time to get to it.

As an aside, here is the university policy on business cards and using the Cal Poly name and mark on your card that has been conveyed to me, as some of you have stopped by asking what you can/cannot do in creating your cards:

You can give yourself a title on your card such as “Cal Poly MBA Student (or Candidate)” or “MS in IT Student (or Candidate)”.

Other than that, you cannot use the Cal Poly name or mark on your card. It’s called IP folks, and I don’t make the rules.

The above is consistent with what some other schools do and allow, while others allow you to use the name and mark.

Re: the other aspects of the design of your card, look, feel, color(s), etc. are up to you to make it as fancy or keep it as simple and clean looking as you wish. My own view and bias is that as long as the card has the critical and current contact info and the person’s name and title with decent font and paper, as to the rest of it ‘less is more’, as the saying goes.

By the way, sometime during the trip, I will collect a business card from each of you, lay them all out on a table, where we can all see and study how the other has tried to brand themselves. I won’t/don’t require you to make and buy one, but if you go on a business trip like this and don’t have one, to be candid, you really need to go back and retake that grad or undergrad marketing class you took and look over that material on product differentiation, as to me this is a sign that you were not paying attention in the class and/or doing the required reading, as this is Marketing 101. And if you can’t/won’t even humbly brand your own self for crying out loud, I would have a hard time understanding how you will excel at branding, publicizing and differentiating the firm you work for, as it will expect you to do.

2 comments May 12th, 2008

The Dangerous Direction of Chinese Nationalism

Submitted By: Nic Dominguez

Readers of this week’s Economist might have trouble sleeping at night after witnessing the intense cover art combined with the leader “Angry China.” The editors have summarized the recent tension into one simple and foreboding conclusion. The Chinese people are angry. International protests over everything from assumed human rights violation, environmental degradation, political corruption, and of course Tibetan independence have all surfaced in the last few months. The reaction of the Chinese people with the aid of the Chinese government has been their own outcry for respect. Although this conflict in itself is very frightening, the Economist makes it clear that the consequences of such tension for the Chinese government of are more dire than media rants from the West and bitter feelings at home.

In order to funnel this anger into something more constructive the CCP has stirred up notions of nationalism among the populace. The Economist has paraphrased the government’s statements that “China will be restored to its rightful place at the centre of world affairs. According to the editors, the CCP has forgotten that an angry population is still a threat to stability even if it is angry at the outside world.

“There is no doubt genuine fury in China at these offences; yet the impression the response gives of a people united behind the government is an illusion. China, like India, is a land of a million mutinies now…Herein lies the danger for the government. Popular anger, once roused, can easily switch targets.”

The Economist proposes that the CCP will not be able to sidestep the core issues plaguing the minds of the populace. If the anger turns on the government the wisest step would be to handle the problems of pollution, corruption and human rights violations without hesitation or hostility.

I know this blog has beaten the issue of alleged Chinese government brutality and the future of the Chinese political system to death. However, this lesson in cause and effect should not be disregarded. The protestors on both sides must consider what the retaliation of the other side will do to the international environment. I know most of us do not want to see an alienated Chinese state in the coming years. That outcome would be dreadful for us and the Chinese people. My view is that Nationalism is a dangerous road for any country. The CCP may want to consider a steadier road to travel. At the same time the outcry of anti-Chinese protests in the West does nothing but force the CCP into a corner. It comes down to a simple childhood lesson, whether you are yelling for change, yelling for patriotism or yelling to save face, yelling doesn’t solve anything.

3 comments May 11th, 2008

I Hear That Train A Comin …

Johnny Cash was the man, as was his classic song, Folsom Prison, where he sang of a man hearing the train round the bend as he sat in prison for killing a man in Reno and longing for his freedom. An American icon. I listen to some of his music on my I-pod while walking the dog. The Man in Black aside, there are Western outsiders who think various stakeholders in China, including those in government and/or business, can just wave their hands or flap their lips in China and make things/change quickly happen in the place. But let me show you and give you some visual perspective using a train of what it is like to live in a world of 1.3 billion people and try to manage them. (Hat tip to Vicki Walls for sharing this video with me.) Click HERE. Still think China can turn on a dime into a western style democracy, or stop IP violations or become an environmental Sweden overnight? Does this visual picture help you better understand the emphasis on Confucianism and “the group” in China versus “the individual”? (Notice how these passengers act and say nothing/very little as they board the train and they are not getting all up in arms and yelling “hey, buddy, get your g*d**m* hands and body off me!’ as many Americans would do and blow a gasket over.) As we travel in China and India this year, take off your business hat and become a social scientist/anthropologist — look for and study these types of things and try to better understand them (not raise that Western nose up and judge them). It’s gonna be a great trip …

“And I’m stuck in Folsom prison, and time keeps … draggin’ on. But that train keeps a roollllin’ … dooowwwwn to San Anton’ ….” - Johnny C.

10 comments May 8th, 2008

Consumer Electronics

Submitted By: David Zarcone

When it comes to consumer electronics, prices only seem to go up when a new technology is revealed or next-generation products are introduced. However, consumer electronics (CE) will be going up across the board this year. What’s the reason for the price increase? CHINA! Click here to find the Yahoo! article.

Numerous factors are contributing to this incredible increase, according to well-placed sources, including the rise in manufacturing and material costs. At the moment, China is the production center for the majority of CE partly due to the cheap cost of labor. But this might be coming to an end; China is bettering its relationships with workers by introducing new labor and protection laws which in turn pushed labor costs up 15%. On another note, one thing to blame is the Olympics. Many factories are shutting down in June to help clear the air pollution. Additional reasons include higher oil prices affecting shipments to the US, factory relocation in China from south to north, and finally, the biggest reason of all: the falling US dollar.

The US dollar just isn’t what it used to be, and the exchange rate between the US dollar and the Chinese Yuan has gone down since the beginning of the year. It has fallen about 10% in the last year, so basically Chinese companies now earn 10% less than they did a year ago due to falling exchange rate.

When asked about this problem and ideas of possible alternatives, a US manufacturing executive said “Some have mentioned Vietnam, but we are talking about consumer electronics. China has the infrastructure. There really isn’t an alternative.” At the manufacturer’s level, prices in China are up 8-20%, and the US retail prices will follow shortly, so stock up on your new cell phones and laptops before it’s too late.

4 comments May 4th, 2008