BeijingMan: Faces at TianAnMen Square

Friday, September 14, 2007

Faces at TianAnMen Square

Above: TianAnMen Square during the Pig Year 2007. Photo gallery below.

Faces at TianAnMen Square
PICTORIAL -Two afternoons during the Golden Pig year

Usually China's population grows 15M per year but 2007 was a Golden Pig Year with 22M new citizens. And Beijing got 170.000 new born babies.

TianAnMen Square is the center point of Middle Kingdom, China. Every Chinese citizen must see Beijing and TianAnMen Square.

In 2007 I did two times a TianAnMen photo safari, in February and in September. Chinese tourists were busy in snapping pictures of each other. I joined the party with 100 pictures per hour. Many of the people in my pictures came to talk and we took pictures together.

These pictures were taken by Canon 20D and EF 70-200mm f/2.8L IS USM. Click to enlarge.

BeijingMan aka Kippo

List of BeijingMan Postings

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Above-1: TianAnMen Square, Beijing, February 2007.

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Above-45: TianAnMen Square, Beijing, February 2007. Red flags, then People's Heroes Monument. Mao Zedong Memorial Hall building.

Above-46: TianAnMen Square, Beijing, February 2007. Rostroom with Mao's picture is at the North side of the square. There Mao announced the birth of P.R.China on October 1st 1949. High on top is red logo of China, national enblem, GuoHui.

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TianAnMen Square in Beijing
+ Not small, usually a lot of people walking around
+ Key place to observe Chinese people visiting their capital
+ Goose walk and flag show every day at sunrise and sunset
+ Chinese like to take pictures with foreigners
- TianAnMen is just walking around, no cafes
***** HISTORY AND PEOPLE *****

China Business Q/A

Q: How different is it?
Education, Guanxi, face,
hierarchy, sensitivity.
Respect. Media, Internet.
Business and selling/buying
in Chinese way. Partnerships.
Communication, indirectness.
Information availability.
Mentality, values, identity.
And entrepreneurship spirit
is strong.

Q: China for Individuals?
- Young man, come East!
Skilled young individuals
come to China to learn
Mandarin. They find local
partners and establish
companies: arts, marketing,
design, dance etc. Compete
with knowledge and quality.

Q: China for SMEs?
Most SMEs lack preparation,
and resources for Guanxi.
No image/brand, low margins.
SMEs face fierce price
competition in China.
China's scale is an enabler
but foreign SMEs' success
stories are rare.

Q: China for MNCs?
Most MNCs succeed in China.
Production for export and
for mainland markets. Have
image, brand and resources.
Ancient knowledge for new
innovations. Expats needed
for finance, business and
project management.
Insiders who understand
Chinese mentality, for BD.

Q: Biz words in Mandarin?
New words are invented,
verify the accuracy!

Q: Talents available?
Yes but Confucian education system suppress innovation.
How to find real talents?

Q: Innovated in China?
Glorious past. But now
Chinese are latecomers,
have confidence problem.
Good in refining existing.
SMEs as innovation force.

Q: Indirect communication?
Smart way to communicate,
sometimes very exciting!
In families, workplaces,
meetings and negotiations.
For foreigners frustrating.

Q: Jump to assumptions?
Chinese don't speak directly
and don't take just face
value of the speech. They
are used to read between
the lines, make assumptions.
For foreigners frustrating.
If Chinese hold a strong
position In negotiation,
they can be very direct.

Q: Bad news never told?
It's difficult. Sometimes it's
a face/fear issue, a problem,
or part of hierarchy.

Q: Sharing information?
Not enough. Info is an asset,
give and expect to receive.
Access to info needs Guanxi.

Q: Personal responsibility?
Usually avoided with ifs,
buts, excuses and conditions.
Group responsibility.

Q: Problem solving ability?
Not bad, but no systematic
approach, preventive planning.

Q: Front Door or Backdoor?
Chinese are masters removing blocks by using backdoor. Most rule-of-law foreigners don't know about backdoors.

Q: Details or concepts?
Chinese are detail oriented,
abstract concepts not wanted.

Q: Proactive or reactive?
No confidence for own ideas,
reactivity rules. Proactive
attitudes driven by rewards.
Short-term, not long-term.

Q: Chinese hard working?
Often yes. But culture and
system prevents efficiency.
Result is too often just
about, not perfect.

Q: Readiness for teamwork?
Every Chinese is expected to
be head taller than others.
Trust and sharing difficult.

Q: Quality and Standards?
Often different standards.
Quality, assumed/expected
might be acceptable for
a Chinese, but might be
imperfect for a foreigner.
This is changing better.

Q: Projects in China?
Personal action points
and deadlines not wanted.
No systematic approach.
No project management.

Q: Progress by plan?
Chinese approach is step
by step. After each step
re-evaluate, then next step.
Guanxi needs flexibility,
not format or schedule.

Q: Risk taking, decisions?
Chinese have learned to
avoid mistakes and to seek
Confucian middle way. But
money is the key booster.

Q: Results oriented?
Result counts, but mainly
based on clear rewards.

Q: Guanxi in Mainland?
More than connections. It's
business art and career
enabler. Exchanging favors.
Differentiation in situation.
Learn about Guanxi but let
Chinese to master it.

Q: Is MoQi important?
Build MoQi, "silently agree"
makes working smooth.
Enables invisible support
by Chinese colleagues.

Q: Chinese and emotions?
Poker face reputation!
But very low threshold
on controlling emotions.
Critical views may cause
emotional reaction, not
followed by the reasoning.

Q: Face saving problem?
Face is stronger than facts.
To admit problem is complex
issue: pride vs loss of face.
Lack of open communication
causes confusion at work.

Q: Red Face, White Face?
Role playing is common
in Chinese negotiations.
Good cop, bad cop system.
When in very strong position,
Chinese can be very direct.

Q: Laws and rules?
Has laws but legal
protection still weak.
Find an industry expert
to clarify the practices.

Q: IPR, piracy realities?
Not a copy. Our creative
persons just have similar
experience background
as yours, said a Chinese
VP of a NASDAQ listed
lcompany, about their
100% proven copy product.
Successful products may
get copied in China.

Q: Corruption, bribery?
Fight continues but taking
bribes, kickbacks or
"consulting fees" is not
considered as a crime.
Factors: mindset, rules,
transparency, Guanxi,
auditing, approvals.

Q: Competition in China?
Fierce, not always fair,
sometimes unhealthy.
Besides price and features
it's Guanxi and Brand.
Learn Chinese sales process.
Learn what is essential in
Chinese sales presentation.
Learn Chinese image and PR.
Chinese businesses have
certain culture advantage.

Q: Sourcing in China?
Industry experts are the key
in finding quality with
rock-bottom prices,
otherwise overpay.

Q: Investing into China?
Successful Chinese companies
are eager to combine best of
China with best from West.

Q: Joint Ventures in China?
Risk of competitor creation.
Often fail but if you have
over 80%, you have a say...

Q: Foreign companies?
US/EU Chamber of Commerce
estimates: about 60-70%
of foreign companies in
China are profitable.

Q: R&D unit in China?
• Localization of products
• Chinese standards
• Research projects
• Cultural findings
• Inventions and patents
• Lower cost

Q: Mission, vision, strategy?
Careful with all business
and industry specific
words. Most Chinese are
confused with new business
words. Their exact meaning
is seldom understood and
clear in mainland China.

Q: Chinese mentality?
Provincial/SOE mentality
still very strong.
Market economy develops
rapidly but Chinese
individuals change in
slow motion. Recruit
with thought.

Q: Gamblers by nature?
Chinese are born gamblers,
have gambling mentality,
feel good when gambling.

Q: Chinese Backchannel?
If face is lost, emotions
may take control. This can
lead to badmouthing and
defaming activities, and
lose of control.

Q: Chinese bureaucracy?
Has scale, width and depth,
Might become a roadblock.
But situation is improving,
basic procedures often
available via Internet. Test
your nerves with Beijing
Tax Claim software.

Q: Chinese analysts?
Often lack global perspective,
have limited angle and
horizons, resulting
subjective view.

Q: U.S. or EU style?
China goes towards U.S.
business style. Power of
money and marketing gets
mixed with Guanxi and
privileged information.
Career, then consume,
but in Chinese way.

Economy and Markets?
China's economy mix now:
1/3 SOEs
1/3 Chinese private
1/3 Foreign investment
Change in some industries:
Imported prods vs. Domestic
in 1998: 80% vs. 20%
in 2009: 20% vs. 80%
Guanxi often has the
major role in deals.

Q: Chinese Trends 2009?
Chinese SOEs consolidate
to gain efficiency, scale
and to reduce competition
in foreign markets.

Growth continues as every
year 10-15M migrant workers
move into cities. They need
it all: housing, medical...

Online shopping will florish.
Consumers search for lowest
price from the internet.

Q: Foreigners weak point?
No doubt the Chinese way.
Chinese themselves say
about foreigners:
Even if you tell them, they
still don't understand.

HQs abroad can become
barriers as they lack
insider view and realities
about Chinese way of
business conduct.

China consultants abroad
(foreigners or Chinese)
seldom have practical
expertise about Chinese
industries.

Q: China Myths, Mysteries?
No mysteries, no myths,
but Guanxi and change.
Progress towards market
economy made. Joining WTO
released China's potential
and filled streets with cars.
(Beijing 3,6M cars in 2009)

Ask BeijingMan

QUESTIONS BY EMAIL

Q: Why so many foreign businesses fail in mainland China?
Mainland Chinese way is different in selling and buying, planning, taking risks, making decisions, assigning tasks, taking responsibility, solving problems, project management, communication, sharing info, negotiation, standards, hierarchy, sensitivity, face, respect. To succeed, learn the mainland Chinese way.

Q: What is it foreigners don't get right about business in China?

No.1
Major barrier is the culture: Chinese way how people think, have learned to behave and do. JVs, SMEs and projects fail because of misunderstanding the culture and management issues.
No.2
Language barrier leaves most foreigners an outsider.
No.3
Guanxi, the way of doing business. Your product is just 50%, your Guanxi is the other 50%. To win deals, Guanxi is needed.
No.4
Lack of understanding China’s scale and market potential of industries and product categories, and requirements. This has impact on your service, product, and credibility in Chinese eyes.
No.5
Western experience doesn’t prepare well for China. Foreigners are stuck into their lawful and rational model. Most are blinded by China's modern surface.
Your China dilemma is how to stick to principles, while needing flexibility to cope with local business environment and handle Guanxi.

Q: What is it Chinese don't get right about business abroad?
• Analysis, information services
• Consulting services
• Research and innovation
• Project management
• Branding, marketing, PR
• Process-based business
• Rational decisions
• Values

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Friday, September 14, 2007

Faces at TianAnMen Square

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