During last training that I managed for companies and managers I put on focus this fundamental: talking about China needs to consider this country as well framed system and well built structure that really can be introduced as new business model for economic operators.
Recently I got opportunity to introduce macro economic elements, marketing strategy’s fundamentals, and geo-political issues about China during course issued in behalf of “Quadrifor” (special fund centered on didactic programs for managers) to 11 italian managers involved into diversified business missions on chinese markets; the first consideration that came to light is about the perception which most of companies (not only SME but multinationals as well) are used to have for internationalization of their businesses: re-locating on new market is almost considered doing export. Obviously on this way it’s really difficult to understand why it’s important to recognize into “Chinese System” elements that need holistic vision and deep awareness of its features to get approached correctly.
First of all, also on doing export, we need to consider that nowadays as chinese market we’re talking about several different “chinas”: some areas are getting more familiar with financial sector’s liberalization (Shanghai and Beijing for ex) and others are receiving benefits from “go west” policy facing with sustainment for development of infrastructures and key – sectors (Chongqing). We well know that we cannot also introduce national logistic net of services for our business in China and entry strategy must be fixed with local analysis, social involvement on expenditures that is different according with contingent local situations and sub cultures.
The new middle class as representation of urban revolution just now is going to express specific identity through expenditures and consumptions and some disastrous operations got in the past well clarified how we cannot consider easily urban population like mature middle class about way of approaching towards consumptions and goods.
The VAT pilot reform is direct expression of system that wants to be balanced and boosted by market and dynamics about development of political reforms could be understood more with vision of market’s socialism than communist rhetoric. Also the last third session of plenum of communist party specified how the next step for glorious health of chinese nation will be represented by circular movement towards urban revolution: where Mao started with countryside’s revolution, Xi Jinping will end it closing the circle with revolution that will involve countryside with urban development. Same class, same perspective, same salary, same conditions of being free with access to expenditures and consumptions. Giving back the land to the party the farmers will receive reimbursement to allow them to start new life in urban societies (the plenum recognized how it’ll be crucial point to reassure farmers with high amount for the land they will give back to the system) and soon the abrogation of “one child only law” will represent a new beginning with stimulus towards high population’s society with more needs but also with more power and efforts on building up strong system and consumptions.
The education of new generation on respect for tradition, common values, national stability and central power will confirm the prosecution of glorious chinese nation on boosting features that will characterize chinese model as major power nation on international economic scenario.
So, after 16 hours of intensive training about such perspective that is involving quickly chinese system, when I asked to some professionals joined my course, what do they recognize as new perception about China, some of them replied as follows
Marco Migliorini , Marketing Manager: as half italian – swedish I’m really sensitive to cross cultural elements and pretty curious about their influence on business dynamics and negotiation’s steps; that’s why I found this training very useful ‘cause it introduced technical matters and contents using cultural lens to explain features and tricky point of system that beyond business fundamentals consist of people
Marina Masci, Advisor: I confirmed my attendance to this program ‘cause it’s really important today focusing on concrete tools to understand better one of most important markets for contemporary economy; usually the common opinion look at China with “fear and suspect”, I think that’s usually it’ is cause we don’t have concrete vision to approach their culture and market. I found this opportunity of study and confrontation as useful and well structured and I’m sure now I’ll be able to face with China with better awareness.
Davide V., Export Manager: I’m thinking about professional relocation in China cause my company is dealing with this market and they needs my presence there. I think this course represented a concrete opportunity to understand more about chinese culture and society; in particular I think that we need to consider cross cultural and social aspects as fundamental key factors to approach chinese system on conscious way.
For me it was hard 2 days no stop teaching experience which I knew a lot about professionals who, even if with different projects and in different steps of their internationalization’s perspective, are getting involved with passion, respect and patience into chinese system. i’m pretty sure for them it’s gonna start a very crucial and important step in their professional life.. I wish to everybody all the best and good business in China! see you there!