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The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
The New Way of Doing Trade with China
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The New Way of Doing Trade with China

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" MART SOURCING IN CHINA " Learings 2: …

" MART SOURCING IN CHINA " Learings 2:
The New Way of Doing Trade with China.

by http://www.made-in-china.com Tips for Business Success in China

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  • 1. Tips for Business Success in China.Information from the Front Lines of Doing Business in theWorlds Fastest-Growing Economy.
  • 2. CONTENTS 02 GETTING OFF THE PLANE 06 SELECTING CHINA SUPPLIERS 12 NEGOTIATING CONTRACTS AND AGREEMENTS 20 KEEPING YOUR BUSINESS SAFE 32 BUSINESS ETIQUETTE 42 CHINA MARKETS 46 CULTURE AND CUSTOMS 64 TIPS FOR LIVING IN CHINA 82 BASIC CHINESE PHRASES 86 THE BEAUTY OF MADE IN CHINA 96 WHATS MADE-IN-CHINA.COMAffiliated to Made-in-China.com Published by Focus Vision MagazineADD: 8-12F, Block A, Software BLDG., Xinghuo Road, New & Hi-Tech Development Zone, Nanjing, China, 210061TEL: +86-25-66677777 FAX: +86-25-66670000 E-mail: mag@made-in-china.comSenior Designer: Lu Zhimin Photos by China Foto Press
  • 3. GETTING OFF SMART SOURCING IN CHINA / 10 / 2011 GETTING OFF THE PLANE 3THE PLANE 1. What should I do if my baggage 5. Is there any cell phone rental ser-Baggage Damaged has been damaged after the flight? vice at the airport? Go to the baggage service counter in the terminal Yes, you can rent a cell phone together with a SIMBaggage Delayed or Lost at the arrival airport and report the damage imme- card at many international airports in China. But it’sRenting a Cell Phone diately. The damage of the checked baggage will be a little expensive if you stay in China for more than a compensated according to the depreciated value of week. You can also buy a SIM card from China Mo-Taking a Shuttle Bus the baggage or the repair cost of the baggage, with bile or China Unicom, who provide GSM and CDMA RMB 100 Yuan/KG (or equivalent currency) to the service system. If you use Japan or Korea cell phone,Applying for Visa on Arrival maximum. you need to buy a 3G card from China Unicom.What should I do? 2. What should I do if my baggage is 6. How to take a shuttle bus at the delayed or lost? airport? Contact the staffs at the baggage service counter Every international airport has shuttle bus service. as soon as possible. Any findings will be communi- Taking the airport shuttle bus is usually the cheapest cated immediately to the passenger. If you are unable to make a claim at the airport, you have seven days to Every international airport has shut- file a claim in writing to the airline on tle bus service. Taking the airport damaged baggage and 21 days to shuttle bus is usually the cheapest file a claim in writing to the airline for way to get to the downtown. lost baggage. way to get to the downtown. It will cost you RMB 3. What should I do if I left my suit- 15 to 30 Yuan per passenger according to different case in the cabin? airports. There are also several routes. You can get the information from ticket counter at the airport or Go to the airport service counter instantly, and the check the signboards to find your right destination. staffs will assist you to handle this. 7. How to take the airport express 4. Can I store my baggage at the air- train to the downtown? port? Subway is connected to the downtown at some of Yes, of course. You can go to the baggage coun- China international airports, for instance Shanghai ter in exit and entry halls. Please show your flight Pudong International Airport, Shanghai Hongqiao ticket and valid certification before registration. The International Airport, and Guangzhou Baiyun In- charge is RMB 20 Yuan to 50 Yuan per day according ternational Airport. You can take Airport Express at to baggage size. Beijing Capital International Airport or Hong Kong International Airport.
  • 4. 4 GETTING OFF THE PLANE SMART SOURCING IN CHINA / 10 / 2011 SMART SOURCING IN CHINA / 10 / 2011 GETTING OFF THE PLANE 5 8. How to take a taxi at the airport? about three suitcases of regular size (1.7m length x 14. I will travel between 0.7m width x 0.5m height) in a baggage compart- Residents of most countries can enter Hong Kong and Main- Taxis are available outside of every terminal. It usually ment. costs you more than RMB 100 Yuan to the down- Hong Kong without applying for a land China multiple times. Do I need a multi- town. If you decide to take a taxi, make sure the visa in advance and are allowed to driver uses the meter. Never get in an unmarked taxi ple entry visa? 11. Can I apply for visa on arrival? stay for 90 days. cab, or you will be charged more than you should. Yes, you do need a multiple entry For people who would not obtain a visa in advance visa. Each time you enter China from there are certain emergency situations which will technical consultation in China; Hong Kong or Macau, you need one entry. 9. How to tell a cab driver where to permit them to get a visa on arrival. These will always require an invitation letter from an accredited Chi- Passengers who come to China due to a last-minute go when he or she cant speak Eng- nese organization which explains the emergency, change in the composition of a visiting group and lish? with consent of the Chinese side after the visas are 15. How to get my China visa in (mostly related to business purposes which from Ask someone to write down the address in Chinese, the Chinese perspective it is important that you are granted; Hong Kong? and show it to the cab driver. admitted without delay) or you must be in a real Passengers who come to see patients in critical con- A China Tourist and Business (F) visa can be obtained emergency situation. easily in Hong Kong. It can be obtained with the ditions, or to undertake funeral matters; The Rules of visa Issued at Entry Ports are not appli- help of a travel agent but at least 3 full working days 10. Is there any difference on Hong Passengers for direct transit who cannot leave China should be allowed for this procedure. cable to the nationals of United States and France. via original flight or other alternative vehicles within Kong International Airport’s taxi ser- vice? Passengers as follows can apply for visa on arrival: 24 hours; Requirements to obtain a visa in Hong Kong: 1 re- cent passport photo, passport which needs to be Yes, there is a little different from Mainland China. Passengers who are invited at the last moment by a Passengers who are invited to China but do not valid at least more than 3 months. Chinese host to come to China for a trade fair; have enough time to apply for visa at local organiza- Taxis in Hong Kong are colour-coded according to tion of China, with letters certifying the approval by Obtain visa at Office of the Ministry of Foreign Af- their operating areas. Separate rows are designated Passengers who are invited to submit a tender or to designated authority for applying for visa at the port. fairs of The PRC. for different types of taxi: sign a formal economic or trade contract; 5th Floor, Lower Block, 26 Harbor Road, Wanchai Urban taxis (Red) serve all destinations throughout Passengers who will supervise the inspection of Hong Kong including the airport except Tung import and export commodities or to participate in 12. What’s the valid duration for visa Tel: ++852-25851657 OR ++852-25851680 OR Chung Road and roads in south Lantau. a check-and-accept operation in accordance with on arrival? ++852-25851794 contracts; At most 30 days. Obtain visa at CITS (H.K.) New Territories (N.T.) taxis (Green) serve only the New Territories and specific roads in Lantau. Passengers who are invited to assist equipment in- CTS (H.K.) can obtain tourist visa type only. stallation or urgent repair of a project; Lantau taxis (Blue) serve all destinations in Lantau 13. Can I apply for visa on arrival in CTS (H.K.) Kowloon branch office Address: 1/F, Alpha and the airport. Passengers who are invited to deal with claim issues Hong Kong? House, 27 Nathan Road, Tsimshatsui, Kowloon in China; Baggage charge may be levied on every piece of Residents from most countries can enter Hong Tel: 2315 7106 working hours: 09:00a.m.-17:00p.m. baggage that is carried inside the baggage com- Passengers who are invited to provide scientific and Kong without applying for a visa in advance and (Monday-Saturday), partment, and every piece of bag- are allowed to stay for 90 days. A visa can be issued gage with total dimensions (length upon arrival. 09:00a.m.-12:30p.m./14:00-17:00p.m. (Sunday & + width + height) exceeding 140cm For people who would not obtain public holidays) that is carried inside the passenger Residents from 65 countries, including the United a visa in advance there are certain States, Japan and European countries, can enter Ma- compartment. In addition, there is no limit on the number of baggage emergency situations which will per- cau without applying for a visa in advance. A visa will carried by passengers inside a taxi in mit them to get a visa on arrival. be issued at the border control, and it allows to stay Hong Kong. A taxi can normally carry for 30 days.
  • 5. SELECTING CHINA SMART SOURCING IN CHINA / 10 / 2011 SELECTING CHINA SUPPLIERS 7SUPPLIERS 1. How to be a great buyer? First of all, check the information of the supplier. Try such as Made-in-china.com. When sending an inquiry to a supplier, make sureFind Reliable Suppliers Online to know the capital, registry date & expiry date, third- you state your request in detail. Let the supplier party professional qualification certification of audit, know: exactly what you are looking for, the quantityFactory or Trading Company etc. Anything which can prove the supplier is reli- you require, your location, expected price range,International Trade Fairs in China able and trustworthy is important. delivery time requirements, and etc.Buyer Service from Made-in-China.com Second, according to the suppliers scale, date of found, productive capacity, number of employees, 3.How to find reliable suppliers on-So many suppliers in China, sales, mechanical equipment, annual turnover, line?how to find the right one? main clients, major markets, you can well know the strength of enterprises. Provide clear requirements regarding product qual- ity, material specification, and dimensions etc. Ob- Third, make sure the supplier understand what you tain quality certificates including material composi- are saying and what you need. It should have good tion reports, independent quality reports and other communication skills and enough experience on evidence of testing and inspection. Obtain samples international trading. for assessment. If possible visit the factory. Provide Fourth, make sure the supplier could offer you good suppliers with detailed feedback about the product services. Find out whether the and how they can improve their service. supplier has a professional team to help you solving technical problem, give 4.What’s the difference be- you professional com- tween a trader and an origi- ments on your prod- nal manufacture? uct promotion and market, and whether Price: Sometimes factory can offer com- it has a professional petitive price. Sometimes trading com- after-sale service team pany can offer competitive prices due or overseas repair cent- to its ability of brokering larger quantity ers. of products, hence obtaining a lower cost of goods from the factory. Finally, price is not the most im- portant thing. Be wary of a supplier who Quality: Sometimes factory can offers an especially high or low price. Buyer is easy control the quality first hand. to be tempted by such offers, but they are often at- Sometimes trading company is tempted by scammer. In business, there is word of able to understand and apply better quality control "you get what you pay for" is often painfully true. management to ensure products meet world-class standards. Knowledge of technology and products: Factories 2. How to source online? have expert knowledge of the technology and Educate yourself about how to source online by products. When you want to develop new tech- reading resources offered from Made-in-china.com. nology or customize your products, factories can Every day new suppliers register on B2B websites understand your needs better than trading compa- nies.
  • 6. 8 SELECTING CHINA SUPPLIERS SMART SOURCING IN CHINA / 10 / 2011 SMART SOURCING IN CHINA / 10 / 2011 SELECTING CHINA SUPPLIERS 9 Communication: Sometimes factory staffs are not quantity. You are suggested to buy from wholesaler draft laws and regulations governing domestic and quality, the largest scale, the most complete variety familiar with other cultures and their associated whose price is also very competitive, in some cases, foreign trade, economic cooperation and foreign of exhibits, the largest buyer attendance, the broad- ways of doing business. An established trading will be even cheaper than buying directly from fac- investment, devise implementation rules and regu- est distribution of buyers’ origin and the greatest company may already have talents that understand tory. lations and so on. business turnover in China. and practice international business conducts and On the website, you can find bilateral and multilater- can better connect with overseas clients. al agreements between Chinese government and 8. Is price the most impor- foreign governments/organization, the dumping Gifts & Home China Autumn So if you are thinking about whether tant thing when I select and anti dumping news, quota information, regula- to choose factories instead of October 20-23, 2011, Shenzhen Convention & Exhi- suppliers? tions and policy of different industries, regulations trading companies, the answer bition Center, Shenzhen is "it depends". There is an old saying in China: and policy of different regions, industry association "Cheap things are not so list, etc. Reed Huabo’s China Gifts and Home Fair is the larg- good." If you are hoping to est trade show of its kind in Mainland China. Held in Homepage: http://english.mofcom.gov.cn 5. How to confirm find products that are "Italian Shenzhen during the best buying seasons in April designed, German quality, and and October every year, the fair offers the widest a China supplier is a Chinese price." It must be a joke. selection of business gifts, premiums and consumer manufacturer not a China Customs When it comes to international products, and attracts tens of thousands of buyers trading company? trading, everything boils down to a from across the country. You can check the policy and regulation, IPR en- You can look at the factorys competitive advantage: can it forcement, import and export statistics and guide to suppliers brochure to tell compete on quality and price? If the price is formalities on china customs website. trading company from factor y. I f a right and the quality is good, then you can move on China Yiwu International Commodities Fair to consider other factors such as delivery terms and Homepage: http://english.customs.gov.cn/De- supplier offers products from lighting to warranty terms. fault.aspx?tabid=3972 October 20-23, 2011, Yiwu International Expo Cen- floor mat then electronics, it is probably trading company. You can also check out the introduction tre, Yiwu City, Zhejiang Province of the supplier, if it has very good research and de- With 5,000 booths in an exhibition area of 120,000 velopment capacity, maybe it’s a factory. Factories 9. Should I buy from a China sup- Invest in China (FDI) square meters, the fair will attract more than 2,600 normally locate in suburb area or rural area, if your plier with little experience of inter- FDI is a good resource for foreign investors, and its domestic and foreign enterprises. Yiwu Fair has supplier is in Hong Kong or Taiwan without any national trading but whose price is the best place to find both English version and Chi- become one of the largest, most influential and pro- Mainland address, its probably a trading company. lower? nese version laws and regulations. You can also get ductive commodities fairs in China. It is estimated Youd better deal with suppliers that have already information of opportunities, economy, investment that over 120,000 professional traders will visit the done exports before, which would save your time statistics, national development zone, and other fair, including 18,000 foreign traders and 80 trade 6. How to make sure my supplier is and energy to communicate about export terms services from the website. groups from overseas. an authorized reseller? and related export procedures. Homepage: http://www.fdi.gov.cn Contact the owner of the brand to confirm if they are an authorized reseller. PTC ASIA 2011 10. Internet resources to help you 11.Recommend trade shows in China October 25-28, 2011, Shanghai New International source in China China Import and Export Fair Expo Centre, Shanghai 7. How to buy small quantity from Ministry of Commerce China when China factories set high China Import and Export Fair (also renowned as the The PTC ASIA and CeMAT ASIA 2010 again tri- MOQ? Ministry of Commerce of Peoples Republic of Canton Fair) has become "China’s No. 1 Fair" and umphed as one of the leading exhibition platforms Chinas mission is to formulate development strate- a well-known exhibition in the world. The Canton for the international power transmission/fluid Factories will ignore your inquiry if your quantity is gies, guidelines and policies of domestic and foreign Fair is a comprehensive tradeshow of international power and materials handling industry, helping to too small, which can’t reach their minimum order trade and international economic cooperation, trade, boasting: the longest history, the highest build new momentum for the industry.
  • 7. 10 SELECTING CHINA SUPPLIERS SMART SOURCING IN CHINA / 10 / 2011 SMART SOURCING IN CHINA / 10 / 2011 SELECTING CHINA SUPPLIERS 11 China International Building Decorations and Building Materials Exposition Shanghai Intl Printing & Packaging Products Trading Fair aims to building six platforms for China’s printing CAN I GET ANY BUYER SERVICE industry to exchange the services trading, informa- March 5-8, 2012, China International Exhibition Center (New Venue), Beijing tion, talents, science & technology and enterprise image. It was the first specialized printing and pack- FROM MADE-IN-CHINA.COM? As the leading trade event for the building industry, aging products fair in China. Yes, of course. Made-in-China.com Buyer Service Department serves its members as a B2B portal and has Build+Decor has always been an ideal platform for dedicated itself to providing professional support and assistance to clients and connecting international buy- the exhibitors to present their latest products, inno- ers with Chinese suppliers. vations and solutions to the professionals, including The China International Optoelectronic Exposi- the contractors, wholesalers, dealers, architects, etc. tion (CIOE) Tailored Services: Tailored Service Phrase 2 Tailored Match Meeting September, 2012, Shenzhen Convention & Exhibi- Tailored Service Phrase 1 Tailored Sourcing Service This is a new service offered by MIC Buyer Service tion Center, Shenzhen Department. Through it, international buyers could China Electronics Fair When international buyers need to source Chinese meet their selected Chinese suppliers and have face CIOE is a worldwide renowned exhibition, which suppliers and products, Buyer Service Department April 11-13, 2012, Shenzhen Convention & Exhibi- to face discussions with them. Many buyers includ- presents the most advanced optoelectronic tech- tion Center, Shenzhen offers sourcing and exact matching services. Gener- ing Daiso Japan, World Linked Asia, and many other nologies and innovations. CIOE was established in ally, the recommending list will be sent by email professional buyers consider it as their indispensable China Electronics Fair (CEF) is the largest and most 1999 in Shenzhen. This event has been held annu- within 3 working days. service. comprehensive exhibition of electronics and infor- ally for the past twelve years at the Shenzhen Con- mation industry in China. With its debut in 1964, CEF vention and Exhibition Center. As the worlds largest Optoelectronic expo, it has been an UFI-approved Buyers Events in the First Half of 2011 has grown up with China’s fast-growing economy event since 2007. March 9, 2011 Shanghai The Rubber and Plastic Industry Salon and witnessed the transition and development of China’s electronics and information industry from April 14, 2011 Beijing Chinese-Brazil Business Match Meeting planned economy to market economy. April 17, 2011 Guangzhou High-end Business Reception China International Furniture Expo 4th UK-China International Medical Equipment Symposium-New Generation April 17, 2011 Shenzhen September, 2012, Shanghai New International Expo Solutions to Wound Management and Orthopedic Repair Conference Guangzhou International Lighting Exhibition Centre, Shanghai April 20, 2011 Wuxi The Third China-Korea Green Economic Cooperation Forum June 9-12, 2012, China Import and Export Fair Com- April 21, 2011 Shanghai Chinese-Brazil Business Match Meeting As the leading furniture trade exhibition in Asia and plex, Guangzhou one of the Top 3 international furniture exhibitions April 22, 2011 Dongguan Tailored Match Meeting for Daiso Japan of the world, Furniture China is held annually in June 21, 2011 Nanjing Investment Forum for Modern Manufacture Industry Forum Guangzhou International Lighting Exhibition is September in Shanghai including a comprehensive June 29, 2011 Shanghai Tailored Match Meeting for Blackwoods Asia’s largest influential lighting event. Organized by set of popular themes: Home Furniture, Office Fur- Guangzhou Guangya Messe Frankfurt Co Ltd, the June 23, 2011 Shanghai Tailored Match Meeting for MIC member buyer niture, Furnishings, Kitchen & Cabinet, and Furniture show is attracting 2,600 exhibitors from 30 countries June 30, 2011 Nanjing The Sixth Jiangsu Cross-border Retail Sourcing Conference Manufacturing & Supply. and regions, including nine new countries, Den- mark, Egypt, Finland, Kenya, Latvia, Malaysia, Syria, In October, we will hold more events in China as well. To become our member, you will get the first notice Thailand and Turkey. from us. How to join us? http://membercenter.made-in-china.com/join/ 12. How to source on Made-in-Chi- na.com? Learn more about Buyer Service Department, Shanghai Intl Printing & Packaging Products Search products and suppliers by keywords, or send please visit: http://www.made-in-china.com/tradeservice/main/ Trading Fair inquiries to suppliers. You can post offers as well. Registration is free. July 6-9, 2012, Shanghai New International Expo Tel: 86-25-6667 7777 Fax: 86-25-6667 0000 Email: buyerservice@made-in-china.com Centre, Shanghai Facebook Link: http://www.facebook.com/b2b.made.in.china
  • 8. 12 NEGOTIATING CONTRACTS AND AGREEMENTS SMART SOURCING IN CHINA / 10 / 2011 SMART SOURCING IN CHINA / 10 / 2011 NEGOTIATING CONTRACTS AND AGREEMENTS 13 NEGOTIATING Differences in Business Negotiating Styles When YES Means NO CONTRACTS AND Identify Who Makes the Final Decision Body Language in China AGREEMENTS How to avoid being lost in translation?
  • 9. 14 NEGOTIATING CONTRACTS AND AGREEMENTS SMART SOURCING IN CHINA / 10 / 2011 SMART SOURCING IN CHINA / 10 / 2011 NEGOTIATING CONTRACTS AND AGREEMENTS 15 ing personal lives to build guanxi. The Chinese peoples main goal in most negotiations is to The Chinese are very risk averse. They think the slow establish a relationship for future business opportunities. process of negotiations will secure their deals. Guanxi is more important in these cases. (4) The importance of hierarchy 1. How are Chinese business nego- Gift-giving is necessary too, which is considered an There is a strong emphasis on hierarchy in China tiating styles different from western important way of showing courtesy. Gifts should society and Chinese business culture. Much of this business negotiating styles? always be exchanged for celebrations, or thanks for emphasis on hierarchy can be traced to the phi- assistance. It shows you care about your Chinese losophy of Confucius, which is the root of Chinese Different cultures have different values and morals, counterparts. culture and has influenced Chinese peoples lives for their unique methods of doing things are applied to hundreds of years. the way they handle business. (2) High-context communication The Chinese are often more sensitive towards rank (1) The use of guanxi and seniority. Age and experience are given much In the West, relationships grow out of deals. In China, High context culture and the contrasting low con- more credit than in Western culture. The Chinese deals grow out of relationships. Unlike western busi- text culture are terms presented by the anthropolo- will share opinions with their colleagues. They will ness relationship which remains professional and gist Edward T. Hall in his 1976 book Beyond Culture. discuss together like the Americans, but it is always aloof even after a long time, Chinese business rela- In a high context culture, many things are left the senior executive who makes the final decision. tionship inevitably becomes a social relationship. unsaid, letting the culture explain. Words and word choices become very important in higher context Ensure you bring a senior member of your organiza- The Chinese not only prefer to work with persons communication, since a few words can communi- tion to lead the negotiations on your behalf. The they know and trust, but also think they have the cate a complex message very effectively to an in- Chinese will do the same. (3) Never make quick decision obligation to do business with their friends first. In group (but less effectively outside that group), while addition, Chinese guanxi can indirectly link you to in a lower context culture, the communicator needs The Americans think time is money and a good new acquaintances and information resources with to be much more explicit and the value of a single decision is a quick decision. Meetings start and end 2. How to identify who makes the the meeting of new people. word is less important. on time, with an agenda and a plan of action. There final decision? is no time for socializing. For westerns, no matter how much experience Chinese cultures rely more heavily on high-context The senior member of the Chinese organization, or you have in western business management, the communication, while Western countries includ- A Chinese entrepreneur can make a relatively quick the final decision maker, would be the first one who right “Guanxi” in China will make all the difference in ing United States, Canada, Australia and European decision. But most decisions take much longer. is introduced to you, the first one who speaks, and ensuring success. The inevitable risks, barriers, and countries tend toward low-context communica- Deadlines are viewed as a moving target and not the one who sits in the middle of the Chinese coun- set-ups will be minimized when you have the right tion. as an absolute commitment. Unlike the Americans, terparty. “guanxi”working for you. they view quick decisions as a form of incompe- There are clear implications for Chinese business tence. They prefer slow and methodical decisions You can find it from the title of their business cards The Chinese’s main goal in most negotiations is to communication. The Chinese might not give you making process. They will spend considerable time too. establish a relationship for future business opportu- direct answers. You need to find the implications on bargaining, drafting agreements, and even shar- nities. Guanxi is more important in these cases. in his/her reply. For example, “Yes” in China can be a way of indicating that one understands or acknowl- To build guanxi needs time and resources, not only edges a proposal, but not agree with it. If the pro- money. Small talks before negotiations would be posal is unsatisfactory, the Chinese response is likely The Chinese will spend considerable time on bargaining, the best way to break ice. The more you share your drafting agreements, and even sharing personal lives to to be indirect, consisting of such statements as "Im personal life, the closer you are in your business rela- tionship. Sometimes, a lot of time is spent discussing not sure", "Its under study", or "we will think about it." build guanxi. matters outside of business.
  • 10. 16 NEGOTIATING CONTRACTS AND AGREEMENTS SMART SOURCING IN CHINA / 10 / 2011 SMART SOURCING IN CHINA / 10 / 2011 NEGOTIATING CONTRACTS AND AGREEMENTS 17 3. Why are Chinese people re- polite in China. Chinese people won’t say "no" to a nowned for being tough negotia- proposal. They have a thousand ways to say "no", but tors? they wont use the word "no". Chinese businessmen are renowned for being They will say "perhaps", "Im not sure", "Ill think about tough negotiators because they may deliberately it", or "Well see" instead. If you hear that your pro- make negotiations painful and lengthy for their posal "is under study" or has arrived at "an inconven- counterparties. It can be very difficult, complex and ient time," it probably means "no". This deliberately longwinded for a Western person to figure out how ambiguous communication is designed to let the to get it right with Chinese negotiators. Westerner know that the real answer is “no” but the relationship is worthy of preservation. Sometimes you have told the Chinese side that you are at your bottom line, but they are unwilling to take you at your word. 5. Does YES always mean YES in Because in Chinese business culture, Chinese busi- China? nessmens primary aim in negotiations is “conces- sions”. Always bear this in mind when formulating No. Sociologists call Mandarin Chinese a “high con- your own strategy. You must be willing to show text” language to indicate that there is more to the compromises and ensure their negotiators feel they message than just the words being spoken or writ- have gained major concessions. ten. You have to pay attention to the situation, envi- ronmental factors and history to understand the real It is very important to know the commonest basic meaning. For example, when you are speaking at a “No big problem” usually means “There are still problems”. components of your counterpartys culture. Its a meeting with Chinese people, a Chinese business- sign of respect and a way to build trust and credibil- man might say "yes" which probably means "Ive ity as well as advantage that can help you to choose heard you", it does not mean "I understood, compre- the right strategies and tactics during the negotia- hended and this is what I will do". 6. Whats the meaning of “No big 8. How to impress Chinese counter- tions. Nodding is the same. Sometimes a Chinese nods problem” or “The problem is not seri- parties in negotiations? his/her head just to suggest that he/she is listening ous”? You can learn to speak a few Chinese phrases, espe- 4. How to say NO in china? to the speaker, but not to mean he/she agrees with It usually means “There are still problems”. Always cially some "chengyu" (proverbs). They usually have the speaker. investigate the situation fully to obtain facts. four characters and have a whole story behind them Maintaining balance and harmony is an important to support the meaning that you want to express. aspect of Chinese thought. Chinese do not want to When asked a direct question by a Westerner, a Chi- Make sure you use a chengyu at the appropriate “lose face,” and they also do not want to make you nese might answer “yes”to save the Westerner’s face, time and you will grab everybodys attention and “lose face.” Therefore, they will rarely disagree with but the true meaning is “no”and he/she might act as 7. Is Guanxi important in negotiations? gain substantial respect. you in public. Negative replies are considered im- if he/she has said“no.” Trust and personal connections are at the core of business in China. The Chinese believe strongly in building relationships first and then engaging in 9. What composition should I have Chinese do not want to “lose face,” and they also do not business. It is built on long-term partnership. for my team when negotiating with the Chinese? want to make you “lose face.” Therefore, they will rarely disa- But you should know guangxi is a rental, not a pur- gree with you in public. Negative replies are considered im- chase. It is a series of favors, and you have to give to At first you need to know how many persons from get. Sometimes you do not always control how you Chinese counterparties will participate in your ne- polite in China. will pay back a guanxi debt. It cant transfer. When gotiation. Youd better have the same amount of your guanxi person goes, so does the relationship. team members. The team should include:
  • 11. 18 NEGOTIATING CONTRACTS AND AGREEMENTS SMART SOURCING IN CHINA / 10 / 2011 SMART SOURCING IN CHINA / 10 / 2011 NEGOTIATING CONTRACTS AND AGREEMENTS 19 Operations Manager with the authority to cut a deal, rency appreciation, and etc. You should do your sign a contract or write a letter of understanding. homework well before having a price negotiation. Financial Analyst, who sends a trained business case (1) Do some research of tax rebate rate, raw material analyst with strong business counsel skills, not an price, and currency exchange rate. accountant who is capable of quick, high level as- sessments, but can follow through with detail later. (2) Do some research of the market. Search the tar- get products on Made-in-China.com, and figure out Engineer, with experience in the operations you are the price of the market. seeking to establish who also ideally has some busi- ness management trainings and can understand (3) Export companies in China normally quote a rea- business case assessments. sonable price and price is relatively transparent. You can’t expect to cut the price down by something Lawyer, as an adviser as contract terms can be con- like 50% or more. fusing at best to the rest of the team. Procurement Specialist, trained in international part and product sourcing if this is an essential compo- 11. Are contracts sometimes flexible nent of the endeavor. in Chinese business culture? Chinese traditional statues in Wangfujin Street, Beijing. Their gestures mean "thank you for coming." Marketing Specialist, trained in international market- Yes, sometimes the stronger your relationship with ing and with some business research background. the other party, the more likely the contract will be Respect- using both hands (when one would be Girls will hold hands or walk arm-in-arm in China. It followed as written. It is important to not solely rely enough) in offering something to a visitor or anoth- doesnt mean they are lesbians. Professional Negotiator, who is essential if the team on the contract to protect you. Establishing a strong er person. You can even hold your teacup with two has little or no experience, and optional if you have a relationship and having proactive involvement in Many people in China consider it rude to show the hands while someone else fills it with tea to show strong experienced team. product QC is the key to getting the product you extra appreciation. When somebody pours tea for inside of their mouth. Thats why so many Chinese desire. you, tap the table to show "thank you." girls cover their mouth in a cute way while they Local Interpreter, who can help you communicate laugh. well and give you guide of Chinese business culture. Thank you for your help- cupping one fist with the Other skill sets as needed for the specific project. 12. Body language in China other hand before the chest. Shame on you- forefinger of one hand extended, 13. How to negotiate with the Chinese? Greeting- head nodding, smile, hand shaking. The Chinese seldom kiss on the cheek when they meet. tip touches one’s own face several times quickly; The Chinese are famous for their negotiation skills. 10. What should I prepare for a price Hug is for really close friends or relatives. similar to scratching, but with the forefinger straight. Here are some tips on how to succeed in business in negotiation? China. Come here- hand extended toward person, open Im full- patting stomachs. The Chinese never lay The Chinese are extremely price sensitive. In inter- palm, palm down, with all fingers crooked in a beck- their hands on their necks when they are full, which (1) Build Guanxi. national trade, prices are quoted very reasonably as is a suicide action to Chinese. oning motion. the price in the market is relatively transparent. Price (2) Be sincere and patient. Are you insane?- touch temple. Americans often would be affected by such factors as raw material Good idea/ Youve done a great job- thumb up, use it to express somebody’s cleverness. But it (3) Know the Chinese business culture. and energy price, tax rebate rate, labor price, cur- the other four fingers hold a fist. means there is something wrong with one’s mind or (4) Find the implications from the Chinese commu- one is stupid to Chinese. nication. Do some research of the market. Search the target products The Chinese think it rude to point at somebody with (5) Do research of China market. on Made-in-China.com, and figure out the price of the market. one finger. When you introduce someone, point at him/her with all of your five fingers of one hand, (6) Make sure you are communicating with the right which also means "please". person.
  • 12. KEEPING YOUR SMART SOURCING IN CHINA / 10 / 2011 KEEPING YOUR BUSINESS SAFE 21BUSINESS SAFE Protect Trade Secrets and Processes Protect My IP Rights Assure Product Quality Examples of Fraud How to assure a success? 1. How to protect trade secrets and ment of the Peoples Government over the county processes? level supervise unfair competition, except for the supervision made by the other organisations in ac- The best thing your company can do is to only dis- cordance with the provisions of the other laws or seminate trade secrets to those who have a need to regulations. know the information. When outsourcing manufacturers you may con- sider separating your designs, ideas and know-how 2. How to assure product quality? amongst various manufacturers to ensure that no Sometimes a buyer may receive poor quality prod- one manufacturer is able to steal your trade secrets ucts after payment has been made, but the supplier and know-how. This works like a puzzle, distributing refuses to compensate the importer or does not each single piece to another location to eliminate even respond to complaints. Sometimes a supplier the chances of putting the pieces all together. may send high quality samples to the buyer but the The primary law on the trade secrets is Anti Unfair quality of the real end product is very poor. Competition Law. This law is drawn up in order to In order to avoid poor quality, you should undertake safeguard the healthy development of the social- quality and inspection before ordering, during the ist market economy, encourage and protect fair production process and just before the shipment market competition, prohibit unfair competition, leaves. safeguard the legal rights and interests of managers. "Unfair competition", in this Law, means activities made by managers who damage the others legal In order to avoid poor qual- rights and interests, disturb the order of social econ- ity, you should undertake omy and violate the provisions of this Law. quality and inspection The governments in all levels shall adopt methods before ordering, during to prohibit unfair competition and to create the the production process sound environment and conditions for fair competi- and just before the ship- tion. ment leaves. The Bureaus of Industrial and Commercial Manage-
  • 13. 22 KEEPING YOUR BUSINESS SAFE SMART SOURCING IN CHINA / 10 / 2011 SMART SOURCING IN CHINA / 10 / 2011 KEEPING YOUR BUSINESS SAFE 23 Failure to deliver on time. If the supplier avoids giv- Failure to disclose all relevant information about a ing you substantive product or terms of the sale. information about its company, you should be suspicious. 11. Examples of fraud. Trading with Fake Companies 7. How do I structure the relationship with my China sourcing partner? Doing business with strange companies is a big trade risk. The company you are dealing with could Some companies use a full-service China sourcing be a fake or fraudulent company that could disap- agent and others set up a representative office to pear the moment they receive any money from manage China sourcing operations. You can also you. In order to avoid being cheated by these com- find quality Chinese manufacturers online or on panies, you can order a background check from trade fairs. independent third-party sources including a search for legal registration and credit record. 8. How to make sure goods brought Fake Check Scams into my country meet all national regulatory requirements? There are many variations of the fake check scam, but the common thread is a stranger proposing to Goods that dont meet requirements can be send the victim a check and have the victim wire stopped at the border or result in future legal suits. It 3. Why is it best to see the factory for 5. What should I do if the suppliers is highly recommended to consult a good customs myself? do not deliver goods? broker before placing any orders. Some fraud may not actu- Good relationships (or guanxi in Chinese) play a When failed in communicating with the supplier, ally be fraud but problems crucial role in business in China, so it is advisable to keep a record of contact emails, payment bills and 9. How about after-sale service of occurring due to misun- meet the suppliers before placing an order. other valid documents to report the case to the po- Chinese suppliers? lice and also voice a complaint to local trade com- derstanding and mis- You can inspect manufacturing areas to get an idea mittee or department of commerce. At present, a lot of excellent Chinese suppliers pro- communication and the of raw material quality, workers’ skills, production ca- pabilities and the internal QC process of the manu- vide comprehensive after-sale service, set up repair lack of understanding of centers overseas or authorize cooperation partners facturer. to offer after-sale service. It includes consultation, each others’ culture. 6. When should I be suspicious? products maintenance, accessories replacement, If the supplier avoids giving you substantive infor- etc. 4. What precautions should I take mation about its company, you should be suspi- money in return. It may start with someone offer- before making the final payment? cious. ing to buy something you promoted for sale, pay you to work at home, or give you an advance on a You should use the services of a credit institution They may act excited but vague, emphasizing what 10. What problems do most people sweepstakes you won. Whatever the bottom line that checks the background of manufacturers be- a great opportunity this is for you. The supplier asks complain about? is if someone you dont know wants to pay you fore you make your final payment. Always remem- you for up-front payment. They request payment Failure to send the correct products. by check but wants you to wire money back, its a ber: No final payments unless you are certain you options other than Letter of Credit, T/T or Western scam. will receive the goods. Union. Sending product of inferior quality than the samples.
  • 14. 24 KEEPING YOUR BUSINESS SAFE SMART SOURCING IN CHINA / 10 / 2011 SMART SOURCING IN CHINA / 10 / 2011 KEEPING YOUR BUSINESS SAFE 25 Beware of sending free samples scams! Once the money is paid, it becomes difficult 14. How to protect my IP Rights? ment of the socialist market economy. to follow up where the money actually went to and This concerns a supplier requesting a sample from China promulgated the Trademark Law in 1982, The Trademark Office of the administrative authority it is impossible to get the money back. the buyer to produce a product according to the the Patent Law in 1985 and the Copyright Law in for industry and commerce under the State Council clients requirements. Sometimes the supplier may (2) Search related government websites for informa- 1990. Over the past 30 years, China also enacted shall be responsible for the registration and adminis- use these samples without delivering the actual tion and help. laws to protect Geographical Indications, Trade tration of trademarks throughout the country. product to the buyer. In such cases, when samples Secrets, New Plant Varieties and Layout Designs of are required for production, the supplier should (3) Ask Made-in-China.com when you are unsure The Trademark Review and Adjudication Board, es- Integrated Circuits. After its accession to the World pay for the samples and the shipment cost. Once about a supplier or when you need professional tablished under the administrative authority for in- Trade Organization in 2001, China has strengthened the product has been delivered and the sample re- dustry and commerce under the State Council, shall assistance to conduct business with Chinese suppli- its legal framework and amended its IPR and related be responsible for handling matters of trademark turned to the buyer, the money for the sample and ers. (fee based service ) laws and regulations to comply with the WTO disputes. shipment may be returned to the supplier. Agreement on Traded-Related Aspect of Intellectual Property Rights (TRIPs). Patent Law Poor Product Quality You can register your intellec- This Law is enacted to protect patent rights for Sometimes a buyer may receive poor quality prod- tual property right(s) (IP rights) inventions-creations, to encourage inventions- ucts after payment has been made, but the supplier under your countrys law. You creations, to foster the spreading and application of refuses to compensate the importer or does not can protect your Logo(s) and Inventions-creations, and to promote the develop- even respond to complaints. Sometimes a supplier Slogan(s) under the Chinese ment of science and technology, for meeting the may send high quality samples to the buyer but the Anti Unfair Competition Law. Try needs of the construction of socialist moderniza- quality of the real end product is very poor. In order to register your IPR(s) in China tion. to avoid poor quality, you can use Pre-Shipment as well. Small and medium Inspection Services and demand the inspection as a enterprises should therefore In this Law, "inventions-creations" mean inventions, condition to payment. always use written agreements utility models and designs. addressing the issues surround- The Patent Administrative Organ under the State ing know-how, trademarks, IPR, 12. Is there any possibility that some Council is responsible for the patent work nation- non-competition and confi- wide, receives and examines patent applications fraud may not actually be fraud? dentiality. and grants patent rights for inventions-creations Yes, some fraud may not actually be fraud but that conform to the provisions of this Law. problems occurring due to misunderstanding and Trademark Law The authorities for patent work under the people’s miscommunication and the lack of understanding This Law is enacted for the governments of provinces autonomous regions of each others’ culture. Many of these issues can be purposes of improving the and municipalities directly under the Central Gov- avoided by seeking trade information from Chinese administration of trademarks, ernment are responsible for the patent administra- related government institutions. protecting the exclusive right to tion work of their own administrative areas. use trademarks, and encourag- ing producers and operators 13. How to avoid fraud? Copyright Law to guarantee the quality of (1) Use L/C (Letter of credit). Since payment options their goods and services and This Law is enacted, in accordance with the Consti- other than T/T and Western Union are currently maintain the reputation of their tution, for the purposes of protecting the copyright quite limited in China and therefore a Western Un- trademarks, with a view to pro- of authors in their literary, artistic and scientific works ion account is not always a reason to be suspicious, tecting the interests of consum- and the copyright-related rights and interests, of it is still important to recognize that fraudulent sup- ers, producers and operators encouraging the creation and dissemination of pliers have used Western Union accounts for money and to promoting the develop- works which would contribute to the construction
  • 15. 26 KEEPING YOUR BUSINESS SAFE SMART SOURCING IN CHINA / 10 / 2011 SMART SOURCING IN CHINA / 10 / 2011 KEEPING YOUR BUSINESS SAFE 27 of socialist spiritual and material civilization, and of Money Fraud/Trade Dispute: After having been contacted by a supplier, I forward- promoting the development and prosperity of the Provide suppliers with de- ed $US337 to obtain a sample of a motor mower, 1st example socialist culture and science. tailed feedback about the which I believed was being supplied by the above product and how they Dear Sir, member. As soon as the money was received, the supplier said that they could no longer supply the 15. How to judge a suppliers quality? can improve their ser- Hi, sample and refused to refund the money. I see this vice. Without feedback, as fraud. (1) Provide clear requirements regarding product Two months ago I contacted this supplier from they may not fully under- Anhui requesting toys. He agreed and told me that quality, material specification, and dimensions etc. New Zealand Company stand your requirements. he needed to have some up-front payment to be (2) Obtain quality certificates including material able to produce the requested products. I was sup- composition reports, independent quality reports posed to transfer 2000USD via Western Union to the and other evidence of testing and inspection. Make name of Mr. Wang who was the general manager 17. Chinese government depart- Quality Fraud: ments which could help you. sure the certificates match the claims of the suppli- at this time. I transferred the money and waited for a ers. To whom it may concern: reply from Mr. Wang, which I never received, I called several times but there wasnt a Mr. Wang in this The Ministry of Public Security of the Peoples Re- (3) Obtain samples for assessment. For small items Our company is an experienced import and market- company and suddenly no one spoke English even public of China purchase more than just one or two to get a better ing firm in the United States and we used to source though I had received much English written e-mails indication of the standard quality level. new products on-line. Approximately 4 months before. 14 East Changan Road, Beijing, China (4) If possible visit the factory. Suppliers may not ago we placed an order for 1 container of gas and Website: mps.gov.cn electric scooters from a Chinese company. When I want to warn you of this company and hope you always meet or adhere to the quality certifications pass that warning on to all other global buyer mem- they claim to possess, and visiting a factory can help this container arrived every single scooter inside was bers on your website. General Administration of Quality Supervision to determine this. Ask to see some evidence of their broken. Inspection and Quarantine quality management system such as procedural The damage was as follows: the body of the scoot- A UK Company flow charts, quality inspection records, or internal 10A Chaowai Dajie, Beijing, China ers was cracked and many of the scooters were 2nd example audit reports etc. Even if they are in Chinese, you will scratched. Many of our customers told us that the TEL: 86-10-6599-3922 be able to see if up-to-date records are being kept scooters looked like they have been used. The dam- Dear Sir, FAX: 86-10-6599-4421 for key processes. age was so bad that it could not have possibly been (5) Provide suppliers with detailed feedback about caused during shipment. the product and how they can improve their ser- We then contacted the company and described to vice. Without feedback, they may not fully under- them the problem but they refused to cooperate stand your requirements. with us and refused to reimburse us for the costs of (6) Be patient. Conducting international business the products. I received an e-mail from the compa- requires experience and knowledge, and this only ny representative stating that the company owner comes with time. Seek professional assistance from did not want to refund us the money. quality inspectors and MICs Buyer Services team to We have documented evidence of the damage and ensure your business with Chinese suppliers is as ef- a picture of the scooters. We use Price Transfer Inc. in ficient and trouble free as possible. Long Beach, CA for storage and customs clearance and they have also confirmed that the products have been sold to us damaged. 16. Buyers Experiences A United States Company To protect the secret of the client, the name of con- cern company and person is omitted.
  • 16. 28 KEEPING YOUR BUSINESS SAFE SMART SOURCING IN CHINA / 10 / 2011 SMART SOURCING IN CHINA / 10 / 2011 KEEPING YOUR BUSINESS SAFE 29 Website: aqsiq.gov.cn As a result, when you choose an Audited Supplier, you: State Administration for Industry and Commerce Trademark Office · Save money and Time 8 Sanlihe East Road, Xicheng District, Beijing, China Save money and time by eliminating the need to TEL: 86-10-6803-2233 personally inspect factories or manufacturing sites. FAX: 86-10-6801-0463 Website: www.tmo.gov.cn · Get Straightforward Facts State Intellectual Property Office 18. What are Audited Suppliers from Get accurate and reliable third-party information Made-in-China.com? about your future partner. No 6 Xitucheng Road, Haidian District, Beijing, China With thousands of Chinese supplier members on · Increase Confidence TEL: 86-10-6209-3268 Made-in-China.com, one problem that many Buyers Increase your confidence in doing business with FAX: 86-10-6201-9615 face is, being able to differentiate between suppli- trusted and professional Chinese companies. Website: www.sipo.gov.cn ers. SGS, the worlds leading inspection, verification, testing and certification company, personally and National Copyright Administration individually tests and audits Audited Suppliers to · Succeed · Quality Management System and Product Certi- make sure they meet world class standards. fication 85 Dongsi Nan Dajie, Beijing, China Simply put, Made-in-China.com helps you succeed. TEL: 86-10-6512-7869 or 6527-6930 Audited Suppliers is a valuable tool for both suppli- Check to make sure your supplier has passed Quality FAX: 86-10-6512-7875 ers and purchasers. Chinese suppliers that obtain Management Systems or Product Certifications. Website: www.ncac.gov.cn SGS certification will be rewarded with a unique 19. What are Audit Reports of Made- "Audited Supplier" logo that will be displayed next in-China.com? · Production Capacity & Quality Control to their company name and products in search General Administration of Customs results, and in their showrooms, making it easier Audit Reports are produced by SGS, the worlds lead- Be assured that your supplier can meet your pro- for those suppliers to stand out from the rest. At ing supplier certification company. Audit Report lets duction needs and use quality control systems and 6 Jianguomenwai DaJie, Beijing, China first glance purchasers will be able to distinguish you compare suppliers to select the best. An SGS measures. TEL: 86-10-6519-5243 or 6519-5399 between suppliers that have passed SGS tests and audit report contains the following information: FAX: 86-10-6519-5394 those that have not, and will be able to view inde- Website: www.customs.gov.cn pendently produced audit reports on suppliers · Financial Position production practices, quality control procedures, · General Information and other vital information. Check your suppliers credit history and develop- Know that the company you are dealing with is of- ment plans. ficially registered and licensed. · Working Environment & Energy Saving · Foreign Trade Capacity Be assured that your supplier has focused the labor Chinese suppliers that obtain SGS certification will be re- Check your suppliers exporting and trading ability. protection and sustainable development. warded with a unique "Audited Supplier" logo that will be displayed next to their company name and products in · Product Research & Development Capacity · Photos search results, and in their showrooms, making it easier for those suppliers to stand out from the rest. Knowing how much R&D went into your suppliers See your suppliers factory lines, production equip- products can help you make better choices. ment, offices and staff.
  • 17. What is Audited Suppliers Corner ?Audited Suppliers Corner (AS Corner) is a free sourc-ing service for international buyers.Made-in-China.com is going to organize our Au-dited suppliers information at most important inter-national exhibitions.• One-stop service to find reliable suppliers• Get accurate third party information on your suppliers• Increase the speed to market What is Audit Reports?What are Audited Suppliers? Get the comprehensive capacity information of Au- dited Suppliers.With thousands of Chinese supplier members onMade-in-China.com, one problem that many Buyers Audit Reports provide buyers with critical factsface is, being able to differentiate between suppli- concerning the Audited Suppliers, such as businessers. SGS, the worlds leading inspection, verification, licenses, production capabilities and quality controltesting and certification company, personally and system. Audit Reports produced by SGS the worldsindividually tests and audits our Audited Suppliers to leading inspection company helps the buyers com-make sure they meet world class standards. pare potential suppliers to select the best.You can visit AS Corner’s booth at the following exhibitions: Dates Venue Exhibition Oct.11-15, 2011 Paris Nord Exhibition Centre, France EQUIP AUTO 2011 Leading international exhibition attended by the entire automobile industry: from design through to main- tenance and eventual recycling. N o v . 2 1 - 2 4 , Dubai International Exhibition & Convention International Building & Construction 2011 Centre, UAE Show (The Big 5) International Exhibition for Building, Water Technology & Environment, Air Conditioning & Refrigeration, Cleaning & Maintenance, Glass & Metal. Jan.10-13, 2012 Las Vegas Convention Center, USA 2012 INTERNATIONAL CES Leading international consumer electronic shows. Jan.27-31, 2012 Exhibition Centre Frankfurt, Germany CHRISTMASWORLD FRANKFURT 2012 Leading trade fair for festive decorations presents the trends and innovations for the coming seasons. Feb.5-9, 2012 National Exhibition Centre, Birmingham, UK Spring Fair International 2012 The UK’s largest retail trade event and the most comprehensive collection of gifts in Europe.
  • 18. SMART SOURCING IN CHINA / 10 / 2011 BUSINESS ETIQUETTE 33 1. Whats the difference between Chinese side up, facing your contact so that he/she business relationship in China and can directly read it. in western countries? It is best to stand up when exchanging Chinese Unlike western business relationship which remains business cards, one-by-one, individual-to-individual. professional and perhaps, aloof, even after a long On accepting a business card from a Chinese, show time, Chinese business relationship inevitably be- comes a social relationship. your interest by glancing at the details of the card. Putting the card immediately into your wallet or The more you share your personal life, briefcase without reading it is an unfor- including family, hobbies, political givable insult in the Chinese busi- views, aspirations, the closer you ness culture. are in your business relation- ship. Sometimes, a lot of time is spent in discussing matters 4. How to address outside of business, but then a lot of time, the other party the Chinese names? is also making up his mind In China, family names come about your deal based on first followed by given names. how much he sees your per- In business/formal settings, sonal relationship with him. people normally address each other by their family name or title, such as "Mr. Chen", or "Director Huang". 2. What should my business card Linking names with business positions shows include? respect for the person, whom you are calling. And Business cards are exchanged after the initial intro- dont call someone by just their first name unless duction. Take an adequate supply of business cards specifically asked or if you are long-time friends. with you if you have a meeting with Chinese people. Terms of kinship are often used for close non-rela- Youd better to have one side translated into Chi- tives. A younger man often calls a man who is five nese. Make sure it uses "Simplified" characters for years older than him "big brother" and someone Mainland China, Singapore, Malaysia and Indonesia, who is considerably older "uncle." Chinese often and "Traditional" characters in Taiwan and Hong address their friends as juniors and seniors even if Kong. they are just a few months younger or older. When a Chinese person asks someone his/her age, he/she Business cards should also include your title. If your just wants to know how to address the person. BUSINESS company is the oldest or largest in your country, thatDifference in Chinese Business fact should be shown on your cards as well. Relationship 5. Whats the business meeting eti- ETIQUETTE Chinese Business Card 3. How to exchange business cards? quette in China? Small Talks in China You should exchange your business card with two Appointments are necessary and, if possible, should Table Manners hands as a sign of respect. When presenting your be made between one-to-two months in advance, Whats the appropriate behavior when doing Business Gift business with the Chinese? Chinese business card, make sure that you hold its preferably in writing.
  • 19. 34 BUSINESS ETIQUETTE SMART SOURCING IN CHINA / 10 / 2011 SMART SOURCING IN CHINA / 10 / 2011 BUSINESS ETIQUETTE 35 If you do not have a contact within the company, Written material should be available in both English use an intermediary to arrange a formal introduc- and Chinese, using simplified characters. Make ab- tion. Once the introduction has been made, you solutely certain that written translations are accurate should provide the company with information and cannot be misinterpreted. about your company and what you want to accom- plish at the meeting. Visual aids are useful in large meetings and should only be done with black type on white background. You should arrive at meetings on time or slightly Colours have special meanings and if you are not early. The Chinese view punctuality as a virtue. Arriv- careful, your colour choices could work against you. ing late is an insult and could negatively affect your relationship Presentations should be detailed and factual and focus on long-term benefits. Be prepared for the Pay great attention to the agenda as each Chinese presentation to be a challenge. participant has his/her own agenda that they will at- tempt to introduce. Each participant will take an opportunity to domi- 6. What are the most popular topics nate the floor for lengthy periods without appearing when having small talk with Chi- remember that negative replies is definitely not Chinese to say very much of anything that actually contrib- nese people? are seen as impolite. So avoid say- style. The atmosphere in utes to the meeting. Be patient and listen. There ing "no" and instead reply with a Chinese restaurants is "re- Small talk is an important part of business meetings "maybe" or "Ill have to think about nao", which means hot and could be subtle messages being transmitted that in China. It is a bit different in China than in Europe would assist you in allaying fears of on-going asso- that", etc. noisy. and North America, but similarly there are topics ciation. which should be avoided, and topics which are pre- One of the biggest differences Send an agenda before the meeting so your ferred for small talk. It can feature a number of topics between Chinese dinner and including the weather, art, food, shopping, places of 7. Whats the seat etiquette in western dinner might be the position Chinese colleagues have the chance to meet any Chinese business culture? technical experts prior to the meeting. Discuss the interest, etc. on table where dishes are served. agenda with your translator/intermediary prior to At Chinese banquets, the seating arrangement is The Chinese may ask you about your age or salary. In Chinese dinner, dishes are served at the middle of submission. probably the most important part of Chinese dining It is not impolite in Chinese culture. But if you dont a round table for all to share, and each person uses a etiquette, especially in Chinese business banquets. Meetings require patience. want to answer these questions, you small bowl in front him/her to hold the food one has could offer an open-ended reply, Generally, round tables are used at Chinese ban- picked from the shared dishes. So in that way every- Guests are generally told where for instance, "you guess" or "not quets. The seat facing the entrance is the seat of one can order a different kind of dish make it shared to sit, which are in descend- too much". honor. The seats on the left hand side of the seat of by all. ing order of rank. Senior honor are second, fourth, sixth, etc in importance, people generally sit In some cases you also Chinese starters are normally cold dishes. Main ma- while those on the right are third, fifth, seventh and opposite senior people might be confronted terials in Chinese starters can be either vegetables or so on in importance, until they join together. from the other side. with rather private meat that has been cooked and cooled down. And questions such as When a family holds a banquet, the seat of honor is then dishes are served. Types of Chinese dishes are It is imperative that about your family. The for the guest. just too many to enumerate. you bring your own Chinese are very family interpreter, especially if oriented, so don’t feel Beer, wine or alcohol can be taken together with you plan to discuss legal embarrassed when peo- dishes. or extremely technical ple ask you rather private 8. Whats the difference between The Chinese will order rice too. It is normally served concepts as you can brief questions, it is just small talk. Chinese dinner and western din- to each person separately in a small bowl. the interpreter prior to the ner? meeting. During a conversation with a Chinese soup is served after main dishes. But in Chinese person it is important to The idea of expensive wine and candlelight dinners
  • 20. 36 BUSINESS ETIQUETTE SMART SOURCING IN CHINA / 10 / 2011 SMART SOURCING IN CHINA / 10 / 2011 BUSINESS ETIQUETTE 37 Guangdong area, soup is served before main dishes. one does so until the guest of honor has taken the Always take from the side nearest you. It is consid- base of your thumb (on the joint) and at the lower first bite. ered ill-mannered to take food from the side of the joint of the middle finger. This chopstick shouldnt The most typical dessert in Chinese dinner is fruits. platter facing others, and it is considered outright touch the forefinger. Place the other chopstick be- High quality restaurants would often assemble a big uncouth to "dig for treasures" as the Chinese put it, tween your thumb and forefinger. The side of the plate with several types of fruits arranged in beauti- or to "cherry pick" for choice morsels as one would ful patterns. Most favorable fruits might be water- 11. When I cheer at a Chinese din- chopstick should rest against the tip of your thumb; ner table, what should I do? say in English. the top of the chopstick should rest against the pad melon, orange and pear, which can make one feel of your forefinger. Hold it steady and practice open- clean and clear in his/her mouth and stomach after A toast to others is a characteristic Chinese dinning. If the table is too big, a lazy Susan (a rotating tray, the meal. ing and closing the chopsticks. When cheering at a Chinese dinner table, lower usually circular, placed on top of a table to aid in your glass to show respect. If you are far from some- moving food on a large table or countertop) will be DOs and DONTs with your chopsticks one you want to toast, you can use your cup or glass used. So everyone will have a chance to reach every 9. Do I need to order all of dishes if to tap on the table to attract attention rather than dish. Decide what to pick up before reaching with chop- Im the guest? raise your voice. sticks, instead of hovering them over or rummaging through dishes. There is no need. 14. How to eat with chopsticks? Keep chopsticks off the table, they can be rested If there is a group of you, everyone could 12. Why do the Chinese al- Held between the thumb and fingers of one hand, horizontally on ones plate or bowl; a chopstick rest order one or two dishes. You could be ways fetch food for me? chopsticks are used like tongs to pick up portions of (commonly found in restaurants) can also be used. the first one to order if you are the What is the appropriate food which are prepared and brought to the table in guest. At least four dishes will reaction? When picking up a piece of food, never use the small and convenient pieces. be served for a dinner of 3 or 4 tips of your chopsticks to penetrate the food as persons, not including rice or At Chinese dinner table, the Hold one chopstick between your thumb and mid- with a fork; exceptions include tearing apart larger soup. It is usually at least one host usually asks the guests dle finger. Position the chopstick so that it lies at the items such as vegetables. In more informal settings, vegetable and one meat dish. to "help yourself" or even fetches food for the guests, If you have allergies, it is best which is regarded as a hospita- to let your host know before ble manner. ordering so that these items can be avoided. The one who sits closest to the teapot or wine bottle will pour them for others. Guests don’t need to pour tea or wine themselves. Because that means the host 10. Whats the signal to dine in Chi- doesnt take good care of guests, which will make na? the host "lose face". When sitting at the right places and dishes are When someone fetches food or pours beverages served, it is time for the guest of honor to take the for you, the appropriate reaction is to say thank you. first drink or propose the first toast. It is the guest of If you are comfortable with the food, eat it, or leave it honor who should be the first to begin eating. on your plate. Generally, the guest of honor will invite everyone to begin eating with words to the effect of "Shall we eat?" This gesture of politeness serves as a signal to 13. How to fetch food from the cent- the other guests that they may then begin dining. er of the table? Can I use my own It is unforgivably rude to eat before the guest of chopsticks? honor has begun to eat, so although the guest of When helping yourself with food placed on the ta- honor invites the other guests to begin dining, no ble, use communal chopsticks or spoons.
  • 21. 38 BUSINESS ETIQUETTE SMART SOURCING IN CHINA / 10 / 2011 SMART SOURCING IN CHINA / 10 / 2011 BUSINESS ETIQUETTE 39 smaller items or those more difficult to pick up such 17. What should I do when the dish exchanged for celebrations, or thanks for assistance. for example, a white or black wrapping symbolizes as cherry tomatoes or fishballs may be stabbed, but is soupy? But expensive gifts are interpreted in Chinese cul- death. Red is the preferred color as this symbolizes this is frowned upon by traditionalists. ture as bribery. Refrain from giving expensive pre- luck. Don’t expect Chinese to unwrap the gift in Pull the serving bowl near the dish and reduce the sents. front of you, rather it may just be put aside. This does Never stab chopsticks vertically into a bowl of rice, distance. Spilling plenty of sauce on the table is a not mean they are not grateful. Do not wrap a gift as this resembles incense sticks used at temples to major faux pas. In business, show sensitivity to peoples status. Give before arriving in China, as it may be unwrapped in pay respects to the deceased. So it looks like you the same type of gift to people at the same level. Customs. are wishing death upon a person at the table! This is considered the ultimate dinner table faux pas. Remember, give a gift to the entire company, rather 18. Do I need to drink a lot when than an individual, and present the gift to the leader Never tap on your bowl with your chopsticks. When having a business dinner? of the Chinese negotiating team. On presenting 20. How to give a gift to an individual? the food is coming too slow in a restaurant, people Frequent toasts are not unusual in Chinese business a gift to all the members of the Chinese group, it will tap their bowls. If you are in someones home, it should be emphasized that it is a gift from the com- If you wish to give a gift to an individual, you must dinner. The Chinese are big drinkers especially in do it privately, in the context of friendship, not busi- is like insulting the cook. Northern and Western China. It does not matter if it pany that you represent, not a personal gift. ness. Never point the chopsticks at another person. This is lunch or dinner. As long as a meal is being hosted, All business negotiations should be con- amounts to insulting that person and is a major there will be alcohol. cluded before gifts are exchanged. Do not offer a gift to one person in front faux pas. of a group. It will be embarrassing Drinking a lot may earn you respect or A gift should always be wrapped. for the individual, and rude to Never wave your chopsticks around trust, since many Chinese believe Pay attention to the color of the everyone else who is not receiv- as if they were an extension of that alcohol causes barriers to gift-wrapping. Chinese culture ing a gift. your hand gestures. come down and true intentions is very sensitive to colors. Thus to be revealed. It is often seen as Never bang chopsticks like rude not to drink with the Chi- drumsticks. This is akin to telling nese in a formal dinner. To main- 21. Why do Chinese others at the table you are a beg- tain your sanity, either claim to be people sometimes gar. a non alcoholic or plead medical refuse my gift? grounds as an excuse. This will let Chinese do not usually accept a Never use chopsticks to move bowls you off the hook with little or minimal gift, invitation or favor when it is first or plates. drinks. Better yet, bring a partner who can presented. Politely refusing two or three Never suck the chopsticks. drink on your behalf. times is thought to reflect modesty and humility. Chinese wine is the favourite, followed by red wine Accepting something in haste makes a person look and beer. Chinese wine is more like fuel than liquor, aggressive and greedy. So it may sometimes take a 15. How to hold a rice bowl? having an alcohol concentration as high as 60%. No few tries to get the person to accept the gift. You should take the rice bowl in your hand rather matter how good a drinker you may think of your- than let it remain on the table as in Western dining self, never, ever challenge a Chinese into a drinking etiquette. To hold a rice bowl politely, your thumb contest. They will win, hands down. 22. What is the appropriate reaction should rest on the rim of the bowl while the bottom when receiving gifts from Chinese? of the bowl is supported by your index, middle, and Gifts should be received with both hands when ring fingers. 19. Can I give a gift to my Chinese presented to you. As with most cultures, it is polite business partner? and often expected that you thank the giver of the Unlike many countries, gift-giving does not carry gift. Thank-you notes, a phone call afterwards, or any 16. How much should I pick from other gesture of thanks is greatly appreciated in the any negative connotations when doing business dishes at one time? in China. Gift giving is considered an important Chinese culture as well. And, if possible, offer a gift way of showing courtesy. Gifts should always be back on a suitable occasion. In general, one or two bites of food would be great.
  • 22. 40 BUSINESS ETIQUETTE SMART SOURCING IN CHINA / 10 / 2011 SMART SOURCING IN CHINA / 10 / 2011 BUSINESS ETIQUETTE 41 Chinese people who have had contact with 24. Should I shake hands with the 27. How to present my del- Americans or other Westerners might expect you Chinese for the first time we meet? egation? to follow the American custom of opening the gift in front of the giver. To avoid confusion, you can Yes. Shaking hands is now the standard form of When meeting your Chinese hosts, the always ask, "Would you like me to open this now?" If greeting in China. Always shake hands with the most senior person in your delegation it is opened, it is customary to give it many compli- most senior person first. should be first in the reception line. Oth- ments and spend some time in the conversation ers should follow in order of seniority. discussing the merits of the item. Sort this out before the meeting. Your 25. How to build business relation- interpreter should stay close to the head ship in China? of the line to introduce your most senior 23. Which kind of gifts is popular person. Those greeted should move Doing research on the market is important in China, down the line shaking hands, without among Chinese? but personal relationships are equally essential to pausing too long for conversation. Chinese are fond of items that are not accessible in business success here. Chinese business relation- China. For example, items which are hand-made, ship inevitably becomes a social relationship. from your country. Be mindful that many things you 28. What kind of behaviors Chinese business contacts are mostly referrals; es- buy at home are in fact made in China and these would be considered rude by sentially a business relationship is struck based on gifts should be avoided if possible. Chinese people? another business associate recommendation. The In business environments, it is generally unaccepta- best prices and deals often come from a strong rec- The Chinese will do anything they can to ble to give samples of your own product as a gift to a ommendation. save face, so they consider it rude to say company you wish to conduct business with. "no" directly. They often say something However, it is common today for cold calls and Popular items include cigarette lighters, wine, the direct contacts, given the availability of the internet like "maybe," "I am busy," or even "yes" exotic coins, local traditional ornaments or food, etc. and the competitive nature of Chinese businesses. when they really mean "no," or convey a Do not give knives, scissors as they symbolize break- You may source from the internet, trade fairs, no answer in way that foreigners dont ing a relationship. Also avoid clocks, or anything in catalogues and brochures, advertisements and ap- understand. This behavior sometimes sets of four (four is an unlucky number as it sounds proach the Chinese companies directly through a causes confusion with Westerners who like“death”). Six, eight and nine are lucky numbers. call or email. like a yes-or-no answer, and who tend to believe 29. Is seniority important in China? there is a possibility of a "yes" unless they are told Yes. Seniority is very important to the Chinese Flowers are an acceptable gift, but "no" straight out. Chinese consider it rude, kind of especially if you are dealing with a State owned or never give white chrysanthe- 26. Should I avoid jokes mean and too direct to say "no." government body. In China, it is assumed that the mums, or any white flowers when doing business It is also rude to cross your arms or legs, or have your first person that enters the room is the head of the for that matter, as they are traditionally used for fu- with the Chinese? hands in your pocket when you are speaking to group. When giving out name cards or brochures, someone. make sure you start with the most senior person nerals. Yes. You are representing your before moving down the line. company when doing busi- Try to avoid staring at someones eyes directly, Gifts of food are ac- ness, so always keep dealings which will make the Chinese uncomfortable. ceptable, but not at at a professional level. Never dinner parties or other Chinese also dont like it when Westerners point at become too informal and avoid occasions where ap- people; wear strong colognes or perfumes; put their humor. This is not because the petizers and meals will feet or sit on desks; dont use titles or show proper Chinese are not humorous but be served. Candy and fruit respect to elders and superiors; boast and offer their rather, the jokes may lose their baskets, however, are ac- opinions to readily; want immediate answers; and meaning in translation and hence be ceptable as thank-you gifts sent show a lack of patience. redundant. after these events.
  • 23. SMART SOURCING IN CHINA / 10 / 2011 CHINA MARKETS 43 ucts which have market potential; cooperate with Chinese suppliers that have completed support facilities and are professional in trading procedure; make factors such as currency appreciation and rise of labor costs part of their inquiry consideration to sign replying clauses. 4. What is the new trend of trans- formation of Chinese foreign trade enterprises? The development of foreign trade competition abili- ty in developing countries experiences 3 stages: The first stage is the period of labor resource advantage, which has already passed over; the second one is the currently on-going progress of technical im- provement and stick-to-card production; the third stage covers independent innovation, technology New Trend of Purchasing support, and sales ability development – only a few of Chinese enterprises have stepped onto this stage Hot Spots of Investment while most of them still remain in an intermediate state. Advantages of Chinese Suppliers Industrial Clusters 5. How about brand consciousness What is the current of Chinese enterprises? situation of China market? In the past, there was not a world famous brand in China. But in recent years, lots of Chinese enterprises began to build their own brands, and even took brand building and global promotion as one of theirCHINA MARKET Crisis is not only a challenge but also a great oppor- tunity for Chinese enterprises. long strategic targets. Most enterprises started from improving quality, updating service and maintain- ing corporate image and till now have obtained 3. What is the new trend of purchas- positive results.1. What are the main products for 2. What is the impact of financial cri- ing in China?export in China? sis on Chinese suppliers? At present, international buyers have developed 6. How about the environmentalIn 2010, export of electromechanical products rose Financial crisis largely affected foreign trade in China. their used way of purchasing from buying nothing protection products developing into 933.43 billion dollar, rising at 30.9 percent. This Especially in 2009, a large amount of exporters were else but low-price products to buying ones of high China?occupied 59.2% of total export volume in China, facing challenges of a possible reshuffle in trading quality or ones with high ratio of performance toamong which export of electronic products ac- field. After crisis, companies with out-of-date indus- price. International buyers are becoming more and In recent years, most Chinese suppliers are takingcounted for 388.79 billion dollar, rising at 29.1% and trial structure and production mode became obso- more strategic. They tend to merchandise different developing low carbon products and eco-friendlyexport of mechanical equipments accounted for lescent, while lots of excellent, advanced companies products in only one region in order to save expense products seriously, switching to Green industry.309.83%, rising at 31.4%. survived and stepped onto a higher level. Financial of prophase research; merchandise innovated prod- Chinese government also released several strategies
  • 24. 44 CHINA MARKETS SMART SOURCING IN CHINA / 10 / 2011 SMART SOURCING IN CHINA / 10 / 2011 CHINA MARKETS 45 and laws to improve public conscious awareness of as Guangdong, Jiangsu, Zhejiang, Fujian, Shandong, environmental problems. Exporting products with Shanghai, Tianjin and etc., and has a complete, ma- high energy consumption and high carbon emis- ture industrial matching system as well. Quite a lot of Chinese suppliers began to develop high value- sion will be largely cut off in government planning. added products to resist price rise crisis. 9. What are the hot spots of invest- 7. Has price rise influenced export- ment in China at present? ing? Industrial Clusters Province and 55% of total exports in perfect manufacturing chain and so Electronic Information, Technology, Media, Telecom, whole China. called “regional economy of scale & Over these days Chinese suppliers are under pres- Clean Energy, Healthcare, Public Service, and Real Dongguan shoes accessories economy of scale”, which sure of rise in the RMB, in raw material cost and in Estate. From the beginning of 2010 to No- largely reduced the internal and ex- labor cost. Under this circumstance, price rise is a Dongguan currently has nearly 1,200 vember, exports of ceramic in Foshan ternal transaction cost and thus effi- helpless but logical result. However, quite a lot of leather shoes manufacturers with reached 2 billion dollar, increasing by ciently reduced the total cost of light over 300,000 employees. 158 of the 36%. Adapting new trend of energy decoration producing, consequently Chinese suppliers began to develop high value- 10. What is the current situation manufacturers have an annual sales saving, ceramic companies in Foshan added products to resist price rise crisis. to transform to strong competitive of investment and construction in income of above 5 million. Of the independently produced ceramic advantages. China? yearly production of 1 billion pairs of board and officially introduced in shoes, 536 million pairs are exported mainland China the first high alu- 8. Compared with India, Vietnam, As a result of a big market in China, low labor cost, with an export value of US$843 mil- minum low carbon ultra-thin brick Philippine, what are the advantages complete matching facilities, many foreign investors lion. The yearly demand for shoe ma- series, which is less than half the Yiwu Small Commodities of Chinese suppliers? choose China as their target place for investing and terials and shoe-making equipment thickness of ordinary brick but 30% The commodity industry has been building factory. In 2010, 27406 foreign companies exceeds a total value of 5 billion RMB. solider than that. leading industry in the regional Advantages of Chinese suppliers mainly lie in in- got officially approved to enter China, demonstrat- More than 10% of the global shoe economy. The Yiwu market has been dustrial comprehensive matching capacity. After ing a year-on-year increase of 16.94%. And the top products are imported from Dong- an international commodity distribu- several decades’development in the fields of manu- 10 countries and regions of investment in China are guan, with coverage of over 100 Zhongshan Led Lighting tion center and the important base facturing industry and foreign trade, China has now Hong Kong, Taiwan, Singapore, Japan, US, Korea, UK, countries and regions. for foreign merchants to purchase formed complete industrial chains in regions such France, Netherland, and Germany. Light decoration in Zhongshan cov- Baocheng International Group, the commodities. Currently, the Yiwu ers half domestic production and biggest transnational shoes group in commodity market covers an area of sales market, and also export to Hong the world, established Yu Yuan Shoes 1.5 million m2, and has 40,000 stores, Kong, Macaw, Taiwan region, South- Factory in Dongguan, and set up Yu comprising 28 categories and about east Asia, Japan, US, Europe and so 200,000 varieties of daily goods. Yuan Industrial Park in 1988, moving on, over 130 countries and regions. After crisis, companies with out-of-date industrial structure and 10 of its subsidiary modernized fac- The industrial economy is rapidly tories of large scale including Bao Tai Zhongshan old town has a high production mode became obsolescent, while lots of excellent, Shoes Factory, Bao Liang Shoes Ma- concentration of light decoration in- strengthening, and currently has developed and is exploiting industrial advanced companies survived and stepped onto a higher level. terials Factory, etc. into the Industrial dustry, keeping an elaborate division park areas of 64 square kilometers, Park Zone. of production progress and holding with more than 1300 enterprises. complete matching facilities. It has also cultivated a group of By the end of 2009, the number of predominant industries, large-scale Foshan Ceramics lighting accessories companies in the enterprises and famous products of whole town was far beyond 4000, socks, ornaments, zippers, cosmetics, 11. What is the current situation of occupies an absolute share in the market. In 2010, Foshan, the capital of ceramic, which with nearly 10 lighting accessories shirts, cultural articles, pen-making, electronic business in China? B2B market in China kept a steady growth, and the toys, etc. accounts for more than half produc- markets and more than 3000 stores volume of business reached 3.8 thousand billion, tion output in China, has gathered included. Light decoration and ac- At present in the field of Chinese electronic busi- increasing by 15.8% year-on-year. over 60% amount of ceramic brands. cessories industry accounts for 70% ness, B2C, C2C trade is growing vigorously, and B2B In 2009, exports of ceramic reached of the whole town’s manufacturing 2.2 billion dollar, accounting for industry. The industry cluster of 77% of total exports in Guangdong light decoration there has formed a
  • 25. CULTURE AND 1. What’s “guanxi”? Guanxi is regarded as the central idea in Chinese Guanxi can take on many forms. It does not have to be based on money. Developing and nurturing guanxi requires time and resources. People rely on it CUSTOMS society with long historical and cultural roots. It is not only for getting things done, but also for protec- Guanxi, Mianzi, Keqi, Yuanfen understood and utilized by virtually every Chinese tion, security and support. person in greater or lesser measure. Well-known Chinese Festivals In the West, relationships grow out of deals. In China, How to bridge culture gap in China? Understanding how the Chinese view guanxi is deals grow out of relationships. Chinese prefer to Tea Culture crucial to understanding Chinese people. It is too work with persons they know and trust. This rela- Chinese Wedding simple to call guanxi “relationships”, “networking”, or tionship extends between companies and also “connections”, because all of these things are basic between individuals at an ongoing personal level.The Features of Chinese Modesty fibers of the Chinese culture. With manners, diligence, courtesy and goodwill,
  • 26. 48 CULTURE AND CUSTOMS SMART SOURCING IN CHINA / 10 / 2011 SMART SOURCING IN CHINA / 10 / 2011 CULTURE AND CUSTOMS 49 one establishes his/her own guanxi. should be used sparingly. Over-use suggests insin- happening of things to some people at some “you’re welcome”. Ke means guest and qi means cerity on the part of the giver. places. Yuanfen belongs to the family of concepts behavior. As used to describe behavior, keqi means For foreigners, no matter how much experience known in theology as determinism. politeness, courtesy, modesty, humility, understand- you have in western business management, the right “Guanxi” in China will make all the difference in ing, well-mannered behavior and so on. All of these Unlike other Chinese social relations, which de- ensuring success. The inevitable risks, barriers, and 4. What’s “meimianzi”? definitions are natural in the Chinese cultural con- scribe abstract, but easily noticeable, connections set-ups you’ll encounter in China will be minimized It means losing face. Causing someone to lose between people, nowadays, Chinese merely use text. when you have the right “Guanxi” network working face could ruin business prospects or even invite this word poetically or to emphasize a meant-to-be The importance of keqi also indicates how sensitive for you. recrimination. The easiest way to cause someone to relationship, and almost never in a serious business Chinese are to any sign of arrogance or haughtiness. lose face is to insult an individual or criticise him/ her or legal situation. Chinese are expected to demonstrate keqi in all of in front of others. It is not really the act that causes their actions and especially toward foreign guests. 2. What’s “mianzi”? a loss of face but the fact that the act is public, and there is public humiliation or loss of prestige in- As social conditions continue to change, the force Mianzi, which means “face” in English, is a fun- 7. What’s “keqi”? volved. Westerners can unintentionally offend Chi- of keqi is diminishing, but it is still discernible in the damental concept in the fields of sociology, nese by making fun of them in a good-natured way. Chinese people normally say “bukeqi” instead of behavior of all Chinese, including overseas Chinese. sociolinguistics, semantics, politeness theory, Another error can be to treat someone as a psychology, political science, commu- subordinate when their status in an nication, and Face Negotiation The- organization is high. ory. It is a combination of dignity, 8. What are the well- pride and public reputation, known Chinese festivals? particularly through the eyes of ones close connections. 5. What’s “liumianzi”? Spring Festival It means giving someone a As a famous Chinese saying The Chinese New Year is now popu- chance to regain lost honor. goes, "Men live for face as larly known as the Spring Festival It can be very important in trees grow for bark." Manag- because it starts from the beginning building long-term business ing mianzi is an integral part of spring. The Spring Festival is the relationships and friendships. For of Chinese etiquette. Surface most important festival for the Chi- example, the Chinese feel it is rude to harmony is the art of maintain- nese people. All people living away directly deny a request, and will either fail to ing composure and remaining polite and from home are expected to go back, give any response at all or will indirectly say courteous. It can be so important that so it is becoming the busiest time for "no" with a qualification such as, "Well, that might Chinese may sweep aside business to keep it. transportation systems of about half not be very convenient." a month. Airports, railway stations and long-distance bus stations are 3. What’s “geimianzi”? 6. What’s “yuanfen”? crowded with home returnees. It means giving face, showing respect for a persons New Years Eve and New Years Day Yuan or yuanfen is a Buddhist-related Chinese con- feelings. are celebrated as a family affair, a cept that means the predetermined principle that The Chinese are acutely sensitive to gaining and dictates a persons relationships and encounters, time of reunion and thanksgiving. maintaining face in all aspects of social and business usually positive, such as the affinity among friends At New Years Eve, a big dinner is life. Simple ways of "giving face" could be sitting in or lovers. In common usage the term can be de- served. The family end the night the correct place at a meeting or dinner, offering fined as the "binding force" that links two persons with firecrackers. Early the next an appropriate gift to a person, or giving praise and together in any relationship. The concept of syn- morning, children greet their par- compliments. chronicity from the Swiss psychologist Carl Jung can ents by wishing them a healthy and be seen as similar to yuanfen, which Chinese people happy new year, and receive money Giving face earns respect and loyalty, but praise also believe to be a universal force governing the in red paper envelopes.
  • 27. 50 CULTURE AND CUSTOMS SMART SOURCING IN CHINA / 10 / 2011 SMART SOURCING IN CHINA / 10 / 2011 CULTURE AND CUSTOMS 51 Lantern Festival Zongzi for Duanwu Festival. The first month of the Chinese calendar is called yuan month and in ancient times people called the night xiao. The fifteenth day is the first night to see a full moon, therefore the day is called Yuan Xiao Festi- val (Lantern Festival) in China. According to Chinese tradition, at the very begin- ning of a new year, when there is a bright full moon hanging in the sky, there should be thousands of colorful lanterns hung out for people to appreciate. At this time, people will try to solve puzzles on lan- terns, eat yuanxiao (glutinous rice ball) and enjoy a family reunion. Yuanxiao is made of glutinous rice flour, filled with red bean paste, chopped peanuts and sugar, sesa- me paste (ground black sesame seeds mixed with lard), rock sugar (which would create a hot, melting caramel-like filling), etc. Moon cakes for Mid-Autumn Festival. Qingming Festival with Chinese and other East Asian and Southeast For generations, moon cakes have been made with cess, fortune, fertility, happiness and passion. In Chi- The Qingming Festival, or Tomb Sweeping Day is a Asian societies as well. The festival occurs on the sweet fillings of nuts, mashed red beans, lotus-seed nese cultural traditions, red is associated with wed- traditional Chinese festival on the 15th day from the 5th day of the 5th month of the lunar calendar. The paste or Chinese dates, wrapped in a pastry. Some- dings (where brides traditionally wear red dresses) Spring Equinox, usually occurring around April 5 focus of the celebrations includes eating the rice times a cooked egg yolk can be found in the middle and red paper is also frequently used to wrap gifts of of the Gregorian calendar. Its name denotes a time dumpling Zongzi, drinking realgar wine Xiong- of the rich tasting dessert. money or other things. Special red packets in China for people to go outside and enjoy the greenery of huangjiu, and racing dragon boats. are used during the Chinese New Year to give mon- springtime and tend to the graves of departed ones. etary gifts. The traditional food for the Dragon Boat Festival, The concept of filial piety or obedience to ones el- 9. When do Chinese people usually Zongzi is a glutinous rice ball, with a filling, wrapped derly or ancestors is a very important concept in the in corn leaves. The fillings can be egg, beans, sweet take a long vacation? Yellow Chinese culture. Traditionally, the Chinese believed potato, walnuts, mushrooms, meat, or a combina- The annual Chinese Spring Festival comes every that the spirits of deceased ancestors will look after tion of them. They are generally steamed. late January or early February, almost every Chinese The legendary first emperor of China was known the family even when they are gone. Hence, offering person takes vacation for at least 7 days. as the Yellow Emperor or Huangdi. Members of the food and spirit money could keep them happy in imperial family of China at that time were the only the spiritual world, and in turn, the living family will Mid-Autumn Festival ones allowed to display the color yellow in buildings continue to prosper through good harvests from The Zhongqiu Festival, also known as the Moon 10. What is the symbolism of colours and garments. the ancestors blessing. Festival or Mid-Autumn Festival, is a popular harvest in Chinese traditions? festival celebrated by Chinese people. It is held on Black and White Duanwu Festival the 15th day of the eighth month in the Chinese cal- Red endar. This festival is also known as the Moon Cake Black and white are used during a funeral to symbol- Duanwu Festival, also known as Dragon Boat Festi- Festival because a special kind of sweet cake (moon In China, red carries a largely positive connotation, ize the spirits return to the heavens. A black ribbon is val, is a traditional and statutory holiday associated cake) prepared in the shape of the moon. being associated with courage, loyalty, honor, suc- usually hung over the deceaseds picture.
  • 28. 52 CULTURE AND CUSTOMS SMART SOURCING IN CHINA / 10 / 2011 SMART SOURCING IN CHINA / 10 / 2011 CULTURE AND CUSTOMS 53 Green Traditionally the Chinese people do not like to show a high opinion of their own merits. Instead they are Chinese men wont wear green hats. Because it always modest about their achievements, or prefer a means that his wife is having an affair. low-key statement to a display of their advantages. The typical example of the modesty is demonstrat- 11. Why do Chinese refuse to be ed by the host to his visitors. He will apologize for the ill-preparation and small quantity of his food, which complimented? turns out to be sumptuous banquet. You would be confused when in response to a pas- Another common way to show the Chinese mod- sionate and sincere exclamation "You are beautiful!" esty is that the Chinese often politely refuse offers they hear something like, "no, not at all" or "nali nali" of drinks, refreshments, gifts and other favors two or (which means "no" too). You may hear this response three times before graciously accepting them. Their in nearly every scenario when you compliment a modesty requires them not to open the gifts before Chinese. the sender. For instance, when you says to a Chinese, "You Eng- Their modesty requires them not to challenge but lish is very good", a typical reply is, "Nali nali, my Eng- to respect, which results in a low profile of Chinese. lish is poor." When you compliment your colleague, This is sometimes misunderstood as no ambition or Confucianism is an integral part of Chinese life. It has influenced Chinese peoples lives since they are young. "You did a very good job." A polite answer (accom- competitive spirit. Their modesty leads them more panied by a smile) would be, “Oh, dont laugh at me. to group-consciousness rather than to individual- I still have a lot of things to learn. You are better than consciousness. me." 13. Who is Confucius? 14. Why do Chinese suppliers in- But nowadays some people, especially young and vite me to a business dinner? Does Chinese are often very implicative toward the com- educated Chinese, like to follow the English way and Confucius was a Chinese thinker and social phi- losopher of the Spring and Autumn Period. The it mean their products are not so pliment and they respect all other people while they thank admirers for their compliments. are quite humble when in the communication. They philosophy of Confucius emphasized personal and good? are unlikely to respond to a compliment with thanks governmental morality, correctness of social rela- No, Chinese business dinners are based on tradition. or any other acknowledgement of its validity. One tionships, justice and sincerity. These values gained If done properly, the business banquet is one of the rather responds with a certain mood of self-depreci- prominence in China over other doctrines. Confu- best ways to demonstrate ones knowledge and ation. Chinese politeness emphasizes respect for the cius thoughts have been developed into a system appreciation of Chinese culture to current or future other and modesty for oneself. "Self-depreciation" of philosophy known as Confucianism. business associates. can be seen, as another way of saying "modesty". Confucius principles had a basis in common Chi- Giving gift is the same. Unlike many countries, the nese tradition and belief. He championed strong giving of gifts does not carry any negative connota- familial loyalty, ancestor worship, respect of elders tions when doing business in China. Gifts should 12. What are the features of Chinese by their children (and, according to later interpreters, always be exchanged for celebrations, as thanks modesty? of husbands by their wives), and the family as a basis for assistance and even as a sweetener for future fa- for an ideal government. He expressed the well- vours. However, it is important not to give gifts in the Modesty is one of the traditional virtues the great known principle, "Do not do to others what you do absence of a good reason or a witness. This may be sage Confucius advocated. Although a great scholar, not want done to yourself", one of the earlier ver- construed differently. Confucius admonished his students, "When walk- sions of the Golden Rule. ing in the company of three, there must be one I can Business gifts are always reciprocated. They are seen learn from". To Confucius modesty and humility are as debts that must be repaid. When giving gifts, peo- required qualities for a society to sustain itself while ple are not supposed to give cash. They need to be pride will lead to destruction. items of worth or beauty. Do not be too frugal with
  • 29. 54 CULTURE AND CUSTOMS SMART SOURCING IN CHINA / 10 / 2011 SMART SOURCING IN CHINA / 10 / 2011 CULTURE AND CUSTOMS 55 your choice of gift otherwise you will be seen as an you”. Its just a superficial inquiry that does not re- 20. Do I need to tip in China? 22. What are the differences be- “iron rooster”, i.e. getting a good gift out of you is like quire a literal-minded, detailed answer. tween western wedding and Chi- getting a feather out of an iron rooster. No, tipping is not practiced and almost no one asks for tips. nese wedding? 17. Should I arrive earlier when host- In China, marriage is considered to be one of the 15. How do Chinese accept a gift? ing a banquet? three most important things in ones whole life. Chi- 21. Why do younger Chinese give nese wedding is a ceremonial ritual within Chinese The traditional Chinese practice in gift-exchange is Yes, you should arrive at least 30 minutes before up a seat to elders on bus? societies that involve a marriage established by pre- quite different from that of Westerners. Chinese are your guests. arrangement between families. taught as children that in order to show modesty Chinese people respect for elders. So dont be of- and avoid any suggestion of personal greed, they fended if younger Chinese offer you an arm going When the wedding day comes, the bride’s and should decline two or three times when offered a up stairs or other assistance if you are older. groom’s families perform "hair dressing" ritual for the 18. Whats the order of Chinese gift. Chinese do not usually accept a gift, invitation or names? favor when it is first presented. Ac- bride and "capping" ritual for the cepting something in haste makes Chinese names appear in a different groom, which symbolizes their a person look aggressive and order than Western names. initiation into adulthood and were greedy. Most noticeably, a Chinese important parts of the wedding name is written with the preparations. Usually when a gift is family name first and the offered, there is then a The bride would wear auspicious given name next. Chinese peo- and festive red clothes, and the seesaw battle in which ple commonly address each the gift is offered and bridegroom would wear a special other with full names wedding suit accompanied by a refused, offered and instead of given refused but finally procession to pick up his bride. names (especially for accepted with ap- names consisting of Then the bride and groom will propriate expression two characters in total). leave her home and proceed to of appreciation. The meet the grooms parents for Tea gift is supposed not to Family names are never Ceremony. The couple needs to be opened on the spot; used alone without any saluta- serve tea to both parents and it is tucked away in a tion. For instance, the basketball guests. In return, they will be pre- pocket or left on a table player Yao Ming should be formally sented with jewelry and money until the giver has departed. Only then addressed as "Mr. Yao", not "Mr. Ming", and placed in red envelopes. it would be opened. informally addressed as "Yao Ming" instead of "Yao" or "Ming". The feast or wedding banquet One interpretation of this practice is that the receiver is an important part during the is preserving the face of the giver by avoiding any wedding. Wedding banquets possibility of evaluating the gift in the presence of are to thank family and friends for 19. Do people need to take off their the giver and others. Such behavior is simply the the kindness they have shown Chinese manner. shoes at the door before entering a house in China? throughout the years. Most feasts will serve a twelve course meal in- In restaurants you always keep your shoes on, but cluding delicacies like roasted pig. 16. What does “Have you eaten” in private home you will usually take your shoes off mean? and change into slippers. Chinese people prepare The night of the wedding, the slippers for guests and themselves. bridal room will lit dragon and The question “Have you eaten?” or “Where have you Chinese traditional wedding. phoenix candle to drive away the been?” are mentioned in China as well as “How are evil spirit, the newlyweds will drink
  • 30. 56 CULTURE AND CUSTOMS SMART SOURCING IN CHINA / 10 / 2011 SMART SOURCING IN CHINA / 10 / 2011 CULTURE AND CUSTOMS 57 wine from two cups tied together with a red string, trained in acrobatics, and have a natural voice when 15 basic facial patterns, but there are over 1000 spe- and particularly with Shaolin Kung Fu. Of the tens arms crossed with each other. singing. cific variations. Each design is unique to a specific of thousands of kung fu and wushu styles, several character. hundred might have some relationship to Shaolin. Dan In years past, the mountains of Wudang were 23. How to enjoy Beijing opera? Chou known as an academic centre for the research, Beijing opera or Peking opera is a form of traditional The Dan refers to any female role. Dan roles were teaching and practice of Chinese martial arts. Wu- Chinese theatre which combines music, vocal per- originally divided into five subtypes. Old women The Chou is a male clown role. The Chou usually dang Taiji, also known as shadowboxing, is another formance, mime, dance and acrobatics. It arose in were played by Laodan, martial women were plays secondary roles in a troupe. The name of the major division of Chinese martial art. Now it has the late 18th century and became fully developed Wudan, young female warriors were Daomadan, vir- role is a homophone of the Mandarin Chinese word become a practice that promotes relaxation and and recognized by the mid-19th century. tuous and elite women were Qingyi, and vivacious chou, meaning "ugly". This reflects the traditional relieving stress. and unmarried women were Huadan. In the early belief that the clowns combination of ugliness and Beijing opera features four main types of performers. years of Beijing opera, all Dan roles were played by laughter could drive away evil spirits. men. 25. How many categories of tea are Sheng there in China? The Sheng is the main male role in Beijing opera. Jing This role has numerous subtypes. The Laosheng The practice of drinking tea has had a long history in is a dignified older role. Young male characters are The Jing is a painted face male role. Depending on China. The Chinese drink tea during many parts of known as Xiaosheng. The Wusheng is a martial the repertoire of the particular troupe, he will play ei- the day such as during meals for good health or for character for roles involving combat. They are highly ther primary or secondary roles. Beijing opera boasts simple pleasure. Chinese tea is a life time of enjoyment. Tea tasting has cultural meaning. Tea and tea wares should match surrounding elements such as breeze, bright moon, pines, bamboo, plums and snow. All these show the ultimate goal of Chinese culture: the har- monious unity of human beings with nature. Chinese tea may be classified into five categories according to the different methods by which it is processed. Green tea Green tea is the variety which keeps the original 24. Does every Chinese learn Kungfu? colour of the tea leaves without fermentation during processing. This category consists mainly Of course not. Chinese Kungfu is classified into vari- of Longjing tea of Zhejiang Province, Maofeng of ous styles according to different regions, different Huangshan Mountain in Anhui Province and Biluo- schools and families, as well as different fighting chun produced in Jiangsu. techniques. There are two popular Kungfu styles: Shaolin Temple in Henan Province and Wudang Mountain in Hubei Province. Black tea The Sheng is the main male role in Beijing opera. This role has numerous subtypes. The Shaolin Monastery or Shaolin Temple is long Black tea, known as "red tea" (hong cha) in China, famous for its association with Chinese martial arts is the category which is fermented before baking.
  • 31. 58 CULTURE AND CUSTOMS SMART SOURCING IN CHINA / 10 / 2011 SMART SOURCING IN CHINA / 10 / 2011 CULTURE AND CUSTOMS 59 art called "Xiangsheng" which can be likened to a It is a later variety developed on the basis of the 26. Why do Guangdong people tap "talk-show" in the west. green tea. The best brands of black tea are Qihong the table when someone pours tea of Anhui Province, Dianhong of Yunnan Province, for them? Suhong of Jiangsu Province, Chuanhong of Sichuan Tea house in Guangdong Province and Huhong of Hunan Province. When tea drinkers tap the table with two (occa- sionally three) fingers of the same hand, an action The Cantonese have a custom of drinking tea with known as finger kowtow, it is an expression of grati- dim sum in their leisure time or at business meet- Wulong tea tude to the member of the party who filled their ings. The tea drinking tradition can be traced back cups. over a hundred years to the Qing Dynasty (1644- This represents a variety half way between the green and the black teas, being made after partial 1911). According to legend, this gesture recreates a tale of fermentation. It is a specialty from the provinces on Imperial obeisance and can be traced to the Qian- The real tea-drinkers preferred to kill time with one Chinas southeast coast: Fujian, Guangdong and long Emperor, a Qing Dynasty emperor who used pot of fragrantly hot tea and two plates of snacks. In Taiwan. to travel incognito. While visiting South China, he the past, businessmen came here to exchange in- once went into a teahouse with his companions. In formation as well as to enjoy life a little bit over a cup Compressed tea order to maintain his anonymity, he took his turn at of tea with some snacks. pouring tea. His stunned companions wanted to This is the kind of tea which is compressed and hard- kowtow for the great honour but to do so would Kungfu tea (Kungfu cha), the "espresso" of Chinese ened into a certain shape. It is good for transport have revealed the identity of the emperor. Finally, teas with a formidable kick, is still flourishing and and storage and is mainly supplied to the ethnic one of them tapped three fingers on the table (One remains an important part of social etiquette in minorities living in the border areas of the country. finger representing their bowed head and the other Chaozhou, Guangdong province. As compressed tea is black in colour in its commer- two representing their prostrate arms) and the cial form, so it is also known in China as "black tea". clever emperor understood what he meant. From Most of the compressed tea is in the form of bricks; Tea house in Sichuan then on, this has been the practice. it is, therefore, generally called "brick tea", though it Sichuan has teahouses in towns and cities eve- is sometimes also in the form of cakes and bowls. It rywhere. There is a saying, "China has the best is mainly produced in Hubei, Hunan, Sichuan and 27. What are the features of Chinese teahouses in the world and Chengdu has the best Yunnan provinces. tea house? teahouses in China." Located on the streets in Sichuan Province, tea- Scented tea Tea house in Beijing and house serves unique local cuisine and is home to Tianjin the true local living style. Teahouses have been an This kind of tea is made by mix- ing fragrant flowers in the Unlike Kongfu tea in important home for social interaction and gathering tea leaves in the course South China, the tea place since ancient times. of processing. The flowers houses in Beijing and Tianjin Whichever tea house you go into, you can appreci- commonly used for this use green tea or purpose are jasmine and ate the strong style of Sichuan: the bamboo chairs, jasmine tea instead magnolia among others. the square tables, the particular tea sets, the cooper of Wulong tea. They Jasmine tea is a well- teapots and the special skill of filling water by Dr. Tea, dont have the same known favourite with the name given to the tea waiters in Sichuan. level of ceremony the northerners of China that is used for Kongfu You can also watch Chuanju Opera in tea houses. To and with a growing num- tea. attract the audience, Chuanju masters developed a ber of foreigners. Teahouses in Tianjin have the pro- Lao She Teahouse in Beijing. unique sense of humor and performance skills, such fessional performance of Chinese folk as mask changing and knife play.
  • 32. 60 CULTURE AND CUSTOMS SMART SOURCING IN CHINA / 10 / 2011 SMART SOURCING IN CHINA / 10 / 2011 CULTURE AND CUSTOMS 61 since it uses minimum of oil. The main ingredients of Beijing hot pot. this type of Chinese food are seafood, pork, chicken and vegetables, but could include almost anything. You need white rice to accompany the meal to make it complete unless it is a special banquet. Can- tonese dim sum ranks the best in the whole country. Yexiao (Midnight Snack) is one of the Guangzhou populations customs. It is usually taken after 10 p.m.; hence the name Midnight Snack. Some people like to cook the meal themselves; others invite a few friends to have Yexiao at a restaurant. Jiangsu cuisine Jiangsu cuisine consists of the styles of Yangzhou, Nanjing, Suzhou and Zhenjiang dishes. It is very fa- mous in the whole world for its distinctive style and taste. It is especially popular in the lower reach of the Yangtze River. Known as "a land of fish and rice" in China, Jiangsu Province has a rich variety of ingredients available for cooking. Jiangsu cuisine has the characteristics of strictly selected ingredients, exquisite workmanship, elegant shape, and rich culture trait. The typical raw materials are fresh and live aquatic products. It high- lights the freshness of ingredients. Other cooking ingredients are often carefully selected tea leaves, bamboo shoots, mushrooms, pears, and dates. Its carving techniques are delicate, of which the melon carving technique is especially well known. Due to Tea house in South of Yangtze River Dim sum generally refers to steamed buns, thin tofu cuisine and Guangdong (Cantonese) cuisine. using the methods of stewing, braising, quick-frying, noodles in broth, giant soup dumplings, and fried warming-up, stir-frying, wine sauce pickling and It is a custom for Yangzhou people to have morning fritters. adding some sugar as condiments, Jiangsu dishes tea in teahouses, which is part of Yangzhou culture Guangdong (Cantonese) cuisine taste fresh, light and mellow. and also an indication of rich Chinese food culture. Canton is, perhaps, the most famous of the food Pingtan, a form of storytelling accompanied by mu- 28. How many kinds of styles are Jiangsu dishes can be classified into that of Suzhou- areas. Long, warm, wet days throughout the year sic, is also popular in tea houses in south of Yangtze Wuxi style and Zhenjiang-Yangzhou style. The fea- there in Chinese cuisine? create the perfect environment for cultivating most River. everything. The coast provides ample seafood; the ture of Suzhou-style dishes is their natural flavor in "The Chinese eat everything with four legs, except groves are filled with fruits. Cooking methods and original stock and a mixture of salty and sweet taste. The Huaiyang-style cuisine is popular in Jiangsu tables, and everything that flies, except airplanes." A The characteristics of Zhenjiang-Yangzhou style recipes here are sophisticated and varied. and Zhejiang province. It is ranked as the top of all number of different styles contribute to Chinese cui- food are best described by the saying that "the soup eight famous Chinese cuisine styles, with pastry and sine, but perhaps the best known and most influen- Cantonese food (Yue Cai in Chinese) is typically is so clear that you can see the bottom of the bowl snacks being the key components. tial are Sichuan cuisine, Shandong cuisine, Jiangsu steamed, boiled or stir-fried. It is a very healthy food and the sauce is so thick that it turns creamy white".
  • 33. 62 CULTURE AND CUSTOMS SMART SOURCING IN CHINA / 10 / 2011 SMART SOURCING IN CHINA / 10 / 2011 CULTURE AND CUSTOMS 63 Typical courses of Jiangsu cuisine are Jinling salted Shandong cuisine Cheongsam fits well the female Chinese 32. What’s Silk Road? dried duck (Nanjings most famous dish), crystal figure. Its neck is high, collar closed, and meat (pork heals in a bright, brown sauce), clear crab Shandong cuisine is the native cooking style of its sleeves may be short, medium or full The Silk Road, or Silk Route was shell meatballs (pork meatballs in crab shell powder, Shandong Province on the east coast of China. It length, depending on season and taste. an important path for cultural, fatty, yet fresh), Yangzhou steamed Jerky strips (dried was created during the Yuan Dynasty. It gradually The dress is buttoned on the right side, commercial and technologi- spread to north China, Beijing, Tianjin, northeast with a fitting waist, and slits up from the cal exchange between traders, tofu, chicken, ham and pea leaves), triple combo China, and the palace where it influenced the impe- sides, all of which combine to set off merchants, pilgrims, missionaries, duck, dried duck, and Farewell My Concubine (soft- rial food. The Shandong cuisine comprises mainly the beauty of the female shape. soldiers, nomads and urban dwell- shelled turtle stewed with many other ingredients eastern Shandong and Jinan dishes. ers from Ancient China, Ancient such as chicken, mushrooms and wine). India, Ancient Tibet, Persian Em- Shandong cuisine is characterized by quick-frying, pire and Mediterranean coun- 31. What is Sichuan cuisine stir-frying, braising, and deep–fat frying. Its dishes tries for almost 3000 years. It is are crisp, tender, delicious, and greasy with salty and Traditional one of the worlds oldest and Characterized by its spicy and pungent flavor, Si- some sweet and sour flavors. Its main condiment is Chinese most historically important chuan cuisine, prolific of tastes, emphasizes on the salt, but it also uses salted fermented soybeans and Medicine? trade routes across the Afro- use of chili. Pepper and prickly ash also never fail to soy sauce. With a histor y Eurasian landmass that accompany, producing typical exciting tastes. Be- of 2000 to 3000 connected East, South, sides, garlic, ginger and fermented soybean are also years, Traditional and Western Asia with the used in the cooking process. 29. Why do Chinese fight over the Chinese Medicine ( TCM) Mediterranean and Euro- has formed a unique system to pean world, as well as parts Sichuan has been known as the land of plenty since bill in restaurants? diagnose and cure illness. The TCM of North and East Africa. Trade ancient times. While it does not have seafood, it It is considered polite to offer once or even twice on the Silk Road was a sig- approach is fundamentally different produces abundant domestic animals, poultry, and to pay the bill in China, even if you are the guest. So nificant factor in the develop- from that of Western medicine. freshwater fish and crayfish. Sichuan cuisine is well you might see people try to pull the bill away from ment of the great civilizations known for cooking fish. someone else at their table and shout with red faces In TCM, the understanding of the of China, India, Egypt, Persia, at each other. human body is based on the holistic Arabia, and Rome, and in Typical dishes include the following: understanding of the universe as several respects helped lay the Ma Po Tofu (Bean curd with mince and chili oil): one If you would like to pay the bill without a fight at the described in Daoism, and the treat- foundations for the modern world. of the most influential flavors of Sichuan cuisine, table, you can sneak off to the washroom and pay ment of illness is based primarily on the diagnosis and differentiation of The Silk Road gets its name from served in every Sichuan restaurant. the bill at that time. Your Chinese companions will syndromes. the lucrative Chinese silk trade, likely show displeasure when they find out, but it which began during the Han Dy- Kung Pao Chicken (Spicy diced chicken with pea- will often be welcomed. You have to use your own The TCM approach treats Zang- nasty (206 BC – 220 CE). It was a ma- nuts): a specialty of Sichuan cuisine, diced chicken, best judgement when to pay and when not to pay. Fu organs as the core of the human jor reason for the connection of trade hot pepper and peanuts. It is not appropriate to always be on the receiving body. Tissue and organs are connected routes into an extensive trans-continental end. through a network of channels and blood network. Fish Flavored Shredded Pork: fish-flavored dish in the unique style of Sichuan cuisine. Ingredients vessels inside human body. include shredded pork, agarics, bamboo shoot and Acupuncture is a technique of inserting carrot. The delicious dish has no fish but has the fla- 30. What’s Cheongsam? and manipulating fine filiform needles into vor of fish. Cheongsam, or Qipao dress, is a female dress with specific points on the body with the aim of distinctive Chinese features and enjoys a growing relieving pain and for therapeutic purposes. Twice Cooked Spicy Pork Slices: A traditional Si- popularity in the international world of high fash- According to traditional Chinese acupunc- chuan dish. The tasty pork slices are fried crisp with- ion. Cheongsam was Manchu womens dress, and ture theory, these acupuncture points lie out greasiness. became popular among both Manchu and Han along meridians along which Qi, the vital women in the early 1920s. energy, flows.
  • 34. TIPS FORLIVING IN CHINAHow to live a happy life in China? Get Permanent Residence Permit Apply for a China Drivers License Open Bank Accounts See a Doctor Rent a House
  • 35. 66 TIPS FOR LIVING IN CHINA SMART SOURCING IN CHINA / 10 / 2011 SMART SOURCING IN CHINA / 10 / 2011 TIPS FOR LIVING IN CHINA 67 1. How to get permanent residence (5) The ministry shall decide whether to approve or visa or fail to apply for an extension before your visa one at Beijing Capital Airport Terminal 3 without any permit? reject the application for permanent residence per- expires as you risk being heavily fined and have your tests. mit within 6 months of receiving the application. travel plans disrupted. You should submit: (a) Valid passport or equivalent; Actually, for getting a regular license may be compli- (b) Health certificate issued at state level; (c) Creden- (6) Upon the approval of the Ministry of Public Se- cated. You need to prepare following documents to tials proving no criminal record by China embassies curity, the applicant will be granted a Foreigner Per- apply China drivers license. manent Residency Permit by the Ministry of Public 4. How to apply for a China drivers or consulates; (d) Two passport photos, no hat; (e) Security. license? Required documents: Other relevant credentials if required. A Chinese permanent residence card is not equiva- Foreigners from any country who want to drive in Fees: The fee for the new green card certificate is 300 (1) Drivers license application form lent to Chinese nationality. Presently China does China must apply for a driver license. International yuan. The cost of getting a new card is 1500 yuan. not recognize dual or multiple nationalities. Thus, if driver licenses and oversea driver license are not (2) Applicants original and photo copy identifica- In order to qualify for permanent residence status, one wants to become a Chinese national, original recognized because China has not signed the con- tion documents you must fulfill at least one of the following criteria: nationality status would have to be cancelled. vention which created IDPS (International Driving Permits). (3) Original health certificate issued by hospital (1) Be a high-level foreign expert holding a post Those who obtain a Chinese permanent residence of county level or above. Holder of a valid foreign which promotes Chinas economic, scientific and card should not stay in China less than three months But an IDP can be converted to a China drivers drivers license from foreign embassies, consulates technological development, or social progress. in a year or less than a year in five years. Special caus- license, with an additional paper test. Applicants and international organizations Chinas office needs es will need approval from city level public security should go to the motor vehicle administration not to provide health certificate. (2) Have made outstanding contributions of special to apply. Holder of a valid foreign drivers license bureaus. importance to China. can apply for a license to drive the same type of (4) Original foreign drivers license and photo copy. Expats with a Chinese permanent residence card vehicle(s) listed on his/her foreign drivers license. Drivers license in non-Chinese language must at- (3) Have made a large direct investment of over US$ will still need to observe rules concerning traveling, tach a Chinese translation. 500,000 in China. temporary living in other cities, and visiting areas It is now possible to get a permanent drivers license (4) Have come to China to be with your family, such closed to the public. very easily in major cities like Beijing. You can get (5) 5 1-inch color photos with a white background as spouse, dependent minors or senior citizens. 3. How to have my visa extended? 2. What are the application proce- Foreigners who want to stay in China beyond the dures for permanent residence per- duration of their visa need to apply for an extension. mit? The visa extension application should be submitted (1) Submit an application to a city-level Public Se- to the Local Public Security Bureau 7 days before the curity Bureau or at the county-level branch of the expiration date of the visa. Public Security Bureau directly responsible for the community of the applicants major investment or Foreigners who want their visa to be extended long-term residence. should provide the following evidential materials: (2) Provide the specified application documents. (1) Valid passport and visa (3) The public security body shall investigate and (2) A completed application form for visa extension verify the conditions of the applicant according to (3) Reason for the extension. the specified pre-requisites. The length of the extension depends on the type of (4) The local department will submit the application visa and multiple entry visas cannot be extended. to the Ministry of Public Security for examination and approval. You are advised not to overstay the duration of your
  • 36. 68 TIPS FOR LIVING IN CHINA SMART SOURCING IN CHINA / 10 / 2011 SMART SOURCING IN CHINA / 10 / 2011 TIPS FOR LIVING IN CHINA 69 5. How to get drivers license renew? It is now possible to get Conditions: 90 days before the drivers license a permanent drivers li- expires. Drivers license has not been put in a sus- cense very easily in major pended, canceled or revoked state. cities like Beijing. Required documentation: Drivers license applica- tion form. Applicant and, if applicable, authorized agents original identification document. Original (6) A copy of the passport main page health examination certificate issued by hospital of county level or above. Original drivers license (Ap- (7) A copy of the valid Chinese visa plicants should provide a translated version if it is not (8) A copy of the latest entry stamp in your passport in Chinese). Three 1-inch color photos with white background. Testing: (1) After the Motor Vehicle Administration accepts 6. How to learn Chinese for free in the application, the applicant may reserve a time for China? the Course 1 test. If applying to drive large-size pas- senger vehicles, tractor, mid-size passenger vehicles, Many Chinese, especially young students, are eager mid or large-size freight vehicles, the applicant must to improve their spoken English. This situation is also reserve a time to take the Course 3 test ideal, as language exchange with a native speaker of Chinese is one of the best ways to learn the lan- "Im learning Chinese." (2) Course 1 and 3 test can be taken one time, and guage. may be re-taken one time. If the applicant fails the exam twice, the tests are over. He/she has to re- apply for the tests. But the test for Course 3 must be 9. What are the emergency tel- the water if your only choice is tap water. 7. Do I need a local guide during my reserved 20 days later. Note, within validity period of tour? ephone numbers in China? Driving Test Permit, any test that was passed serves as the applicant’s current status. 110--Police, 119--Fire, 120--Emergency, 114--Direc- 12. Can I bargain in China? If you want to do lots of touristy or shopping, youd tory inquires and information, 121--Weather. better have one. They can save you money on tick- (3) Applicant who exhibits inappropriate or fraudu- Open air markets, privately run stores are best for ets of museums and can help you get good prices lent behavior during the exam process will have his/ bargaining. (Large department stores have set pric- at the markets. her qualification for the test will be nullified, and all 10. When are the peak tourist sea- es.) Remember to establish a friendly rapport first. previous results will be invalidated. sons? You are creating a relationship with the merchant, not a price war. Smiling, being friendly, and offering License issuance: 8. How to tell a cab driver where to go Chinese New Year: Date varies but generally late when he or she cant speak English? January or early February. China National Day: First After the applicant has passed all exams, the Motor week of October. Vehicle Administration will issue the drivers license Ask someone to write down the address in Chinese You are recommended within five business days. to show the cab driver. When hailing a taxi, watch for Avoid travelling during these periods. a light on the passenger side of the dashboard. This to drink bottled water For employees of foreign embassies, consulates and indicates that the taxi is available. The light is either instead. Always boil the international organizations Chinas office, drivers red or green, depending on the company. Never 11. Can I drink tap water in China? water if your only choice license will be issued by the administration within 5 get in an unmarked taxi cab, or you will be charged is tap water. working days after acceptance in accordance with more than you should. Make sure they always use No, usually tap water is not drinkable. You are recom- the principle of diplomatic reciprocity. the meter. mended to drink bottled water instead. Always boil
  • 37. 70 TIPS FOR LIVING IN CHINA SMART SOURCING IN CHINA / 10 / 2011 SMART SOURCING IN CHINA / 10 / 2011 TIPS FOR LIVING IN CHINA 71 to buy more for a better price. And dont be afraid to their own laundry at home with washing machines. problems and in most cases they will not even pay property not for their own use should set up a ask, "Can you offer me a better price?" But most washing machines dont have dryers. to have them fixed. China-registered company to handle the purchase. Laundry in China is hung outside to dry. (3) Read over the contract carefully. If you are dealing Of course 5-star hotels provide laundry service, but with a reputable agency, or at least one that deals 13. How to open bank accounts in the cost will be high. If you stay in a hotel room just 18. How to marry a Chinese nation- with foreigners regularly, they should provide you China? for a couple of days, you are recommended to do with a contract that contains English and Chinese. al in China? Opening a Chinese bank account is actually an easy your smalls yourself and hang them in the bath- If no lease contract concluded in written, the lease If a foreigner marries a Chinese national within the process. The only actual needed document for a room. shall be deemed as un-fixed term lease. Chinese territory, in line with Chinas Marriage Law, basic account is your passport. When you enter the both parties should register with the Division of (4) Confirm the status of the landlord. The person bank, you can head for an information counter and Foreign-Related Marriage Registration of the Beijing who shows the house to you, signs the lease con- ask the staff to help you with the form. The most 16. How to rent a house in China? Civil Affairs Bureau. tract with you does not mean that he is the real important thing you should pay attention to is the There are many real estate agencies oriented to property owner. Please confirm that you rent from name. Make sure your name on the form matches foreigners in big cities like Beijing, Shanghai, and the real property owner. You should check and keep the name on your passport exactly. If you want inter- Step 1: Submit the Required Documents Guangzhou in China. You can easily rent an apart- the copies of these documents: real estate certifi- net or mobile banking, you can request these at the ment or a villa through them. If you can find an cate to indicate the person renting you the house is The Sino-foreign couple must go together, in per- same time. apartment offered directly by the landlord, you can the real owner, ID card of the landlord. son to the appropriate marriage registration office Youd better go to the nearest bank from your living save your fees for real estate agencies. But it is very and submit a (1) completed marriage registration place, because there are some services you have to hard if you can’t speak Chinese. (5) You are recommended to rent a "clear" house, application form (available at the marriage registra- turn up at the branch in which you open your ac- without any mortgage or dispute on the property. tion office). (The appropriate marriage registration Rented apartments in big cities are generally well count, such as reset your password. office will be the one in the jurisdiction in which the equipped and are often offered fully furnished. Furnishings normally include internet access, re- Chinese partner is registered [the location of the 17. How to buy property in China? hukou].) frigerator, microwave, hot-water heater, television, 14. How to see a doctor in China? washing machine, air conditioning and kitchen ap- According to the Ministry of Housing and Urban- Together with the application form, the couple The Chinese medical system comprises mostly of pliances. Landlords will ask for a deposit of between Rural Developments regulation, only foreigners must submit a number of other documents: public and private hospitals. Small and personalized one and three months rent as security against who have lived in China for more than one year can clinics are still uncommon. If you’ve decided to see a any damage that you may cause to the property. buy property, with the purchase capped at one Chinese Partner doctor in a public hospital, register first. Treatments The deposit should be refunded once you have apartment for self use. Foreign firms or individuals returned the property in good condition and settled will have to use their real names when buying resi- (2) A certificate of marriage ability (obtainable from are mostly Western medical techniques including any outstanding utility bills. The rent for the property dential houses. And foreigners will not be allowed to his/ her work place) diagnosis, medication, injection or the necessary scans. Your doctor may give you a prescription for is paid in advance, directly into the landlords bank buy residential housing that is not for their "own use (3) A certificate of birth you to buy medicine in a drugstore, most of the time account, on either a monthly or a quarterly basis. or own habitation." at the lobby of the out-patient section building. If (4) Household registration book (hukou) But there is still something you should pay attention Foreign businesses or individuals buying Chinese possible have a Chinese person accompany you as to before renting a house. (5) A health certificate (obtainable from a regional- the system can be confusing and often the hospitals are quite crowded. level local hospital) (1) When you start your apartment hunting, make sure the location is close to your work place or the There are many real es- (6) A letter from the parents of the Chinese partner public transportation is convenient. tate agencies oriented giving permission for their child to marry a foreigner 15. How to do laundry in China? to foreigners in big cities (this letter should include the index fingerprint of (2) Check the apartment carefully before renting, both parents below their signatures and date) There are few coin-operated laundries in China. Chi- for example the water system and electrical system like Beijing, Shanghai, nese people go to laundry shops only for dry clean- (lights and plugs). Test the hot water and make sure Guangzhou in China. Foreign Partner ing. It will take a few days to get your clothes back, the toilet flushes. Once you have signed your lease, especially in winter days. Chinese people always do it will be very difficult to get the landlord to fix those (7) A current passport
  • 38. 72 TIPS FOR LIVING IN CHINA SMART SOURCING IN CHINA / 10 / 2011 SMART SOURCING IN CHINA / 10 / 2011 TIPS FOR LIVING IN CHINA 73 19. What items cannot be taken out (3) Foreign currencies and securities in foreign cur- of China? rencies. (1) Weapons, articles that appear to be or are replicas (4) Radio transceivers and secure communication of weapons, ammunitions and explosives, including devices. fireworks. (5) Rare Chinese medicinal herbs and materials. (2) Counterfeit currency and fake securities. (6) Antiques. (3) Printed articles or films, photos, phonograph records, movies, audio tapes, video tapes, laser optic disks, computer memory media and other articles 20. What items should not be which are considered socially disruptive or harmful brought into china? to Chinas politics, economy, culture and morality. (1) Weapons, articles that appear to be or are replicas (4) Poisons and poisonous liquids of weapons, ammunitions and explosives, including fireworks. (5) Opium, morphine, heroin, marijuana and other narcotics or hallucinogens. (2) Counterfeit currency and fake securities. (6) Animal and plant products that carry dangerous (3) Printed articles or films, photos, phonograph germs, pests and bacteria. records, movies, audio tapes, video tapes, laser optic disks, computer memory media and other articles (7) Food, drugs and other articles which are harmful which are considered socially disruptive or harmful to the health of human beings or animals or which to Chinas politics, economy, culture or morality. come from infectious disease-stricken regions or which are known to be disease-spreading. (4) Poisons and poisonous liquids. (8) Chinese residence permit Note: Application requirements may vary from of- fice to office. When an individual visits the appropri- (8) Manuscripts, printed materials, films, photos, (5) Opium, morphine, heroin, marijuana and other (9) A health certificate from a local hospital desig- ate marriage registration office to pick up an appli- phonograph records, movies, audio tapes, video narcotics or hallucinogens. nated by the marriage registration office cation form and find out which local hospital(s) the tapes, laser optic discs, computer memory media (10) Three photos of the marrying couple, taken to- foreign partner must get checked at, he/she should and other articles whose contents are related to (6) Animal and plant products that carry dangerous gether also check to see if the offices requirements differ Chinas State secrets. germs, pests and bacteria. from those listed here. (7) Food, drugs and other articles which are harmful (11) A registration fee (9) Antiques and relics of extreme cultural signifi- cance. to the health of human beings or animals or which (12) A certification of marriage ability Step 2: Wait for the Good News come from infectious disease-stricken regions or (10) Endangered species of fauna and flora (includ- which are known to be disease-spreading. Item 12 requires further explanation. Basically, the After the establishment of the new marriage law, it ing chemical and scientific specimens) as well as marriage registration office needs a form from the now takes the marriage registration office about an their seeds and reproductive materials. The following items are subject to restricted entry: foreign partners home government stating he/she hour or so to review the submitted documents and is not already married in his/her home country. Every approve of the application. The following items may be subject to restricted (1) Radio transceivers and secure communication foreign government has its own version of this type exit: devices. of form with its own requirements for obtaining one. Step 3: Congratulations Couples will need to check the embassy website (1) Precious metals, including gold, silver, and plati- (2) Cigarettes and alcohol. of the foreign partners home country in China for Once the marriage registration office approves of num. (3) Endangered species of fauna and flora (including details on how to obtain this kind of certification. the application and registers the marriage, it will (2) Chinese national currency in amounts in excess chemical and scientific specimens) as well as their (Chinese translations must accompany foreign- issue a marriage certificate to be picked up by the of RMB 6,000. seeds and reproductive materials. language documents.) couple.
  • 39. 74 TIPS FOR LIVING IN CHINA SMART SOURCING IN CHINA / 10 / 2011 SMART SOURCING IN CHINA / 10 / 2011 TIPS FOR LIVING IN CHINA 75 (4) Amounts over RMB 6, 000 in Chinese Yuan RMB. Following quarantine, the pet (only dog) must be both styles. People still use squat toilets in Asian style registered at the local police department. toilets. Its really not that bad and many argue its ac- The centre of beijing city tually healthier to go this way than sitting down. You Consultation telephone: are recommended to take pack tissues when going and the most important 21. Can I take my pet to China? Beijing: 010-6459 6302 to Asian style toilets. Lots of public restrooms dont landmark is Tiananmen According to the Law on the Entry and Exit of Ani- provide it. Square. mal and Plant Quarantine, cats or dogs are the only Shanghai: 021-6854 9999 pets allowed for entry but must be declared. Each passenger is allowed to bring one pet only, with an It is also possible to take a pet from one city to up-to-date rabies vaccination certificate and health another by plane and train. Rabies vaccination 23. Tips for living in Beijing important landmark is Tiananmen Square. This is and health certificates must be issued by the local the worlds largest public square and a must see for certificate issued by the relevant quarantine govern- Beijing is the capital of China, and also the political, quarantine government department of the city of all visitors from abroad and from elsewhere in China. ment department in the country of origin. Further- educational and cultural centre of the country and more, the pet and pet owner must be on board the departure. These are valid for 7 days. as such it is rich in historical sites and important gov- Forbidden City (the Palace Museum)- The Forbid- same flight. ernment and cultural institutions. den City was home to the Imperial Court during the In Beijing, upon arrival at the airport, an official from Ming and Qing Dynasties. With over 9,000 rooms 22. What should I know about Chi- Transportation and over 250 acres, this large palace building was the department will await to take your pet to a quar- nese toilets? built between 1406 and 1420. Make sure to wear antine facility for 30 days. They will inform you of the Beijing as of 2011 has an estimated 5 million regis- date at which you can claim your pet. Certain fees You can find public restroom in the airports, railway comfortable shoes as you have to walk a lot. tered cars on its roads, so traffic congestion is wide- must be paid which vary according to local regula- stations, hotels, fast food restaurants, shopping spread. Traffic in the city centre is often gridlocked Great Wall- There are mainly eight sections of the tions, but amount to at least 1,000 yuan. In Shanghai, centers, subway stations and most of the tourist and is only predicted to get worse as the number Great Wall crossing the northern part of Beijing for the quarantine period is reduced to 7 days with a attractions. Restroom in China may contain Asian of vehicles on Beijings roads increase. Metro travel 600 kms. The eight sections are Badaling, Juyonggu- 2,000 yuan fee. style toilets, western style toilets or a combination of is generally fast, clean, economical and during peak an, Huanghuacheng, Jiankou, Mutianyu, Gubeikou, periods congested in Beijing. Jinshanling, and Simatai. The Badaling section is the most famous, but also over-restored and crowded. The most useful lines are Line 1, which runs east to west and passes under Tian’anmen Square Summer Palace- With masterly design and artistic and goes to many tourist sights; Line 2, which is a architecture integrating the highlight of Chinese loop line following the old city wall and serves the garden arts, the Summer Palace has earned a title Central and North train stations; and line 5 which of "Royal Garden Museum". It is a royal garden most runs north-south and also serves numerous tourist completely preserved with richest landscapes and sights. Transfers between all lines are free. large compact buildings. A flat fare of ¥2 with unlimited transfers applies to Hutong (Houhai Area)- Hutong is a typical lane or all lines, except the express link to the airport, which small street in Beijing that originated during the costs ¥25. The electronic commuter fare card, Yika- Yuan Dynasty (1271-1368). People say that the real tong (一卡通) pre-paid card is accepted on all lines. It culture of Beijing is "the culture of hutong" and "the has a ¥20 refundable deposit. Swipe the card at the culture of courtyard". Where there is a hutong, there entrance turnstile and again upon exiting. The use of is a story. the pre-paid card does not reduce the subway fare although it does dramatically reduce bus fares, by 60%. 25. Tips for living in Guangzhou Must see places Guangzhou was known in the West as "Canton". The Hutong in Beijing. food and the language of the area are still known Tiananmen Square- The centre of the city and most as "Cantonese". It is the third largest city in mainland
  • 40. 76 TIPS FOR LIVING IN CHINA SMART SOURCING IN CHINA / 10 / 2011 SMART SOURCING IN CHINA / 10 / 2011 TIPS FOR LIVING IN CHINA 77 and even brain. This means that Cantonese cuisine is one of, if not the most adventurous in China due Places where foreigners to their expansive use of exotic ingredients, and their extremely broad definition of what is considered prefer to live are Xuhui, edible. Changning, Jinan, and Putuo districts, etc. 24. Tips for living in Shanghai for a taxi ride. Up till now, the Shanghai Metro oper- Shanghai is the biggest commercial and financial ates 11 lines. center in China, and also a very important interna- tional port city in the Western Pacific Ocean area. In the range of 200 – 500 meters to the metro sta- tion, there’re signboards pointing to the station. Transportation Every rail transit station normally has more than two accesses, and every access has its own number, You are recommended to take metro as your trans- which includes metro LOGO, metro line number, portation tools in Shanghai. Taking the metro is a name of station and the access number in both Chi- better choice to get around Shanghai. Because the nese and English. metro system covers the main places in Shanghai Daily life in Guangdong Province. and it is a quick way to reach places where you want Types of ticket to go, with the advantage of paying much less than Standard ticket: by this ticket the passengers can China after Beijing and Shanghai. The city is famous tion Tiyu Xi Exit G. It may be worth it to simply keep take line 1-11. for foreign trade and business doings. the card as a souvenir. Smart card: by this card the passengers can take line Guangzhous metro system covers much of the 1-11, some buses, taxi. Transportation city center and is growing rapidly outward. The fare Guangzhou has a fairly efficient and rapidly expand- ranges from ¥2 to ¥19. One-day ticket: by this ticket, after the passenger ing public transportation system. If you intend to first get into the station, he/she can take line1-11 in stay in Guangzhou for an extensive period of time, Eat 24 hours. purchase a multi-purpose Ling Nan Tong - Yang Cantonese cuisine is well-known for its blend of The fare ranges from ¥3 to ¥9. Cheng Tong (岭南通-羊城通) stored value card, color, fragrance, taste and presentation, and it is similar to the Octopus Card in Hong Kong. The card ranked among the top four in the country. In partic- Where to live can now be used in selected metro areas in the ular, dim sum, a delicate pastry, is famous for being Guangdong province. It can be used not only for simple yet delicious. Local customs, as well as a long Places where foreigners prefer to live are Xuhui, public transportation (bus, subway, parking meters history of contact with the West compared to other Changning, Jinan, and Putuo districts, etc. Because and some taxis), but also for public phones and regions in China, have played a major role in the all these are very glorious and busy places with a lot designated shops, places of interests and certain development and diversity of Cantonese cuisine. of famed stores and busy streets locate there. A lot vending machines. The card includes a ¥30 refund- Cantonese cuisine is also famous throughout China of foreigners have settled there and many of them able deposit. You can purchase the cards in many for another reason - Cantonese people eat abso- have accustomed to being neighbors with local places, such as some 7-11s, Metro customer service lutely anything, and it is often said that Cantonese people. For example, Xujiahui in Xuhui district, it is counters, and Tiantian Laundry. However, returning people eat anything that has four legs other than a one of the central business areas in Shanghai. And your card at the end of the trip is a hassle, because table, anything that flies other than an aeroplane, besides its bustling business, there are also many such service locations are limited. The best place to and anything that swims other than a submarine. In beautiful and classical houses there which were do so include at the Yang Cheng Tong service center addition to that, various internal organs of animals built in the early years of last century. at metro station Gongyuanqian Exit J or metro sta- are regularly eaten, such as the liver, kidneys, heart
  • 41. SMART SOURCING IN CHINA / 10 / 2011 BUYER SERVICE DEPARTMENT 79 Welcome to contact Buyer Service Team at buyerservice@made-in-china.com.BUYER SERVICEDEPARTMENT Ms. Echo Zhang Senior Buyer Service Specialist, with 6-years B2B working experience, offers sourcing services in Apparel & textile industries and specializesMade-in-China.com Buyer Service Department serves its members as a B2B portal and has dedicated in official SNS promotion on Facebook.itself to providing professional support and assistance to its clients and connecting global buyers withChinese suppliers.Source Quality Chinese Products! Anytime! Anywhere! Ms. Sunshine Yang Graduated from Nanjing University and proficient at both English and Russian languages, is specializing in Daily Use Industry and Premium Buyers Membership services. Ms. Maggie Yu With more than 4-years Foreign Trade working experience, is dedi- cated to assisting international buyers to source quality Chinese prod-Ms. Lina Ms. Sophie He ucts and suppliers in Light Industry.Specialized in foreign trade business and with more With more than 4-years experience in internationalthan 3-years experience in professional buyer ser- trade, especially in Auto Parts industry, is familiarvice, Lina provides buyers with suggestions in inter- with all process of international business, specializednational trade and help avoid scam. in big buyer services. Mr. Ben Ouyang Senior Buyer Service Specialist, with 4-years purchasing experience for UMICORE, is professional in sourcing products of Electronics & Light- ing industries. Ms. Lily QiuMs. Jennifer Lu Mr. Allan Hao With more than 4-years experience in foreign trade business, mainlyWith more than 3-years experience in sourcing Over 7-years experience in international business, deals with Big Buyer Program, Product Sourcing in Toy & Arts indus-products in China, is specialized in Consumer Elec- deeply understand buyer’s requirements in pro- tries and other Trade Support.tronics industry. She is good at keeping good rela- curement and outsourcing fields; specialized intionship with buyers by EMS. sourcing service in Machinery.
  • 42. 80 BUYER SERVICE DEPARTMENT SMART SOURCING IN CHINA / 10 / 2011 SMART SOURCING IN CHINA / 10 / 2011 BUYER SERVICE DEPARTMENT 81 Ms. Evelyn Shen Ms. Cathy Xue Graduated from Nanjing University of Finance & Economics, with With 3- years of customer service experiences, can precisely catch more than 3- years experience in foreign trade, has deep understand- the buyers need, specialized in Chinese products recommending in ing in trade safety during online business. Chemical & Medical industries. Mr. Martin Liu Ms. Hildegard Zhu With the 5 years experience in foreign trade, is mainly involved in Big With 2-years experience in Foreign Trade, is now specialized in prod- Buyer Program and product sourcing in Furniture & Safety industries uct sourcing of Machinery industry and Official SNS promotion on and organizing offline match meeting. Facebook. Mr. Kean Wang Ms. Jessica Meng With 2-years experience in Paypal and 3-years experience in B2B With 3-years experience in business development, offers professional business, has deep understanding in online payment and product and efficient services to global institutes of commerce and helps or- recommending in Tool & Hardware industries. ganize various offline business events. Ms. Cathy Liang Mr. Thierry Tong Graduated from Dalian University of Foreign Languages, with more With 4-years studying experience in France and deep understanding than 6-years experiences in B2B, focuses on offering suggestions in of the buyers needs, now deals with all business development busi- trade safety issue of online business. ness and explores cooperation with global institutes. Mr. Frank Xu Ms. Anlin Gao Graduate from BA Marketing and IT degree, with 3-years working ex- With well-experienced for years in international trade, is now focusing perience in Marketing & Sales, is now professional in products sourc- on developing & establishing better online & offline cooperation rela- ing in Construction industry. tionships with overseas institution.
  • 43. 82 BASIC CHINESE PHRASES SMART SOURCING IN CHINA / 10 / 2011 SMART SOURCING IN CHINA / 10 / 2011 BASIC CHINESE PHRASES 83 1. Hello! 3. Good afternoon! 5. Good night! 7. Welcome! 9. Congratulations! 11. Happy New Year! 你好![ni hao] 下午好![xia wu hao] 晚安。[wan an] 欢迎。[huan ying] 恭喜。[gong xi] 新年好。[xin nian hao] 2. Morning! 4. Good evening! 6. Long time no see. 8. Please have a seat! 10. Happy Birthday! 12. How are you? 早上好![zao shang hao] 晚上好![wan shang hao] 好久不见。[hao jiu bu jian] 请坐。[qing zuo] 生日快乐。[sheng ri kuai le] 吃过了吗?[chi guo le ma] BASIC CHINESE PHRASES
  • 44. 84 BASIC CHINESE PHRASES SMART SOURCING IN CHINA / 10 / 2011 SMART SOURCING IN CHINA / 10 / 2011 BASIC CHINESE PHRASES 85 13. Nice to meet you. 25. Bye! 36. Waiter! 49. What time does it close? 59. Check out, please. 71. Could you do me a favor? 很高兴认识你。[hen gao xing 再见。[zai jian] 服务员![fu wu yuan] 几点关门?[ji dian guan men] 退房。[tui fang] 帮我一个忙好吗?[bang wo yi ren shi ni] ge mang hao ma] 26. I dont know Chinese. 37. Bill, please! 50. Is this seat taken? 60. Id like to stay one more 14. This is my calling/visiting/ 我听不懂。[wo ting bu dong] 买单。[mai dan] 这里有人吗?[zhe li you ren ma] night. 72. Can you speak English? business card. 我想延住一天。[wo xiang yan 你会说英语吗?[ni hui shuo 这是我的名片。[zhe shi wo de 27. Whats your name? 38. Keep the change. 51. A non-smoking seat, please. zhu yi tian] ying yu ma] ming pian] 您贵姓?[ning gui xing] 不用找了。[bu yong zhao le] 我要无烟座位。[wo yao wu yan zuo wei] 61. I see what you mean. 73. How do you like XXX? 15. Thank you! 28. Taxi! ( You should wave your 39. Please give me a receipt. 我了解。[wo liao jie] 你喜欢XXX吗?[ni xi huan XXX 谢谢![xie xie] hand at the same time.) 请给发票。[qing gei fa piao] 52. Can I have a window seat? ma] 出租车![chu zu che] 有靠窗的吗?[you kao chuang 62. Good idea! 16. Thank you for coming! 40. Have a nice trip! de ma] 好主意![hao zhu yi] 74. How long have you been 谢谢光临![xie xie guang lin] 29. How long does it take to get 一路顺风![yi lu shun feng] here? to the airport? 53. Could you break a large bill, 63. Keep in touch! 你在这里多久了?[ni zai zhe li 17. I appreciate your help. 去机场要多长时间?[ q u j i 41. Wish you a good luck! please? 保持联络。[bao chi lian luo] duo jiu le] 感谢你的帮助。[gan xie ni de chang yao duo chang shi jian] 一切顺利![yi qie shun li] 请换成零钱。[qing huan cheng bang zhu] ling qian] 64. Take care of yourself! 75. Ive been here before. 30. How do I get to XXX? 保重![bao zhong] 我来过这里。[wo lai guo zhe li] 42. Im full. 18. You are welcome! 去XXX怎么走?[qu XXX zen 我吃饱了。[wo chi bao le] 54. Do you accept credit cards? 不客气。[bu ke qi] me zou] 能用信用卡吗?[neng yong xin 65. Have a nice weekend! 76. Can I smoke here? 43. Yummy! yong ka ma] 周末愉快![zhou mo yu kuai] 能抽烟吗?[neng chou yan ma] 19. Im sorry. 31. Please call a taxi. 真好吃![zhen hao chi] 对不起。[dui bu qi] 请叫出租车。[qing jiao chu zu 55. Can I deposit my baggage 66. Forget it! 77. I quit! che] here? 没关系。[mei guan xi] 我不干了。[wo bu gan le] 44. Cheers! 20. Thats all right. 可以寄存行李吗?[ke yi ji cun 干杯![gan bei] 没关系。[mei guan xi] 32. Please drive a little slower. xing li ma] 67. It’s not your fault. 78. No way! 请开慢一点。[qing kai man yi 不是你的错。[bu shi ni de cuo] 没门。[mei men] 45. Enjoy yourself! 21. No. dian] 56. Id like my baggage back. 请自便。[qing zi bian] 不。[bu] 我来取行李。[wo lai qu xing li] 79. Me too! 68. What happened? 33. Excellent! 怎么了?[zen me le] 我也是。[wo ye shi] 46. Could you wait here for a 22. OK. 很好![hen hao] 57. I left the key in my room. (Im minute? 好的。[hao de] locked out of my room.) 80. My treat! 请等一会。[qing deng yi hui] 69. It’s a pleasure working with 34. Stop here, please. 我把房卡忘在房间里了。[wo ba 我请客。[wo qing ke] you. 23. How much? 请停在这里。[qing ting zai zhe li] fang ka wang zai fang jian li le] 47. Let’s go and have a look! 与你合作很愉快。[yu ni he zuo 多少钱?[duo shao qian] 去看看![qu kan kan] hen yu kuai] 35. Let me off here, please. 58. Can I talk to you for a minute? 我要在这里下车。[wo yao zai 能和你聊两句吗?[neng he ni 24. Too expensive! 48. What time is it? 70. When is the store closing? zhe li xia che] liao liang ju ma] 太贵了。[tai gui le] 现在几点?[xian zai ji dian] 几点打烊?[ji dian da yang]
  • 45. 86 THE BEAUTY OF MADE IN CHINA SMART SOURCING IN CHINA / 10 / 2011 SMART SOURCING IN CHINA / 10 / 2011 THE BEAUTY OF MADE IN CHINA 87 THE BEAUTY OF Product: Mini Wireless Keyboard Touchpad, Presenter MADE IN CHINA Company: Riitek International Limited Showroom: riitek.en.made-in-china.com Organized by Made-in-China.com, the competition of "The Beauty of Made in China" attracts thousands of Chinese suppliers from Made-in-China.com, with the Description: The worlds first Touchpad 90-degree hope of showing the excellent quality, the unique design and other advantages of flip design. Innovative design of the Navigation keys. 2.4G wireless receiver integrated design. Portable, products made in China. The selections are as follows: elegant, and suitable for life. Backlight function with a handheld keypad. Product: LCD TV SKD/Shell Company: Greater Wind Holding Co., Ltd. Showroom: greater-wind.en.made-in-china.com Description: Different colors: UV Black/ Wooden Color/ Metal Brush Color/ Silvery Bursh/ Marble Pat- tern/ Camouflage Pattern. Product: Auto Air Conditioner Company: Dongguan Topleader Import & Export Co., Ltd. Product: Solar Charger Showroom: topleader.en.made-in-china.com Company: Dongguan Fullhoard Photoelectric Description: It can be started directly from the Technology Co., Ltd. battery power, which is safer, especifically for users not to launch a car. Its with air condition- Showroom: fullhoard.en.made-in-china.com ing design, energy-saving, environment pro- Description: Solar Multi-function Charger, having tection. Integrated design and optimization of the function of charger, flashlight, and U-disk with the pipeline and lower chance of refrigerant solar panel and inside rechargeable battery, applies leakage, make it more secure. Wide range to more than 80% of the mobile phones, MP3/MP4, of applications: CR, Tuned Car, Trucks, Lorry, PDA, iPhone, iPad, iPod, digital camera, and etc. on Crane, Telecom Base stations and other spe- the market. cial purpose vehicle, and etc..
  • 46. 88 THE BEAUTY OF MADE IN CHINA SMART SOURCING IN CHINA / 10 / 2011 SMART SOURCING IN CHINA / 10 / 2011 THE BEAUTY OF MADE IN CHINA 89 Product: Folding Cooler Bags Company: Dearway Commodity Manufactory Showroom: foldbucket.en.made-in-china.com Description: With simple design but fashionable, cheap, and high quality. Folded in compacted size. Use widely for auto parts, travelling, fishing, hiking, camping, as well as fieldwork. Product: Massage Chair Company: JUFIT Co., Ltd. Showroom: jufitness.en.made-in-china.com Description: The advanced technology of Product: Acrylic Crystal Chair Germany is adopted. By detection to the shoulder, height can be adjusted to deter- Company: Shenzhen DiDao Furniture Co., Ltd. mine the exact massage position of the Showroom: didao-art.en.made-in-china.com shanks, back and waist. There are heating and cooling functions at the seat and back Description: Chinese traditional furniture design with modern acrylic material. area.
  • 47. 90 THE BEAUTY OF MADE IN CHINA SMART SOURCING IN CHINA / 10 / 2011 SMART SOURCING IN CHINA / 10 / 2011 THE BEAUTY OF MADE IN CHINA 91 Product: Mini Bluetooth Wireless Keyboard with Touchapd & IR Learning Remote Control 3 in 1 Company: Zoweetek Electronics Limited Showroom: zoweetek-electronics.en.made-in-china.com Description: The Worlds First IR Remote Control, Product: Modern Home Decoration Product: LED Table Light Mouse (Touchpad) & Bluetooth keyboard 3 in 1. Mini Bluetooth Wireless keyboard: 72 Keys Mini Company: Company: Bluetooth Wireless Keyboard with Touchpad & 9 Shenzhen Century Fashion Houseware Co., Ltd. Shenzhen Caihuang Lighting Co., Ltd. Keys IR Learning Remote Control 3 in 1 Design. Max Showroom: centuryfashion.en.made-in-china.com Showroom: chleds.en.made-in-china.com Operating Distance: 10m (Keyboard) / 8m (Remote Control). Convenient in Operating PC, HTPC, IPTV, Description: Cooperation partner of the World Description: Patent and unique design for Google TV, WEB TV, iPad (I & II), PS3, iPone, Smart Mo- Expo. Unique modern style atmosphere mixed art of innovation creation. It can be a work bile & IR Home Appliances. with the ancient gharry harmoniously, perfect. Use of art for user, especially for indoor decora- ceramic clay, first grade glass and metal. High tem- tion. Adopt long life high power LED. perature burning ceramic and plating metal. Product: Touch Clock Company: Jasonic Electronics Co., Ltd. Showroom: jasonic.en.made-in-china.com Description: Mode changed by fingerprint touch. Clock of alarm. Time, temperature in design tumbler. Product: Leather Wine Box Company: Forever Standing Stationery Co., Ltd. Showroom: fssdglarry.en.made-in-china.com Description: Unique V-shape design. Maximize the limited space. Imitation leather with faux suede lining.
  • 48. 92 THE BEAUTY OF MADE IN CHINA SMART SOURCING IN CHINA / 10 / 2011 SMART SOURCING IN CHINA / 10 / 2011 THE BEAUTY OF MADE IN CHINA 93 Product: Shade Sail With 95% UV Protection Company: Shengzhou Deli Plastic Netting Co., Ltd. Showroom: shengzhoudeli.en.made-in-china.com Product: Glass Mosaic Backsplash Description: Made of HDPE, blocks up to 95% of harmful UV rays with a life time 5-10 years. Enforced Company: Sino Cheer Building Material Co., Ltd. nylon webbing runs around perimeter of sail for ex- tra strength. Stainless D ring applied. Showroom: sinocheers.en.made-in-china.com Description: Eco-friendly and fresh idea Product. Best raw material with advanced equipments enables us to produce perfect products. Random but methodic arranged. Widely used for wall back- splash and pool. Product: Wooden Bathroom Cabinet/Bathroom Vanity Company: Foshan Ourpai SanitaryWare Co., Ltd. Showroom: ourpai.en.made-in-china.com Description: This model has got a patent for the original design of its unique appear- ance. The high quality solid wood vanity is the most suitable luxury to decorate your bathroom.
  • 49. 94 THE BEAUTY OF MADE IN CHINA SMART SOURCING IN CHINA / 10 / 2011 SMART SOURCING IN CHINA / 10 / 2011 THE BEAUTY OF MADE IN CHINA 95 Product: Commercial Treadmill Fit- Product: Dental Air Compressor ness Equipment Company: Shanghai Dynamic Industry Co., Ltd. Company: Impulse (Qingdao) HealthTech Ltd. Showroom: dynamic-tools.en.made-in-china.com Showroom: qingdaoimpulse.en.made-in-china.com Description: Used in medical treatment especially Description: Personal cooling fan, safety lockout con- for dental. Obtain design patent of air compressor. trol, One-touch TM speed & incline, belt logo optional, 60DB. No lubricated oil, noise level less than 60DB. intergrated surge protecter, easy adjust roller, easy dis- gnostics, easy deck cleaning, easy lube, etc.. Product: Needle Destroyer Company: Shenzhen Bestman Instrument Co., Ltd. Showroom: szbestman.en.made-in-china.com Description: Disposable Syringe Destroyer can melt needle and destroy the syringe body at the same time within only 3-5 seconds, easy to operate. Strict production and inspection process, CE approved. It has passed ISO13485,ISO9001. Product: Electromagnetic Flowmeter Company: Wenzhou Kaflon Measuring & Control- ling Instruments Co., Ltd. Showroom: kaflon.en.made-in-china.com Product: UCF Zoom Binoculars Description: Virtually No Pressure Loss. High ac- Company: Nanyang City Srate Optical Instrument curacy, stable performance. Corrosion protection, Manufactory abrasion resistant. High level of anti-vibration and anti-jamming, wide measuring range. Showroom: nysrate.en.made-in-china.com Description: Magnifications: 20X-100X zoom. Objective diameter: 28mm. Field of view: 1.65 degree-0.4 degree. Exit pupil diameter: 1.4- 0.28mm. Exit pupil distance: 10.2-6mm.
  • 50. 96 WHAT’S MADE-IN-CHINA.COM SMART SOURCING IN CHINA / 10 / 2011 What’s Made-in-China.com Made-in-China.com was developed by, and is oper- ated by Focus Technology Co., Ltd. Focus Technology is a pioneer and leader in the field of electronic business in China. Founded in 1996, with the mission of enabling clients to drive cost down and increase sales and profits with effective web-based solutions, Focus Technology has helped Our Mission: many Chinese small-and-medium-sized enterprises • To facilitate global trade between worldwide buy- compete in international trade, advance into new ers and Chinese suppliers; markets and meet the needs of their clients. • To provide accurate and dependable information With the continuous and explosive growth of Chi- on Chinese products and suppliers to international nese export, trade and number of internet users, Fo- buyers; cus Technology launched its online trade platform, Made-in-China.com. Made-in-China.com provides • To help buyers and suppliers communicating and the most complete, accurate and up-to-date infor- do business with each other effectively and effi- mation on Chinese products and Chinese suppliers ciently. available anywhere on the web. Nowadays, Made- in-China.com is a world leading B2B portal, special- izing in bridging the gap between international For Buyers: buyers and quality Chinese suppliers. • Search for products & make contact with suppliers from China in Product Directory. • Post trade leads, requests or Offer to Buy in Offer Board. • Get premium support in conducting trade with suppliers from China through Buyers Services. • Join Made-in-China.com and access various kinds of information and functions for free. • Audit Reports to find reliable and competent sup- pliers from China.

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