Harbin China

for

WTC Leeuwarden

10 september 2020

➢ Introduction

➢ China

➢ Cultural awareness

➢ Communicate with Chinese

➢ Government relations

Program WTC Leeuwarden Harbin

➢ Gert Bakker➢ 56 years

➢ 20 years experience in China➢ First Class Business Travel➢ First Class Business

➢ China in Beeld

➢ Member of WTC

➢ Member of Exportclub North➢ Member of NCD➢ Member of SITE

➢ Member of VNC➢ Member of Friends of Xiamen

Introduction

➢ Introduction

➢ China

➢ Cultural awareness

➢ Communicate with Chinese

➢ Government relations

Program

China➢ workers➢ farmers➢ petty bourgeoisie➢ patriotic entrepreneurs /possessing class

➢ Communist Party

China

➢ 2e largest country in theworld 1.4 billionChinese

➢ 22 provinces(23 -Taiwan) 4 Municipality (Beijing/Shanghai/Chongqing/Tianjin)

➢ 5 autonomousregions 2 Special AdministrativeRegion ( Hong Kong/Macau)

➢ Introduction

➢ China

➢ Cultural awareness

➢ Communicate with Chinese

➢ Government relations

Program

Acknowledgement: Edward T. Hall - 1973

Iceberg Model

Dutch Thinking

• European thinking

• Polders and land reclamation

• Calvinist emphasis on duty and labor

• Strong international orientation

• Young country

Dutch values

➢ Equality➢ Directness

➢ Thinking logical➢ Modest➢ Critical

➢ Controlling➢ Tolerant (?)➢ Pragmatic

➢ Strong work ethic➢ Personal responsibility➢ Curious

Chinese Thinking

➢ Confucianism

➢ Taoism

➢ Legalism

➢ Communism

RESPECT/ FACE

➢ De Virtuous Ren Humane

➢ Yi Just Xin Reliable

➢ Zhong Faithful Xiao Piety

Confucianisme

➢ Every Chinese group is shaped like a pyramid

➢ Chinese like a strong leader / docile

➢ Chinese work from a personal network> Guanxi!

The five Cardinal relationships (五倫):

➢ Ruler - Subdued➢ Father - Son➢ Man - Women➢ Older - Younger Brother➢ Friend - Friend

Taoïsme

➢ Accepting life as it presents itself

➢ Wu Wei: go with the flow, or don't intervene

➢ Focus on harmony

➢ Avoiding conflict

Legalism

➢ Strong central leadership

➢ Strict regulation

➢ Control and sanctions

➢ Imposes absolute obedience

Historically Relevant: Century of Humiliation 1839-1949

Opium War, 1839-1842 & 1856-1860

Destruction of Summer palace by British and French (1860)

Invasion by Japan (1931) and Massacre of Nanjing 1937-38

Eduction in large scale

The LongMars1934-35

Communism

➢ Recovery from pride and sovereignty

➢ Emphasis on group performance / togetherness

➢ Closely intertwined network of CCP party members

➢ Open doors since the eighties

➢ Communist republic

➢ Strong government

➢ Socialist market economy

➢ Hierarchy➢ Indirectly

➢ Instructive➢ Adapts and excels➢ Respect / face

➢ Conflict avoidance➢ Flexible➢ Pragmatic

➢ High work ethic➢ Personal responsibility➢ Curious

Chinese Values

➢ Introduction

➢ China

➢ Cultural awareness

➢ Communicate with Chinese

➢ Government relations

Program

culture determines communication

➢ Know who you are communicating with➢ Top down➢ Make it personal➢ Use Wechat

The main cultural features:

➢ Pengyou (friends)

o Initial Conversations, your Chinese partner's attention is mainly focused on making friends and cultivating mutual understanding

o It is better to lie than to make someone lose faceo Once Pengyou, the Chinese don't hesitate to exploit that friendship when it suits

you. "Yes, but we are friends anyway ..."

➢ Guanxi (network, connections)o All Chinese relations are based on 'guanxi' (comparable to our 'network’)o These guanxi are purely businesso Failure to respond to a call means loss of faceo The right guanxi often decides in decisions, the decision-maker gives face (mian)

to the applicant

➢ Mianzi (face)o Face (respect / respect) very important for your Chinese partnero It is important to have and keep your own face

Nothing is as bad as losing face

Tips in doing business

➢ Few Chinese speak good English. Take your own translator

➢ Etiquette: Be relaxed and not afraid to make an etiquette mistake but know something about the etiquette. * Strong value is attached to colours and numbers. Example: 4 number of death /white is a mourning colour * Heights: the feet (and especially the bottom) are taboo* Make sure that your glass does not rise higher than that of your host when toasting.* Loss of Face: It is important that you do not let the Chinese "lose their face“.

➢ Business card. Reach out your business card with both hands and receive it with the Chinese side up, ifpossible. Study it thoroughly and use the Chinese businessman's name and title. Last name first! In China,the family name is used first, then the first name. Address the people by their family name.

➢ Hierarchy: China has a clear hierarchy. In the conversation, focus only on the director

➢ Negotiations. The Chinese are top negotiators. Prices are adjusted effortlessly during the negotiation. Only after the scribble is there any certainty.

➢ Guanxi. Personal relationships, also known as Guanxi, are vital in doing business in China.

➢ Prepare for a long meeting. The purpose for the Chinese to build or grow a relationship.

➢ Practice drinking a lot, dining for a long time, eating with chopsticks and singing karaoke.

➢ Who pays? Sharing in restaurant costs is taboo in China. The inviting party orders the food and also pays the bill.

➢ Quality documentation. Make a list of specifications and expectations. Know exactly what you are buying! Not good, money back is very difficult in China. Try to hire a reliable local ally.

➢ Introduction

➢ China

➢ Cultural awareness

➢ Communicate with Chinese

➢ Government relations

Program

➢ Dutch Government in China

➢ Trade missions & Fairs

Government relations

Government relations

Dutch Government & Networks in China

Dutch Government in China

➢ Embassy: Peking

➢ Consulate: Shanghai, Guangzhou, Chongqing & Hong Kong

➢ NBSO: Chengdu, Dalian, Jinan, Nanjing, Qingdao & Wuhan

Government relations

Trade missions & Fairs

Trade Missions governmentwith or without companies

➢ Ministries: with minister of staatssecretaris (in China also minister)

➢ Provinces: with Commissioner of the King (in China Governor)with gedeputeerde (in China Vice Governor)

➢ Cities: With Mayor or Vice Mayor

Government relations

Trade missions & Fairs

Trade Missions Province Friesland

➢ Pictures official meetings Province Heilongjiang & Province Friesland

➢ Pictures meeting Company and diner

➢ Pictures Matchmaking

➢ Pictures Fairs

➢ Pictures incoming Chinese delegations to Province Friesland

Questions?

Thank you for your attention