Why China has a bright future
25 arguments to take China into account:
Compared to the reactive, slow, bureaucratic management of many EU countries, the Chinese government is forward-looking highly efficient.
Highways, train tracks, subways, deep-sea ports. Everything brand new and suitably devised.
Many well educated, smart engineers:
No other country on this globe has so many smart, well trained and devoted engineers.
Strong motivation to work hard.
Work motivation is a major problem in Western Europe. People are spoilt by social security systems and no longer feel the need to make extra efforts. HR is forced to select on motivation, rather than on professional experience. In China, most employees still want to make that extra effort when needed.
A clear career plan:
Chinese students, much more than western, have a clear plan for their professional future.
Strong personal competition:
The Chinese education system is strongly encouraging the competition between students. The economic value of interpersonal competition is of inestimable importance.
One (now 3) child policy:
Another strong stimulus for economic development. All efforts of Chinese parents are focussed at their one child. Their child is the financial and economic future of their family.
This is still today the main reason why many western companies go to China. It is the engine of the Chinese economy. Indeed, labour costs are rising in the coastal areas, but still very low in the Western provinces.
The Chinese way of networking, much more powerful than the western way of networking.
After years of communism, Confucianism is back in China.
The Great Learning (大学 Dà Xué) and advanced knowledge are key items of Confucianism. Confucius opposed egalitarianism; bringing the productive initiative of the people into full play by allocating work which is best suited to the individual’s attributes. Separation of income and work.
Strong family relations:
In China, family relations are strong and powerful. Family members have the moral duty to support each other financially.
Many small companies are based on financial support of the extended family.
Equal men – women relations:
Men and women have almost equal education and career opportunities, a positive remnant of the communist era. No religious or other traditions, restricting the role of women in society. Many small Chinese companies are managed or owned by women.
Wide income gap:
An encouragement for hard work, a strong incentive for economic development.
Healthy social and work climate:
In Europe, labour unions do not hesitate to take company managers hostage. In China, employees fully understand that a business is intended to make money to pay their salaries.
No religious nonsense, no islam violence.
Companies can invest safely without having to fear religious nonsense, violence or robbery.
Faith in the future, nationalism, a belief in building a better China,
Chinese people have a strong believe in the future. They are prepared to sacrifice time and effort for their next generation.
The new customers are in China
Gradually, the Chinese customers gained so much spending power that today, they are buying more luxury products than any other country.
A huge potential source of low salary workers:
Different from all other Asian tigers or BRIC countries, China has a huge source of low salary workers. In the west of China they can recruit assembly line workers for the next 15 years. And if that source is drying up, they’ll find new cheap workers in Africa.
Chinese companies are flexible beyond imagination. They can change products, management, focus or whatever overnight.
In Europe and North America, companies are strictly organised, an Excel form for every action or decision. In Chinese companies, decisions are often taken fast and over the phone.
Chinese society is based on saving money. Many Chinese companies and families have substantial amounts of money on their bank account. All cars in China are paid cash. Consumer credit is non-existent. China as a country has no debts.
In all my travels, all over this globe (I have been to 34 countries), I have nowhere else met so many smart, fast thinking people as in China. Not just students or professionals, but so many ordinary people. We have to admit it, they are just plain simply smarter than we in the west.
The sheer power of numbers
In 2010, there were 1.34 billion people in China, that’s more than the US and Europe combined. The domestic consumption of China is growing very fast.
China and the Chinese people have an incredible flexibility. Their culture has survived the Egyptians, the Greeks and the Romans. For sure they also will survive, even surpass our western culture.
The money mountain.
The huge number of rich people in China and the fast growing economy is creating an inevitability to invest in western companies. In China, there is a growing confidence to buy or take over western business.