Thursday, July 14, 2011

CHINA TRIP--FINAL REFLECTION

Our two-week trip to China was a culminating event following several months of hard work and preparation. This experience provided us with hands-on experience in a country that is a global economic force. As we move forward into the 21st century, it will continue to become more important for firms to understand how business works in China.

Many of the principles we learned throughout the year in our MBA courses can be applied to this trip and course. For example, one of the key takeaways concerning China and global business is the importance of understanding the culture of the firms and countries with which we conduct business. Throughout the year, we discussed this topic in several of our courses. For example, in our Organizational Behavior and Human Resource classes, we learned about how a company’s culture can have a large impact on both employees and customers. In our Negotiations course, we discussed the importance of understanding different cultural tendencies and the impacts these traits can have on cross-cultural business negotiations.

The importance of developing an open-minded attitude along with a desire to understand the behavior of companies and people was emphasized during our firm visits in China. If we are to partner with the Chinese, we need to see why they think the way they do. We need to understand why they run their companies the way they do. We need to move away from stereotypes and look at various companies and individuals on a case by case basis. Each firm we observed was different. We saw different cultures and values within each site that we visited. It was a great opportunity to practice the concepts we learned in our MBA courses.

As I reflected about Western products or services that could possibly be offered in China, I thought of some of the discussions I had with others during the trip. Some of the Chinese students I talked to spoke of their excitement for the American game of basketball. They love watching the NBA. The commissioner of the NBA has been considering for years the possibility of expanding to Europe. My question is, why not China? The students I spoke with noted that basketball is extremely popular there. They are familiar with all of the teams in the NBA and watch NBA basketball much more than Chinese basketball leagues. This is a complex topic, but I think it would be intriguing for the NBA to look at the Chinese market and capitalize on its popularity.

One Chinese product or service that could possibly be offered or imported from China into the US would be their tea. I was impressed with our visit to The Hutong. I can envision people who go wine tasting along the central coast of California to also have interest in tasting Chinese tea. Entrepreneurs could not only import Chinese teas to the United States, but could also set up tea-tasting events where guests could learn about tea as well as Chinese culture.

One “business practice” that I took away from the Chinese through this course and trip that Westerners could learn from is the importance of relationships. Long-term relationships are valued over hurried transactions. While relationships are also very important in the West, Chinese guanxi places an even greater value on relationships and getting to know business partners. This has both positive and negative consequences. I definitely can see how too much of a focus on relationships can cause more inefficiency or even unfairness and corruption. However, I like the fact that many in the Chinese culture like to get to know the other parties involved in business deals. This allows people to develop relationships with others in settings that perhaps they would not otherwise find themselves in. This could lead to friendships that go beyond just business dealings. These associations can help the Chinese build relationships based on trust and can help set up future opportunities. I was impressed with the hospitality that was shown at each of the firms we visited. They were a great example of treating their guests with respect and kindness.

One of the things that developed economies can learn from emerging economies and markets is that in a country like China, most people seem to value their jobs. In the United States, some people seem to feel entitled to have certain perks or benefits associated with their jobs. However, it was my impression from our visits that the Chinese were grateful to be employed. Many of the workers were performing repetitive or mundane tasks. From my viewpoint it appeared that Chinese employees were hard workers who did not complain much about the conditions. I did not get the sense that there was much whining about having to do various tough jobs. While I am sure this is not always the case in China, I believe that the West could learn from its Chinese counterparts.

Similarly, one constraint that emerging economies and markets have that developed economies often do not have is a shortage of managers with the necessary skills to help companies implement their strategies. During my discussion with a Chinese student at the English Corner in Beijing, the student confirmed that this is a serious problem in China. With its quickly growing economy, the demand for educated and capable business leaders is higher than the supply. Finding talented managers who are educated and experienced will be a critical component as Chinese companies move forward in an increasingly competitive global economy.

I enjoyed meeting with MBA students from both Tsinghua University in Beijing and China Europe International Business School in Shanghai. These MBA programs are trying to help fill the void as they teach managerial knowledge, skills, and abilities to their students. Another challenge China faces is providing enough energy for its people in an environmentally responsible way. I enjoyed discussing this with Calvin, a Tsinghua MBA student. He wants to work in the energy sector. He is well aware of both the challenges and the opportunities that this particular field has to offer in China.

One of the takeaways from this trip was learning whether I have the flexibility that any firm, domestic or international, will require of me in order to add value to what the firm does. On this trip I learned a lot about myself. I believe I do have the flexibility necessary to travel to a place like China on occasion. I learned many lessons from this course that can help me better work with global companies.

I realized that at this time I do not want to relocate my family in China permanently. I do not believe I currently have that kind of flexibility. However, if I worked for a company that needed me to visit China from time to time, I think I would be interested in such an opportunity. Although I do not want to live there permanently, I certainly would not mind visiting on occasion for business or recreation. I feel like this course and trip laid a foundation that could possibly open doors in the future.

On this trip I was regularly forced out of my comfort zone in different situations. One example that comes to mind was at the English Corner in Beijing. I was surrounded by a group of very intellectual students who wanted to know my opinion on a variety of complex economical issues. I felt like a politician being interviewed by inquisitive and challenging reporters. At first I was out of my comfort zone, however, as I continued to converse with these students, I had one of the most memorable learning experiences of the trip. It was fascinating to share my views as well as to hear the views of the students. Some of them had never spoken with an American before. One student noted that he thought most Americans were arrogant, but said he was surprised to find me to be very “diplomatic.” I was really impressed with their curiosity and desire to improve their country. The students I spoke with were very realistic and even possibly a little pessimistic concerning the future of their country. They also mentioned their frustrations concerning the amount of corruption among government officials in China. This hour of conversation went by too quickly. I learned a lot about myself as well as the Chinese. I learned that stepping out of our comfort zones can provide us with some of our most memorable and valuable learning experiences.

There were many cultural differences that I experienced and observed during this trip and course. One notable example of this occurred during one of our tours of a Chinese firm. In China, hierarchy and respect for one’s seniors is considered very important. We learned that often times, businesses are run from the top down. The employees rarely question their bosses or even provide their input. The managers are supposed to know the answers to the problems and the employees do as they are told.

During this particular visit, we saw this cultural trait first hand. During a question and answer period, an executive asked us as MBA students what recommendations we would have for their company based on our observations and studies. We had just completed a presentation and a thorough tour of their facility. After the executive had asked this question, one of our classmates began to politely give input as to how the company could improve. However, the executive immediately got defensive and would not let the student go beyond a couple of sentences. I thought this was a fascinating view of Chinese culture. Although the executive asked for feedback, it was clear that he really did not want to listen to what students had to say.

This particular trait has both positive and negative consequences. On the positive side, workers can be efficient in doing the things their manager tells them to do. Without the resistance, they can be more efficient. However, management may also miss out on valuable ideas from workers who are involved in the day to day operations that could prove to be helpful.

The most important thing I learned on this trip and in this course that changed me as a person is the importance of remaining open minded. As Americans, this is particularly important as we do business with other countries like China. American practices may differ in significant ways from those of other countries. We will be much more successful in conducting business if we strive to understand the cultures of different countries as well as different firms. We need to be careful about making assumptions and try to expand our own world view so that we can better know how to interact with others. This trip provided us with a great opportunity to immerse ourselves in the business culture of China. We were able to see firsthand the complexities of the culture in this rising nation. As we better understand the culture and practices, we are more prepared to respect the people and work together to achieve common goals.

What surprised me most about China was its solid infrastructure in the cities we visited. I did not expect to see so many modern roadways and buildings. From our initial drive into Shenzhen to our final drive to the Beijing airport, I was impressed with the buildings and roads. I did not expect to see upscale shopping areas and roads without potholes. The port we visited was impressive. There were many new buildings. Also, I was very impressed with some of the firms we visited and their good organization. Many of them were much cleaner and better organized than I had expected. These aspects of China stood out to me as we visited the firms and cities. It was interesting to observe how quality infrastructure has helped China’s exports and economy.

For me, China represents a land of unique opportunities and challenges. Its people are hard working and intelligent. The government can accomplish goals quickly. There is a sense of rapid change in the air. We hear about China often in the media or through casual conversation. However, Americans often misunderstand China. This trip was a great opportunity for us to lay a foundation in understanding China and its business practices. I will always remember the lessons I learned on this trip. It will take mutual understanding, respect, and open mindedness for the United States and China to work together in anchoring a strong global economy. If both countries do so in a spirit of cooperation, then everyone can benefit economically.

Thursday, May 12, 2011

One Billion Customers

One Billion Customers: Lessons From the Front Lines of Doing Business in China
Extra Credit Book Review
Author: James McGregor
ISBN-13: 978-0743258418
By: David Hart

Overview/ Contribution to Knowledge

In his book One Billion Customers, James McGregor takes his readers on an insightful journey through fascinating and detailed stories that illustrate the complex business world in China. McGregor relies on his experiences to convey important principles he learned through his many years spent experiencing China’s business environment.

McGregor’s experience as both a journalist and a businessman in China provides a foundation for this book. His goal is to convey to the readers lessons they should learn before conducting business in China. McGregor intends to “show rather than tell what it is like to do business in China (p. xx).” His stories are loaded with practical advice. He notes that many foreign executives are simply unprepared to come to China (p. xx).” Often times it is a lack of understanding the Chinese business history, culture and environment that makes it challenging to conduct business. With a population well over 1 billion people, China presents incredible business opportunities.


The audience best served by this book includes those doing business in China as well as those considering or preparing to do business in China. Others interested in the Chinese business culture and history will also find this book to be intriguing. Finally, business people located anywhere will find nuggets of wisdom that they can learn from the experiences the author shares. Many of the lessons contained in the book can make people think about the cultural and psychological implications that can be applied to various business situations.


Where McGregor Excels

It is clear by reading this book that James McGregor is a master storyteller. Not only is he a good writer, but he chooses stories that are interesting to the readers. For example, he tells the amazing story of Lai Changxing (p.98). The history of this man captivates the reader. Americans may even somewhat relate to part of his story. Changxing’s riveting journey from being raised in a poor family in a small village to becoming a wealthy businessman is fascinating. He made a fortune smuggling items such as oil, cigarettes, and autos into China (p. 106). Many argue that his business practices crossed ethical boundaries. Later, he then had to flee China to escape prosecution from the government. McGregor’s strength is that he uses this story to make a point. He does not simply tell stories just because they are interesting or entertaining. He uses them to teach principles of doing business in China. He does not just tell the narratives, but he teaches his readers lessons they should learn.

McGregor also uses great detail in this book. As a journalist, he clearly has experience gathering facts from many different sources. A good journalist looks at all sides of an issue from various sources. McGregor appears to have done his homework. For example, he claims that his account of Changxing’s saga is “based on close reading and analysis of these often contradictory materials” (p. 98). He tried to get all sides of the story. He even tracked down Changxing in Canada to hear his personal version of the events that occurred (p. 117). Of course, as is the case with all writers, McGregor has his biases. He admits that he has made judgments about what he believes to be truth versus fiction (p. 98). It does seem as though he researched his facts before coming to his conclusions. I was impressed with the detail that he was able to gather in all of his accounts.

McGregor is very perceptive. He provides insightful commentary, weaving human nature with reality in order to make his points. He is a keen observer of China and its business practices. I was impressed with his ability to understand the events that he and others experienced. He not only understood the implications, but was able to extract lessons that his readers could learn from these events. At the end of each chapter, he has a heading entitled “What This Means For You.” He then explains what it is that he wants the reader to learn from the chapter.

He emphasizes the application of principles from the stories he tells. For example, in the chapter entitled “Eating the Emperor’s Grain,” the author speaks of first the “good”, then the “bad” followed by the “ugly” (p. 118). His advice sections are full of suggestions that cover all angles. He is very realistic in his commentary, not afraid of coming across as somewhat negative in his views. He tells it like it is. In doing so, he helps readers realize that business in China is no cakewalk!

An example of the author’s plainness is found in the fourth chapter. The author notes that “China can be a scary place to do business” (p. 127). However, in this instance he balances the negative tones by providing a hopeful statement. He says that “conditions for doing business are improving as the nation becomes more exposed to global business practices” (p. 127). Furthermore, he notes that “if your business is doing what is right for China, you can win a battle against the most entrenched and ruthless government foes” (p. 127). Throughout the text, the author’s tone is realistic yet hopeful. Yes, business is tough in China. However, if you develop the proper strategy and understand Chinese business and government, then you can become successful. This practical theme humbles the reader by stressing the importance of learning the necessary steps to achieve success in China.

One of the most reader-friendly features of this book consists of the end-of-chapter advice sections. McGregor labels each of these sections as part of the “Little Red Book of Business.” In these sections, the author uses bullet points to help the reader focus on the lessons he wants them to learn. These sections summarize the advice the readers should have gleaned as they read the chapter. For example, McGregor gives advice such as “Be tough. The Chinese respect it. Never tremble and obey if doing so will damage or destroy your business in China” (p. 153). He also says, “Frame your arguments to show how your business is good for China, not what is wrong with the Chinese government. You can’t make the system look bad” (p. 153). These particular examples can be explored more in depth when reading the chapter. In this particular case, the author teaches these lessons through his personal experiences with the Chinese government. McGregor negotiated with Chinese officials to help his company, Dow Jones, compete in the Chinese market (p. 127). His personal experiences interwoven with the stories of others provide the reader with a good variety of stories from which one can learn.

One recommendation I would make to someone reading this book would be to read the summary boxes at the end of each chapter before reading the chapter. Reading the boxes first gives the reader an overview of the principles to look for in the real-life stories in the chapters. Then, I would recommend for the reader to review the summary boxes at the end again after the chapters. There is a lot of information contained in this book. By reading an overview of the principles, the reader can get more out of the individual chapters.

McGregor is well qualified to write this book. His experience of living in China allowed him to witness firsthand the rapid expansion of the Chinese economy throughout the past two or three decades. He does an effective job of mixing in the history of business in China throughout the book. He helps the reader understand the many challenges and opportunities that business people have faced as well as continue to face.


Where McGregor Falls Short

The main weakness from my viewpoint in this book is that McGregor focuses mostly on big business examples. He tells fascinating stories of airplane manufacturers, newspaper companies, and other big businesses. However, he generally fails to focus much on small or medium-sized businesses in China. Many of the readers of this book may be considering doing business in China on a smaller scale than the examples discussed. It may be challenging for some readers to relate to the examples given. However, the advice summaries at the end of each chapter provide information that can be applied to anyone doing business in China.

McGregor’s writings also at times seem a little wordy. While detail can be a positive aspect of a book, I felt that there were times when he was too detailed. This was true both in the chapters as well as in some of the summary boxes. I felt that there were times when the author needed to simplify some of the chapters. In addition, although he used headings throughout the book, I felt that he could have added even more headings to help the reader better understand the transitions and the flow.


Interpretations and Summary

Overall, despite its weaknesses, I found this book to be a useful resource in better understanding how the front lines of business work in China. I particularly found the discussion on the future of China to be interesting. McGregor discusses the state of education. For example, he notes that China’s education culture has created a nation of people who cram for exams, learn by imitating, follow role models and absorb prescribed solutions for problems (p. 260). He says that the problem is that in modern China there “are no role models, no prescribed solutions, an no one to imitate” (p. 260). While I don’t know if this statement is completely accurate, I agree that it will be important for China to be willing to evolve in the realm of education.

I particularly found the discussion of Chinese MBA students to be relevant. Calling Chinese MBA students the “most aggressive and impatient in the world” (p. 268), McGregor discusses the recent history of MBA programs in China. He notes that there are some cultural changes that need to occur in order for Chinese managers to find success. For example, Chinese bosses often times give orders and analyze problems without input from workers (p. 269). The author argues that business schools need to transform their cultures by changing the way their students think. He argues that education in China prepares people to be led, not to lead (p. 272).

Does the future belong to China? McGregor believes that the answer to this question will be determined by whether the “Chinese elephant can transform itself from a rampaging sprinter into a methodical marathoner” (p. 295-6). This book does a great job of helping the reader understand that in order to find business success in China, one must understand the culture, government and business environment. In order to take part in this rapidly growing economy, foreigners need to realize that nothing is given. It takes hard work, understanding and relationships to be successful. The author makes this perfectly clear. One thing is certain- business in China is not for the weak or unprepared!

Sunday, May 1, 2011

The Post-American World

Book Review: The Post-American World
Author: Fareed Zakaria
ISBN: 978-0-393-06235-9
By: David Hart

Introduction/Contribution to Knowledge

Fareed Zakaria’s book The Post-American World takes readers on a journey through history and modern times. He helps his audience to better understand how the current global environment is changing. The book’s title is somewhat misleading. One might deduct from the title that this book will be provide doom and gloom scenarios for the world’s current largest economy. This is not the case. Readers quickly learn that Zakaria has a generally optimistic view of globalization and its effects on America and other nations.

Zakaria, an Indian-American journalist, quickly introduces his readers to his view that America is not in decline. Rather, he argues that other countries are rising to catch up with America. He calls this the “rise of the rest” (p. 2). This book discusses globalization from the vantage point of politics, economics, and culture (p. 1). The author seeks to convince the reader that it is good for the world for other countries to expand economically. He believes the United States needs to be willing to adapt to the surrounding changes that are occurring as the result of globalization. He argues that the United States needs to create coalitions and share power to help both America’s economy and the world’s economy progress.

The Post-American World appeals to a variety of audiences. Zakaria’s writing style is easy to follow. Possible audiences include students, politicians, and economists. Those interested in politics may find this book provides helpful insights on what America needs to do to move forward in an increasingly globalized world. This book may not completely satisfy some academics who would prefer a more in-depth analysis of this complex issue. As a student, I found this book to provide fascinating insights into how globalization relates to politics, history and the future.

Strengths
In my view, this book’s biggest strength is its cautiously optimistic tone. I appreciate the author’s perspective that although there are challenges to overcome, globalization is positive for all countries. As long as the United States finds ways to adapt to this changing world, the future is bright for America and the world. I tend to agree with the idea that the future is bright for all of humanity. However, I realize that this attitude is good only when balanced with a willingness to solve and overcome the many great challenges that we face.

Zakaria notes that focusing on gloom too much does not prepare us to face our largest problems. He argues that many of our largest challenges are a result of our successes (p.27). He also notes that America’s relative economic weight may fall in the coming decades. However, his optimism shines through when he says “The decline need not be large-scale…as long as the United States can adapt to new challenges as well as it adapted to those it confronted over the last century (p. 41).” Perhaps this is wishful thinking, but it is refreshing to hear somebody with an optimistic viewpoint compared to the doom and gloom that is so prevalent in media and politics.

I also found Zakaria’s discussion of the history of globalization to be a good overview. His conversation of recent economic history revolves around the rise of the west, the rise of the U.S. after World War II, and now the “rise of the rest” (p.2). This historical context gives the reader the opportunity to put today’s global environment into perspective. It helps the reader understand how we got to where we are today.

Zakaria also effectively uses the limited amount of space he has in the book to proportionately discuss some of the key nations in globalization. He focuses especially on China and India. These two countries deserve significant discussion as they continue to play a major role in the world’s economy. However, he also discusses other parts of the world such as Africa (ie. p. 116).

I thought he was effective in reaching his audience regarding China’s role in the world. In speaking about China, the author effectively drives home the point that China is unique in many different ways. This can make it different to compare it to other world powers. This is important for the reader to understand. The world has never before seen a country like today’s China. It takes an open mind to understand the politics, culture, and economics of China. He notes that China’s main focus is on its growth strategy (p. 105).


Weaknesses

Although I consider this book’s optimistic tone to be its biggest strength, I also can see how some may see it as as a weakness. Some may believe that it is hard to be optimistic when so many challenges exist. Zakaria does talk extensively about many challenges that need to be overcome. However, some may wonder how he can have such a positive tone when many Americans see decline. For example, one may ask how globalization can be positive for the U.S. when unemployed, rural Americans are losing jobs to Chinese or Indian workers abroad. With the U.S. unemployment rate currently so high, and incomes stagnant, some may argue the future is not as bright as he suggests.

In addition, some may argue that the optimistic tone is unrealistic. The book was published in 2008, just as the recession was beginning to wreak havoc across America and the world. Some people may see his positive attitude as naïve. However, to his credit, Zakaria warns of problems within the U.S. political and economic system. He discusses some of the economic problems in the United States such as flat median incomes, high deficits, and low savings rates (p. 199).

Another issue some may have with this book is that the topic is too broad to be covered in less than 300 pages. Globalization involves many complex political and economic topics that require much discussion. Some might say that the book needs more depth in explaining certain concepts.

There are also times the author raises points that may cause the reader to stop and question. For example, he says that biological terror may “lack the dramatic results terrorists crave” (p. 16). In discussing America’s $13 trillion economy, he also notes that “modern civilization may be stronger than we suspect” (p. 17). The author may find that some readers disagree with his seemingly nonchalant attitude towards possible acts of terror or other issues.

Interpretations

I would recommend Zakaria’s book to those looking to better understand the effects of globalization. While some of his points may be debated, he writes in a way that makes the reader think. I found it interesting to note that Zakaria makes the same argument that James Fallows makes in the book Postcards From Tomorrow Square. Both Zakaria and Fallows believe that educating the world in America and keeping those people here will help the U.S. economy (p. 198).

It was interesting to note that a large percentage of America’s graduate science and engineering students come from foreign countries. One of the areas that really struck me in this book was the immigration policy discussion. Zakaria argues that in order to keep its edge in technology, America needs to make policies that allow immigrants to stay. Otherwise, he argues, immigrants will take their innovation skills home with them (p. 198). Of course, the topic of immigration is a broad one that includes many different types of immigrants. Zakaria and Fallows speak mainly about immigrants who come here to study and do research. Immigration policies are a heated political topic in the United States. People have strong opinions on both sides of the argument. Before reading Fallows and Zakaria, I had never thought of this interesting perspective.

Another theme that I thought was important in this book was that Americans need to become more open minded. As I have read various articles in preparation for my upcoming China trip, I have found this theme to be consistent with many of the readings. This book was no exception.

Zakaria notes that Americans are often naive to the world outside their country’s borders. He notes that “Americans rarely benchmark to global standards because they are sure that their way must be the best and most advanced (p. 46). He also notes that Washington needs to adjust and embrace a world with a “diversity of views and viewpoints (p. 214). I think these points deserve fair consideration. However, I also recognize that it is important to realize that Americans are not the only ones who may think like this. Human nature dictates that people in many countries are unaware of what the global picture looks like. I believe that this will get better as the world becomes smaller and more people are educated, but we still have a long ways to go.

Another issue the author says will affect America’s policies concerning a global future is politics. He notes that in order for the U.S. to progress, politicians from both sides of the aisle will need to compromise (p. 213). It is important for American politicians to make decisions that will help America benefit from globalization and competition from other countries. Politicians should not just look to the next election, but have a long-term outlook. Zakaria believes this long-term outlook is “highly unlikely” (p. 213). I agree that government officials need to focus more on compromising and focusing on the long run. Unfortunately, this is not the type of culture Washington D.C. has right now. Hopefully this will change in the future.

Zakaria also notes that America should evolve from its traditional superpower role. He believes that America should move from a top-down hierarchy into more of a role involving “consultation, cooperation, and even compromise” (p. 233). I agree with this, as long as other countries have the same type of attitude. It certainly takes two sides to be able to cooperate on complex problems.

Summary

My overall impressions of the book are positive. Although some may find the book to be lacking in depth, I believe the author is effective in communicating his message. The author certainly has his opinions, some of which are debatable. However, he engages his readers with his efficient and to-the-point writing style.

I especially found his thoughts on China to be insightful. As Napoleon said concerning China’s awakening, “when China wakes, she will shake the world” (pp. 87-88). Perhaps today we could expand the meaning of this quote to include many other countries. Having an understanding of China, India, and other developing countries is crucial for both politicians and businessmen. The world is truly becoming smaller, and other countries are rising.

As America seeks to continue its success in the modern world of globalization, it would do well to take into account some of the lessons learned in books such as this. I would recommend for decision makers to not only read this book, but to also read other books on the subject. The more America’s policy makers understand this complex world in which we live, the more likely they are to make better decisions. These decisions will help America find continued success and better adapt to an increasingly globalized world.

Tuesday, March 15, 2011

China Fragile Superpower

Book Review: China Fragile Superpower
Author: Susan L. Shirk
By: David Hart

Introduction/Contribution to Knowledge

Susan L. Shirk’s book China Fragile Superpower provides fascinating insights into the political and economic workings of this vast country. Shirk has the credentials to write such a book, as she has observed and studied China for over four decades. In addition, her position as Deputy Assistant Secretary of State in the Clinton administration gives her added insights into the political relations of the United States and China.

Shirk’s book is both thought-provoking and insightful. Intended for an educated audience, Shirk does an effective job of helping the reader understand the facts related to certain topics. Her analysis and description of important historical events and topics contain in-depth information from an insider’s perspective. She writes to help readers realize the importance of Americans understanding China. She makes it clear that Americans must deal with China and its problems properly. She notes that we must “control how we ourselves think about and behave toward China, which is all the more important because we can’t count on China always to act responsibly or in its own best interest” (p. 261).

The paradoxical title of “fragile superpower” effectively provides an overview of what this book is about. Many Americans may look at China from the outside as being a rising superpower, while the Chinese point of view may be the opposite. This book attempts to take an objective and academic look as to why the author believes the Chinese government’s internal politics could negatively affect their peaceful rise to superpower status (pp. 5-8). This review will discuss the book’s strengths, weaknesses, and my overall impressions of the book.

Strengths

This book was well-written. The author effectively discusses the topics that engage her audience. Her writing style, though not exciting, is matter-of-fact. The reader can tell that she is well versed in the topics and has a great desire to help people to better understand China. Overall, some of the main strengths of the book include its layout, the author’s experiences and the practical advice given.

Layout

One of the books main strengths is the way it is organized. Shirk does a great job of using headings and subheadings to make clear which topics are discussed. This is particularly helpful in this type of book that deals with a number of different topics. Without this type of layout, many readers would drown in the sea of information. However, she makes the reading a little easier to digest by using a number of subheadings. Many readers may find it helpful to look over the subheadings of a chapter before reading it to have an overview of which topics will be discussed.

Also, throughout the book there are a few pictures and diagrams. With the reading being a little more in-depth, this helps give the reader a visual image of some of the topics being discussed. An example of a helpful diagram can be found in Figure 3.1. This diagram helps the readers visualize the layout of the Chinese government and the communist party (p. 41). The author effectively used these types of graphs and pictures throughout the text.

In addition, the layout of the book is well organized. The first chapter does a great job of summarizing some of her main ideas. The chapter grabs the reader’s interest by opening about the possibility of war. She then goes on to give an overview of the rise of China and its leadership. She introduces the theme of insecurity, which is one of her main points throughout the book. She notes, “China is stronger economically and more secure internationally than it has been since the nineteenth century, but paradoxically, its communist leaders have a deep sense of domestic insecurity” (p. 6).

Shirk covers a variety of political, economic, and other topics throughout the book that help the reader better understand why China is the way it is today. China is a complex country, and challenging to understand. She discusses many of the important historical events that have shaped China. She particularly focuses on events or issues within the past few decades. She effectively discusses the historical and political implications. The book seems to flow well from topic to topic and chapter to chapter. The organization helps make the topics easy to follow from the reader’s standpoint.

Experiences

The author gives the reader the feeling that she knows what she is talking about. With her extensive experience as a scholar in China as well as being the deputy assistant secretary of state for American relations with China in the Clinton administration, she has the credentials to back up her claims.

Although Shirk mostly writes about the issues from a third-person point of view, she also effectively sprinkles some of her own experiences throughout the book. This gives the book a sense of character. The reader gets an idea of where the author is coming from. For example, she sometimes quotes from personal conversations she had with officials (ie. p. 98). Another example occurs when she notes her own personal findings that show Chinese hostility toward the Japanese (p. 152).

Her experiences as an insider were intriguing to read. For example, during her time as deputy assistant secretary of state, she was involved in negotiations with Chinese government officials. She noted that “the public rhetoric toward the United States and the official interactions with the United States that were hidden from public view were completely at odds” (p. 222). She then notes that the state-run media often criticizes the United States to arouse popular support for the Party while at the same time “Chinese diplomats were making compromises with the U.S. government.” Insights like this reinforce some of the main points that she makes throughout the book.

Practical Advice

One of the strengths of the book is that the author answers the question “now what?” Rather than allowing her readers to come up with their own solutions, she gives advice based on her experience and expertise. This provides a strong ending that allows the reader to go away with some practical advice on the relationship between the United States and China.

In the chapter, she begins by giving advice to the Chinese government. While the solutions she offers seem simple, the reality that they can occur is complicated. She then offers advice to Americans. By offering take home messages, the author helps the reader to generate ideas that the United States should consider. Facts and theories are interesting, but it is the implementation and application of ideas that make a difference in the world.

Weaknesses

Some readers of this book may feel that the author is too opinionated. As is the case with any author, she has her biases and sees the issues through her own lenses. Many may feel that due to her direct experiences with the Chinese, that she is more credible. However, others may feel that because of this experience, she has certain biases.

The tone of the book is such that her opinions shine through. If people disagree with her, they may find the book to be too opinionated. For example, she notes that the best thing to happen to China’s relations was its joining of the World Trade Organization (p. 132). Some may have differing opinions of this issue. Also, some readers may think she is over worried about the dangers of war with the US or other countries. Perhaps some believe that she exaggerates the risk of war. They may feel she focuses too much on the negative aspects.

Summary/Interpretations

Overall, I found this book to provide key insights to the political atmosphere that surrounds China today. I would be curious to see if the author has any more recent writings to get her take on more current issues in China. Since she published the book, the global recession, the Olympics, and many other situations have had a great impact on China.

I enjoyed the book. While some may find it to be a little dry, I thought the author did an effective job of keeping the book organized in a way that kept my interest. In my opinion, the author talked about fascinating issues that show a unique perspective of Chinese leadership. This book helped me to better understand the political and social issues that affect China internally as well as its relationship with the United States and other countries. I would recommend this book to anyone looking to understand China, its regime, and its implications as it continues to develop into an even more “fragile superpower.”

Monday, January 3, 2011

The "Coupon Generation" in China

I came across this interesting article about how coupons are catching on with consumers in China. Here is the link.

Thursday, December 9, 2010

Postcards from Tomorrow Square

Book Review 1
Author: James Fallows
By: David Hart

Introduction/Contribution to Knowledge

The latest book from James Fallows provides fascinating insights into China and its place in the modern world. Postcards from Tomorrow Square is a collection of essays that Fallows wrote while living in China. Fallows, a journalist with a history and economics background, writes in a riveting way as he covers fascinating Chinese topics such as its economy, culture, strengths and challenges. As the world moves further into the twenty-first century and becomes more interconnected, China’s influence will continue to expand. This book seeks to help others increase their understanding of various aspects of China. It also helps the United States to better understand how it will need to interact with China in what is already a dependent relationship.

Fallows writes primarily to Westerners who do not have an extensive background in Chinese issues. He writes to inform them of how vital it is for Americans to understand China and its social, economic, environmental, and political background. China will continue to expand its influence. Fallows discusses throughout the book the importance for Americans to gain a greater perspective of this vast country. He challenges some of the perceptions and preconceived notions that many people have about China. He writes from his personal experiences in China to help others better understand the Chinese point of view. This book review will discuss some of the strengths and weaknesses of the book.

Strengths

James Fallows uses an effective writing style that conveys important concepts throughout the book. This section of the review will focus on five strengths of the Postcards from Tomorrow Square. This book is well organized, provides useful real life examples, exhibits simplicity, has a realistic yet hopeful tone, and provides useful advice.

Organization

James Fallows effectively organizes the book in a way that is easy to follow and understand. The book is essentially a collection of twelve essays that describe his experiences in China. The titles of each chapter effectively describe the contents of the chapters. They also engage the reader to want to read the chapter to find out what is written about a particular topic. For example, the chapter titled “The 1.4 Trillion Dollar Question” helps guide the reader in understanding China’s trade surplus and its effects on the U.S. and Chinese economies. Other titles such as “China Makes, the World Takes” gives the reader a reference topic to refer to when trying to understand the chapter.

In addition to having descriptive titles, Fallows also gives a good overview of the book in the introduction. After reading the introduction, readers know the direction the author is going to take. This is important because the book covers a variety of topics in a short amount of space. He jumps from one topic to another. The introduction helps the reader understand the order of the concepts that will be discussed in the book and what main ideas the author wants to convey. This overview helps preview the main ideas to help the reader see the big picture and see how the concepts all relate before he or she reads the book.

Real Life Examples

One of the main strengths of the book is the ability of the author to hold the attention of the reader. Fallows describes his themes in ways that use real world examples. Rather than relying only on theoretical concepts, he does a nice job of using interesting real life examples to make his points. For example, rather than just talking about pollution problems in China, he tells stories of people such as Zhang Yue who are looking for ways to implement more energy efficient ideas. He illustrates his points with stories that are both compelling and thought provoking. Another story he uses in the book to help readers understand the pollution problem is his description of the government trying to clean up Beijing for the Olympics in 2008 (p.13, 192).

An additional example of an effective story that Fallows uses to convey a complex topic is his description of the voyage of a dollar (p. 153). He shows how a dollar spent in America on a toothbrush that was manufactured in China ultimately ends up back in the U.S. He traces the dollar from the U.S. store to the factory that produced the product in China. The dollar then follows a pathway to the Chinese government that then likely invests it in U.S. Treasury notes. This example paints a clear picture for the reader to envision when looking at this concept.

The author also tells stories throughout entire chapters to make his point. One of the most interesting chapters in the book is about the city of Macau. Fallows effectively helps his audience understand the clash of values between those of the Chinese and the outside world. This chapter describes the history and the current state of this fascinating city.

These stories help readers better understand key concepts. They will be more likely to remember the concepts than if he had just described theories of how China works. The effective use of stories helps to keep readers engaged and interested. The real life examples help the readers connect better with the concepts he is trying to portray.

Simplicity

Another one of the strengths of this book is its success in reaching its audience. It is written in a way that most Americans can understand. His writing style is simple yet powerful. He conveys more challenging concepts in a way that people from all walks of life can relate. For example, Fallows notes that Americans benefit from U.S. companies manufacturing products in China. He describes this benefit by using what he calls the “smiley curve” (p. 95). He notes that America gains economic benefits from this model. America’s place in the smiley curve is at the two ends. These two ends contain the majority of the profits. The first end at the top of the curve is the branding and product concept. The trough is the manufacturing part that takes place in China, often in cities such as Shenzhen. After a product is manufactured, it comes back to America for the retail and servicing stages at the other end of the smiley curve. This simple yet powerful concept helps the reader understand the author's point that America benefits financially from this relationship with China.

Fallows also helps readers by giving them overviews of major ideas. For example, to better help the reader understand the culture of some of the major cities in China, Fallows describes what a visitor might expect to see in each city (p. 73). In Shenzhen, visitors may expect to see foreigners who are designers, engineers, or buyers. These foreigners are more “Midwestern-looking” (p. 73). He describes foreigners in Shanghai as more likely to wear suits. They are often financiers, lawyers, or consultants. In Beijing, there are more diplomats and academics. He describes their look as being less polished. By generalizing these areas by the way the foreigners dress and their occupations, readers get an overview of what drives the economies in these cities.

While the author helps readers understand key ideas with generalizations, he is careful not to paint Chinese society with a broad brush. In fact, one of the recurring themes in the book is that China is a complex and diverse society. For example, the author notes that “China, like America, is too big, complicated, and contradictory to have any typical or representative character” (p. 38). The author uses Mr. Zhang to show an example of someone who has great vision. Fallows notes that China’s economy, environment, politics, and culture are varied and multifaceted.

James Fallows effectively helps dispel any black and white notions. While the concepts in this book are simple to understand, China itself is not. He helps the reader understand that there are many shades of grey when trying to understand where China is today and where it will go in the future. He makes it clear that it is imperative for the United States to partner with China and to better understand them. This means understanding the concept that China is a complex society.

Realistic yet Hopeful Tone

An additional strength of the book is its focus on not only challenges in China, but also on the country’s strengths. Many westerners seem to only look at the negative aspects of China. While Fallows acknowledges there are major problems in China, he also emphasizes that people should also recognize the positives. For example, he notes in the book that despite bad working conditions and other major labor problems, many Chinese have been brought out of poverty in the last few years (p. 93).

He also says that there is much more opportunity for the Chinese now than even 10 or 20 years ago (p. 255-7). He notes that the outside world is correct in mentioning some of the country’s challenges. However, he also believes China’s realities include more than just defects. He argues that most people in China are optimistic about the future (p. 255). He believes China has great opportunities. By giving the reader an insider’s view, Fallows shows a more well-rounded perspective of the country.

Useful Advice

Fallows does a great job throughout the book of giving advice on what he believes America should do to deal with the increasing Chinese influence. For example, Fallows is a proponent of making it easier for foreigners such as the Chinese to work and study in America. He notes that if the U.S. can attract the brightest minds throughout the world, America will be more powerful and more respected (p.76). He believes that universities are “the crucial connector between the U.S. and China” (p. 211).

In addition, he notes that America can shore up its status as being the most powerful nation in three ways (pp. 139-41). First, as discussed above, it should make room for outsiders. Second, it should be idealistic but not “foolishly consistent.” Third, it should “display confidence, good humor, and thick-skinnedness" (p. 141).

By providing practical advice throughout the paper, Fallows helps readers see the connection between China and the United States. This facilitates an understanding of the importance of how China influences the world both now and in the future.

Weaknesses

One of the challenges this book has is that it covers a lot of material in a short amount of space. Some readers may prefer more depth to the topics. Readers who are already familiar with the concepts in the book may find it to not be academic enough for their tastes. The author tries to cover a great deal of material rather than going in depth on certain topics.

Although the book is well organized, perhaps the topics are too random for some readers. The author discusses events such as Chinese reality television to Macau to internet censorship. He speaks of politics, history, culture, economics and many other broad topics all in one book. While some may like this book as an overview of China, others who are looking for more in-depth information or analysis on a specific topic may want to look elsewhere. It is a good overview book, but other books may supplement this book by adding depth and detail.

The majority of the book was written before the effects of the recession began to hit the world's economy in 2008-2009. As a result, the effects of the recession on China are not discussed in this particular book. Someone looking for the very latest on the Chinese economy and how the recession has changed the country may want to find a more recent publication. Although this book does not have the very latest information, most of the information appears to be accurate and up to date.

Throughout the book, I did not notice any factual errors. However, I do wish he would have spent more time going into greater depth on the economic consequences of the Chinese policy of having one child. I have read reports in the past that suggest this policy will have an effect on the Chinese economy. This is a topic that I would like to learn about. It would have been interesting to have heard more about the author’s view on this subject.

Summary/Interpretations

Before I read this book, I had very little knowledge of China. I have traveled to several countries throughout the world, but I have never been to Asia. Although I have not studied much Asian history or culture, I have always had a desire to learn more about China and other Asian countries. Reading this book definitely piqued my interest in wanting to learn more about this emerging superpower. Learning about China is critical for those in the business world.

The author is effective in providing a collection of chapters that give an excellent overview of the country. For readers who do not have much background with China, this book provides a great introduction. It lays a foundation for a better understanding of this foreign land. It helps Americans understand which direction their own country needs to go in order to move into the future. China is going to continue to play an increasing role in shaping the world economy.

The author makes it clear that Americans need to find ways to understand and partner with China in making the future better for both countries as well as the rest of the world. Both countries will need to work together in forming economic, environmental, political, and social goals. China is changing quickly, and Fallows effectively helps his readers understand that China is going to continue to evolve and change as the world becomes more interconnected in the twenty-first century.