sshanghai dailyhanghai daily b6 monday 4 july 2011 amcham ... amcham-shanghai china business report)...

3
Shanghai Daily Shanghai Daily Monday 4 July 2011 B6 Wang Yanlin T he American Chamber of Com- merce in Shanghai, founded in 1915, is known as the “Voice of American Business” in China. Today, it is the largest and fastest growing American Cham- ber in the Asia Pacific region. AmCham Shanghai helps United States firms tap into the vast and complicated Chinese market and provides various services enabling them to better adapt to the changing Chinese business climate. It also offers constructive advice to the Chinese government to create a healthier and more modern administrative environment to support China’s growth. The business association frequently publishes in-depth reports and organizes multi-faceted events for members. One of the upcoming events is the AmCham Shanghai 2011 Human Resources Fair and Workshop on August 26 at the Shanghai World Financial Center. As the US celebrates Independence Day today, Shanghai Daily interviews Brenda Lei Foster, president of AmCham Shanghai, about the past, present and future of this strategi- cally important association. Shanghai Daily: Please describe AmCham Shanghai’s role in the US-China businesses? How is it changing and dealing with changes? Foster: AmCham Shanghai was founded in 1915 and was the third American Chamber established abroad. Relaunched in 1987, today we are the largest and fastest growing Ameri- can Chamber in the Asia Pacific region with more than 3,500 members. The chamber’s diverse membership ranges from Fortune 500 corporations to small- and medium-sized enterprises, entrepreneurs and individuals. Our primary mission is to support the success of our members and we do that by promoting a healthy business environment in China, working to strengthen US-China commercial ties and providing high-quality business information and resources in the form of reports and publications and through events. Corporate responsibility is an important and growing trend in China which AmCham Shanghai recognized more than six years ago when we started the chamber’s Corporate Social Responsibility program, now a leading platform for advancing corporate social responsibility in China. CSR is critical to US companies in China in several key ways. First, CSR is a very visible way to show that you are giving back to the community in which you live. Second, given the challenges facing companies in China’s competitive job market, CSR is great way to recruit and retain talented staff. Finally, CSR builds bridges with the leaders of the communities in which our member companies work and allows them to build relations with the government at all levels. AmCham Shanghai focuses on five key areas of CSR: community outreach, philan- thropy, environmental stewardship, corporate governance and employee health and safety. Since 2000, together with AmCham Shanghai member companies, AmCham Shanghai has raised more than 7 million yuan (US$1.1 million) to support the Special Olympics, the Shanghai Soong Ching Ling Foundation’s Mother and Infant Care Project and disaster relief efforts in the earthquake-struck regions of Sichuan Province. We will continue to work together with our members to promote and share best CSR practices and to support AmCham Shanghai upbeat on China business the development of CSR programs. Shanghai Daily: China has always been trying to improve the business environment for foreign investors. How would you describe China’s efforts and the current climate for foreign investment? What’s the biggest achievement and what else needs to be done to make the environment more congenial. Foster: Generally speaking, US compa- nies continue to show impressive financial results in an increasingly competitive domes- tic market in China and are confident about their business prospects moving forward. Very important to foreign investment in China has been the development of China’s domestic market and we support China’s efforts in this area. While we are still in the early stages, it is important to note that a strong majority of US companies here are “in China for China” — in other words, they are here to serve the China market. A big reason for this is the burgeoning consumer market. US companies understand that China has a challenging business environment. Intense competition and the complexity of China’s many regional markets contribute to daunting business obstacles. The market is complicated further by a business environment that can be bureaucratic and lacking in transparency. A more clear, consistent and transparent regula- tory framework for companies operating in China would support a more vibrant business climate. Another challenge is finding qualified staff. The China market is growing so this is not necessarily a surprising problem but we hope to continue to work with government of- ficials to find ways to address human resource constraints facing US companies in China. Shanghai Daily: What are the findings of AmCham’s latest survey of the health and vitality of US businesses in China? Foster: AmCham Shanghai first launched its annual business climate survey in 1999 so we’ve been able to track results for the past 12 years. Results from our most recent annual survey (contained in the 2010-2011 AmCham-Shanghai China Business Report) show that the financial performance of American companies in China improved in 2010 following what had been an uneven period of growth between 2008 and 2009. Not only have US companies in China recovered from the economic downturn, they are report- ing strong financial performance and remain optimistic about their business prospects moving forward. However, just as there is no one “China market,” there is no single description that accurately depicts a US company with opera- tions in China. This year’s survey results illustrate that, as the China market matures, the challenges and opportunities for US com- panies vary by market sector and by industry. One of the key findings of this year’s report is that while some US companies do not necessarily consider China as welcom- ing a business environment as they would prefer, they are nonetheless quite confident in their future business in the country. The results indicate that US companies, by and large, base their confidence in the China market much more heavily on fundamentals of market growth potential than they do on China’s shifting regulatory environment. While we continue to work with government officials in China at all levels to improve the business climate here, I think it is fair to say that US companies in China have come to expect challenges, have weighed them against the opportunities and have found a way to succeed in China despite them. Shanghai Daily: What’s your advice to investors who want to ride the tide of China’s economic development? Is this a good time to enter the market and are there preparations that can guarantee success? What sectors are most promising for foreign investors? Foster: The China market offers tre- mendous opportunity, but it also offers many challenges. There is no guarantee of success! The operating environment is only getting tougher. Domestic competitors are stronger than ever before and the regulatory environ- ment can be quite unclear and difficult to predict. Critical to any foreign company contem- plating investment or expansion in China is to conduct a thorough due diligence process and have a clear understanding of what you want to accomplish. What is also clear is that ex- perience in the China market pays off. In our 2010-2011 China Business Report, we found that companies with more than five years of experience were generally doing quite well. In other words, those that have invested time and resources in the China market were seeing returns. It is also clear that there is no one “China market” — generally speaking, US companies in retail and manufacturing are doing better than those in the services in- dustry. I think it is also fair to say companies operating in regulated industries will have more obstacles than those working in sectors that are more open. Shanghai Daily: The US and China have developed an intricate economic relationship. Both want to grab opportunities offered by globalization, but at the same time they must confront the accompanying chal- lenges. What do you see as the direction of the Sino-US economic relationship? Will we see more cooperation or more disputes? Foster: When we ask AmCham Shanghai member companies about their five-year busi- ness outlook in China, more than 90 percent respond that they are optimistic. I would have to agree. While the US and China won’t always agree, our two countries have never been more interconnected economically than they are today. China is America’s third largest export market and climbing. The US is one of China’s top investment destinations, and trade between our two countries is at historic highs. The economies of China and the US are largely complementary and as long as we continue to engage each other to find solu- tions to the challenges we face, I believe the relationship will only get stronger. Brenda Lei Foster, president of AmCham Shanghai, is responsible for overseeing all of the chamber’s initiatives, as well as representing it and American business interests in China. Left and above: Shanghai Daily joined AmCham Shanghai’s Independence Day celebration on Saturday at Shanghai Changfeng Ecology Business District No 2 Green Land, Putuo District and met many readers. — Wang Rongjiang

Upload: others

Post on 15-Oct-2020

0 views

Category:

Documents


0 download

TRANSCRIPT

Page 1: SShanghai Dailyhanghai Daily B6 Monday 4 July 2011 AmCham ... AmCham-Shanghai China Business Report) show that the financial performance of American companies in China improved in

Shanghai DailyShanghai Daily

Monday 4 July 2011B6

Wang Yanlin

The American Chamber of Com-merce in Shanghai, founded in 1915, is known as the “Voice of American Business” in China. Today, it is the

largest and fastest growing American Cham-ber in the Asia Pacific region.

AmCham Shanghai helps United States firms tap into the vast and complicated Chinese market and provides various services enabling them to better adapt to the changing Chinese business climate.

It also offers constructive advice to the Chinese government to create a healthier and more modern administrative environment to support China’s growth.

The business association frequently publishes in-depth reports and organizes multi-faceted events for members. One of the upcoming events is the AmCham Shanghai 2011 Human Resources Fair and Workshop on August 26 at the Shanghai World Financial Center.

As the US celebrates Independence Day today, Shanghai Daily interviews Brenda Lei Foster, president of AmCham Shanghai, about the past, present and future of this strategi-cally important association.

Shanghai Daily: Please describe AmCham Shanghai’s role in the US-China businesses? How is it changing and dealing with changes?

Foster: AmCham Shanghai was founded in 1915 and was the third American Chamber established abroad. Relaunched in 1987, today we are the largest and fastest growing Ameri-can Chamber in the Asia Pacific region with more than 3,500 members. The chamber’s diverse membership ranges from Fortune 500 corporations to small- and medium-sized enterprises, entrepreneurs and individuals.

Our primary mission is to support the success of our members and we do that by promoting a healthy business environment in China, working to strengthen US-China commercial ties and providing high-quality business information and resources in the form of reports and publications and through events.

Corporate responsibility is an important and growing trend in China which AmCham Shanghai recognized more than six years ago when we started the chamber’s Corporate Social Responsibility program, now a leading platform for advancing corporate social responsibility in China.

CSR is critical to US companies in China in several key ways. First, CSR is a very visible way to show that you are giving back to the community in which you live. Second, given the challenges facing companies in China’s competitive job market, CSR is great way to recruit and retain talented staff. Finally, CSR builds bridges with the leaders of the communities in which our member companies work and allows them to build relations with the government at all levels.

AmCham Shanghai focuses on five key areas of CSR: community outreach, philan-thropy, environmental stewardship, corporate governance and employee health and safety. Since 2000, together with AmCham Shanghai member companies, AmCham Shanghai has raised more than 7 million yuan (US$1.1 million) to support the Special Olympics, the Shanghai Soong Ching Ling Foundation’s Mother and Infant Care Project and disaster relief efforts in the earthquake-struck regions of Sichuan Province. We will continue to work together with our members to promote and share best CSR practices and to support

AmCham Shanghai upbeat on China business

the development of CSR programs.

Shanghai Daily: China has always been trying to improve the business environment for foreign investors. How would you describe China’s efforts and the current climate for foreign investment? What’s the biggest achievement and what else needs to be done to make the environment more congenial.

Foster: Generally speaking, US compa-nies continue to show impressive financial results in an increasingly competitive domes-tic market in China and are confident about their business prospects moving forward.

Very important to foreign investment in China has been the development of China’s domestic market and we support China’s efforts in this area. While we are still in the early stages, it is important to note that a strong majority of US companies here are “in China for China” — in other words, they are here to serve the China market. A big reason for this is the burgeoning consumer market.

US companies understand that China has a challenging business environment. Intense competition and the complexity of China’s many regional markets contribute to daunting business obstacles. The market is complicated further by a business environment that can be bureaucratic and lacking in transparency. A

more clear, consistent and transparent regula-tory framework for companies operating in China would support a more vibrant business climate.

Another challenge is finding qualified staff. The China market is growing so this is not necessarily a surprising problem but we hope to continue to work with government of-ficials to find ways to address human resource constraints facing US companies in China.

Shanghai Daily: What are the findings of AmCham’s latest survey of the health and vitality of US businesses in China?

Foster: AmCham Shanghai first launched its annual business climate survey in 1999 so we’ve been able to track results for the past 12 years. Results from our most recent annual survey (contained in the 2010-2011 AmCham-Shanghai China Business Report) show that the financial performance of American companies in China improved in 2010 following what had been an uneven period of growth between 2008 and 2009. Not only have US companies in China recovered from the economic downturn, they are report-ing strong financial performance and remain optimistic about their business prospects moving forward.

However, just as there is no one “China market,” there is no single description that accurately depicts a US company with opera-tions in China. This year’s survey results illustrate that, as the China market matures, the challenges and opportunities for US com-panies vary by market sector and by industry.

One of the key findings of this year’s report is that while some US companies do not necessarily consider China as welcom-ing a business environment as they would prefer, they are nonetheless quite confident in their future business in the country. The results indicate that US companies, by and large, base their confidence in the China market much more heavily on fundamentals of market growth potential than they do on China’s shifting regulatory environment. While we continue to work with government officials in China at all levels to improve the business climate here, I think it is fair to say that US companies in China have come to expect challenges, have weighed them against the opportunities and have found a way to succeed in China despite them.

Shanghai Daily: What’s your advice to investors who want to ride the tide of China’s

economic development? Is this a good time to enter the market and are there preparations that can guarantee success? What sectors are most promising for foreign investors?

Foster: The China market offers tre-mendous opportunity, but it also offers many challenges. There is no guarantee of success! The operating environment is only getting tougher. Domestic competitors are stronger than ever before and the regulatory environ-ment can be quite unclear and difficult to predict.

Critical to any foreign company contem-plating investment or expansion in China is to conduct a thorough due diligence process and have a clear understanding of what you want to accomplish. What is also clear is that ex-perience in the China market pays off. In our 2010-2011 China Business Report, we found that companies with more than five years of experience were generally doing quite well. In other words, those that have invested time and resources in the China market were seeing returns. It is also clear that there is no one “China market” — generally speaking, US companies in retail and manufacturing are doing better than those in the services in-dustry. I think it is also fair to say companies operating in regulated industries will have more obstacles than those working in sectors that are more open.

Shanghai Daily: The US and China have developed an intricate economic relationship. Both want to grab opportunities offered by globalization, but at the same time they must confront the accompanying chal-lenges. What do you see as the direction of the Sino-US economic relationship? Will we see more cooperation or more disputes?

Foster: When we ask AmCham Shanghai member companies about their five-year busi-ness outlook in China, more than 90 percent respond that they are optimistic. I would have to agree.

While the US and China won’t always agree, our two countries have never been more interconnected economically than they are today. China is America’s third largest export market and climbing. The US is one of China’s top investment destinations, and trade between our two countries is at historic highs. The economies of China and the US are largely complementary and as long as we continue to engage each other to find solu-tions to the challenges we face, I believe the relationship will only get stronger.

Brenda Lei Foster, president of AmCham

Shanghai, is responsible for overseeing

all of the chamber’s initiatives, as well as

representing it and American business

interests in China.

Left and above: Shanghai Daily joined

AmCham Shanghai’s Independence Day

celebration on Saturday at Shanghai

Changfeng Ecology Business District No 2

Green Land, Putuo District and met many

readers. — Wang Rongjiang

Page 2: SShanghai Dailyhanghai Daily B6 Monday 4 July 2011 AmCham ... AmCham-Shanghai China Business Report) show that the financial performance of American companies in China improved in

There are various American restaurants in Shanghai, from longstanding establishments featuring fresh juices and

salads to recently opened joints serving Cajun crab or New York-style pizza. Not only do they offer the cuisine typical of many American restaurants, they also exude the happy atmosphere that can be found in them.

(Nie Xin)

US dining doesn’t just mean burgers

Shanghai DailyShanghai Daily

Monday 4 July 2011 B7

Crab Village

Element FreshMost famous for its great salads,

sandwiches, juices and smoothies, Ele-ment Fresh brings an American dining concept to Shanghai. Serving a variety of Asian and Mediterranean dishes but with the US emphasis on healthy fare, it has long been known for great-tasting fresh and nutritious food.

One of the chain’s most popular outlets on the 4th and 5th floors of the K. Wah Center on Huaihai Road features floor-to-ceiling windows overlooking the lush Donghu Garden and a rooftop terrace with breathtaking views across Shanghai’s cityscape.

More than 20 innovative dishes are on their in-season menu, made with the freshest seasonal ingredients, offering the best in quality and flavor.

Fans of Element Fresh enjoy the star smoothies, and the latest addition to the menu is the Sour Berry Patch. The blend of raspberries, bananas, yogurt and cranberry juice provides a refreshing drink full of anti-oxidants.

Address: F4/5, 1028 Huaihai Rd M.,

K. Wah Center

Tel: 5403-8865

Opening hours: 7am-11pm

Dakota American Bistro & Bar

MadisonThis contemporary Ameri-

can restaurant on Dongping Road is definitely headed in the right direction to become one of the best dining estab-lishments in Shanghai.

The open kitchen is a nice feature as you can see the young chef-owner Austin Hu in action. Hu tries to use all domestic ingredients in his dishes, and his gnocchi with egg or the popular pork belly appetizer both come highly recommended.

The service is nice and attentive, and the wine selec-tion offers some interesting choices to pair with the innovative cuisine.

Address: 3/F, 18 Dongping

Rd, near Hengshan Rd

Tel: 6437-0136

Opening hours:

12pm-10pm

New York Style Pizza

1

2

3

4

51. Korean beef salad at Element Fresh

2. Pizza at New York Style Pizza

3. Alaskan king crab legs at Crab Village

4. Foie gras at Madison

5. Oyster at Dakota American Bistro & Bar

A casual, energetic and affordable neighborhood bistro on the edge of the former French concession area, Dakota is an easy-going and comfortable place open from brunch to late-night supper.

The restaurant serves soul-satisfying riffs on American and French cooking, sophis-ticated cocktails by an award-winning mixologist, irresistible fresh breads and desserts from the on-site bakery and a great selection of music by the in-house DJ.

The main dining room seats 40 comfort-ably and can accommodate an additional 40

people in the bar area. For happy hour and networking events 150 people can be ac-commodated. There is also a private dining room. It’s a perfect place to claim a spot on the patio for an espresso, meet friends for a cocktail or one of their Belgian beers at the generous, convivial bar, or kick back with a leisurely dinner, perhaps with a bottle of wine from their reasonably priced wine list.

Address: 38 Donghu Rd, near Xinle Rd

Tel: 5403-8906

Opening hours: 10:30am-1:30am

One of the only joints in town that can do American-style pizza right, this restaurant serves some of the best pizzas in the city.

Loaded with cheese and other delicious toppings, their pizzas could be mistaken for the real thing found on the streets of New York City. And true to New

York form, they sell pizza by the slice as well. The Pepperoni and Meatball Pizza comes strongly recommended but nothing beats the opportunity to create your own favorite.

If you live in the area, pizzas can be delivered. Prices are 108 yuan (US$17) for a 16-inch pizza,

and 128 yuan for the 20-inch version. Slices are 16 yuan each.

Address: No. 23, Lane 258,

Taikang Rd

Tel: 5466-0969, 6247-2265

(delivery)

Opening hours:

11:30am-10pm

This recently opened Ameri-can-style seafood restaurant on Jumen Road might be the first of its kind in Shanghai, or even China, bringing typical Cajun-style food from Louisiana.

The restaurant has a bright and happy environment with wooden pillars, pirate ships and a doodle wall.

Their menu’s highlights are attractive seafood dishes includ-ing South American lobster,

Boston lobster, Dungeness crab, shrimp, clams, green mussels and oysters. Eighty percent of the seafood ingredients are im-ported from the United States.

Alaskan king crab legs are the star dish. The XL size usually weighs 1.5 kilograms and the medium half that.

Address: 523 Jumen Rd

Tel: 6388-8668, 6388-8678

Opening hours: 10:30am-2am

Rooftop terrace of Element Fresh in

K. Wah Center

Dakota American Bistro & Bar

Crab Village

People enjoy various activities at AmCham

Shanghai’s Independence Day celebration on

Saturday. — Wang Rongjiang

Page 3: SShanghai Dailyhanghai Daily B6 Monday 4 July 2011 AmCham ... AmCham-Shanghai China Business Report) show that the financial performance of American companies in China improved in

SUPPLEMENT

UNITED STATESUNITED STATES

US community in Shanghai celebrates the

Independence Day. — Dong Jun

Beatrice Camp, consul general of the United States in Shanghai, is the first woman to

hold the post since 1844. — Dong Jun

B8

Monday 4 July 2011 www.shanghaidaily.com

Cooperation builds understanding

Jason Park, 24, financial assistant

George Collins, 32, freelancer

Christian Fleming, 25, senior editor Samantha Jones,

25, senior editor

The US established diplomatic ties with the People’s Republic of China in January 1979, over 32 years ago. The US diplomatic presence in Shanghai dates back to 1844. Last year the US consulate in Shanghai celebrated the 30th anniversary of the reopening of the consulate after a 30-year absence.

“ “ “ “Since it’s a Monday, and I don’t get the day off in Shanghai, we are having celebrations over the weekend, most probably a nice dinner and party at home, perhaps with the movie “Independence Day.”

I usually participate in some kind of parade back home, but I guess I’ll just watch parades on TV this time.

I normally have a cookout, drink beer, meet up with friends. They don’t have to be American.

It’s my dad’s birthday so I’ll probably bake an American flag cake with whipped cream icing and blueberries (or the closest thing I can find) and strawberries forming the stars and stripes. Family tradition.

How will you spend July 4?How will you spend July 4?

Lydia Chen

Beatrice Camp always thought she wanted to work overseas. Now, she’s in Shanghai. After nearly 27 years in the US foreign service, the

Alabama-born diplomat considers Shanghai her most fascinating posting, a place where she can meet all kinds of interesting people from around the world.

As the 34th consul general of the United States in Shanghai since 1844, the former New York City journalist is the first woman to hold the post and considers it good to be noticed because she’s a female. She is a Chinese speaker.

“I think I benefit from that, although personally I don’t feel there is any difference in being a female or a male diplomat,” Camp says.

“The key is to balance your family and work no matter what you do for a career,” she adds.

After three years in Shanghai, Camp is to return to Washington DC in August.

Apart from welcoming senior officials such as President Barack Obama, Secretary of State Hillary Clinton and high-level business people, an important part of Camp’s job is protecting the interests of almost 35,000 American citizens living in Shanghai and the rest of the consular district that includes Anhui, Zhejiang and Jiangsu provinces.

She meets quarterly with the American Chamber of Commerce in Shanghai, the largest AmCham in Asia representing local businesses and US business interests, brief-ing them about visa and business issues and letting them know that they can call on the consulate whenever they have a need.

As the honorary president of the local American Women’s Club, Camp also invites club members to the consulate every year to give them more information about citizen services and answer their questions.

To reach more Americans in China, she encourages all of her compatriots here to register at the consulate’s website online “so they can get regular e-mails providing up-to-date information,” Camp says.

But that’s not all. Being a consul general also means she needs to reach out to let more Chinese know about her country, one of the most popular nations in last year’s World Expo Shanghai.

An active speaker at universities, Camp, who once worked as a teacher in Thailand, says she is eager to meet students as much as possible and is happy to answer their ques-tions about the United States and see them join cultural exchange programs.

But sometimes, she too feels a bit of culture shock.

Camp says she’s still baffled by the fact

that many Chinese line up in front of the US Consulate office in Westgate Mall as early as 5am to apply for visas, when in fact, they only need to arrive half an hour before their scheduled appointment.

With expectations that the number of applicants will continue to rise following last year’s 42 percent jump, the US consulate is now in talks with the mall to expand space so that fewer people will have to wait in long queues on the street, Camp says.

“We are also waiting for a response from the Shanghai government to find us land where we can build a new consulate with sufficient space,” she adds. “There will be a large waiting room to hold all the applicants and more service windows so that we can interview them more quickly.”

Allowing more Chinese to go to the United States certainly helps better the un-derstanding between the world’s two largest economies.

“There are always problems in any rela-tionship,” Camp says. “But those problems do not poison the entire ties because what we cooperate on is much bigger than what we argue about.”

Camp is a fan of Shanghai’s dumplings and xiaolongbao (little steamed buns).

After she returns to Washington, she won’t forget Shanghai and says she will cheer for the city in this year’s Solar Decathalon com-petition in September in the American capital.

32

US$456.8b

1,800

35,000

3.62m

42%

Around 1,800 US subsidiaries (not counting branches of retail firms like Starbucks, McDonald’s, Wall Street English) are operating in Shanghai, ac-cording to the Commerce Department.

Around 35,000 American citizens live in Shanghai and the consular dis-trict that includes Anhui, Zhejiang and Jiangsu provinces.

In 2010, 238,917 Chinese applied for non-immigrant visas, a 42 percent in-crease over the previous year. Shang-hai is the fourth-largest visa issuing post in the world, after Sao Paolo, Bra-zil; Beijing and Bogota, Colombia.

Around 3.62 million Asians of Chi-nese descent live in the US, according to the 2008 US Census Bureau survey. Chinese students in the US during 2009-2010 numbered 127,628, an increase of almost 30 percent from the previous year.

America by the numbers

The annual competition, held by the US Department of Energy since 2002, is an international contest in which 20 collegiate teams try to design, build and operate the most attractive, effective and energy-efficient solar-powered house.

This year, a team from Tongji University is the only Asian team chosen to compete.

“I’ll be sure to go and say jiayou (it is often used during sporting events, in which specta-tors often chant for their favorite player) for them in the fall,” Camp promises.

US-China bilateral trade in 2010 was valued at US$456.8 billion, an increase of almost 24.8 percent from 2009, according to the US Department of Commerce.