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Business with China do’s & don’ts By Ella Reynders http://chinalinks.eu.pn/en/

Ella Reynders @ Site EMEA Forum 2013 : Doing business with China

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Businesswith China

do’s & don’ts

By Ella Reynders

http://chinalinks.eu.pn/en/

欢迎

Mengzi

Libai

Content

• Introduction• Influences & historical information

– The three great philosophers: Confucius, Lao Zi, Sun Zi

– Confucianism, Taoism, Buddhism– Communism, Mao, the Cultural Revolution

• Key concept: guanxi• Time to eat• Recommended literature

Kong Fu Zi

Confucius

Birth:551BC

Death: 479BC

Confucian ideas

– Rule by Virtue & Benevolence

– Familial loyalty and strong family structure– Family as the basis for an ideal government– Ancestor worship– Proper conduct & Mutual respect

– Strict hierarchy with rules of relationship

– Collective interests (socialism)– Obedience and respect for education and authority– Rules, rituals and rites to avoid conflict

The three teachings: Confucianism

Confucius says that leading by punishment will create citizens who avoid wrongdoingbut will have no sense of honor and shame

Confucius says that a good government provides the peoplewith sufficcient food, sufficient armament and has confidence in them

The dutiful Confucian wife

The five Confucian relationships are often referred to as the basis on which traditional Chinese identity is constructed:Ruler-subject; Father-son; Husband-wife; Big brother-little brother; friend-friend.

Plato versus Confucius

• Ask questions if you do not understand sth

• State your opinion; especially if you disagree

• Do not let others know you don’t understand sth

• Do not disagree openly

Lao zi(6th or 4th century BC?)

Founder of Taoism

The three teachings: Taoism

Tao = nature, the pathWu Wei = no action

Taoist sayings from Lao Zi

Best is the emperor who is barely known

Govern quietlyAnd the people will realize

They are responsibleFor their own well-being

Taoism lives!

• Living in harmony with nature (the universe), spiritual growth and a long and healthy life through meditation, Chinese traditional medicine, martial arts, Tai Ji, Qi Gong, dietary and sexual guidelines

• Superstition• Belief in demons• Feng shui• Alchemy• Magic and talismans

• Rituals and sacred archtecture• Arts such as painting, poetry,

calligraphy, martial arts,...

Sun Zi

• The Art of War

Birth: c 544 BC

Death:c 496 BC

The art of war

• Strategically avoid war

• Be unpredictable through use of intelligence and deception

• Be adaptable through surprise, speed & flexibility

• Know the others without being known yourself

The Art of WarThe 36 Strategies

• Reveal your actions but hide your intentions

• Surprise attacks lead to victory

• Build up your own strength while weakening your enemy

• Make your enemy underestimate you

The Art of War

Buddhism

Chinese seated Buddha

of the Mahayana tradition

The four noble truths:– There is suffering– There is cause for

suffering– There is cessation of

suffering– There is a path leading

to the cessation of suffering

Buddhism lives!

• Yoga to attain a state

of non-attachment

• Ancestor worship

• Acceptance of suffering

Mao Zedong

Birth: dec 26th 1893

Death: sep 9th 1976

Leader of PRC since its

Foundation in 1949

until his death.

Mao’s campaigns

• 1934 The Long March

• 1957 100 flowers campaign

• 1958 The Great Leap Forward

• 1966 The Cultural Revolution

Zhongshan suit

Mao’s Red Book

The Cultural Revolution

Guanxi: relationship built on reciprocity and

loyalty

Build up guanxi Build up guanxi

• Start with getting personal before doing Start with getting personal before doing businessbusiness

• Give the right gifts (symbolism, colour,…)Give the right gifts (symbolism, colour,…)

• Present gifts with both handsPresent gifts with both hands

• Do NOT open gifts until everyone has leftDo NOT open gifts until everyone has left

Build up Guanxi Build up Guanxi

• Sharing meals; treating your BP to a Sharing meals; treating your BP to a banquetbanquet

• Do not start talking business before the Do not start talking business before the relationship is consolidatedrelationship is consolidated

• Return favours even to people you do not Return favours even to people you do not know directlyknow directly

• Be respectfulBe respectful

Mianzi or Face

How to lose face?How to lose face?

Aan tafel

Ganbei!

Recommended literature