Archive for Business

Taxis in China

Posted in Essential / Must Read, FAQ with tags , , , , , on November 24, 2008 by renlingshuiyue

Have you ever taken a taxi in North America? (Sorry, I don’t have taxi experience in Europe)

Ok, throw that out of the window now. It’s not that Chinese taxi drivers aren’t as good as their North American counter parts (which are quickly being replaced by Indians in Vancouver), it’s just that the system and the training is quite different.

Most of the taxi companies in China are run like a cartel or a mob organization. Somebody with Really good connections to the local transportation ministry get a extremely lucrative, monopolistic license, and a heavy financing with the (still partially government owned/controlled) Chinese banks to buy the cars. Pick up some decent drivers, a training center, a maintenance crew and etc, viola, you got a license to print cash.

Therefore, it’s suffice to say that “flavours” and the “quality” of the drivers you get are extremely varied. A lot of them also skim on the side, which is a time honoured Chinese traditions whenever the top management demands too much tribute.

Take Beijing for example, (last I checked) it is now illegal for a taxi driver to privately run a vehicle due to “quality” and “safety” concerns. So most taxi drivers time share their vehicle with another driver with the both of them chipping in the “rent” each month to the Taxi company for “maintenance” and “management” fees. They are also personally responsible for the gas. This will amount to 2-3000 RMB a month for him to run that vehicle nonstop. If he is good, know his routes, know where to hit for his customers, learned to escape the traffic, and then maybe he pulls in 5-7000 RMB a month. His take home after all the hub-bob will be from 2000 – 5000 RMB a month working 12 hours shifts 7 days a week.

Why do I bother with that little anecdote of background story on the life of a typical Beijing taxi driver? Because, if you are living/working here, meeting a good driver is a god send. That’s why I want you to be nice to him(very rarely her) if you find the elusive old school professionals. I have probably ridden enough taxis in China to ride from New York to Vancouver, so I have seen it all.

So what should you do if you are hailing a taxi in China? These are some basic rules:

  1. If you don’t speak Chinese, it’s preferable to have someone else tell the driver where to go or have the address in Chinese on a piece of paper. When push comes to shove, get your cellphone ready to call a friend who knows the streets.
  2. Even if you speak Chinese ( a bit or a lot), it’s still probably better for you to ask if the driver is willing to go where you want to go at that particular time. Another reason to ask is because of the fact that there are a lot of new drivers these days. (I.E.: I am finding an increasing number of down sized bus drivers. ) Most of them (new ones) don’t know where the F**k they are going. It’s very annoying to get in, clicked the meter, tell him where to go, watch him go for 1 – 2 blocks and THEN tell me he has no idea where the stinking place is. Make sure you check first.
  3. A way (in Beijing, not 100% sure about other places, since I have always been too busy in other places to chat with the driver) to check if he is a veteran or not is to check his taxi driver license, which should be promptly displayed in a plastic casing in the front passenger seat. The lower the number he has, the more experience he has. Check to see if it is current and if the picture matched the guy driving. Some veterans rent out their cars (not entirely legal, but if he wants to be home to eat dinner with the wife and kids, I can’t blame him) to younger drivers for a more reliable income.
  4. If you can read it/see it, there should be a car inspection seal glued to the windshield on the driver/sometimes passenger side for this year.
  5. You should always ask him to use to meter. No matter how much he insists, don’t deter from your mission, and you can always threaten to leave the car or call the complaint hot line. Most of the time when I tell people this, they are thinking this is to prevent him cheating. Yes and no. These days, you can make an OK living at this (especially if you were a farmer or construction worker), so there is less incentive to cheat you. And the policing of such matter is getting much better, trust me when I say that Chinese riders don’t like to be cheated any more than you (the foreigner) do. Another reason is below:
  6. Always ask for receipts. All Chinese taxi meters should print out a receipt when he flips the meter back up. Most of them will have a Chinese girl’s voice saying in Chinese or English something like “Thank you for your patronage, feel free to comment, blah, come again”. The receipt is very important when you file a complaint or when you “gasp” lose Sh*t on the taxi (EXTREMELY common). This will tell you the license plate, the company name, what time you got on and off, and the fare.
  7. Never get on the fake taxis. It’s never worth the hassle. Trust me. All those guys at the airport trying sucker you in, “Taxi, car, sir?” Ignore them, and pretend you have a ride already.
  8. Off the top of my head, a taxi ride from the Beijing Airport to any hotel in town(unless it’s in the extreme south) shouldn’t be any more than 60 – 120 RMB a ride. You also have to pay the required 10 RMB toll both. Any more than that, and it’s suspicious.
  9. This is just a personal pet peeve. If you are here on business, and your contact didn’t pick you up at the airport, expecting you (especially if you don’t speak Chinese) to find your way to the whatever bizarre hotel the secretary has kick back with in god knows where? F**K them. This is a basic Chinese courtesy. If he/she can’t even be bothered to send a person to the airport to pick you up, it’s just not worth it to continue your relationship with them.

I wish you luck in your travels.

More books for you to learn more about China:

Posted in Culture, General Advice with tags , , , , , on November 7, 2008 by renlingshuiyue

The Last Days of Old Beijing

Good book, and I haven’t finished all of it yet. I’ll write a review and post it on LibraryThing later.

A bit of description from Amazon:

A fascinating, intimate portrait of Beijing through the lens of its oldest neighborhood, facing destruction as the city, and China, relentlessly modernizes.

Soon we will be able to say about old Beijing that what emperors, warlords, Japanese invaders, and Communist planners couldn’t eradicate, the market economy has. Nobody has been more aware of this than Michael Meyer. A long-time resident, Meyer has, for the past two years, lived as no other Westerner—in a shared courtyard home in Beijing’s oldest neighborhood, Dazhalan, on one of its famed hutong (lanes). There he volunteers to teach English at the local grade school and immerses himself in the community, recording with affection the life stories of the Widow, who shares his courtyard; coteacher Miss Zhu and student Little Liu; and the migrants Recycler Wang and Soldier Liu; among the many others who, despite great differences in age and profession, make up the fabric of this unique neighborhood.

All the Tea in China

A decent business book, similar to one of my all time favourite Chinese memoirs Mr. China. It’s not a memorable as Mr. China, and the writings are much drier and less consistent. It’s a specific focus on the manufacturing industry and a story on the great US outsourcing machine. He does give excellent advice on when NOT to outsource to China, which should be heeded by all.

And before I forget, I’ll post my review for

Mr. China:

Now, this is how a memoir should be written, especially on a subject like China. He was charmed by the mystery of China, and moved there on a whim and a prayer. (Actually I felt that his Madam Butterfly reference is fairly correct, because that’s almost how China is. )

He moved to Beijing around 1988/89, and tried to learn Mandarin in a Chinese University. He ate cabbage Beijing style, and watched the slow transition of a country’s rise from communist country to that of a quasi captialist one. As Clissold has said in the book, the Chinese are captialists in heart.

In less than 20 years, China has risen from a super poor country to a quasi economical super power. The burning passion from every Chinese to escape poverty, crime, governmental control, and their attempts at building a brighter future for themselves are all presentd here in this book.

This isn’t a sucess story. In fact, this is a story about failures, but the more he “failed”, the more he learned about China in a more fundamental way. The last chapter is especially touching. He decided to travel 1000 kms on his bike through some of the poorest regions of Northern China. And how he felt when he went to Pudon in Shanghai. In his own words, “I felt like I’ve been inside for too long, and when I came out, the sunlight was blinding me.”

His parting wisdom is important to all that players effecting China – China will be China, and it will do things on its own pace, in its own way. You can’t hope that China will change on your behalf, because it won’t. All those people that said that China will eventually see light of reason and play the way everyone plays, well.., read this book.

HIGHLY recommend it!

Working in China (&Teaching English) Part 3:

Posted in Culture, FAQ, Work Advice with tags , , , , , , , , , on April 24, 2008 by renlingshuiyue

This is part 3 of a long series on this topic, be prepared for acidity and jadedness:

Take all job offers (especially online) with enough salt to dry the dead sea.

Most westerners are hired for a few reasons in China, and here they are:

1. Mascot. You are the resident parade monkey they use to show off some aspects of his/her company. Be it metropolitan, cool, international, recognition, technology, or trustworthiness; there is something they need to put a foreign face on, and you are IT. Some people hated it, some people love it, and it’s up to you.

2. Technology Transfer. You may have worked in a company that has the technology/or just technical know how that they need. The requirements aren’t that technical in reality, you could have just worked in the industry and they just wanted to know how things were done over “there”.

3. Language/Communication Skills. Quite a few Chinese companies take over jobs from western service companies that works with multi-nationals or mid cap companies who aren’t interested or can’t deal with the complex bureaucracy needed in China to process certain things. They are often run by Chinese American(insert western country)s and staffed by high educated Chinese employees. But most of the time, they still have no clue how the “outside world” works, and they have trouble communicating what they can do, what is done and how the deadline works. Teleconferencing is actually a hell of embarrassment for a lot of highly educated/paid Chinese workers. Go figure.

4. Project Management. A lot of Chinese companies/people have trouble with this. This concept isn’t really very well understood in China. Even though China created the 4 great inventions of the world, when one speaks in terms of actual work, Chinese people are task(single goal), and routine orientated. Some companies or managers will run a project without knowing what the term means or how to take advantage of the available sources this sector has. You probably should speak a bit of Chinese.

5. Teachers. Most foreign ESL/English teachers are hired for a few things, mostly bragging rights and face time. It’s a very old cliche’ now for ESL schools to advertise that they have (in big and bright letters) FOREIGN teachers that teaches how many hours in their course. A few companies hire English teachers to upgrade their staff’s English levels, but most of the time, only the upper tier of service industry/or international company’s Chinese division that will do this. If you are coming here to teach, expect the competition to be fierce.

6. Deal with other Foreigners. A lot of Chinese companies don’t understand what western consumers want, which makes sense. These pampered companies haven’t really had to compete for every customer. Every market they ever entered had been a vacuum to start with. Customer service isn’t their strong suit. So what better way to deal with foreign customers than hiring foreigners? Expect to speak Chinese.

Don’t expect your contract to be sacred or to get paid (on time or at all).

Pay is a complicated issue in China. If you are coming here to teach English, and you are teaching in a private school in gods know where, there is a high chance that you might get cheated on your pay. NEVER tell any of your Chinese friends how much you make. The cultural landmines are surrounded by barb wires, lasers and sharks in moats. Leave it alone.

Is public school better? Well…, at least the promised room and board is real.

If you are coming to work in China, go through your contract VERY carefully. Make sure you have at least 1 copy of both English and Chinese version sign by both parties and possibly authenticated by a translator/lawyer you can trust. If it’s an important job, make sure important people know about it. You might want to give your home country’s business committee in China a heads up. Ask them about a good lawyer that you can trust, so you can double check that thing is kosher.

If you are going to work in a smaller city/town, be prepared to be a rock star.

Meaning, you will get stared at no matter WHERE you go. Most people find the attention flattering at first, until they learned that their friendliness actually have very heavy costs. NO PRIVACY. ZERO. NATA. ZIP. ZILCH. Hangzhou is NOT a small, backwards city. A black friend of mine who is from London can not go anywhere without gossip, pointed fingers, strange invitations to work for free, and other people TAKING his pictures. If you weren’t a private person before, you’ll probably be one after living here for a while. And if you have kids? Gods help you. This is, of course, assuming that you don’t look Asian/Chinese.

By the way, if you actually get to do the real job that you are hired to do, you have just won the lottery.

Exactly what it says. Don’t expect to do what you are hired to do, most of the time, the giddiness of having a (if you are the first or second) foreigner in their midst can be too tempting for all parties involved for any work to be done. And you will be surround with people, pounded with English questions, imitated, watched, and feared. Be on your toes, Chinese politics(people politics, not CCP) can be very nasty.

Of course, I am in no way saying all Chinese schools or companies are like this. But as Genghis Khan once said, “If you are cautious, 10 times aren’t enough to be trouble; if you are careless, 1 time is enough to kill you.”

And let me repeat this one more time for some out there:

China isn’t a place to escape a boring or mediocre life. I just don’t want to see another one going home 3-6 months, heartbroken, dream broken, life broken, bank broken, and drags his/her broken body home filled with menace and venom filled with misunderstood ignorance and hatred without realizing what this place can truly do for them.

I worked in Immigration for 4 years. I know how big cultural shock can be. No matter who you are. If you go on to live in a foreign land with a frivolous reason, you’ll probably regret it(hate yourself) sooner or later. Get your two feet on the ground first before boarding that plane in the air.

I wish you luck in your travels.

Books for you to Learn more about China:

Posted in Culture, General Advice with tags , , , , , on April 24, 2008 by renlingshuiyue

Sorry for the delay, but my grandmother is visiting, so I’ve been kinda busy.  I’ve also been debating on whether or not to go more acidic for this blog, since I know bursting quite a few bubbles already.

Anyway, if you want to learn more about China, here are a few books I’ve found to be “Personally” useful. This isn’t meant as a commercial or advertisements for these books at all, buy them at your own judgment.

Mr. China

Excellent book, I would recommend it even if you goal isn’t to do business in China. Old China hands like him paved the way for us newer expats.

Asian Godfathers

This is not Directly linked to China, but this should give all the potential investors and business owners a quick cold shower before they rush to the next gold rush/big wave.

Beijing at your Door

Old book by Chinese info standards, but a decent guide to start you off with. There are some outdated information, but this should give you a heads up about Beijing and life in China.

There are quite a lot of books you can read about China, but very few honest or decent ones. After scanning quite a few of them on my trips home to Vancouver, I’ve come to realize that most of them are just hype machines written by this business “guru” and that China “expert”.

I’ll be very careful about some of these books, especially the investing ones. Most of the Chinese companies don’t really understand the concept of Fiduciary. Actually, I don’t think this idea exist in the Chinese language or culture per-se until western common law ideas were introduced. You can NOT get any accurate information about anything involving a company unless you are an insider, so you can guess who actually makes money here. And Chinese companies simply DO NOT BELIEVE they own you Anything(including information) just because you happen to be an investor(minority or majority). If you or your fund managers aren’t willing to put in the FACE time required dig through/drill info from the company(homework), don’t bother, you might just as well go buy a dream weaver, because you’ll get better dreams that way( and lose less sleep).

There are 2 more books that I am reluctant to post, because they are more political or less informative. And one of them might get you in trouble because it talks about a No. 1 Chinese fugitive. So let me brew on that one.

Have fun reading.