Learning Chinese Negotiation Tactics

China’s operating environment is one of the toughest ones in the world, and too often foreign companies fail to grasp the root cause of business failures in this commercial giant. In the preparation of a business trip to China, most Westerners know that they have to arm themselves with the basic knowledge about Chinese etiquettes and language. They go at length to hire a Chinese language expert and research about the best way to get their idea across to the other party. However, what most of them fail to understand is the art of long-term negotiations that would pave the way for a fruitful business venture in China.

In fact, a huge amount of contracts are being drafted for foreign companies that are licensing their technologies and concepts for use in China. While this kind of licensing was mostly used in industrial affairs in the past, a majority of the work consists of licensing contracts in the services sector in China these days. Most of this licensing is for operations in China prohibited to foreign companies, like media, publishing, insurance, telecom, and finance. In addition, the majority of foreign businesses prefer this licensing tactic, despite becoming a part of a Chinese Joint Venture.

Granted, industrial license bargains are hard. However, this bargaining is identical to every commercial negotiation. In the services sector, it has been observed that the Chinese side work hunts for much harder deals. This usually astonishes other customers, since it is naturally expected that the service side would be softer than the industries.

As part of this system, in service sector licensing agreements, it is being noticed that the Chinese side dusts off negotiating tactics which were very common in the early ’90s or ’80s at the time when the Chinese were negotiating their well-known dysfunctional joint venture contracts.

In negotiating service sector licensing contracts with Chinese firms, some of the tactics are explained as follows from the Chinese side:

A Horde of Endless Issues:

One of the most generally exercised tactics by the Chinese establishment is figuring out the way to ‘wear the other side down’ with endless issues. This tactic is based on two variants. In the first variant, the Chinese raise a horde of issues. As these issues get resolved, the Chinese side raises a series of new issues and the cycle goes on and on. The second variant deals with the Chinese side making a list of irrational demands, all the while not making any attempt to help resolve these issues. 

In both these variants, no discussions take place by the Chinese side to address the interests of the other side. This is done to wear down the foreign side so that it is left with no choice but to simply concede to the other party’s demands. As the foreign side allows or concedes, the Chinese side then adds provisions in the contract which are favorable to the Chinese side, under the notion that the foreign side has no objection. The achievement of this tactic relies on the negotiators of the foreign side having not enough time to carry the burden, whereas the negotiators of the Chinese side are officials having no other work other than engaging in endless demands.

Artificial Deadline:

In the initial stages of the negotiating system, the Chinese side sets a fixed date for enforcing the agreement. After that, it sets up a public signing event on the said date. At this ceremony, high-level representatives of the two sides will participate as well and play their parts. A date in the future is set in advance to make sure that the negotiating parties sign the contract in good faith and are able to fulfill it. 

After the date is set, the Chinese side refuses to sign the contract. This is done for two purposes; to ‘wear the other side down’ and secondly, in an attempt to pressurize them to concede to their demands. When the other side does bow down to the Chinese side’s demands, the contract is signed with the conditions which benefit the Chinese entirely. 

Revisiting the Deal without Lawyers:

The last tactic of the Chinese side is to come back to the main issues in the absence of the lawyers. This policy also includes the Chinese side signing an agreement, yielding on the main issues. By virtue of the signed agreement, Chinese advisors, the negotiators, and most significantly the international lawyers get busy in dealing with the other assignments. Afterward, the Chinese side waits for some time and start working on the project. After the commencement of the project, the foreign side starts investing in the project.

Once this happens, the Chinese side triggers the committed parties of the foreign side related to the project and make an announcement of altering certain provisions of the signed agreements. The Chinese side mostly calls such changes by saying that it is recommended by law, insurance companies, banks, or government regulators.

How to Deal with the Tactics

All the three techniques always provide an expected and obvious output which are favorable to the Chinese people, which is why Chinese corporations do not hesitate to frequently apply them. But, the good news is that there are ways of dealing with these negotiating tactics as explained below:

a)Avoid Participation:

When the Chinese side exercises the “endless issue technique,” the foreign side should not take part in it. The foreign side should strongly hold its position and must not bend until and unless the Chinese side comes closer to the interests of the foreign side.

b)Avoid signing on a fixed date:

The foreign side should not approve the fixed signing date. Make sure that the signing event must be conducted after the completion of the final negotiations of the agreement. Don’t permit the Chinese side to use a deadline as a weapon. This is because most of the Chinese corporations like signing ceremonies and foreigners fall into the same trap over and over again.

c) Avoid the Alteration in provisions of the signed agreement:

The foreign side must ensure that no changes shall be made after signing a contract with a Chinese company. Otherwise, it shall be treated as a breach of the law, heading towards a lawsuit for damages and termination of the contract. Chinese corporations are famous for practising the signing of an agreement as to the initiative of a fresh negotiating program, not the termination. If the foreign side agrees to it, it should at least have a clear picture of restoring their lawful and Chinese advisory crew. 

The Last Word:

Conducting a successful business in any foreign country is not easy. This is evident from the cultural and linguistic differences across boundaries. China is no less difficult when it comes to setting up a business in the country. Although negotiations take place in every business venture, some negotiations are more difficult than others and require a more careful approach to be executed. By executing negotiations successfully, one can be sure of setting up a business in this commercial giant for a long-lasting profitable business. 

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Antonia January 15, 2021 0 Comments

All You Need to Know about Dragons in Chinese Culture

Chinese culture is one of the most interesting cultures in the world. Belonging to the commercial and economic giant China, the Chinese culture holds many things that are different from the rest of the world. This is why it presents such an interest for travelers, visitors, and culture enthusiasts throughout the world. 

One thing that is distinct and unique in Chinese culture is dragons.

According to Chinese culture, the dragon sign is a symbol of good luck and wealth. Additionally, to Chinese people, it is also considered as one of the four most intelligent creatures amongst unicorn, phoenix, and tortoise. Maybe this is the reason why Chinese rulers and emperors have been emulating dragons since the very start of civilization. In China, the dragon is considered legendary a animal, and its sign has been used to display power in China for a very long time. The extent of importance that the Chinese place on dragons can be judged by the prediction pointing out that the year 2020 will be a lucky one for Dragons, with an excellent development in their professions. 

Dragons and China—some amazing facts

The Dragon is a significant sign, not only in China but globally as well. In China, dragons represent power, leadership, and wealth. Let’s look at some of the amazing facts surrounding dragons in Chinese culture.

Chinese dragons come in many different forms

The philosopher Wang Fu defined the dragon as a blend of numerous animals almost 2000 years ago.  People usually take Chinese dragons as some snake-like creature. But actually, it is more like fish and turtles.

Chinese dragons control the weather

Dragons represent both evil and good, which means sometimes they are blamed for the occurrence of natural disasters.  They have been considered responsible for harsh storms, floods, and tidal waves. Today, anyone can visit the shrines that were built in the honor of dragons. For instance, the “Green Dragon Temple” also known as “Qing long Temple” is situated near “Xi’an” city which was built to honor the dragons. 

Emperors were believed to have descended from dragons

A legendary popular hero named “Fu Xi” was credited with creating the first human dragon. He was described as a man with a human head and the body of a dragon. At the beginning of the Chinese dynasty (c. 2000 BCE), he was considered as one of the first three sovereigns. Additionally, all the way through the imperial age, only the royal leaders and their families were supposed to wear the official colors of the dragon. For instance, the color apricot was used by the crown prince, golden yellow was for the emperor’s other wives and yellow color was for the emperors and empress.

 Dragons are born in China every 12 years

Chinese Zodiac revolves around twelve different creatures consisting of equal but dissimilar qualities. Usually, Chinese people plan their pregnancies so that kids will be born in the dragon year. This fortunate year is said to be the birth year of influencers and rulers. The last dragon kid was believed to have been born in 2012 and the next in the year 2024. 

 In China, dragons paddle and dance at festivals

In China “Dragon Boat Festival” is held, in which dragon decorated boat races through the waters and this festival takes place in many cities of China. The decorated boats consist of long dragon tails, carved dragon heads and these boats are long enough for carrying 20 paddlers. People can also witness a dragon dance during the Chinese New Year. The dance goes along with drums, drama, and music as well. It is believed that evil spirits are afraid of aggressive dance and loud noises. In this festival, a team of dancers manipulates wood puppets and the cloth of a dragon too.

Dragon sons protect places and implements

Chinese believed that there are nine dragon sons, charged with certain traits for protecting belongings and houses. With the help of old Chinese sites, anyone is able to see these entire nine dragon sons featured prominently today. 

 Many historical leaders were born in the Year of the Dragon

Little Dragon or Bruce Lee, Li (November 27th, 1940), Deng Xiaoping (August 22nd, 1904), Martin Luther King (January the 15th 1929) and Vladimir Putin (October the 7th 1952) all of these legends were born in the Dragon year. 

The dragon is the subject of many Chinese idioms

There are some proverbs and idioms in Chinese that revolve totally around dragons: For example:

  • 龙争虎斗 (lóng zhēng hǔ dòu): Literally “a fight between a dragon and a tiger”, it refers to a struggle between two similarly matched forces.
  • 人中之龙 (rén zhōng zhī lóng): “A dragon among men” is used to describe an exceptional, unmatched talent.
  • 群龙无首 (qún lóng wú shǒu): “A group of dragons, but no leader” refers to a group that needs a leader.
  • 望子成龙 (wàng zǐ chéng lóng): “To wish your son becomes a dragon” refers to parents hoping for their kids to succeed.
  • 画龙点睛 (huà lóng diǎn jīng): “Paint the dragon, dot the eyes” means adding the finishing touch to something.

“Leaping over the dragon gate” means success

According to Chinese culture, a carp that can leap over the “mythical Dragon Gate” will become dragons. Unfortunately, none has been able to find the dragon gate. But Chinese say that out of these countless Chinese waterfalls there is one that leads to this sacred gate, for instance, the Jiulong Waterfalls, also known as the Pearl Shoal Waterfall or the Black Dragon Pool Waterfall or Nine Dragon Waterfalls. 

China is home to most places named after dragons:

The name ‘dragon’ conjures up attractive vibes for anyone in the world. The travelers and visitors to Hong Kong can experience this when they go for a hike on the Dragon’s Back trail. Although there are no dragons to view there, the scenic beauty of the place is sure to fill a person with wonder. Moreover, other places such as Longsheng Dragon’s Back Terraces offers a sloping surface that resembles the body of a dragon and is a popular tourist attraction liked by many.

The Last Word

To people residing in the West, a dragon may be a symbol of evil, depicting fury and rage. But in China, it is one of the most popular and powerful symbols. This is the reason why the Chinese rely so much on this symbol and hold it in such high esteem. Nevertheless, a person visiting China is sure to have a good time exploring and learning more about the Chinese dragons and their history as it goes way back into old times. 

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Antonia January 7, 2021 0 Comments

How to Choose a Business Partner in China

China, the economic and technological leader, is also one of the countries with the most lucrative businesses. A businessman seeking to expand his business globally is sure to get good support if he decides to start with China. However, doing business in China is quite different from doing business in Europe or the United States. This, perhaps, is owing to the traditions and customs which are unlike any other in the world.

Similarly, searching for a business partner in China also requires a different approach. A local partner who is aware of the ins and outs of the business practices in China will be helpful in making this task possible, but he needs to have ample knowledge of the legal processes and rules in China. On top of that, a businessperson or any Chinese corporation based on a good contact of the state will surely be helpful.

In a study carried out by Australian companies, it was observed that using video conferencing or Skype instead of telephone calls has aided them in building up trust with Chinese business partners and contacts. However, like all business partnerships, trust and reliance need to be built up before finalizing anything as these are essential ingredients of a successful business venture.

Chinese businesspersons are becoming progressively more confident and self-reliant with the passage of time. Most of them feel that they don’t require any foreign partnership, especially when it comes to dealing with the fast-growing local market. Those who performed well during the last Asian business crisis can be chiefly demanding with regards to negotiations. For global industries, these modifications can mean that the Chinese establishments generally are much more reluctant to enter a partnership or are interested in higher value and higher-priced deals. The locals are reluctant as well, for giving up large share and majority control of upcoming profits when they have a feeling that their private business product or offerings are equally good, if not better than those of their external investors.

Following are the top eight things that person should focus on choosing a business partner in China;

  • Derive a Marketing Strategy:

Before looking for a business partner in China, businesspersons should set up an operative and confident marketing strategy. It is suggested to search for a business partner, but many companies have decided to work independently on their own in China. It’s a good initiative, but it is quite a time taking. Meanwhile, you may also need assistance from professional Chinese Translation Services.

  • Review Chinese Business Opportunity:

For ensuring the reliability of a probable Chinese business partner, it is important to operate a business review of it. For instance, a press journalist who collects speeches from consumers, previous workers, and every probable entity that is connected with the company will be helpful in developing the correct picture, thus avoiding any case of fabricated legal filings and financials.

  • Understand the Market:

Doing market research earlier will assist a person in defining the additional value that can be provided and the scope of the opportunity. Awareness regarding the market and its capability will become the base for determining one’s requirement, specifically while looking for a business partner in China.

  • Search for an Innovative Solution:

Purchasing a firm in an identical field may become a very difficult task sometimes, owing to the very small size of the market or of the opportunity in China. Going for neighboring markets or complementary goods, making a list of fresh options for one’s market strategy in China will most of the time aid him in finding innovative solutions in searching for a business partner.

  • Filter to find a partner:

After creating a list of potential firms, it is very essential to efficiently filter against the particular criteria in order to discover a suitable company: A company that has an appreciable market share, brand strength, partner interest, local contracts, distribution capabilities, etc. Such a partner will not only help in making business possible in China, but it would also open ways for other companies to join the competition.

  • Target the Chinese Consumer:

While following the intended marketing policy, it would be really wise to focus on the low priority groups or commodity players, if an interested person is looking for a cheaper source or is in search of marketing heads and niche players.  In short, a businessman should concentrate on the point where he is interested in hitting the Chinese market. Once again, it will be regarding recognizing the chief requirements that will open the doors for any businessman searching for a business partner in China.

  • Assess your Company Size:

A perfect partner in China is an enterprise that is of the same size as the interested firm. Larger companies will out-leverage other companies, but minor firms may not have a network large enough to get things done in China. This is the reason you should properly assess the size of your firm as well as the size of the target firm in the Chinese market.

  • Secure a Chinese lawyer:

 Before entering the Chinese market don’t ever forget to retain a Chinese lawyer. Without a doubt your business partner will aid you, but as the rules and paperwork are everything one must be careful and try to keep things transparent. After successfully discovering a perfect business partner in China, it’s suggested to a businessperson to go deeply into his primary interests, motives, and decisions; for creating an effective and long-term partnership.

  • Do your Homework:

This is also one of the most important steps after entering the Chinese market. To ensure a business partnership is set up successfully, a businessman needs to do the proper homework—recruiting and hiring local Chinese people who understand the Chinese customers and are willing to work for the company. Other than that, proper project management and customer care also need to be in place so that a businessman can make it big in a lucrative market like China.

The Last Word

Setting up a business partnership in China is easier than it seems, simply because the basic rules are the same everywhere. To step into any market, it is first imperative to search and set up an appropriate target. An on-ground team with professional advisors and agents will definitely help to make the whole process faster. Combined with that, ample knowledge of the Chinese business culture and etiquettes are the keys to making sure a business is set up successfully in China. 

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Antonia December 25, 2020 0 Comments

Why Do American Companies Choose China over Other Countries

The evolving world market presents a host of opportunities for the business markets and stakeholders. With a shifting tendency of many businessmen to choose emerging and developed countries for their business, some nations have successfully managed to stand out amongst the others. China is one of the countries that possess a host of opportunities for foreign businesses. Considering China, one would easily be able to tell that it is the ideal choice for business expansion, with its sound manufacturing knowledge, money stability, reliability, and domestic market development. 

American companies, like other companies across the world, prefer China over other countries. The question is why?

The answer lies in a few qualities that set China apart—cheap labor, tax exemptions being a few of them. While other countries such as India, Brazil, and Mexico are also emerging markets, China outperforms them allowing to its favorable business policies, cheap labor, and logistics efficiencies. Not only that, China upholds the principles of corporate social responsibility that are a deciding factor for many firms seeking to enter a new market.

Here are all the reasons why China is the preferred choice of American companies.

  • Low Tax Rates:

When it comes to taxes, China presents the lowest tax rate among other countries. The corporate tax rate in China is approximately up to 25%, whereas the tax rate in other countries is much higher. In India, the corporate tax rate is 35%, Mexico 30%, and Brazil 34%. It might come as a surprise that China is 5% cheaper than in other countries. Although this 5% is not the deciding factor of whether to set up a factory in China or not, it is still one of the main factors why American companies opt to choose China over other countries. 

  • Cheap Labor: 

China is a communist state; therefore a person would assume that his employees would have other rights such as collective bargaining. The China of today has labor rights which are stricter than five years back. Although salaries are increasing day by day, wages in China are cheaper than in Mexico and Brazil. Talking about labor rights, according to the International Trade Union Confederation China is at 5th on the list of 1 to 5 the world’s worst states for employees.

On the other hand, India has set a bad example, which means it is a place that cannot take place without incidents of labor violations. Mexico is at 4th place on the list of worst working place for workers and Brazil is on the 3rd. This is because Brazil has some of the toughest labor laws around. Tough labor rights that favor unions tend to be unpleasant to international capital searching for inexpensive investments as well as little drama. As opposed to these states, workers of China claim that “Anything you can do, we can do it as well; much cheaper and much faster”. This means that labor rights in China are somewhat favorable than in other countries.

  • Less Costly Logistics: 

There are hidden charges included in doing business in all states. But nations like Brazil consist of hidden taxes which cannot be avoided. Take the example of the company’s smartphone account which, if taxed, is almost equal to the corporate tax rate. In addition to taxation, there is a logistics rate of transferring goods from one state to another and from one country to the next. Brazil is famous for being a logistical mess—it might be holding just 3 decent ports.

If we talk about the port side, China rules over it. Chinese seaports are extremely remarkable. You won’t be able to find something even near to them in India or Latin America. Cartels govern the Mexican ports, as Mexico’s President Andres Manuel Lopez Obrador currently stated regarding the existence of corruption at two of the country’s custom stations and ports. India can take benefit owing to its location, but the infrastructure of Indian port has no match with Chinese ports. Therefore, it is quite clear that logistical benefits are on the Chinese side. 

  • Low Corruption: 

China is not as corrupt as any other evolving market. Mexico, Brazil, and India are way more dangerous in the sector of corruption and crime rate. If we talk about the quality of life for expat employees, then building a workshop in such states is less safe than constructing one in China. Capitalizing on operations taking place in Rio de Janeiro and bringing down American laborers may sound tempting, but Rio is one of the most dangerous towns around the globe. 

  • Environmental Conservation: 

India’s dull environmental principles have made it one of the most polluted countries in the world. There is no doubt that China is polluted and consists of poor air quality as well. But at the same time, it takes this problem very seriously and keeps on figuring out ways of dealing with it. For instance, China has spent a lot of money on a high-speed rail which is very successful today. China is the biggest electric-vehicle producer in the world. In addition, the Chinese government is taxing coal utilities and producers and is trying to shrink fossil fuel consumption. Although it has a long way to go, all of this creates opportunities for American firms that wish to serve the Chinese market

  • Low cost of energy: 

Keeping the lights on in China is cheaper than it is in Mexico, India, and Brazil. Workers from unskilled to a skilled, stable currency, weak unions, world-class logistics, and transport network, politics and a safe place for doing business make China better than all other states. Look at the gigantic evolving markets as a probable alternative and it is clear that Mexico, India, and Brazil have to improve their infrastructure and reform their heavy taxes, for helping exporters and drastically reducing vicious crime rates. Otherwise, they will never be able to compete with China. This means that the low energy costs in China favor the American companies wishing to kick-start their business in the country.

The Last Word

Although China has a long way to go with regards to its logistics, politics, and overall business environment, it cannot be denied that it is one of the most favorable countries for American companies to extend their business. Not only that, China is known for its cheap labor, low taxation rates, and low energy costs—all of the ingredients necessary for a company to spread its operations in another country. Although the language barrier might be a bit difficult for these American companies to cross, once these companies get the gist of doing business in China, they can reap the benefits of a favorable business environment that is bound to attract global profit and revenues. 

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Antonia November 17, 2020 0 Comments

10 Fun Facts About China

China is the largest country in the world in terms of territory. It has a diversified culture that makes the civilization of China unique and worth mentioning. It has developed as the second-largest economy in the world. Let us explore the fun facts about China that could go on and on and on from the distinct nature to strange values and customs. The more you know about their culture, traditions, and values, the better you can localize your content for making your mark in the Chinese market.

Geographical Diversity

  • China covers 9.6 million square kilometres that make China the third-largest country in the world by territory. It has a north-west extent of 5,000 km and a north-south extent of 3900 km. The region of China includes 33% mountains, 19% basins and deserts, 10% hills, 12% plains region, and 26% high plateaus.
  • Some people think China is the largest country in the world, but it is not true. China comes at 4th number after Canada, Russia, and the United States. Russia is 2 times bigger than China.
  • China has the highest mountain ranges in the world. Two important of them are Mount Everest and the Turpan Depression.
  • It has the most international neighboring borders in the world with 14 countries like Kyrgyzstan. Tajikistan, Afghanistan, Pakistan, Nepal, Bhutan, Myanmar, Thailand, Russia, Mongolia, Vietnam, Korea, and India.
  • China enjoys different weather conditions. The Northside has cold and drier weather as compared to the South. West has drier weather than the east.
  • The weather in Northeast China can reach -40 degrees centigrade in winters while the weather in South reaches 40 centigrade in summer. Rainfall occurs with few millimeters every year in the Taklamakan Desert, and 3 meters of rain occurs in the Southeast.

China’s Population

  • China is the most populated country in the world with around 1.5 billion people in 2020.
  • The population of China is 4 times bigger than the population of the US.
  • Out of every 5 humans, one is Chinese.
  • Chinese is the most spoken language in the world.
  • It is spoken by 14% of people in the world.

China has the Fastest Growing Economy

  • China is the world’s fastest-growing economy. It grows with an average of 10% every year.
  • It is considered as the world’s second-largest economy.
  • According to the Trading Economics global macro models and analysts’ expectations, the GDP of China will reach 14000.00 USD billion in 2020.
  • China is known as the factory of the world. The largest production of fertilizer, concrete, Steel, fertilizer, clothing, and toys take place in China.

Silk Road is the World’s Oldest and Longest Trade Route

  • The Silk Road is in China’s territory, and it is 2,485 miles long and extends across the entire area of China.
  • It starts from Beijing and connects to East and Southeast and West Asia and Southern Europe.
  • Silk Road is a funny name, but it does not depict that only the Silk trade is done from this road. Its name was designated by German Geographer and historian Ferdinand Von Richthofen when he tried to explain its journey.
  • Products like animals, porcelain, precious stones, silver, gold, teas, carpets are traded from East to West from Silk road.
  • Silk Road exists today, but it is not used for trading. It helps the top-tourists in China to explore and experience ancient China.

Long Nails and White Skin Tone as Symbol of Wealth

  • In every part of the world, long nails are considered a symbol of beauty, but in the case of a Chinese businesswoman, you are mistaken. It sounds funny. They considered long nails as a symbol of wealth.
  • The strange thing about China is that men also don’t cut nails to show that they are well off.
  • Nails should be short only if you are a white corner worker.
  • If you have white skin color, you are considered rich because people who have white color usually work indoors.

Growth of Cities and Improvement in Transportation

  • In China, people have moved to cities from villages for the last 3 decades. This trend is projected to be followed for the next 30 years.
  • Transportation in Chinese cities has improved a lot.
  • They enjoy traveling on intercity high-speed trains and metros of the city.
  • Beijing Capital International Airport is the busiest airport in the world and busiest in Asia. China has some large seaports that are Hong Kong, Shenzhen, and Shanghai.

Controlling Traffic Jam Problem

  • China is the most populated country in the world so they have traffic jam problems.
  • If you are stuck in the market, then the amazing thing is that two guys will come to you on a motorbike. One person will take you to the place where you want to go and the other person will handle your car.

56 Ethnic Groups Living in China

  • 56 Ethnic groups are residing in China.
  • The largest ethnic group is the Han, which comprises 91% of the whole population.
  • In other minority groups Hui, Manchu Miao, and Zhuang have a large number of population.

Highest Number of UNESCO Sites in the World

  • China has the highest number of UNESCO sites in the world.
  • The number of sites in Italy and China is 55.
  • These are UNESCO World Heritage sites.

People of Beijing Eat Scorpios

  • Another funniest thing about Chinese people is that Scorpios are sold live in Beijing streets.
  • They are boiled in the oil for a few seconds and they are pierced on the stick.
  • Other insects like mollusks, tasty sea things and other insects are seen on sale on Beijing streets.

Wrapping Up

Every country has distinct features that differentiate it from other nations. These fun facts about China depict its cultural values and norms. To know more about China, you need to know its native language. If you can’t understand the Chinese, then no problem Chinese Translation Services is here for you. It provides you impeccable translation services in all the dialects of the Chinese language.

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Antonia November 13, 2020 0 Comments

All You Need to Know About Manufacturing in China

Like all other spheres of the economy, one country that has stood the test of time and turbulence in China. The People’s Republic of China is, without a doubt, the top industrial producer and manufacturer as it sells more manufacturing goods than any other country in the world. 

The statistics support this claim—China currently exports more than USD 34 billion worth of products to other countries. Last year, the manufacturing output of China was USD 3896 billion, approximately an increase of 0.72% from 2018. Even more so, China accounted for a huge 28% of global manufacturing output in 2018, which puts the country ahead of the United States. In fact, China sent almost 18 percent of its exports to the United States last year, and this figure continues to grow as China makes headway in the manufacturing world with the passage of time. 

One thing that has particularly come to light is the expansion of manufacturing companies in China. The reason is that even in the absence of tariffs on goods that a seller sells, China proposes advanced production experiences and less production costs than other countries. 

Here we shed light on some of the reasons why China is considered the head of manufacturing in the world.

Chinese Specializations

China is the biggest exporting country in the world, as it specializes in a variety of different product categories. When we talk about the availability of a product, China is unmatchable. Customers can buy anything made in the Chinese city named Shenzhen, which is known as the center of manufacturing in Asia owing to the evolving hub of highly accessible service providers and manufacturers. Additionally, Shenzhen is the only city in Mainland China which offers visa on arrival to foreign companies and visitors. This in turn encourages them to extend their manufacturing business in China. 

Chinese Costs

China is considered a developing country by the WTO and its economy is currently one of the largest economies in the world. In fact, China is quickly advancing in technology, production abilities and becoming more industrialized, which has pushed the country into more economic reform and projects such as ‘Made in China 2025’.

Today, as China improves its industrial sectors related to economic growth and advanced manufacturing industry, the Chinese business is showing sky-high figures. It is a fact that rising wages is not a bad thing unless a company is manufacturing in China and is experiencing lower profit margins from higher production costs. In fact, a more managed industry, better infrastructure, and improved machinery can prove to be additional benefits for a businessman manufacturing in China

Shipping costs are mostly the same in Asian states. However, a businessman can experience better rates if he opens an account in China and ships over time. Similarly, shipping taxes and duties are exempted from shipping costs, especially in the main cities of China.

Competence of Chinese Production

Chinese manufacturers prefer a high minimum order quantity (MOQ). This is because as the products get more elaborated, MOQ gets smaller. Products such as plush toys and glassware may consist of MOQ based on almost 1,000 pcs, whereas more complex and expensive items such as hardware products may have MOQ of almost 200-500 pcs. For a fresh E-Commerce startup, reaching a high MOQ may not be within a company’s financial range or won’t be required for producing so many units. However, higher MOQ generally makes the price per unit a lot cheaper.

In China, small industries might be more interested in providing a lower MOQ than greater manufacturers because smaller companies do smaller businesses. A foreign company, interested in working with a small-sized business in China, has to ensure it is capable of achieving its manufacturing goals and is in compliance with the product standards. This will not only save the company time and resources, it will also avoid poor quality production.

The Global Buyers of China

Chinese higher quality products have made global buyers turn towards manufacturing in the country for a long time. In short, the main reason a buyer prefers Chinese products, even if they are substandard, is that they have pushed the manufacturer towards a cheap price. In fact, a common saying about Chinese manufacturing is “you get what you pay for”.

However, low prices come with a catch. One should be very careful not to negotiate prices down too low as a reduction in price usually ends up in a reduction of the quality of the product. If the manufacturer isn’t paid well for covering the production of the product, they are indirectly forced to make cuts that affect the production or design of a product.

The Legal Aspects of Manufacturing in China

Cheap and low-priced products generally give way to breeding of counterfeit products. A manufacturing company that comprises thousands of manufacturers implies that while a buyer may have countless choices to choose from for the right fit, he is also vulnerable to manufacturing cheats and scams. 

As part of the due process, one should particularly take measures to assess a few things when ordering a product in China; the companies the manufacturer has worked with previously, the location of the company, and the presence of a business license. All these aspects are to ensure no counterfeit products are purchased in place of original ones. 

However, since the license will be in Chinese, one needs to have the support of a reliable translation agency which can translate the product material on time. Other than that, the agency could also be asked to look through the Industrial and Commercial Bureau to see if the company is actually registered in the province they claim to be in.

The Last Word

China’s manufacturing landscape is growing with each progressive year. While not every manufacturing factory is reliable, every company has contributed to adding to the country’s GDP. As the country shows progress in the manufacturing sector, more factory owners are requesting inspection services on third-party inspection services for an outside opinion on how to improve their quality to meet customer expectations. Nevertheless, resourceful manufacturing requires active business processes backed by technology to make meaningful progress, and China is on the road to achieving that manufacturing success soon.

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Antonia November 4, 2020 0 Comments

Challenges in Translating Chinese Creative Literary Works

What does a writer want? If a written book is appreciated by the readers, discussed in the book clubs, and that it is translated into multi-languages. You’d be surprised to learn writers from the western side of the world find Chinese text impeccably curious. Especially the Americans, who like to read and learn Chinese are often seen trying to translate Chinese novels. Jeremy Stevenson is one of those Americans who showed a keen interest in Chinese literature. He tried translating Liu Cixin’s work “The Three Body Problem” into English. Since then, the book has sold over 110,000 copies! 

However, was it easy for him to translate the Chinese book? To achieve this milestone, Stevenson had to face certain complications that any translator usually faces during translation from Chinese into any other target language. 

The Chinese language comprises pictograms (strokes), not letters, which makes the translation process harder and time taking. 

What Stevenson felt was that contemporary Chinese fiction is rather fascinating, but these aren’t easily available in the market. If any of them is available, it is sold off at Amazon, or available in poor quality. This is one of the standard issues with the Chinese context. 

Why Do Translators Face Challenges in Chinese Content?

The reason why most of the Chinese work goes unnoticed is because of language origin. Languages that are written with the help of letters follow the basic structure despite the differences like German, Italian, or English. 

The literary translators need a strong understanding of language to translate Mandarin Chinese to English. So as you can expect, literature conveys information in a particular way. Translators with a Mandarin Chinese background tend to produce a good quality translation of Chinese literacy. 

What Makes a Literary Translator Great?

The ability to overcome the challenges of a language.

Remember that Mandarin is divided into two main categories; Traditional Chinese and Simplified Chinese. Besides these two prime categories, there are other regional dialects as well. Keeping these in mind, we have compiled a list of a few primary aspects that make Chinese translation difficult. 

  • Unrelated grammar rules 

What is the major difference between English and Chinese? The grammar rules applicable in English are not applicable to Chinese (either simplified or traditional version) language. Mandarin Chinese is specifically alien to English grammar. The fundamental rules of verb conjugations simply don’t exist in Chinese grammar. 

It adds to the complication of the accuracy of content from Chinese to English. So a message needs to be conveyed differently. 

  • Topic prominence 

A topic-prominent language requires a translator’s focus. You need to listen or read the sentence to understand what is being said in the context. Because the standard grammar does not apply to Mandarin Chinese, it is important to read and reread the content carefully before translating Mandarin. 

This isn’t only time taking, but also puts the translator into a heavy workload. A reader needs to comprehend the literature context even after the translation process ends. Proofreading subtracts major chunks, which is why you need to make sure that subject prominent languages like Chinese or English or even French are thoroughly interpreted. 

  • Characters and meanings

What is the average number of Chinese characters that a reader has to read in a Chinese newspaper?

Usually, an average of 2000 to 3000 Chinese characters are in a Chinese newspaper. If you are reading a book, the numbers can exceed more than 50,000 Chinese characters. Chinese characters are comprised of logograms rather than phonemes. 

Chinese characters indicate unique meanings if combined with different characters. This also affects the pronunciations, making the pronunciations somewhat similar. To differentiate the tones and meanings means to place the characters in the sentence that makes sense around the context. 

  • Writing script 

As mentioned earlier, there are two major houses for the Chinese language–Traditional Chinese and Simplified Chinese. The complexity of strokes is different in both dialects. Simplified Chinese (as the name suggests) has lesser strokes than Traditional Chinese. 

To summarize this, the script complicates the literacy work. The simplified version is easy to translate comparatively to the Traditional Chinese. Usually, the major literary works like Chinese poetry, historical and cultural references are often available in Traditional Chinese, which makes the translation difficult. 

  • Difference in expressions 

To be a creative translator, he/she must have the right understanding of the Chinese characters. The Chinese lexicon comprises unique references from history and culture, which is why a non-native speaker faces a hard time understanding it. 

The use of idioms, metaphors, and sayings is extremely common in Chinese literature. A translator cannot ignore them in translation or simplify it either because each metaphor, idiom, and saying consists of creative expression. This is another reason a translator must have deep knowledge and understanding of the Chinese culture and literature before he can even begin the translation. 

How a Literal Translator Can Improve?

Literary translators specifically have the skillset in literary works. They do know the basics, but with time, they need to update their skills too. What makes a great literary translator is their level of understanding of the Chinese characters and overall content’s essence. 

It’s the job of a translator to interpret the source context and to translate it into the target language in a way that rightfully conveys the meaning. 

Moreover, Shanghai Translation Grants were established in 2015, to overcome the translation problem and to improve the translation quality of the Chinese literature. It drastically improved the readership of native Chinese books that were translated into English, Vietnamese, Serbian, and Japanese. According to the respective policies, the grant was eligible for the published or non-published translated books in the following categories. 

  • Literature 
  • Art
  • History 
  • Children’s books

If such steps are taken by the government, they can promote their native culture and language from a literal point of view. This will improve one’s perception of culture and language. Also, this will encourage foreign translators to dwell deeper into Chinese literature and expand their knowledge. 

Popular Chinese books are breaking the overseas barriers, let’s see how long it further takes to develop a strong foothold in the market.  

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Antonia October 19, 2020 0 Comments

Exploring the Significance of Chinese Translation Services

China – emerging as the business world’s superpower is something to marvel at. With more than 1.5 billion people living in China, millions speak Mandarin Chinese, traditional, or simplified. Millions of Chinese natives are spread around the world too. However, foreign businesses want a layout of the Chinese market, which is not possible without a proper Chinese translation. 

It is an overpopulated country with the highest speakers being of Mandarin Chinese. Mandarin is the official language of China and is used professionally too. Chinese are very particular about their cultural values and language. So, this doesn’t come as a surprise when foreign businesses have to translate and localize their content in the Chinese.

Chinese is good for Communication 

For a foreign business, translating content into Chinese can become one of their greatest assets.   In the business world, doing business transactions in Chinese is fruitful for a lot of reasons. Globalization plays a vital role in translation and localization services. Companies looking to tie a knot with Chinese partners can learn exclusively meanwhile  expanding geographically in China’s market. 

Chinese is usually classified into two major categories; Traditional Chinese and Simplified Chinese. Although it does depend on which region you choose to establish roots. In mainland China, Simplified Mandarin is actively spoken but the farther your move away from the main hub the denser the dialect will become. Learning a local dialect (which will be in Chinese) is a tough nut to crack, you need to understand the vocabulary and most importantly learn about the writing system too. 

Why Chinese is an important language for foreign businesses?

Learning a new language is not an easy feat. For professionals, the best opportunity to communicate is by hiring Chinese translation services that can communicate on behalf of your company. Foreign companies when entering the Chinese market have to;

  • Use mandarin Chinese as the official language for communication and official documents
  • Adapt the business strategies according to the Chinese culture, so that your products, services, and brand looks local. 
  • You will have to deal with legal matters as well. Every piece is written in Chinese. So, being the official language of China, Mandarin is one language you need to work around with. 

So if it’s a “yes” for your interest in the Chinese market, then the following factors point out more than the obvious significance of the Chinese translation services. 

Chinese Etiquette

Growing business in China is not only about translation. Even if you do not have a regional office in China, you could still provide products to Chinese consumers. But the sale at that point will be low. 

It’s about learning Chinese etiquette. The business culture in China is unique and has different practices than the States. It’s easy to offend a Chinese supplier, client, or customer if you lack the cultural understanding. You cannot solely focus the product or service without gaining the trust of consumers and local partners. 

For instance, a solid handshake is a welcomed gesture in Chinese culture, while in the US, a casual handshake (with an easy-grip) is preferred.

Do you feel the difference yet? It’s not only the business practices but also the social practices you need to follow to build trust. 

Largest E-commerce market 

Coming in as the second-largest economy (after the United States), China still is ranked at the largest E-commerce market. An economical giant like China has webbed out in every possible industry to ever exist. It not only hosts the world’s largest internet users but also has the largest e-commerce net worth in billions!

The e-commerce market in China is progressively active. There are more mobile users in China than anywhere else in the world. Being a fast-changing market, it’s a tough job to keep up with the trends. SEO practices become irrelevant because of the Google ban, so you have to localize not only your content but advertising and marketing too. 

It is a popular language 

Do people often ask why to learn Chinese? It’s not only for personal reasons but for professional reasons too. There’s a lot of difference between Mandarin and Chinese language. You need to understand Mandarin is a “variation” of the Chinese language, besides other forms of Chinese dialects, including Cantonese, Hakka, and Fuzhou, and so on. 

Comparatively to other versions, Mandarin is the most popular of all. Did you know currently 840 million people speak Mandarin? Yes, that’s right. This is another reason why Chinese translation services become a necessary step in conducting your business in China. 

In the commercial world of China, Mandarin is the quickest way to reach the consumer. So needless to say you’ll need translation, localize the content according to the region. 

Tough Competition 

Rise and shine? It’s more like you need translation and localization to be at the top for the neck to neck competition. A raging economy indicates the companies should invest in the country in good times with the help of government support. 

To build a strong base in China, hiring professional translation agencies is just one of the many crucial steps you need to take. From document translation to website localization, it’s like bringing in the big guns for the local consumer. But do ensure that the translation is error-free, unbiased, and engages the audience the desired way. Otherwise, it could;

  • Damage the brand’s goodwill
  • Limit the sales 
  • Create financial problems (backing up the investors)
  • Legal complications, etc.

The website is the public portfolio

The internet knows no boundary. Chinese advertising tactics are mostly commenced on WeChat, QR codes, etc. However, handling the website is another matter. International brands translate their websites in multiple languages including Chinese to indicate that they do care for the Chinese consumer too. 

Concaving with the local Chinese festivals (or any other native festival) proposes the idea of brand intimacy for the local audience. It removes the language barrier, which is why hiring Chinese translation services is as crucial as ever. 

Conclusion 

The significance doesn’t just end there, but within our limited time, we do keep sharing the knowledge that helps you to have a better understanding of why your Chinese translation is important. Choosing the right linguistic is important, it doesn’t matter which industry you cover, a Chinese language partner will follow you till the end. 

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Antonia October 8, 2020 0 Comments