The first company visited was Lenovo, a computer design and manufacturing company based out of China. It was a very good fit for the beginning because of the interactive nature of the tour. Our guide began with a description of the Lenovo add campaign in which a paper airplane thrown towards the sky becomes a rocket symbolizing the power of imagination; anything believed can be real. While the story was interesting, the best was the gimmick. To begin the tour we had to throw a paper airplane through a hole in the wall, activating a beautiful video display. My favorite aspect of the presentation was the interaction because they caught our attention making menial fact memorable. During the tour, I was often struck by the thought that it seemed more like a product pitch than a lecture. While all the material was undeniably interesting, much of what we were told related only to Lenovo instead of business in general. That being said, I was very interested to learn about the high cost of housing in Beijing and in China as a whole. We were told that a small apartment in the city could easily cost over a million yuan which is a price that most Chinese would be hard pressed to pay. While I understand the comparison made to New York City, I still find the figure a little intimidating especially when compared to a starting salary of maybe two thousand yuan a month. While at Lenovo, we also had the chance to test several of their new products including a 3D computer screen, a laptop as light as a shirt, and an indestructible computer. Apparently Lenovo designed a computer for the military that can be drop, jumped on, and even used underwater. My overall impression of the company was of a very well put together marketing campaign. I left the campus feeling that possible partners would be shown the same exhibit that we had just viewed; while that is not entirely a bad thing, it lacked a sense of honesty that I would have appreciated. Even so, Lenovo deserve credit for a beautifully arranged tour.

After Lenovo, we headed to a cute little restaurant where we ate in the Chinese style (sharing large plates of food on a lazy Susan) and generally relaxed. From there it was off to Hi Soft, an outsourcing company that focuses on winning over fortune 500 companies as clients. For this presentation we were seated in a conference room in a horseshoe shape facing a large screen. We started the visited by introducing ourselves to Weiwei, Hi Soft’s director of marketing. He was a very animated individual who obviously loved his job and his company. After the introductions, a woman practiced her English by presenting a power point on Hi Soft to us. While her language skills were very impressive, I often found it hard to follow her speech because she spoke so quickly. The power point felt similar in intent to the tour of Lenovo in that it seemed like a thinly veiled marketing ploy. After the presentation the entire visit turned around and I found myself listening to one of the most interesting conversations that I have heard since arriving in China. Weiwei told us about the importance of building a faithful employee base especially in the recession because it is often hard to raise salaries. By making the company into a family, Hi Soft attempts to give employees a nonmonetary incentive to stay. This was the first time that I ever actually understood the purpose of teambuilding activities. Until now I thought that they were intended only as a means to make a stronger group, which is of course a goal, but I learned that teambuilding can help bond employees and keep them loyal to the company. Like building school spirit and patriot pride, Hi Soft works to keep employees happy and loving their job. Weiwei also had a very honest conversation with us about the Chinese government and corruption. He told us that bribery is often used when companies vie for government projects because it is an easy way to get ahead of the competitions, but there are risks involved. Hi Soft’s official policy is to avoid bribery, or so he said. Weiwei told us a Chinese saying, “In China being a liar is dangerous, but not being a liar is more dangerous.” I found this interesting because he was willing to admit that bribery has benefits and is often seen as acceptable. Our conversation with Weiwei was refreshing because I felt that he was very open and honest in answering our questions about both his company and Chinese business in general.

An IT outsourcing company named hiSoft was the next excursion on our list of places to visit for the day. While not as big as Lenovo, hiSoft was a very enjoyable experience that offered more than a cookie-cutter tour. After entering their offices we were directed into one of their many meeting rooms, each chair had it’s own water bottle for us honored guests. For some reason the chair right at the end of the table, opposite to the projector was screaming my name so I sat down thinking nothing of it. As the hiSoft guide began his schpeal he mentioned how someone had taken his seat, having a decent amount of common sense I realized he was talking about none other than yours truly. After a few duibuqi’s I insisted we exchange seats and the show began. HiSoft’s technique was much more hands on and informal compared to Lenovo, of course we had the usual explanation of their background and business model. What caught my attention about hiSoft’s technique more than Lenovo was how they seemed very tentative to being crystal clear from the bottom to the top of their company. They had one of their experienced receptionists lead the power point presentation and we soon found out that it was her first time leading an all English presentation. Our guide gave us the real talk on everything hiSoft had to offer as well as some advice on international travel. His advice was definitely key, he told us to visit the usual tourist destinations as well as talking to the people in the area to get a better idea of how people think and believe in that area. This has definitely come full circle since I have been here learning about Chinese businesses and business practices compared to the Western view of business. HiSoft was definitely my favored excursion for the day because of our guide’s frankness towards our travels and opportunities in life. Of course some of it was rehearsed but it was not the same talk our guide at Lenovo had given out numerous times before, the guide at hiSoft had more room for improvisation and it showed. ]]> http://som.gmu.edu/blog/globalbusiness/2011/09/01/day-1-lenovo-and-hisoft-72511/feed/ 0 http://som.gmu.edu/blog/globalbusiness/2011/08/15/mason-students-visit-leading-chinese-companies/ http://som.gmu.edu/blog/globalbusiness/2011/08/15/mason-students-visit-leading-chinese-companies/#comments Mon, 15 Aug 2011 22:08:13 +0000 tporter6 http://som.gmu.edu/blog/globalbusiness/?p=33 Sixteen Mason undergraduate students and a few students from James Madison and Georgetown, who asked to join our group, spent most of the summer in Beijing. The first five weeks were spent studying the Chinese language and culture at the Beijing Language and Culture University. This was followed by two weeks of touring a diverse group of leading Chinese companies including for example automobile and computer manufacturers, a beer maker, a biomedical company that manufactures test kits for viruses such as HIV, and a valve manufacturer that is transforming itself into a provider of home and office heating and air conditioning systems powered by alternative energy. We focused on learning about the strategies for global business that these businesses were employing.

It was a very rewarding experience to accompany these students on the company visits and see them in action. Of course they consumed every thing that we were presented with, asked inciteful questions that demonstrated their understanding of the local environment, and engaged our hosts in lively conversations. I was impressed with how quickly my tour-mates grasped the underlying strategies that were being employed. It was clear that my tour-mates also recognized that these were in many ways “model” companies that had successfully overcome many obstacles to get where they were and that these same obstacles were yet to be faced by the vast majority of companies that have yet to globalize.

There were many highlights but one that I will always remember was the “mixer” sponsored by the American Chamber of Commerce in Beijing. This regular event brings togethers reps from American companies with business in China. The Mason Reps showed up in business attire and fanned out ready to conquer. In the bus on the way back to the dorm they were comparing notes and strategizing on next steps about everything from summer jobs to venture-backed startups. If you are thinking of expanding to China, I know where you can find fully qualified VPs of marketing and sales! Great job by Mason’s ambassadors.