Wednesday, May 2, 2007

The writing is on the wall. Why are Y O U not paying attention!!!!!

  • Based on recent growth statistics, China has become the fourth largest economy in the world, trailing only the United States, Japan and Germany and up from the sixth largest in 2004. Some analysts have even estimated that by 2035 China might surpass the United States as the world's largest economy.
  • 57% of the leaders of small and medium sized enterprises (SMEs) in the Asian pacific region believe China will become the world's largest consumer market in 10 years, overtaking the United States ( 2007 Asia Business Monitor).
  • China will take the "world's champion exporter" title from Germany as early as 2008 and already this year, China will overtake the United States as the world's number two exporter, (predicted Gerd Herx of the federal foreign trade body BFAI) with an estimated US$1.4 trillion in exports in 2008.
  • Stephen S. Roach of Morgan Stanly predicted that by 2025 China will overtake the U.S. as the most influential country in global economic growth. Today Mr. Roach is moving to Hong Kong to become head of Morgan Stanley Asia. This 61 year old veteran businessman has decided to experience the most recent economic revolution in the place where it is happening.

    It is mind boggling to me how so many people and businesses worldwide still choose to ignore the Chinese market. The excuses are very common: You can't do business with the Chinese; working in China is too risky; they are not trustworthy, they'll copy your ideas and technology and many more.

    You must differentiate between the risk and the enormous opportunity. The world has been given a chance to experience a new revolution. An Industrial/high-tech revolution, much more accelerated than we've ever seen before. How can we choose to ignore this prospect? This is the gold rush of the 21rst century and it's less risky than before. If we examine the actions taken by the Chinese government and Chinese businesses, we can see very clearly how they're moving to implement the Chinese vision of becoming equal global players, rising to the level they are entitled to.

    Yes, I grant that it is moving slower than some would like, but one should not expect quick changes, because this could bring on dangers of uncalculated evolvement. Let China Evolve and simultaneously enjoy its fruits, because if you join the wagon from the beginning when it is difficult, you have a better chance to be there when it's easier and ripe.

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