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March 2007
China Newsletter
Alberta China Office (ACO) - An Overseas Representative Office of Alberta government
Alberta China Office According to the Chinese tradition, at the
Email: very beginning of a new year, when there is
albertabeijing@international.gc.ca a bright full moon hanging in the sky, there
should be thousands of colorful lanterns
hung out for people to appreciate. At this
Fax: 86-10 6532-1304 time, people will try to solve the puzzles on
the lanterns and eat yuanxiao (glutinous rice
Website: ball) and get all their families united in the
www.albertachina.com joyful atmosphere
The Alberta China Office wishes you all
The Chinese Spring Festival (Chinese New Health, Prosperity and Blessings for the
th
Year) will be officially over March 4 which coming year as we look forward to working
is the date for the Lantern Festival. The 15th closely with you to develop opportunities in
day of the 1st lunar month is the Chinese the China Market.
Lantern Festival because the first lunar
month is called yuan-month and in the
ancient times people called night Xiao. The
15th day is the first night to see a full moon.
So the day is also called Yuan Xiao Festival
th
in China. This year, it is on March 4 .
Who Are We?
The Alberta presence in Greater China is composed of four offices
Alberta China Office – Canadian Embassy Beijing www.albertachina.com
CNPC Alberta Petroleum Centre www.capcbj.om.cn
Alberta Hong Kong Office www.alberta.org.hk
Alberta Taiwan Office www.alberta-canada.com/aed/
Inside Articles:
- Calgary Mayor Dave Bronconnier to Beijing and Tianjin
- Competitive Chinese Job Market Makes Studying in Alberta Attractive
- Beijing Opera in Edmonton
- ACO Seven Days in Tibet
- Frequently Asked Questions ---- Business Etiquette in China
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Calgary Mayor Dave Bronconnier Visit to Beijing and Tianjin
Calgary Delegation and ACO Staff Mayor Bronconnier with Ambassador Robert Wright
Mayor Bronconnier and his delegation comprised of Mr. Bruce Graham, Calgary Economic
Development President & CEO; Mr. Julien DeSchutter, Vice President, Calgary Airport Authority
and Chairman Tourism Calgary; Mr. Derek Zhao, Business Development manager, China
Initiative visited Beijing and Tianjin. The delegation was joined by CP Rail China Representative,
Ms. Sara Jiang who is stationed in Beijing. The goal of this trip was to strengthen linkages to
China; first by air and secondly by increasing Chinese financial institution presence in Calgary.
Direct air service to Calgary from Mainland China is a closer possibility than ever before. Recent
meetings in Beijing with China officials and senior Air China executives strengthened a bid by the
Calgary Airport Authority, leading to Calgary being short listed for direct flight connection. Other
cities on the shortlist include Toronto, Chicago and Washington D.C.
Although the visit was a short one, February 12-15, the program was very busy and very
successful. Over the three day period, the delegation held 16 meetings with various business
leaders in opportunity sectors such as Air, Energy, Wireless Technology, Finance and Business
Services and other emerging markets. These meetings, held in Beijing and Tianjin, have
strengthened new and existing business connections in two of China’s most important cities.
Tianjin is becoming recognized as a new emerging market.
Alberta China Office was honored to be a part of the visit which allowed us to learn more of
Calgary initiatives and establish contacts with several Chinese officials and decision makers.
The success of this mission was an excellent example of preplanning and focus of the meetings
established well before the visit. This was due mainly to the efforts of Mr. Derek Zhao, the
Business Development Manager of Calgary Economic Development.
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Meeting with CNOOC -
China National Offshore Oil Corp
For more details, please contact Derek Zhao
●●●●●
Fierce Competition in the Chinese Job Market and Lower Standards of
Tertiary Education in China will make Studying in Alberta Attractive
Alberta education system is closely related to the demand of industry and society. The standard of
the system and high employment opportunities for tertiary degree holders in Alberta is an
advantage not only for Alberta students but also for international students, particularly for Chinese
students.
In China, the competition in job market remains fierce and is expected to intensify. The bleak
future for millions of graduates China’s rising jobless rate among degree holders is a growing
concern, with experts blaming lower standards and a tertiary education sector out of touch with the
market’s needs. Below is the analysis of China education system particularly the gap between the
demand of the society and the supply of tertiary education. We expect the demand for studying in
Alberta will continue to grow.
The following article was published on South China Morning Post Nov. 23, 2006.
About 20 years ago, graduation from a top university meant a bright future for first-time job seekers as they were
eagerly sought by government departments, education and research institutes, and big state-owned firms.
But times have changed and now graduation often means joining the world's largest unemployment queue.
In Guangzhou, 286 graduates and post-graduates vied for 11 positions as street cleaners. In the end, one PhD, four
masters and six bachelor degree holders were recruited after heated competition, according to Xinhua. (At ACO, our
ADMIN ASSISTANT position drew over 600 applications. At the Canadian Embassy, the cleaner position had 15
applications including 6 tertiary degree holders)
There are many similar stories of thousands of graduates vying for just one vacancy.
Ministry of Labour and Social Security figures put graduates' employment rates as high as 70 per cent, but earlier this
year the National Development and Reform Commission (NDRC) said 60 per cent of graduates would face
unemployment this year. The nation's top planning agency said the number of graduates had increased by 22 per cent
over last year to 4.13 million while the job market could only soak up 1.66 million new graduates, down 22 per cent on
last year.
3
This year's university graduates were among an estimated 17 million newcomers entering the labour force, including
high school and vocational school graduates and former servicemen. There are also 13 million unemployed and laid-
off urban workers and large numbers of rural labourers looking for work in urban areas - all competing for the 9
million new jobs the government pledged to create.
Economists and educators say deep-rooted structural problems in the mainland's tertiary education system and the
economy are to blame.
Ma Guoxian , an economist at Shanghai University of Finance and Economics, said China was the world's factory,
powered by cheap, low-skilled labour, and its economy relied on the rapid growth of manufactured goods exports and
infrastructure investment.
"This does not create much market demand for professionals and engineers because foreign and private investors just
make use of cheap land and labour to pump out low-cost computers, televisions, clothes and household goods," he
said.
Professor Ma said much of China's soaring fixed-asset investment also failed to create many high-skilled or
professional jobs. He said the country needed to develop the service sector and promote hi-tech and high value-added
industries to create demand for skilled workers and professionals.
Educators said the blind expansion of college enrolments in recent years was also to blame, especially as it had
ignored the nation's unbalanced industrial development.
In recent years, it has also become easier for students to gain entry to university. The acceptance rate has climbed
steadily, hitting 21 per cent last year, up from 9.8 per cent in 1998 and about 1 per cent in the early 1980s.
China's embrace of market forces has boosted the provision of public services, including education. Although most
colleges are still funded by the government, they now operate much more like businesses and focus on generating
extra revenue.
A common way for state universities to earn extra cash is to start schools of their own, which they then run, in effect,
as expensive private schools.
China now has about 250 such quasi-private colleges with more than half a million students studying for
undergraduate degrees.
First-year college and university enrolments rose to a record 5.04 million last year, more than four times the number in
1998 and 25 times the 200,000 enrolled in 1978 when China resumed its national college entrance exam after the
chaos of the Cultural Revolution.
China now has the world's largest student body in higher education institutions - 23 million.
But economists and educators agree that it is not the high acceptance rate but lower standards that have led to rising
unemployment among university graduates, with public spending on education far from sufficient to support the
expansion.
As a proportion of gross domestic product (GDP), government spending on education hardly changed at all in the
1990s despite the rapid expansion in student numbers. A target set in 1993 of lifting education spending to 4 per cent
of GDP by 2000 has yet to be achieved and the aim now is to reach that level by 2010.
According to a recent study by the Organization of Economic Co-operation and Development, China's government
spending on education as a proportion of GDP is lower than India's and several other Asian countries with a similar
level of development, such as Thailand and the Philippines.
"Graduation now just means that you have a degree, not that you have undergone professional and skills training, as
courses in universities do not reflect the jobs in demand," said Cai Fang , director of the Population and Labour
Economic Research Institute at the Chinese Academy of Social Sciences, a top think-tank.
Benjamin Zhang, chief executive of the Beijing-based Topstudy Education Market Service Group, said the mainland's
booming training business was a reflection of poor standards in tertiary education.
4
A recent survey of 50,000 graduates conducted by the company found that 80 per cent of respondents said they needed
after-school training within three years after graduation and 90 per cent said they needed it within five years.
Mr. Zhang said the mainland's university education was out of touch with the needs of society.
Professor Cai said China's higher education failed to match market demands.
"There is serious mismatching between education and market demand for professions."
He said universities should produce professionals that the market demanded, just like an enterprise manufacturing
goods that could be sold in the market, rather than churning out an endless stream of philosophy graduates.
Yang Yiyong, deputy director of the NDRC's Economic Research Institute, warned that education was a kind of
investment, rather than a type of consumption, and parents needed to judge the risk involved in their children's
education and make the right decisions.
23 November 2006
South China Morning Post Jenny Luo is our Education Officer
●●●●●
Beijing Opera in Edmonton
“Blossoms in Snow” – Night of Beijing Opera
Organized by Edmonton Beijing Opera Association, Mei Langfang Peking Opera Troupe from
Beijing will give a world class performance in Edmonton from March 24-25, 2007. This is the first
time ever for a world famous Beijing Opera group visiting Edmonton.
Beijing Opera, also known as Peking Opera, has a history of about 200 years. It is a local drama of
Beijing but a major type of performance with wide influence throughout the whole country,
therefore it is named "National Opera". Mei Lanfang Peking Opera Troupe is a world-class Beijing
Opera artistic and performing group. The leading artist is Mr. Mei Baojiu, son of the late grand
master Mr. Mei Lanfang. A total of 50 artists will be on stage in Edmonton. The performances will
be conducted with live orchestral accompaniment and supported by English and Chinese subtitles.
More details, please visit www.eboa.ca
5
Alberta China Office (ACO) on Roof of the World – Tibet
At the invitation of the Poverty Alleviation Office (PAO) of the Tibet Autonomous Region, also
called the Office of Integrated Agricultural Development, David Wong and Ken Yang visited the
Tibet Autonomous Region (TAR) 4 – 10 February.
Photo: Landscape in Shigatse Prefecture, Tibet Autonomous Region, China
The purpose of the visit was to explore the cooperation potential between Alberta and Tibet in the
areas of agriculture and animal husbandry. A good example is CIDA’s Basic Human Needs Project
implemented by Agriteam Canada and managed by Ms. Lynda Nicholls, who was a great help
during our visit.
Photo: Traditional Tibetan Way of Processing Milking into Cheese and Butter
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Photo: Visit to a Typical Tibetan Farming Household (from left to right: David Wong, Lynda
Nicholls - Agriteam, WANG Jian - Poverty Alleviation Office (PAO)
Like many customs in Tibet, agricultural practices are steeped in tradition. Much agricultural
research needs to be done for Tibet to adapt to rapidly changing lifestyle expectations, productions
goals and market opportunities.
The consumption of milk in Tibet is higher than any other region in mainland China, while
consumer spending on dairy products in Tibet remains the lowest of any region in mainland China.
Tibetan dairy farmers traditionally use over 50% of the milk they produce for home consumption.
Over 25% is used to feed the calves. Any remaining milk is processed into butter and cheese at
home for sale in the local market. Demand for dairy products such as milk, cheese, yoghurt and
butter is increasing at a rate of 20% each year. To meet Tibet’s growing demand, dairy goods such
as butter are being imported. Many experts believe that developing a dairy industry may not only
help increase and diversify the incomes of the local people but also lead to significant export
opportunities to other parts of China.
There are some opportunities for Alberta related to the livestock sector including forage production
and animal nutrition. Also there is interest for small scale dairy processing, we feel that the initial
funding would not be commercial and will require developmental assistance, which the Poverty
Alleviation Office indicated they would support. ACO will discuss with specialists from Alberta
Agriculture Food and Rural Development AAFRD to consider potential cooperation.
For more information regarding the Tibet visit, please contact Ken Yang.
Fact File: Tibet Autonomous Region
Area 1,200,000 sq km (almost twice the size of Alberta)
Capital Lhasa (population: 520 thousand)
Population Total: 2.7 million
Altitude Average over 4000 meters
(Banff is only 1500 meters – so make sure you prepare properly)
7
Frequently Asked Questions ---- Business Etiquette in China:
We have received several requests on this subject and there are many books and
experts on this subject, however, I thought it would be most useful if our local staff
provided their insight on this subject. I hope you find it useful and it is by no means
complete, so if you have comments or additions, please let us know.
USEFUL WORDS AND PHRASES
Hello Ni hao (nee how) 你好
Goodbye Zai jian (dzy jee en) 再见
Excuse me/sorry Dui bu qi (dway boo chee) 对不起
Please Qing (ching) 请
Thank you Xie xie (shay shay) 谢谢
You're welcome Bu ke qi (pu ke chee) 不客气
Canada Jia na da (jee ah nah da) 加拿大
Alberta ai bo ta (i bwor ta) 艾伯塔
China Zhong guo (jong gwo) 中国
Ambassador Da shi (da shr) 大使
Embassy Da shi guan (da shr gwan) 大使馆
How much duo shao qian(dwo shao cheen) 多少钱
Too much tai gui(tie gway) 太贵
1. Working practices in China
When doing business in China, punctuality is considered extremely important. Your Chinese
counterparts will not keep you waiting; being on time is essential. Establishing a proper
introduction with your counterparts is vital before entering into business.
The Chinese usually do not like to do business with strangers, and will make frequent use of go-
betweens. Whenever possible, try to use established relationships, or an intermediary known by
both sides, to make the first contact.
Chinese prefer to be formally introduced to someone new. This applies to both Chinese and
foreigners.
The Chinese may seem unfriendly when being introduced. They are taught not to show excessive
emotion, thus the reference to Chinese and other Asians as inscrutable.
Always stand up when being introduced and remain standing throughout the introductions.
2. Structure and hierarchy in Chinese companies
The hierarchical structures of Chinese society and business organizations are based on a strict
observation of rank where the individual is subordinate to the organisation.
People will enter the meeting room in hierarchical order, as the Chinese are very status conscious.
Senior members generally lead the negotiations and will direct the discussion.
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3. Working relationships in China
Long-term relationships are considered more valuable than hurried transactions.
In Chinese business culture, the warm, hospitable character of your counterpart does not
necessarily equal a positive outcome. Trust, based on a beneficial relationship is more important.
4. Business practices in China
The exchanging of business cards is customary in Chinese business culture. Business cards should
be printed in English on one side and Chinese on the other. Be sure to use simplified Chinese
characters for China, not the classical or traditional characters used in Hong Kong and Taiwan.
You should present your card with both hands and with the Chinese side facing up. When
accepting your colleague's card study it carefully before placing it on the table.
When being introduced to Chinese, the accepted form of greeting is the handshake, even among
Chinese. Chinese may also nod or slightly bow (Unlike the Japanese, the Chinese bow from the
shoulders rather than the waist). One would then present a business card. Follow with the standard
"I am pleased to meet you, or "ni hao" in Chinese. When seated, place cards on the table. This
shows respect and is also an excellent way to remember names.
During negotiations, humbleness and patience is the key to success. The Chinese sense of time
means that they use it knowingly and there is always enough. In most cases, initial meetings may
be more of a social opportunity as oppose to a negotiation discussion.
An important element before commencing a business meeting in China is to engage in small talk.
Be prepared, as this may include quite personal questions.
Wait for your Chinese counterpart to initiate formal greetings. (Something that my local staff
pointed out that sometimes I am not patient and take the lead at the beginning of the meeting – a
no-no.)
5. Titles & Forms of Address
The Chinese will state their last name first, followed by the given name. For example, Liu Jianguo,
in Chinese would be Mr. Jianguo Liu using the Western style.
Never call someone by only his or her last name. Unless specifically asked, or unless a friendly
relationship has developed, do not call someone by his or her first name.
Addressing someone by his or her courtesy or professional title and last name conveys respect. In
Chinese, the name precedes the title. For example, Liu Xiansheng for Mr. Liu, and Liu Jingli for
Manager Liu.
Women's names cannot be distinguished from men's names. Chinese women use their maiden
names even after marriage, but may indicate marital status by using Mrs., Ms., Miss, or Madam.
Mrs. Wang might be married to Mr. Liu. Chinese who frequently deal with foreigners or travel
abroad on business may adopt a Western first name, such as David Liu. They may request that they
be referred to as David, once a relationship has been established.
9
6. Personal Questions & Compliments
Do not be surprised when asked personal questions regarding age, marital status, children, family,
income, job, etc. This is done to seek common ground.
On the other hand, the Chinese will be uncomfortable with American familiarity, particularly early
in a relationship. The arm around the shoulder or pat on the back with "just call me Bob" approach
should be left at home.
Unlike the Western custom, compliments are not graciously accepted with a "thank you," but
rather with "not at all or it was nothing". Accepting praise is considered poor etiquette. Do not be
gushy with thank yous.
7. Social distance, Touching & Gestures
Every culture defines proper distance. Westerners, find that the Chinese comfort zone regarding
distance is a bit too close for their comfort. Instinctively Westerners may back up when others
invade their space. Do not be surprised to find that the Chinese will simply step closer. Do not be
offended if you are pushed and shoved in a line. The Chinese do not practice the art of lining up
and courtesy to strangers in public places is not required.
The Chinese do not like to be touched, particularly by strangers. Do not hug, back slap or put an
arm around someone's shoulder.
People of the same sex may walk hand-in-hand as a gesture of friendship in China.
8. Western gestures that are taboo in China include:
Pointing the index finger--use the open hand instead. Using the index finger to call someone-use
the hand with fingers motioning downward as in waving.
Finger snapping or Whistling to get someone’s attention.
Showing the soles of shoes.
Licking fingers at the dinner table.
Playing with chopsticks during eating or using chopsticks to point while eating. The general rule
is, “put them down when you speak”.
9. Chinese habits that are annoying to Westerners:
Belching or spitting on the street
Lack of consideration when smoking and failure to ask permission to smoke
Talking while eating
Talking loudly in public.
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10. Dining and Entertainment Etiquette & Protocol
Entertaining guests at a Chinese banquet is an important way of establishing guanxi (relationship).
For more formal banquets, invitations will be sent and place cards will be at the table.
Guests should sample all of the dishes and leave something on the plate at the end of the meal. A
clean plate indicates you are still hungry and it is the host's responsibility to see that you are
continually served food and drink.
If cannot eat a dish, such as sea cucumber, do not refuse it, just leave it on your plate.
Under no circumstances should chopsticks be placed in the rice standing up. This symbolizes
death.
(I have been coming to China for over 20 years, you will not find a more hospitable people; if you
make a mistake, it is not a “big deal”; they will just overlook it, since you are a foreigner. In most
circumstances, “common sense” is your best guide.)
Upcoming Events:
March 9-20, 2007: Education Seminar and promotions in Shanghai, Hangzhou,
Guangzhou, Hongkong
March 13-15, 2007: Alberta Day in Hangzhou, Zhejiang Province
March 19-29, 2007: Construction Seminar in Shenyang, Beijing
April 3-7, 2007: Calgary Board of Education Mission in Beijing, Shanghai
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