Document Sample
                                                                                                           MARCH 2007
                                                                                                           Vol 4, Issue 3

The Price of Progress
                                                                                                           Cover illustration by
                                                                                                           Emily Zhang

The business landscape of Shanghai has altered considerably for interna-
tional companies since the last New Year. In the past 12 months, office
                                                                                 Published by:
rents have soared; wages for local talent at nearly every level have risen
                                                                                 Middle Kingdom Media Ltd
far faster than inflation; many raw materials remain highly priced; and the
renminbi has steadily climbed in value. Peering into the future, little looks    11/F, Golden Star Building, 20-24 Lockhart Road,
set to change. The steady stream of companies that has fueled demand for         Wan Chai, Hong Kong
staff and office space for the past few years looks set to flow unchecked,       Tel: +852 3421 2086 Fax: +852 2529 8771
also adding more competition to an increasingly crowded marketplace.
                                                                                 Local Agent:
And then there are new challenges. The long-awaited tax reform has finally
                                                                                 MKM Communications
arrived, adding to the burden of those companies that have succeeded in
making profits in China. The new Chinese labour law, currently undergoing
revisions, is likely to bring less flexible (hence more expensive) employ-       12C Mayfair Tower, 89 Fumin Lu, Shanghai 200041
ment conditions, and, of course, another record trade surplus will only add      上海市富民路89号巨富大厦12C,200041
to the pressure for the currency to continue its inexorable rise.                Tel: +86 21 6247 2203 Fax: +86 21 6289 5184

But before packing your bags and heading off into the arms of a Vietnamese       Managing Director & Editor:     Geoff de Freitas
or Indian special economic zone welcoming committee, new opportunities
                                                                                 Publisher:                      Jonathan Wilshere
have emerged. Those higher-than-inflation pay rises are adding to the
local consumer’s disposable income and should translate into opportuni-          Deputy Editor:                  Anthony Lin
ties for international retailers – if the advertising and marketing agencies
                                                                                 Editorial & Events:             Noeleen Xu
can persuade traditionally risk-averse consumers to spend it rather than
save.                                                                            Director of Accounts:           Richard Santoro
                                                                                 Client Account Manager:         Sam Fan
Although cost-sensitive manufacturing has for some time been looking
for cheaper labour, the growing scale of many MNC China operations has           Accounts Administrator:         Yvonne Qiu
made RHQs and R&D Centres more essential. And, for these operations
                                                                                 Production Manager:             Emily Zhang
driven less by cost and more by skill competencies and by the need for
professional and support services nearby, Shanghai remains second to             Magazine Designer:              Veronica Zhu
none on the mainland.                                                            Circulation Manager:            Yolanda Zhu
And the professional quality of skilled local labour is improving – if for no    Circulation Assistant:          Helen Cao
other reason than the fact that local professionals have had another year’s
                                                                                 PA to MD:                       Christine Bei
work experience. That quality might not be near to the levels that many
international companies would like, but some progress is better than none.       Account Enquiries:              Lilian Lin
In the less costly second-tier cities such skilled labour may not be available
at any level or price.                                                           Letters to the editor are welcomed. Please send to:
Of course, certain things have not changed nor changed enough. IPR in-
fringement is a good example. Its rampant abuse, at times, can border on         For advertising enquiries, email:
not only the criminal, but also the ridiculous. One story going the rounds
– probably untrue, yet eminently believable by those who have spent con-
siderable time in China – claims that a local company is bottling cheap
whisky and selling it on, masquerading as a famous high-quality brand.
What’s more, one local nightclub is allegedly peddling it to its clientele as    No reproduction of any articles or photographs in this
the real McCoy. Is nothing sacred?                                                publication may be made in whole or in part without
                                                                                     the written permission of the copyright holder.
                                                            Geoff de Freitas                      ISSN: 1813-310X

SHANGHAI BUSINESS REVIEW   MARCH 2007                                                                                      3
                                                                     16                                                                                                                                       28                PROFESSIONAL OPINION

                                                                                                                                                                                                                                Bridging the
                                                                                      COVER STORY:                                                                                                                              Cultural Divide
                                                                                                                                                                                                                                Introducing “best
                                                                                      Rising Costs,                                                                                                                             practice” standards to HR
                                                                                      Rising Profits?                                                                                                                           management may not be
                                                                                                                                                                                                                                nearly as successful as a
                                                                                      What lies in store for                                                                                                                    common-sense approach
                                                                                      Shanghai FIEs in the                                                                                                                      to overcoming the fear of
                                                                                      New Year?                                                                                                                                 failure.

...........................................................................................................................................   ...........................................................................................................................................
The Price of Progress.
                                                                                                                                     3        INDUSTRY IN FOCUS: RETAIL LOGISTICS
                                                                                                                                              Feeding Retail
                                                                                                                                              Shanghai is leading the country’s retail development, which is
A summary of last month’s business news.
                                                                                                                                     6        driving the logistics sector forward.
                                                                                                                                              THE VIEW OFFSHORE
                                                                                                                                              Recent developments relating to offshore jurisdictions.
Recent events from the local business community.
                                                                                                                                              WHO’S BUYING WHOM
                                                                                                                                              This month’s M&A news.
Sunny Skies for Chinese Solar Power                                                                                                           ...........................................................................................................................................
The global market for solar cells and panels is proving a bright spot
for a number of China businesses.
                                                                                                                                              REGULATORY UPDATE
                                                                                                                                              Legal and tax developments.
...........................................................................................................................................   ...........................................................................................................................................
                                                                                                                                22            COUNTRY FOCUS: GERMANY
Curbing Shanghai’s Operating Expenses                                                                                                         German Precision
A survey of 120 CEOs looks at the solutions for bringing operational                                                                          A profile of the activities and contributions of German business in
expenses into line.                                                                                                                           Greater Shanghai.
...........................................................................................................................................   ...........................................................................................................................................
                                                                                                                                24            AGENDA
                                                                                                                                              Upcoming business events in Shanghai.
China’s New IIT Return System                                                                                                                 ...........................................................................................................................................
All expatriates living in China are now required to fill in an annual
individual income tax return by 31 March or face severe penalties for
                                                                                                                                              NEW REGISTRATIONS
                                                                                                                                              New WFOEs and JVs registered in Shanghai.
...........................................................................................................................................   ...........................................................................................................................................

                                                                                                                                              Top jobs for senior executives.
                                                                                                                                              Key service providers in Shanghai.
                                                          DIALOGUE                                                                            VIEWPOINT
                                                          Size Matters                                                                        Post-acquisition integration planning.

                                                          Interview with Thierry Moschetti,
                                                          General Manager of East Asia of Regus.

4                                                                                                                                                                               SHANGHAI BUSINESS REVIEW                                MARCH 2007

News in Brief
A summary of news for international companies in Greater Shanghai.
Edited by Anthony Lin (

                                         service. The two companies will also     Siemens’s Deal                             European air hub in Liege, Belgium,
         14-20 January                   explore advertising-supported music                                                 using the Boeing 747-400 ERF.
                                                                                  Siemens Power Generation (PG)
Tencent Sues Taobao                      download services that will be free of   Group signed an agreement with
                                         charge for all Baidu users.                                                         JLL Power Theft
Tencent filed a lawsuit against                                                    Shenhua Ningxia Coal Group
                                                                                  (SNCG) to sell key gasification             Jones Lang LaSalle, a global real
Taobao and a Taobao user for             Nissan Builds Unit
                                                                                  equipment to SNCG for a coal-              estate management firm, was under
conducting a QQ account transaction
                                         Nissan Motor Co. Ltd. received           based dimethyl ether (DME) project.        police investigation for alleged theft
on the Taobao platform, marking the
                                         approval from the China Banking          Siemens PG also signed an MOU to           of more than four million kilowatt-
first time a case has been filed over
                                         Regulatory Commission to set up          provide equipment for SNCG’s coal-         hours of electricity – valued at
virtual wealth transactions between a
                                         the Dongfeng Nissan Auto Finance         based propylene project. The value         around RMB3m – over the past 10
game operator and an e-commerce
                                         Co. The finance unit, which will be       of the contract was not disclosed.         months at a luxury residential prop-
                                         capitalised at RMB500m, will be                                                     erty managed by the firm in Lujiazui,
SOHO Online Auction                      65% owned by Nissan, and 35% by          Go West                                    Pudong.
                                         Dongfeng Motor Group Co. Ltd.            The Ministry of Commerce and
SOHO China was to sell a retail
project in an online auction hosted by   Jet Fuel Surcharges                      China Development Bank agreed                       21-27 January
Soufun, a Chinese property website                                                to establish a five-year coopera-
( The project, in        China will cut jet fuel surcharges       tion to offer loans for infrastructure     Tainted Fashion
Beijing’s CBD, was auctioned off in      from RMB60 to RMB50 per                  construction of State-level and some       The Shanghai Industrial and Com-
10 cities starting from 21 January.      passenger for flights traveling less      key provincial-level economic and          mercial Administrative Bureau found
                                         than 800km and from RMB100               technological development zones in         problems with clothing and acces-
Netcom Sells Assets                      to RMB80 for flights over 800             China’s western regions.                   sories of 17 foreign fashion brands,
China Netcom Group Corp. (Hong           km. The lower charges, starting                                                     including Burberry, MaxMara, Dior
Kong) Ltd. will sell its telecommu-      from 21 January, are thanks to           Land Tax                                   and Zegna, some of which pulled
nications assets in Shanghai and         lower oil prices on the global           The State Administration of Taxation       products from their shelves. The
Guangdong province to its parent         market, according to the National        started to formally levy the value-added   alleged problems ranged from too
company, China Network Communi-          Development and Reform                   tax on land – comprising 30% to 60%        much formaldehyde to false-content
cations Group Corp., for RMB3.5bn.       Commission.                              of developers’ net gains from property     claims.
China Netcom operates office build-                                                deals – effective from 1 February.
                                         China Mobile Deal                                                                   Travel Agencies Easier
ing Internet access and data services
and public fixed-line phone business      China Mobile signed a framework          Bosch’s New Project                        The registered capital requirement
in Shanghai and Guangdong.               cooperation agreement with the           German Bosch Group announced               on foreign-funded travel agencies is
                                         Ministry of Education to provide         the launch of its nationwide Bosch         to be eased from 1 July this year, ex-
Baidu-EMI Partners                       mobile communications solutions to       Diesel Partner (BDP) project, which        pected to lower minimum registered
EMI Group Plc agreed to work             schools across the country to boost      aims to recruit 100 dealerships in six     capital from RMB4m to RMB2.5m,
with Baidu to distribute streaming       their adoption of information commu-     regions, including Shanghai, Beijing,      according to the National Tourism
samples of its music online and          nications technology and to improve      Guangdong, Shandong, Hubei and             Administration. This will be four
share advertising revenue from the       management and facilities.               Liaoning provinces, by the end of          months ahead of the 11 November
                                                                                  this year.                                 deadline set by the WTO.
                                                   HK Most Free
                                                   Economy                        Baidu Offers News                          HK, Macau Agents
                                                                         obtained a license from          Hong Kong and Macau air ticket
                                                   Hong Kong was rated
                                                                                  the State Council Information Office        agents are now allowed to set up
                                                   the most free economy
                                                                                  to offer news services. The company        wholly-owned companies on the
                                                   in the world for the 13th
                                                                                  is recruiting editors in preparation to    mainland market, as China’s Civil
                                                   year, while mainland
                                                                                  launch the new service.                    Aviation Authority further opened its
                                                   China was ranked 104th
                                                                                                                             ticket distribution sector. Agents of
                                                   by the Heritage Founda-        TNT’s New Service                          the two SAR areas that set up JVs
                                                   tion and the Wall Street
                                                                                  Express company TNT N.V. launched          or operate as WFOEs will enjoy the
                                                   Journal. With 89.29 out
                                                                                  its first direct service linking China      same capital thresholds as mainland
                                                   of 100 points, Hong
                                                                                  and Europe. TNT will fly three times        companies, according to the General
                                                   Kong scored above
                                                                                  a week between Shanghai Pudong             Administration of Civil Aviation.
                                                   Singapore (85.65 points);
                                                   India was ranked 119th.        International Airport and the firm’s

6                                                                                                      SHANGHAI BUSINESS REVIEW        MARCH 2007

                                                                                 market-oriented reform are China          Expedia will provide Jin Jiang with
                                                                                 Export and Import Bank and Agricul-       online travel expertise, technologies
                                                                                 tural Development Bank of China.          and marketing opportunities.
                                                                                 Copyright Case                            Drug Costs Cut
                                                                                 The Shanghai No.2 Intermediate            China will slash the price of more
                                                                                 People’s Court ordered Shanghai           than 240 drugs by 20 per cent on
                                                                                 Dongbao Department Store Co. Ltd.         average while increasing the price
                                                                                 to compensate RMB20,000 to La             of about 100 other medicines that
                                                                                 City, a French garment company, for       are in high demand, according to the
                                                                                 copyright infringement. La City found     National Development and Reform
                                                                                 a counter in the department store         Commission. It is the 17th cut in the
                                                                                 was selling La City dresses produced      cost of drugs since the government
                                                                                 by Shanghai La Chapelle Garment           resumed price controls over some
                                                                                 Co. Ltd without getting its approval      drugs in 2005.
                                                                                 for using the trademark owned by
                                                                                 La City.                                  Olympic Alliance
                                                                                                                           Visa, the world’s largest credit card
                                                                                 LNG for Shanghai                          payment system, signed a strategic
                                                                                 Shanghai LNG Co. Ltd. reached a           Olympic alliance on Tuesday with the
                                                                                 deal with a subsidiary of Petronas,       Bank of China in a bid to boost their
                                                                                 Malaysia’s national petroleum cor-        business through the 2008 Olympic
                                                                                 poration, to transmit liquefied natural    Games in Beijing. Both parties will
                                                                                 gas (LNG) from Malaysia to the city       strengthen cooperation in areas like
                                                                                 over a 25-year period. Construction       onsite ATMs and POS machines,
                                                                                 started on 22 January on the first         Olympic ticket sales, online sales of
                                                                                 phase of the Shanghai LNG project,        Olympic official licensed products
                                                                                 which would become operational in         and development of new Olympic-
                                                                                 2009.                                     themed products.
                                                                                 McDonald’s Drive-thru                     Chery Denies Offer
                                                                                 McDonald’s Corp. opened its first          China’s Chery Automobile Co.
                                                                                 drive-thru restaurant in a partner-       Ltd. denies news reports saying
                                                                                 ship with Sinopec in Beijing. The         that Chery is vying with General
                                                                                 new drive-thru is McDonald’s 16th         Motors Corp., Ford Motor Corp.,
                                                                                 in China.                                 and Tata Motors Ltd. of India to
                                                                                                                           buy Daewoo. Reuters quoted
Piracy Persists                         Exporters’ Education                     Neusoft Merger                            Romania’s privatisation agency,
68 per cent of the 164-member           Global Sources and Peking Univer-        Chinese business software specialist      AVAS, as saying four companies
Quality Brands Protection Com-          sity formed a partnership to offer       Neusoft plans to merge with its           have submitted letters of intent to
mittee (QBPC) ranked IP-related         courses to Chinese executives in an      parent company Shenyang Neusoft           purchase Daewoo.
issues among the top three operating    aim to strengthen Chinese exporters’     Group to avoid international competi-
concerns in China influencing            competitiveness around the world.        tion and boost efficiency. Neusoft Co.     Licence for Marsh
investment, expansion and hiring        Around 10,000 Chinese executives         Ltd. will swap one Shanghai-listed        Marsh Inc, the risk and consulting
decisions. Internet sales of counter-   have taken export training courses       share priced at RMB24.49 apiece           unit of Marsh & McLennan Compa-
feit goods were a key concern for       from Global Sources.                     for 3.5 shares of its non-listed parent   nies, Inc., won the first wholly-owned
74 per cent of members of QBPC,                                                  group at RMB7 apiece.                     licence for large-scale insurance
a committee under the China As-         Port Deal                                                                          brokering in China. The new licence
sociation of Enterprises with Foreign   Shanghai Zhenhua Port Machinery          SPDB Approved for JV                      enables it to operate without a local
Investment (CAEFI), which is a          Co. signed a USD100m order to sell       The Shanghai Pudong Development           partner.
cross-industry coalition of MNCs        27 container cranes to Taipei Port in    Bank (SPDB) received China Bank-
operating in China. The sixth annual    a landmark deal. Under the contract,     ing Regulatory Commission approval        Bank Withdraws
QBPC survey also showed that 28         Zhenhua will provide all the container   to set up a fund management JV with       BNP Paribas SA pulled out of its
per cent reported an improvement in     cranes needed for the first phase of      French financial firm AXA SA and            three-year-old investment banking
China’s IP situation from 2005.         the Taipei Port Container Terminal.      Shanghai Dragon Investment Co.            venture with China’s Changjiang
                                                                                 Ltd., with SPDB holding a controlling     Securities Co., after disagreeing on
New Tax Policy                          Bank Commercialised                      stake of 51 per cent.                     strategy. It transferred its 33 per cent
Corporate and individual donors will    The three policy banks, which are                                                  stake in Changjiang BNP Paribas
now be able to claim tax deduc-         State-owned lenders that con-            Expedia-Jin Jiang                         Peregrine Securities Ltd. back to the
tions for donations to any licensed     centrate on meeting the country’s        Expedia Inc, a leading online travel      Chinese company.
non-profit public welfare organisa-      economic goals instead of profitabil-     agency, teamed up with Jin Jiang
tion, as announced by the Ministry      ity, will be commercialised, starting    International Hotel Management            MCC’s Australia Deal
of Finance and the State Adminis-       with China Development Bank,             Company. According to the agree-          China Metallurgical Group Corp.
tration of Taxation. At present only    according to policies unveiled at the    ment, Jin Jiang will offer Expedia        (MCC) won a contract to develop
donations to about 20 major charity     two-day National Financial Work          customers the best online rate for        an iron ore mine in Australia with
organisations are tax-deductible.       Conference. The other two slated for     the group’s entire inventory of hotels.   an estimated total investment of

8                                                                                                    SHANGHAI BUSINESS REVIEW        MARCH 2007

USD1.98bn. The agreement with           Yangshan Shareholders
CITIC Pacific Ltd. will see MCC                                                                                                           Best Buy in
                                        Sources said that Singapore port                                                                 Shanghai
construct the SINO Iron Ore Mine in     operator PSA International Pte and
Cape Preston, Western Australia.        China Shipping Group Co. are likely                                                              Best Buy formally
                                        to be the single largest shareholders                                                            opened its first store
First OTC in Tianjin                                                                                                                     in Shanghai after a
                                        in the third phase of the Yangshan
China’s first national over-the-         Deep-Water Port, with each holding                                                               soft launch in De-
counter equity bourse is likely to be   30 per cent of shares. Shanghai                                                                  cember, initiating
set up in Tianjin. Sources said the     International Port (Group) Co. is the                                                            a month-long trial
establishment of the OTC exchange       second largest shareholder with 20                                                               of its 8,000-sq.-m
is close to a final approval from the    per cent, while China Ocean Ship-                                                                flagship store in
National Development and Reform         ping Group Co. and CMA-CGM each                                                                  Xujiahui.
Commission.                             hold 10 per cent of the remaining
                                        stake. The deal is awaiting the State   Shanghai. HNI purchased Lamex, a         enterprises or finance the exit of
Alibaba Hits Record
                                        Council’s approval.                     privately-held Chinese office furniture   State companies. The funds can also’s newly launched                                                    maker, for USD70m last January.          be used for investment to appreciate
instant messenger, AliWangwang,         Equity-Investment Venture                                                        the value of State assets.
topped one million simultaneous         Citic Securities plans to form an eq-   Capital Budget for SOEs
online users, approaching the level                                             The State-owned Assets Supervi-
of MSN use in China.
                                        uity-investment venture with US Starr                                              28 January – 3 February
                                        International Co. (SICO) to focus on    sion and Administration Commission
                                        buying stakes in Chinese companies      (SASAC) announced intentions to          DHL Domestic Airfreight
BOB Invests Abroad
                                        that are planning to make IPOs. Citic   build up a capital budgetary system      DHL Global Forwarding, DHL’s air
Bank of Beijing won approval to         and SICO will each invest RMB500m       in 2007 for enterprises directly con-
invest USD300m of client money                                                                                           and ocean freight services unit,
                                        in the 50-50 JV.                        trolled by the government. The new       obtained a domestic airfreight licence
abroad under the QDII scheme, the                                               budgetary regime for State capital is
first city commercial bank to win such                                                                                    from the China Air Transport Asso-
                                        HNI in Shanghai                         expected to require State-owned en-
a quota. The bank has completed its                                                                                      ciation to operate domestic airfreight
                                        U.S.-based HNI Corp., a leading         terprises to hand over some of their     service between 17 major Chinese
planning for the QDII investments       office furniture manufacturer and        profits. The commission may use
and products are expected to be                                                                                          cities, becoming the first international
                                        producer of gas and wood fireplaces,     some of that money to help replenish     logistics company wholly licensed to
launched in February.                   opened a Lamex showroom in              the capital of under-funded State        operate domestically in China.

SHANGHAI BUSINESS REVIEW       MARCH 2007                                                                                                         9

                                                                                  Selected Economic Statistics Reported Last Month
China to Forgive Loans                   mercial Administrative Bureau.
China will forgive 168 loans to 33 Af-   Fifteen samples, from Snoopy, Vero
                                         Moda and Etam brands, allegedly          1. China’s economy grew 10.7         (China Insurance Regulatory
rican nations this year, according to
                                         contained aromatic amine, a carcino-     per cent in 2006, fueled by          Commission)
the Ministry of Commerce. The value
                                         genic dye.                               investments in manufacturing
of the loans or recipient countries
                                                                                  and a boom in exports. China’s       10. China’s diamond imports
were not revealed. The debts were        CEIBS at 11th
due by the end of 2005. The nations                                               GDP climbed by 10.7 per cent to      surged 80.2 per cent last year
                                         The China Europe International Busi-     RMB20.94 trillion after growing      as VAT on the precious stones
benefiting from the loan write-offs
                                         ness School (CEIBS) in Pudong rose       10.4 per cent in 2005. (National     was cut. China’s imports of
are heavily indebted countries or are    in Financial Times’ rankings this year
among the world’s least-developed                                                 Bureau of Statistics)                polished diamonds soared 87.3
                                         to reach 11th place, up from 21st last
nations, the Ministry said.                                                                                            per cent to USD201m last year,
                                         year, on the newspaper’s top 100
                                                                                  2. China hosted 3,800 trade          accounting for 95.7 per cent of
Regus Opens 6th Centre                   full-time global Master of Business
                                         Administration programmes list.          fairs in 2006, nearly doubling       the country’s total imports of
Regus, a leading workplace solutions                                              the number in 2002. (Shanghai        diamonds. (Shanghai Diamond
company, opened its largest office        Insurance Teamed up                      Daily)                               Exchange)
centre in the world in a 17-storey       China Continent Property & Casualty
Grade A building in Shanghai’s Jin-      Insurance Co., which is applying for     3. China received 124 million        11. S h a n g h a i ’ s G D P f o r
gan district. The new location, called   exports insurance from regulators,       travellers in 2006, the fourth       2006 climbed 12 per cent to
the Silver Centre, is Regus’ sixth in    teamed up with the Netherlands’          largest volume of inbound            RMB1.03trillion after rising 12.4
Shanghai and has a total floor area       Atradius trade Credit Insurance          passengers in the world. China       per cent in the first three quarters.
of 13,700 sq. m.                         Inc. to strengthen its trade credit      earned USD33.5bn from tourism        The service industry increased
                                         capability.                              in 2006, making it the sixth         11.5 per cent to RMB520.5bn.
More Tainted Brands
                                         Transparency on State Sales              largest tourism market in the        (Shanghai Statistics Bureau)
Some international fashion brands
including Adidas, Nike and Only
                                                                                  world. (China National Tourism
                                         Transfer of China’s state-owned                                               13. China had 137 million Internet
stopped selling clothes which failed     assets to foreign investors should       Administration)
quality tests carried out by the         be conducted in open property-right
                                                                                                                       users by the end of last year,
Guangzhou Industrial and Com-            transactions on public exchanges,
                                                                                  4. 25 countries and regions          an increase of 23.4 per cent
                                                                                  launched 86 anti-dumping and         yoy. (China Internet Networks
                                                                                  trade protection investigations      Information Centre)
                                                                                  against China last year, up 37 per
                                                                                  cent, affecting a combined trade     14. China’s trade surplus widened
                                                                                  volume of USD2.05bn. (Ministry       to a record USD177.5bn last year,
                                                                                  of Commerce)                         an increase of 74 per cent from a
                                                                                                                       year earlier. Exports rose 27 per
                                                                                  5. China’s foreign exchange          cent yoy to USD969bn last year,
                                                                                  reserves hit a record USD1.066       while imports climbed 20 per
                                                                                  trillion at the end of 2006 on       cent to USD791.6bn. (National
                                                                                  the back of a surging trade          Bureau of Statistics)
                                                                                  surplus and rising foreign direct
                                                                                  investment. (People’s Bank of        15. Nearly 12 million jobless
                                                                                  China)                               people, 2 million more than in
                                                                                                                       2005, found work in cities across
                                                                                  6. China’s broad measurement         the country. (National Bureau of
                                                                                  of money supply, or M2, rose         Statistics)
                                                                                  16.9 per cent yoy in 2006. M1, the
                                                                                  narrow measurement of money          16. Trade between China and
                                                                                  supply, rose 17.5 per cent yoy.      India grew to USD24.9bn last
                                                                                  (People’s Bank of China)             year, exceeding an USD20bn goal
                                                                                                                       two years ahead of schedule.
                                                                                  8. Trade volume between China        (Ministry of Commerce)
                                                                                  and the United States reached
                                                                                  USD238.7bn in 2006, an increase      17. China uncovered banking
                                                                                  of 24.6 per cent from 2005.          bribery totalling RMB26.08m
                                                                                  (Shanghai Daily)                     last year, exposing a total of 113
                                                                                                                       bribery cases. (China Banking
                                                                                  9. China mainland’s insurance        Regulatory Commission)
                                                                                  market expanded 14.4 per cent to
                                                                                  RMB564.1bn in 2006. Insurance        18. A record USD99bn worth of
                                                                                  companies’ total assets rose by      M&A deals was sealed in China
                                                                                  29 per cent to RMB1.97 trillion.     in 2006. (Standard & Poor’s)

10                                                                                                 SHANGHAI BUSINESS REVIEW     MARCH 2007

                                                                                    while emitting 5.4 million tons of       art events by several state depart-
                                                 Vista in Market                    sulphur dioxide and producing 115        ments including Overseas Chinese
                                                 Microsoft’s latest operat-         million kilowatt-hours a year. Over      Affairs Office of the State Council,
                                                 ing system Windows Vista           the next four years, more than half      Ministry of Commerce and the Red
                                                 was launched in the market         the power that comes from small          Cross Society of China.
                                                 starting from 30 January. 18       generating units will be turned off.
                                                 PC makers released over                                                     Fuel Costs Raised
                                                 100 models of computers to         Farms Priority                           China Shenhua Energy Co., a
                                                 the consumer market, and           Developing modern agriculture is         leading coal producer in China,
                                                 30,000 salespeople from            the government’s top priority in         will charge power generators five
                                                 Microsoft and the PC makers        building a new socialist countryside,    per cent more for the fuel this year

                                                 will promote the products in       according to a central government        because of rising production costs.
                                                 over 2,000 cities and counties     document jointly released by the         The company will raise coal prices
                                                 in China.                          Central Committee of the Communist       under long-term contracts by at least
                                                                                    Party of China and the State Council.    RMB15 per ton.
according to a statement by the            China Southern had lost a combined       The per-capita income of Chinese
state-owned Assets Supervision and         RMB22.5bn from 2003 through 2005.        farmers stood at RMB3,587 a year in      Land Bidding
Administration Commission and the          Full-year earnings for 2006 are likely   2006, less than one-third of the level   The Shanghai Housing and Land
Ministry of Finance.                       to be reported in April.                 of urban residents’.                     Resources Administration Bureau
                                                                                                                             said on its website that bidders for
Vista on Sale                              ZK Partners                              Unicom to Split Divisions                the land formerly earmarked for a
Personal-computer users in China           Shanghai ZK Real Estate Develop-         China Unicom Ltd. plans to split the     project of the world’s tallest Ferris
will be able to buy Microsoft’s new        ment Co. Ltd. formed a strategic         sales and marketing divisions of its     wheel located on the north bank of
Vista operating system which pro-          partnership with Warburg Pincus, a       two networks by 15 March. The sales      the Huangpu River covering 35,210
vides 3-D-effect interfaces, improved      leading private equity firm from the      and marketing division for services      sq.m in Shanghai must hand over
search functions and enhanced              U.S. Under the agreement, Warburg        based on global system for mobile        a RMB200m deposit and set aside
security starting from 30 January.         now owns 25 per cent of ZK. Price of     communications, or GSM, will be          RMB400m to get into the competi-
Prices for the licensed version will       the deal undisclosed.                    separate from the one based on           tion. The highest bid will win the right
start at RMB2,060.                                                                  code-division multiple access, or        to use the parcel, according to the
                                           Small Coal Plants Closed                 CDMA, technology, the 21st Century       land bureau.
Chang’An Sales Jump                        China will close many small power        Business Herald reported.
Chang’An Automobile Group expects          generating units, said Vice Premier                                               DP in Qingdao
sales to increase 20 per cent to           Zeng Peiyan at a conference on           Volkswagen Awarded                       Dubai-based DP World won approval
850,000 units this year after the com-     energy conservation and emission         Volkswagen Group China was award-        to finance the RMB3.48bn terminal
pany sold 708,700 vehicles last year,      reduction in Beijing. Small power        ed the Most Responsible Corporation      in Qingdao with RMB1.22bn in cash
an increase of 12 per cent from 2005.      generating units around the country      in the Chinese automotive industry for   and borrow the rest. DP World will
                                           consume 400 million tons of coal         its participation in music, sports and   construct two berths at the port, ca-
Jin Jiang Expands
Shanghai Jin Jiang International
Hotels (Group) Co. agreed to invest
RMB1.38bn in Shanghai Jin Jiang
International Hotel Investment Co. to
help expand the latter’s budget hotel
Alliance Boots Eyes China
Alliance Boots Plc plans to enter
China through a 50-50 JV with
Guangzhou Pharmaceuticals Corp.
to operate 29 retail pharmacies, the
maximum allowed by the current
regulations in China.
GE Wins Investment Quota
GE Asset Management Inc., a sub-
sidiary under General Electric, won
an USD200m investment quota from
China’s foreign exchange authorities,
which it will use to invest in the local
stock market.
China Southern Profits
China Southern Airlines turned a
profit in 2006 after posting losses for
three years, benefiting from a reval-
ued yuan and improved operations.

SHANGHAI BUSINESS REVIEW         MARCH 2007                                                                                                         11
                                                                                A shares in Shanghai listing to raise       Bank of Ukraine (NBU) signed a
                                                                                over RMB40bn. The price is expected         MOU on cooperation in the regula-
                                                                                to be between RMB35 to RMB40.               tion of banking activities.
                                                                                Textile Exports to Grow                     Singapore Airlines Adds Flights
                                                                                Exports of Chinese textiles are             Singapore Airlines will operate one
                                                                                expected to grow 15 to 20 per cent in       additional non-stop flight three times
                                                                                2007, said Sun Jiwen, deputy direc-         a week between Shanghai and
                                                                                tor of the Foreign Trade Department         Singapore, starting from 25 March,
                                                                                of the Ministry of Commerce, in a           increasing the number of Singapore
                                                                                speech to the China Textile Round           flights operating in Shanghai from 28
                                                                                Table Forum in Beijing. The textile         to 31 per week.
                                                                                industry exported goods valued at
                                                                                USD174bn in 2006, an increase of            Loans to Taiwan Companies
                                                                                25 per cent over the previous year.         The China Development Bank and the
                                                                                                                            Huaxia Bank made more than RMB8bn
                                                                                Shenzhen’s Pension Fund                     in loans available to Taiwanese compa-
                                                                                Shenzhen’s city government, the first        nies by the end of 2006, said Yang Yi,
                                                                                local authority to have a single body       spokesman for the Taiwan Affairs Office
                                                                                manage enterprise annuities, will           of the State Council.
                                                                                transfer the agency’s RMB2.3bn of
                                                                                assets to Ping An Insurance (Group)         Capital Requirement Eased
                                                                                and China Merchants Bank to meet            China lowered the capital require-
                                                                                new requirements after the recent           ment for financial leasing companies
                                                                                Shanghai pension fund scandal.              from RMB500m to RMB100m in
                                                                                Shenzhen Occupational Pension               registered capital, in a move aimed
                                                                                Fund Centre will make the transfer          at nurturing the development of the
                                                                                from February.                              industry. Firms must also meet a
                                                                                                                            capital adequacy ratio of 8 per cent,
                                                                                Brokers Publish Results                     the China Banking Regulatory Com-
                                                                                All mainland securities brokerages          mission said in a statement.
                                                                                must submit audited annual results          Vehicle Export 2006
                                                                                for last year and publish on the China
                                                                                Securities Association website by May       China exported a total of USD3.1bn
                                                                                31, the China Securities Regulatory         worth of complete vehicles and auto
                                                                                Commission said. In its strictest policy    components last year, up 96.6 per
pable of handling 2.2 million 20-foot   Land Acquisition                                                                    cent from a year earlier, according to
                                                                                move to date on financial disclosure
standard containers a year.                                                                                                 the China Chamber of Commerce for
                                        Cheung Kong Holdings Ltd. and           by industry players this must include
                                                                                                                            Import and Export. Asian countries
Air China Deal                          Hutchison Whampoa Ltd., owned by        their net capital and risk management
                                                                                                                            were the largest export markets,
                                        Li Ka-shing, won a bid for a 177,262    ratio, client capital security and inter-
Air China Ltd. signed an agreement                                                                                          contributing 43.6 per cent to the total
to buy aircraft engines worth nearly    sq.-m land in Shanghai’s Putuo          nal control capability. The regulatory
                                                                                                                            value. The European market beat
USD345m from CFM International          District that will be used for a com-   watchdog had previously required            Africa to be China’s second-largest
SA. The engines will be delivered       mercial and residential development     only good-quality brokerages to report      vehicle export destination for the first
between 2008 and 2012.                  with a total investment of RMB3.6bn.    financial results each year.                 time with 23.9 per cent, followed by
                                        Elegant Wealth Investment Ltd.,                                                     Africa’s 22.7 per cent.
Roewe to Debut                          51% owned by Hutchison Whampoa          Medical Bribery Blacklist
Shanghai Automotive Industry            and 49% owned by Cheung Kong            China will establish a blacklist            New City Buys
Corp. unveiled the price of its first    Holding, will set up a new JV with      system in a new measure to crack            New City Corp., an integrated real
self-branded motel, the Roewe           Shanghai Changrun Real Estate           down on medical bribery in China,           estate, merchant banking and
750, ranging from RMB231,800 to         Development Co. Ltd. and Shanghai       according to an announcement                investment management com-
RMB276,800.                             Jianghe Real Estate Development         by China’s Ministry of Health. The          pany, acquired the second phase
                                        Co. Ltd. to operate the project.        ministry issued the regulation that         of Waigaoqiao Logistics Centre
New E-commerce Site                                                             requires provincial health administra-      in Shanghai Pudong Waigaoqiao
Shao Yibo, co-founder of,   MG Cars in Nanjing                      tions to set up records for medical         Logistics Park. The newly-acquired
launched another e-commerce site,       Nanjing Automobile Corp. will build     bribery cases and publish the list          two-story facility has a total floor, focusing on children’s    cars under the acquired British brand   on the administrations’ websites.           area of 250,000 sq. m and enjoys
products, and exploring outside the     MG starting 27 March. The first          Blacklisted drug manufacturers,             direct access to Waigaoqiao Terminal
e-commerce businesses in areas like     model to be built will be the MG75      distributors, and medical institutions      Phase I through Phase III.
community functions.                    sedan scheduled to go on sale in the    will be prohibited from purchasing or
                                        second half of this year.               selling any drugs, medical equipment        Suntech in London
Stock Loans Stopped                                                             or medical consumables within two           Suntech Power Holdings Co. estab-
The China Banking Regulatory Com-       Ping An IPO                             years of being named, according to          lished Suntech Europe Ltd. in London,
mission banned commercial banks         Ping An Insurance (Group) Co.           the announcement.                           a wholly-owned corporation, to serve
from giving loans for stock invest-     received regulatory approval to                                                     as its European headquarters. The new
ment and banks must investigate         launch IPO in March. Ping An ap-        CBRC-NBU MOU                                headquarters and sales offices in key
and call in all loans suspected of      plied to China Securities Regulatory    China’s Banking Regulatory Com-             cities in Europe are expected to begin
being used to buy stocks.               Commission to issue up to 1.15bn        mission (CBRC) and the National             operations later this year.

12                                                                                                   SHANGHAI BUSINESS REVIEW         MARCH 2007
Scandinavian Airline Chose                spend RMB1.1bn on an iron ore and
Beijing                                   sulphur mine. The Rohe mine will
                                          produce three million metric tons of
Scandinavian Airlines chose Beijing       minerals a year, according to the
as a hub for its future expansion         National Development and Reform
in China. Meanwhile, the Airline’s        Commission.
nonstop flights from Copenhagen
to Shanghai will stop in April as part    Chip JV
of the carrier’s new China strategy.
                                          Advanced Semiconductor Engineer-
It will have 10 direct flights to China
                                          ing Inc., a leading chip packager
after it opens a Beijing-Stockholm
                                          and tester, will set up a venture with
direct service four times a week
                                          NXP BV in Suzhou with 60 per cent
starting on 26 March.
                                          owned by Advanced Semiconductor
Financial Leasing Business                and 40 per cent controlled by NXP.
The China Banking Regulatory              Port Rail Line
Commission (CBRC) released a
                                          Shanghai’s Luchaogang Railway
rule to permit domestic and foreign
                                          Container Terminal, which is de-
commercial banks to directly set up
                                          signed to facilitate shipments to and
financial leasing companies in China
                                          from the Yangshan Deep-water Port,
from 1 March. It is the first time the
regulator has permitted commercial        started its first regular rail container
banks to deal in financial leasing         service driving up to the railway
since 1997, when they were required       station of Hefei. China Shipping
to withdraw from the business.            Container Lines Co. and Shang-
                                          hai Railway Container Terminal
Shanghai Insurance Tops Four              Development Co., investor of the
The Shanghai insurance industry took      Luchaogang line, signed an agree-
in RMB40.7bn in premium payments          ment to cooperate on the line.
in 2006, ranking the city fourth in the   NCR Introduced new Scanner
nation, according to the Shanghai
Bureau of China Insurance Regula-         ATM maker and cash register pioneer
tory Commission (CIRC). The top           NCR Corp. introduced its iTran
three markets were Jiangsu Province,      ImageTrac III and IV high-speed cooler
Guangdong Province and Beijing.           document image scanners in China.
                                          The scanner can scan as many as
Zara in Beijing                           400 documents per minute, including
Spain’s Inditex Group opened its first     cheques and application forms.
Zara store in Beijing in The Place
                                          Savills Opens Branch
shopping mall in the city’s central
business district area covering over      Savills Property Services Company,
1,500 sq. m of retail space.              a leading property advisor, opened
                                          its Tianjin branch as part of its efforts
New City Buys Facility                    to tap second-tier cities.
Tokyo-based New City Corp. bought
                                          Nestlé Opens Plant
Waigaoqiao Bonded Logistics Park in
Shanghai from Waigaoqiao Logistics        Nestlé opened its first pet food pro-
Corp. for an undisclosed amount.          cessing plant, Purina Petcare factory,
New City is mainly engaged in             in Tianjin Economic Technological
investment, development and asset         Development Area with an initial
management businesses.                    investment of RMB80m.

IPR Violation Case                        CNPC Donates in Sudan
China Aomei Network Co. Ltd., a           The China National Petroleum
computer game operator, was de-           Corp. will donate USD1.9m to
manding RMB100m in compensation           Sudan for the training of Sudanese
from Shanghai Holdfast Online Infor-      oil professionals and the improve-
mation Technology Co. Ltd. to defend      ment of the African country’s
itself against allegations of violating   social system. CNPC will offer the
the copyright of six computer games.      Sudanese Minister of Welfare and
Aomei was also seeking a public           Social Development USD1m to help
apology and demanding Holdfast            improve health care and welfare
delete the games and related content      conditions. Meanwhile, CNPC also
from its website.                         signed another agreement with the
                                          Sudanese Ministry of Energy and
Magang’s Mine Project                     Mining to pour USD900,000 into the
Magang (Group) Holdings Co.               training of local experts in the energy
received government approval to           sector. 

SHANGHAI BUSINESS REVIEW         MARCH 2007                            13
                                                            AROUND TOWN

In the month leading up to the Chinese New Year holidays, Shanghai was host to an inaugural
cosmetics expo and a regional annual conference for a global hotels group. A U.S.-based HR firm
offered its quarterly update on employment trends, while The Five discusses evolving IPR matters
with an experienced litigator.
 Trade Show

 Cosmetics Cover Expo Halls                                               ing in the United
                                                                          States, France and
   Beauty and vanity came together on 20,000 sq. m of floor space         Hong Kong, and is
 at the Shanghai New International Expo Centre (SNIEC), the site of       looking for a dis-
 the first Cosmoprof Shanghai show taking place over four days at         tributor in China.
 the start of February. Slimming machines, hair-colouring products        “I think the Chi-
 and sunless tanning lotions covered the rows of booths occupied          nese have a sense
 by both manufacturers and suppliers. “We took this opportunity to        for very good
 learn about the market in China,” says Soraya Rohde, President of        things and very
 Tucson, Arizona-based Desert Whale Jojoba Company, which sup-            good products. I
 plies jojoba oil and derivatives and natural emollients to customers     think people here
 like Estée Lauder and Lancôme.                                           are very concerned
   “The first contact with the Chinese market is very important for       about their skin.”
 us,” says Samuel Setton, Export Manager for Israel-based Odeyah            Desert Whale and Odeyah were among the more than 300 ex-
 Industries Ltd., whose ‘Mineral’ brand of products includes slim-        hibitors from 23 countries at Cosmoprof Shanghai, according to
 ming gels, hand creams, bath salt and sulphur soap. All products         organisers. Revlon held a hair-styling show at the centre of one of
 are said to be made from the 33 minerals from the Dead Sea. “This        the two halls, while other major cosmetics brands – from Shiseido
 is the only treasure we have in Israel,” he says. The company is sell-   to L’Oreal to SKII – were noticeably absent.

 HR Briefing                                                                Annual Conference

                         Banking Leads Rising                                                                    Speedy Growth for
                         Employment Trends                                                                       Hotels Group
                                                                                                                WorldHotels, the global group
                           “Hiring expectations are going back up
                                                                                                              of independent hotels, held its
                         again,” says Angie Eagan, General Manager,
                                                                                                              Asia Pacific annual conference
                         China, Hudson, “which means the business
                                                                                                              in China for the first time, in
                         engine has started again.” The Nasdaq-listed
                                                                                                              Shanghai’s Donghu Hotel. In
                         HR management services firm held its brief-
                                                                           addition to several group executives, more than 80 hoteliers in the
                         ing on 23 January, at Mesa & Manifesto, on
                                                                           region attended the event from 19 to 20 January.
                         employment trends in China and Asia for the
                         first quarter this year.                            “In our history, it was the fastest year of growth,” says WorldHotels
                                                                           CEO Michael J. Ball, speaking at a pre-conference briefing at Pudong’s
   The banking and professional services sector leads hiring expecta-
                                                                           462-room Eton Hotel, which joined WorldHotels last November.
 tions, with 77 per cent of companies planning to grow their staff
                                                                           Global revenues for the group grew 17 per cent during 2006, reaching
 as WTO rules come into force. Consumer goods and manufacturing
                                                                           USD227m. In Greater China, revenues rose 20 per cent to more than
 trail equally at 58 per cent, while media/PR/advertising firms are
                                                                           USD20m, while the portfolio grew from 25 to 35 hotels, with seven
 also strong on hiring, at 50 per cent. “Basically, the marketing en-
                                                                           in Shanghai. During 2006, WorldHotels had conversations with 650
 gine is getting faster and faster leading up to the 2008 Olympics,”
                                                                           independent hotels worldwide, as 72 joined the network.
 says Eagan.
                                                                             Overall, 65 to 70 per cent of the group’s hotels serve business travel-
  Overall corporate confidence fell, as 75 per cent of companies
                                                                           lers, according to Ball. “Members in Greater China are clearly keen to
 anticipate good or excellent performance over the first half of this
                                                                           learn more about how to tap the MICE market more effectively,” he
 year – dipping slightly from 82 per cent for the same period in 2006.
 Hudson’s quarterly reports survey decision makers of about 600            says, noting the region’s economic boom and the business activities
 MNCs operating in China.                                                  leading up to the Olympics in Beijing.

14                                                                                          SHANGHAI BUSINESS REVIEW      MARCH 2007
                                                          AROUND TOWN
 The Five
                                                                           Tan, who heads Baker & McKenzie’s IPR practice in China, Hong Kong
                        Tan Loke Khoon, Partner,                         and Vietnam, compares fighting piracy in China to climbing the Great
                                                                         Wall. “Every step brings you closer to the top, but there’s
                        Baker & McKenzie                                 always another turn around the corner,” he says. The
                                                                         climb has become easier over the last five years, thanks
                          “To get results, to get positive outcomes,     to legal developments, especially in civil litigation.
                        you really have to persevere, and you need       Internet sales of counterfeit goods, however, are
                        passion in this fight,” says Tan Loke Khoon,     becoming particularly tough to track and control.
                        who, for over 17 years, has been facing down     Tan answers the following question:
                        IPR pirates in China and Hong Kong. In what       What are five key ways businesses can try to
                        he calls a “war without end”, Tan is among       dodge the risk of IPR infringement in China?
the outnumbered litigators and advocates leading the charge against
                                                                          1. Be Proactive. Do not be an armchair critic. IPR
China’s countless companies peddling counterfeit goods and infringing
                                                                         protection is a self-help issue, and it is part of the cost of doing
the IPR of brands ranging from Gucci to Puma to, yes, Viagra.
                                                                         business in China.
  What is ironic, says Tan, is that “China has some of the best piracy
                                                                           2. Knowledge and Awareness. It is important not only to have a
laws in the world”. It signed bilateral IPR-related agreements with
                                                                         plan, but also to create a work environment where IPR awareness
the United States, Japan and the EU, while acceding to international
                                                                         is elevated, for example, on business cards, company stationery and
accords such as the Paris Convention and TRIPS of the WTO. But
                                                                         external press information.
such legal standards are plagued by “patchy enforcement,” says the
Hong Kong-based lawyer, who recently spoke in Shanghai at a British        3. Choose Excellent Service Providers. Work with third-party providers
Chamber of Commerce event and at the China Luxury Summit last            with an excellent track record of success and trusted integrity – whether
November. Tan published the book, Pirates in the Middle Kingdom:         they be investigators, lawyers and/or brand consultants.
The Art of Trademark War, in which he writes that despite “great           4. Education, Education, Education. A company can help educate
strides over the last 20 years” by Chinese authorities in creating an    the outside world by publicising its case or sharing its strategy in
international-standards trademark regime, “the relative effectiveness    building brand awareness.
of administrative, judicial and criminal enforcement of such rights       5. Be Creative. Law is often thought of as something confined in a box.
continues to be inadequate.”                                             Counterfeiters are smart, so you have to be creative and try other options.

SHANGHAI BUSINESS REVIEW   MARCH 2007                                                                                              15

              Rising Costs, Rising Profits?
                 What lies in store for Shanghai FIEs in the New Year?

                                     By Sheila Wong

16                                                      SHANGHAI BUSINESS REVIEW   MARCH 2007
   With the start of the Year of the Pig, Shanghai Business Review speaks with five professionals
    in varying fields to see what issues they believe will eventually shape 2007. The consensus
   – among an advertising expert, an executive search professional, a lawyer, an economist and
     a hotelier – is that growing interest in the region will only foster better business practices,
                          greater opportunities and more mature development.

The Advertiser & Marketer

       oseph Wang, Vice Chairman of Ogilvy       of branded entertainment; and greater focus         to digital space, not only via computers, but
       & Mather China, foresees a strength-      on “the last metre” point-of-sale. He believes      particularly through mobile devices. “Mobiles
       ened focus on marketing by domestic       that although local branding has grown in the       will be even bigger than computers once the
       brands; greater consumer involvement      past, it will take off this year. “Because profit   3G and 4G kick in,” Wang predicts.
       in online marketing and branding;         margins are so squeezed, Chinese companies            Efficiency in ad spending is another impor-
       greater emphasis on effective chan-       will have to go overseas to chase bigger prof-      tant issue for the coming year. “Our clients
nel spending and ad content; increased use       its. Before brands can take off overseas, they      tend to focus on cost effectiveness, and be-
                                                                         need to first establish a   cause there are so many different channels,
                                   “In China, the                        following locally,” Wang
                                                                                                     it’s vital that they understand what each
                                                                                                     channel provides,” Wang says. He points
                                   online market                          Consumers are also         out that everywhere from buses to elevators,
                                   is growing and                       playing a bigger role in
                                                                        developing brands and
                                                                                                     public video screens are creating a huge de-
                                                                                                     mand for content. “This is space for brands to
                                   consumers want                       products given the inter-    collaborate with providers and make branded
                                                                        active nature of modern      entertainment.”
                                   their voices                         media. “In China, the          But winning consumers over with the mes-
                                   to be heard                          online market is grow-       sage is only part of the battle. “That last metre
                                                                        ing and consumers want       inside the stores themselves, with the display,
                                   – and they’re                        their voices to be heard –   shelving and technology, is all going to be an
                                   increasingly                         and they’re increasingly
                                                                        vocal.” This year will
                                                                                                     increased focus of marketers,” Wang says.
                                                                                                     “Our clients want to spend the right amount
                                   vocal.”                              see a greater devotion       of money on the right thing.”

The Expatriate View

           The landscape for expatriates in
           China has improved considerably
                                                                      Another trend that is expected to
           in the last six years, particularly                        continue is greater mobility of talent
           in Shanghai, notes Rachel Fitton,
           Managing Director of SearchBank                            and willingness to accept placements
Executive Search, and she expects 2007 to
bring more of the same. “It gets better and
                                                                      in second- or third-tier cities.
better every year. Companies appear to be          As for lifestyle, expatriates’ and wealthy        have expanded or added campuses, yet there
quite positive and comfortable about the         Chinese’s demand for housing and comple-            are still waiting lists for most schools. With
developments in Shanghai and in China and        mentary facilities, such as international           the government limiting licensing in this
are continuing to invest and expand their        schools, is also growing. “Looking at hous-         area, the situation will not likely change in
operations here.” She has also noticed a trend   ing in places like the Jinqiao area of Pudong,      the near future.
among newcomers. “Not only are companies         you can see more complexes and villas being           Another trend that is expected to continue
coming to China to manufacture and export        developed focused on these customers,” she          is greater mobility of talent and willingness
products, but also more are coming and           says. “Six years ago, when I first came, there      to accept placements in second- or third-tier
expanding operations targeting domestic          was literally nothing there.” Fitton notes that     cities. “If we offered someone from Shanghai
consumption – from the financial services        places like Seasons Villa have seen rentals         a job in Ningbo six years ago, they wouldn’t
industry to the FMCG to the F&B, with each       double and occupancy reach 100 per cent             consider it,” Fitton says. “But now, people are
sector growing exponentially every year.”        recently. Meanwhile, international schools          more open to different options.”

SHANGHAI BUSINESS REVIEW    MARCH 2007                                                                                              17

The Lawyer

              number of legal issues will come   to stem corruption and other violations in the      the contract and labour agreement signed with
              to the fore this year, says Aar-   bidding, auctioning, and listing of operational     their employees,” he says. “Under the second
              on Wininger, Partner at Squire     land.” China is also continuing to reinforce its    draft, employers will lose their power to set
              Sanders & Dempsey, including       strict policy on land supply with the Minimum       rules for their employees’ vital interests [which
              regulations surrounding land       Pricing Standard, whereby land is classified        included compensation, working hours, rest
use, the Labour Contract Law and IPR. “The       into 15 grades and each grade has a mini-           and leave, among others].”
land supply issue in China has long been con-    mum granting price. “Some predict that the            “The patent law is in the process of being
troversial,” he says. “Efforts have been made    industrial use land price will go up in 2007,       amended and was submitted for public com-
                                                                      perhaps even as much as        ment late December,” he says. “As it is, the
                               “For most                              50 per cent higher in cities
                                                                      such as Shanghai.”
                                                                                                     patent law is in good form as it shares many
                                                                                                     similarities with Germany’s patent law. As
                               enterprises, the                        The Labour Contract Law       such, most of the amendments are clarifica-
                               biggest changes                       was released last year for
                                                                     public opinion and received
                                                                                                     tions or revisions to comply with international
                                                                                                     practice.” One of the biggest upsides of the
                               deal with the                         over 190,000 opinions           draft is that the maximum statutory dam-
                                                                     and suggestions, Wininger       ages have been doubled to RMB1m from
                               contract and                          notes. The law has under-       RMB500,000, a step towards allaying common
                               labour agreement                      gone a second draft and is
                                                                     currently under review by
                                                                                                     concerns regarding IPR enforcement in China.
                                                                                                     “This may still be considered a low amount,
                               signed with their                     the central government.         especially in comparison to judgments in a
                                                                     “For most enterprises, the      typical US patent infringement lawsuit, but
                               employees.”                           biggest changes deal with       it is a move in the right direction.”

The Economist

           wo key indicators to watch this       the oversupply of liquid-
           year are export growth and excess     ity. Excess liquidity has     “A unified corporate
           liquidity, says Shen Minggao,
           China Economist at Citigroup.
                                                 caused concerns about
                                                 an asset pricing bubble,
                                                                               income tax that will
              “The Chinese economy can con-      which could be a threat       raise taxes from 15 to
                                                 to sustained growth.”
tinue to grow around 10 per cent in the next
five years as long as exports are able to        Shen says. “To resolve        25 per cent will have
maintain a growth of 20 per cent or above. If    the problem, the Ministry
                                                 of Finance is looking to
                                                                               a great effect on some
it were to fall below 10 per cent, China could
face overcapacity and deflation problems         issue a USD200bn bond         profitable foreign-
                                                 and use the money to
followed by firm profit squeeze, bankruptcy,
and accumulation of bad loans. China also        buy foreign currency and      funded firms.”
needs robust export growth for the near term     invest overseas; this will
before its domestic consumption can com-         benefit the economy by sucking out part of its      first half of the year. In the credit sector, we
                                                 liquidity while easing pressure on currency         expect the Central Bank to increase reserve re-
pensate.” Because export growth depends on
                                                 depreciation.”                                      quirements of banks by the end of the year by
external factors, the government can do little
                                                                                                     one per cent from 9.5 per cent.” He adds that
to change it.                                      Several policy changes are also in store for
                                                                                                     the USD exchange rate will likely hit RMB7.33
  “With excess liquidity, money growth is        the coming year. “While it’s a gain to domestic     by the end of the year. “That’s pretty fast
still pretty fast despite the Central Bank’s     enterprises, a unified corporate income tax         depreciation, faster than last year, and it will
effort to tighten liquidity conditions. On       that will raise taxes from 15 to 25 per cent        likely have an impact especially for exporters
one hand, people aren’t spending enough of       will have a great effect on some profitable         in some low-profit margin industries. But tech-
their money to propel the economy. On the        foreign-funded firms,” Shen says.                   nological and management upgrading could
other hand, strong capital inflows exacerbate     “We also expect a rate hike some time in the       help offset part of the negative effects.”

18                                                                                            SHANGHAI BUSINESS REVIEW     MARCH 2007
The Hotelier

            ecruitment and retention will con-    are very driven, they’re smart, ambitious, and
            tinue to be a major challenge for     quick to learn.” He notes that young people
            all sectors in the coming year, not   especially are keen to improve their language
            the least the labour-intensive ho-    skills outside the training hotels provide. “Cre-
            tel industry, notes John Northen,     ating opportunities is also important. Many
General Manager of the JW Marriott. “In terms     people join our hotel in junior positions and
of human resources, Shanghai is an exciting       work their way up the ranks, people tend to be
place, it’s growing at a tremendous pace,         promoted pretty quickly in Shanghai.”
especially the hotel sector.” He notes that         Turnover in the industry is high, averaging
all the major international hotel brands are      between 15 to 20 per cent. ”People are con-
either present in the market or on their way.     stantly moving around, just ask any GM in
“The number of rooms in the four- to five-star    Shanghai if they’ve been here longer than five
range has gone from something like 1,000          years and I doubt if you’d find many,” Northen
to 20,000 in the last five years, and there’s     says. In an attempt to harness this transitory      “People in Shanghai
more to come.”
  With competition high for service staff,
                                                  talent, the International Branded Hotels of
                                                  Shanghai, an association of 50 members,
                                                                                                      are very driven;
Northen believes the key to retention is ensur-   this month launched a website modeled after         they’re smart,
ing the staff’s basic needs are met, including called “We’re hoping to
providing a competitive salary, nice uniforms,    recruit talent into this growing workforce, en-     ambitious and quick
good meals, the right tools to do their job, as
well as adequate training. “People in Shanghai
                                                  courage people to join this industry, and create
                                                  awareness within China and overseas.”
                                                                                                      to learn.”

SHANGHAI BUSINESS REVIEW    MARCH 2007                                                                       19

Sunny Skies for Chinese Solar Power
The global market for solar cells and panels is proving a bright spot for a number of China businesses.

By Lauren Hilgers

                                                                                                     production doubles,” Roussell says. “Increas-
                                                                                                     ing production in China is definitely having
                                                                                                     an impact.”
                                                                                                       Although the market is still growing, the
                                                                                                     ballooning number of Chinese solar, or pho-
                                                                                                     tovoltaic (PV), companies still face a number
                                                                                                     of challenges in the future. Their survival de-
                                                                                                     pends as much on their own ability to secure
                                                                                                     raw materials and market to foreign buyers
                                                                                                     as it does on the hope that rising demand
                                                                                                     will continue.
                                                                                                       Many of the most experienced solar compa-
                                                                                                     nies trace their current success back to 2003,
                                                                                                     when demand in Europe surged. SunTech
                                                                                                     Power Holdings Co. Ltd., the company whose
                                                                                                     success, many analysts say, catalysed China’s
                                                                                                     current boom, was poised at that time to take
                                                                                                     advantage of the expanding markets.
                                                                                                       “The European market started booming in
                                                                                                     2003; by then, we were well prepared to de-
                                                                                                     liver a large quantity of products,” says Holly
                                                                                                     Wu, Marketing Director for SunTech, one of
                                                                                                     the most successful Chinese companies oper-
                                                                                                     ating in this field. The company was formed
                                                                                                     in 2001 by PV scientist Zhengrong Shi. Shi
                                                                                                     studied in Australia and returned to China to
                                                                                                     build his solar manufacturing empire and its
                                                                                                     growth has been stellar. By the end of 2005,
                                                                                                     SunTech had an initial public offering (IPO) on
                                                                                                     the New York Stock Exchange, helping expand
                                                                                                     its capacity and catapulting the company into
                                                                                                     the global limelight.
                                                                                                       “We made a decision to go to the capital

                hile coal dust still darkens      biggest solar companies and rising demand          market to get more investment,” Wu says.
                                                                                                     “A successful IPO in the New York Stock
                the skies of some of China’s      from outside China’s borders. “The solar
                                                                                                     Exchange provided us with solid financial
                biggest cities, a number of       industry in China is primarily an export mar-
                                                                                                     ground for fast expansion.” It also caught the
                Chinese companies have            ket,” says Jodie Roussell, Associate Director of
                                                                                                     attention of many domestic and international
                moved to the cleaner envi-        the American Council on Renewable Energy.          entrepreneurs, says Kit Temple, CEO of ENF
ronment of the world’s fast growing solar         “It’s one of the fastest-growing areas of solar    Ltd., a PV market research and trade com-
power industry.                                   manufacturing.” Chinese companies are now          pany. “Shi was the number one richest man
  The production capacity of solar cell and       serving markets from California to Eastern         in China when SunTech launched the IPO,”
panel manufacturers operating in China has        Europe, helping increase production and so         Temple says. “This really caught people’s at-
more than doubled in the last year, driven        lower the world price of solar energy. “Prices     tention.” Today SunTech sells to markets in
largely by the increasing visibility of China’s   decrease from 10 to 15 per cent every time         every continent, not least Asia.

20                                                                                            SHANGHAI BUSINESS REVIEW    MARCH 2007
Out of the Shadows                                  government subsidies to survive, says Koot.               statements about new technologies in
                                                    In the future, reducing the cost of manufactur-           development, nothing yet has threatened
In addition to the low cost of labour and                                                                     the traditional, silicon-based methods and
                                                    ing will be a key factor in the survival of solar
overheads, Chinese companies have more flex-                                                                  panels Chinese companies specialise in,
                                                    manufacturers across the globe.
ibility when it comes to the quality of silicon                                                               Temple says.
                                                      “In the near future, the industry must cut
they use and contracts they offer, says Temple.                                                                 Last December, NanoSolar announced plans
                                                    down the price of solar modules so that re-
A Chinese manufacturer also presents a quick                                                                  to construct a production facility specialising
                                                    newable energy from solar can be competitive
alternative when foreign companies can’t meet                                                                 in thin-film solar panels that rely less heav-
                                                    with other kinds of energy,” says Michael
demand. “A lot of the panels in the West have                                                                 ily on silicon. Experts, however, question
                                                    Hsou, Marketing Director for Shanghai-based
simply been sold out,” Temple says. “They go                                                                  whether the technology is viable. “There are
                                                    Sunworld Solar Energy Technology Corp.
to their German manufacturer, and the Ger-                                                                    a lot of companies who make a new tech-
man manufacturer will say, ‘Not this year, I’m      Securing raw materials and streamlining
                                                    manufacturing is on the top of most solar                 nology and shout very loud about it,” says
afraid, maybe next year or the year after.’ This                                                              Temple. “It’s not always the one that shouts
has driven a lot of attention to China.”            companies’ lists.
                                                                                                                             the loudest who has the best
  Many Chinese companies pro-                                                                                                technology.”
ducing solar cells offer Western         “Everybody’s waiting for the                                                          Large companies like SunTech
buyers year-long contracts, much
shorter than those offered by their
                                         big bang – when the Chinese                                                         already invest in research and
                                                                                                                             development, but technology
western competitors, Temple says.        government comes up with a plan to                                                  will not be the turning point
The shorter contracts allow greater                                                                                          in the market, Temple says.
flexibility and often mean higher        stimulate the use of solar energy.”                                                 The greatest change in price
prices and higher profits when the                                                                                           and viability will come with an
market is in short supply.                                                                                    increase in demand – an increase many are
  As Western countries grow more comfort-           Increased Competition                                     looking toward China itself to drive.
able buying from Chinese companies, they            As competition increases, Chinese solar com-                “Everybody’s waiting for the big bang – for the
are starting to look to China as a first, rather    panies also face challenges from within. For              moment when the Chinese government comes
than second, choice, says Edwin Koot, Direc-        the smaller companies that are new arrivals               up with a plan to stimulate the use of solar
tor and Founder of Solar Plaza, a company           on the market, branding and information flow              energy,” Koot says. Support from the top will be
that provides information and consulting            will be important factors in their success, Hsou          a valued asset, but market demand from China
services for PV manufacturers and buyers            says. The companies will also have to keep up             could stimulate production to the point that the
around the world.                                   with increasing technology in the industry, an            industry will no longer rely on subsidies.
  “As Chinese modules prove that their quality      obstacle that, according to analysts, China’s               “The cost per watt is what is important,” he
is as good as any other manufacturer, more          largest companies are more than prepared                  states. “Bring down these costs and make the
and more countries will begin looking to            to tackle.                                                market demand independent, then you have
them,” Koot says.                                     Although many companies, like NanoSo-                   a self-sustainable market and then the sky is
Model Germany                                       lar Inc. in the United States, have released              the limit.” 

Since the industry started booming, the big-
gest market for solar PV has been Germany,
thanks to subsidies offered by the German
government. Overall, the nascent industry is
                                                     Synthesising Growth:
still greatly reliant on government support
– and money. Germany uses feed-in tariffs,
                                                     Chinese Manufacturers Data
which require utility companies to purchase a
certain amount of renewable energy each year         Date Solar Panel Manufacturers                                       Solar Cell Manufacturers
at a fixed price. The policy helps distribute the           Growth of Production Capacity in Megawatts (MW)               Growth of Production Capacity in MW
cost of solar energy to everyone on the grid.
  As their programme matures, however, the           2002: 81                                                             24
returns from Germany are decreasing. As part
of the initial programme, Germany’s feed-in          2003: 223 (175% increase)                                            45 (88% increase)
tariffs are set to decrease a certain amount
each year. Other markets, however, have risen        2004: 524 (135% increase)                                            87 (93% increase)
to help fill in the gaps left by the German mar-
ket – for example, demand is rising in Italy,        2005: 1,495 (185% increase)                                          360 (314% increase)
Spain, Greece, France, and certain states in
the United States.                                   2006 2,832 (84% increase)                                            1,355 (276% increase)
  Until solar energy can be competitive on                                                                                                       Source:
its own, however, the industry will rely on

SHANGHAI BUSINESS REVIEW     MARCH 2007                                                                                                          21

Curbing Shanghai’s Operating Expenses
Initial results from a poll of Shanghai CEOs and General Managers conducted by Shanghai
Business Review and CH-ina, a Shanghai-based business consultancy, reveal international
companies are feeling the pinch from increasing costs. We preview the results on what strategies
companies are using to address the problem.

           here is one thing on which all the
           120 CEOs, General Managers and          Have you found that the costs of operating in Shanghai
           Chief Representatives who have          have risen over the past year?
           taken part in the CH-ina/Shang-
           hai Business Review CEO Survey
agreed: Shanghai has not got any cheaper in
the past 12 months. In fact, more than 90%
have found operating costs have increased
– and of these, 43% found they had increased
  The chief culprit most cited by respondents
was the cost of labour. Nearly half the respon-
dents considered negotiating base salaries as      What were the main high cost drivers in 2006?
a high cost driver in 2006. There was little
variation between types of business or length
of operation. Whether in the manufacturing,
retail or services sector, FIEs are finding wage
bills are signficantly higher.
  Infrastructure costs such as land use, prop-
erty and power were also high on the list,
with about 37% of respondents viewing these
as having increased significantly. Somewhat
unexpectedly, third place was the costs of         Have you implemented the following as part of your cost management strategy?
compliance of new regulations at 33%, ahead
of rising raw materials costs (29%), other HR
issues such as retention strategies, training
or deferred pay (27%), and transportation and
logistics. Rising raw materials costs when
non-manufacturing companies were excluded
was predictably much higher at nearer 50%.

Relocation, relocation, relocation
More than three-quarters of those surveyed
were renegotiating supplier and service con-
tracts as a means to reduce costs. More than       Where would you move your operations?
30% were looking into reducing headcount as
a cost saving. Restructuring property require-
ments was also high on the list. More than 50%
were renegotiating office rents and nearly 40%
were looking at moving parts of their opera-
tion to cheaper parts of the city. Least popular
was 29% looking into the option of relocating
all or part of their operations out of Shanghai

22                                                                                   SHANGHAI BUSINESS REVIEW   MARCH 2007
within the next two years. For those consider-      tracted a much lower response at 10% and
ing moving operations to other parts of China,      6% respectively.                                      Getting a copy of
the most popular destination (with 43%) was           Despite the more expensive environment, Shang-
close by in the Yangtze River Delta.                hai continues to be an attractive place to invest.    the Survey
  However, few companies seemed to have             One-third of respondents are definitely looking at    The CH-ina/Shanghai Business Review CEO
plans to move their higher-end operations;          further investment; and 25% think it could be an      Survey will be published on 31 March.
the favoured operations were manufacturing          option. In contrast, relocating operations to India
                                                                                                          If you are running operations for a foreign
(22%), back office (20%) and warehousing            or Vietnam continues to be low on the list of solu-
                                                                                                          company and wish to take part in the survey
(20%). Regional HQs and R&D centres at-             tions with less than 7% planing such a move. 
                                                                                                          the final deadline for submissions is 10 March.
 Do you believe rising costs in Shanghai and other parts in China could lead to a partial relocation      The survey form is available at
 of operations out of the country, for instance to India or Vietnam, within the next five years?          cn/ceosurvey, or contact Christine Bei at 21
                                                                                                          6247 2203 or to receive
                                                                                                          an email version.

                                                                                                          All survey respondents – Free of charge
                                                                                                          Standard rate: Rmb395.00
                                                                                                          Early bird rate (for orders placed before 31
                                                                                                          March): Rmb295.00
                                                                                                          For further details, please contact Christine Bei
                                                                                                          at 21 6247 2203 or

   If increasing costs might make you consider relocating your Shanghai-based operations elsewhere in China,
   which operations would you move?

SHANGHAI BUSINESS REVIEW     MARCH 2007                                                                                                   23

China’s New IIT Return System
New laws require most China expatriates to fill in an annual individual income
tax return by 31 March or face severe penalties for non-compliance.
By Dave Dal Molin

                 ost expatriates are already        has long encouraged their continued residence       individual citizens and expatriates. The data
                 aware of China’s new laws          by turning a blind eye and making a passport        kept on expatriates includes passport details
                 requiring high-income earn-        the sole requirement to obtain a long-term          and visa number, name of employer, length of
                 ers to file annual individual      visa. Whether the SATs new laws and tracking        employment, position, reported income, taxes
                 income tax (IIT) returns. The      capabilities (see below) will lead to a change in   paid and taxes owed.
details of the new laws, however, remain            the way China handles this group is not clear,        Also contributing to better record-keeping
murky to some, and many are not aware of            yet seems likely.                                   capabilities are improvements to the SAT’s
additional measures that China’s State Admin-         What counts as taxable income in China is         information technology systems and abilities
istration of Taxes (SAT) has taken to improve       income derived from:                                to obtain and share information with other
detection of tax evasion.                                                                               government entities, including the Labour and
                                                     1) wages and salaries
                                                                                                        Immigration bureaus. This means that the
Self Reporting Criteria and Deadlines                2) the production and business operations
                                                                                                        SAT is more up-to-date on the number of days
Expatriates living in China should file a per-          by industrial and commercial households
                                                                                                        you spend in China, your occupation, place
sonal income tax return if their 2006 income         3) contractual or leasing operations of            of employment, and other related activities
meets any of the below four criteria. The filing        enterprises or institutions by individuals      within the country.
deadline is 31 March for criteria 1 and 4, while     4) remuneration for labour services
those with income situations corresponding to
                                                     5) remuneration for manuscripts
                                                                                                        Tax Evasion or Not Filing Returns
criteria 2 or 3 should have filed by 30 January                                                           Punishment for failing to file an income tax
or 7 January respectively.                           6) royalties
                                                                                                        return is a fine of up to RMB10,000. The pun-
 1) exceeds RMB120,000*                              7) interest or dividends                           ishment for tax evasion is a fine of up to five
 2) comes from two or more sources with-             8) the leasing of property                         times the amount owed. Foreign enterprises
    in China                                         9) the sale of property                            face severe penalties if found to be assisting
                                                                                                        employees in evading IIT.
 3) comes in part or entirely from outside           10) contingent income
    China*                                                                                                William Leong, cofounder of financial con-
                                                     11) other kinds of income specified as tax-
                                                                                                        sultants Willsonn Partners, warns that the SAT
 4) is not paid through a withholding                    able by the Finance department of the
                                                                                                        has income benchmarks for all types of high-
    agent that withholds IIT (for example,               State Council
                                                                                                        income professions, and if what you declare
    an employer)                                      Expatriates who have been in China less           on your tax return is far less than what they
  * If during the year you were outside China       than five years are not required to pay tax         think you should be making, you will likely
for 30 consecutive days or 90 cumulative days,      on overseas income. Those who have stayed           be notified. Leong says that tax authorities
then criteria 1 and 3 do not apply.                 in China longer than five years and have not        are becoming much more demanding when
                                                    spent either 30 consecutive days or 90 cumula-      dealing with suspected evaders. “Three to four
Who and What Is Taxed?                              tive days outside the country, should by law        years ago, they would ask for a letter of con-
Note that even if you do not meet any of the        report all sources of overseas income. This         firmation from your company as proof of how
above self-reporting criteria, you may still need   includes, besides salary, income from renting       much you earned. Nowadays they demand tax
to report your income and pay the appropriate       property, investments, interest and so on. If       returns from your home country.”
amount if a withholding agent (such as an           you also pay tax on your overseas income to           Tax partner Nora Wu at Pricewater-
employer) has not done so for you. For ex-          an overseas government that has a tax treaty        houseCoopers says, “Chinese tax authorities
ample, Chinese law stipulates that foreigners       with China, then that amount can be deducted        have been taking steps to strengthen the in-
staying in China more than 183 days during          from what you pay China.                            dividual income tax administration in recent
a year (or 90 days if the foreigner’s country         The accuracy of overseas income declaration       years, and the new (self-reporting) rule will
does not have a double tax treaty with China)       is of course difficult for China to verify. In a    be the most important step in enhancing the
should pay IIT in proportion to the number of       sense, therefore, it is a “voluntary admission”     tax administrative system.” It will also bring
days spent in the country. Tax applies to all       which is nevertheless law, notes Blaine Turna-      China’s IIT administration more in line with
income relating to your work in China.              cliff, lawyer at Lehman, Lee & Xu.                  standards for tax collection in developed coun-
  The new income tax rules also apply to the                                                            tries. As Baker & McKenzie lawyer Brendan
many expatriate artists, writers, teachers and      Strengthened Enforcement                            Kelly notes, the SAT was likely motivated in
others who work as freelancers or contractors         The new annual income tax filing require-         part to bring forth the new self-reporting rules
in China’s big cities, many of whom do not          ments are just one of many steps taken by the       by the fact that “Chinese nationals subject to
hold work visas. These workers are technically      SAT during the last few years to strengthen         worldwide taxes in other countries were pay-
not in compliance with China’s labour and im-       IIT collection. Local tax bureaus have been         ing more taxes abroad than they were paying
migration laws, but the Shanghai government         ordered to keep separate, detailed files on         to their own country”. 

24                                                                                              SHANGHAI BUSINESS REVIEW      MARCH 2007

Size Matters
Thierry Moschetti

                                                                                    SBR: Tell us about what Regus has been
                                                                                    up to in China for the past few years.
                                                                                    TM: We opened our first office in Beijing in
                                                                                    the Lufthansa Centre twelve years ago and
                                                                                    since then we have grown rapidly. We now
                                                                                    have 22 workplace solutions centres in Greater
                                                                                    China: six in Hong Kong, five in Beijing; two in
                                                                                    Guangzhou; two in Shenzhen, one in Dalian,
                                                                                    and six in Shanghai. The most recent one we
                                                                                    just opened last month at Silver Center close
                                                                                    to Nanjing Road in Shanghai, is the largest
                                                                                    centre we have worldwide and it can provide
                                                                                    managed suites for up to 400 people on flex-
                                                                                    ible terms.

                                                                                    SBR: One of the ways in which you have
                                                                                    expanded so rapidly is by making acquisi-
                                                                                    tions. Why did you adopt this strategy?
                                                                                    TM: Our clients have aggressive expansion
                                                                                    plans in China and they want us to secure
                                                                                    space for them in prime grade-A locations.
                                                                                    This can be hard to find quickly, particularly
                                                                                    in a fast growing market like Shanghai. So we
                                                                                    have successfully leased good office space in
                                                                                    new buildings like One Corporate Avenue, but
                                                                                    also used acquisitions of other serviced office
                                                                                    centres. By making acquisitions we can get
                                                                                    space up and running quickly - as well as tak-
                                                                                    ing over a portfolio of existing clients. To date,
                                                                                    we have made three acquisitions that have
                                                                                    added to our available space in China.

                                                                                    SBR: When you make an acquisition, there
                                                                                    is a need to bring the service levels of the
                                                                                    new location into line with the culture and
                                                                                    service levels of the Regus brand. Was this
                                                                                    a challenge in Shanghai?
                                                                                    TM: It can take time. Critical to a successful
                                                                                    acquisition is making a smooth and rapid
                                                                                    transition to our standards. Our top priority is
                                                                                    to focus on the staff and train them as rapidly
 Thierry Moschetti is General Manager – East Asia of Regus, the world’s largest     as possibly so they familiarise themselves with
 workplace solutions company. He arrived here with Regus back in 2004 when          our new processes and can provide the service
 it opened its fourth centre in China. Since then, the company has aggressively     levels that are integral to the Regus brand.
 grown its operations both organically and by acquisition. It now has 22 centres    This obviously takes some time, but we can
                                                                                    draw on a global team of highly experienced
 throughout mainland China. Last month, it opened its largest centre worldwide      managers who can oversee this and ensure
 here in Shanghai at Silver Center in Nanjing Road, adding a further 13,700         that it gets done, quickly and in a way that
 sq.m. to its office space and bringing its total workspace up to more than         does not impact adversely on the day-to-day
 34,000 sq. m. in the Mainland.                                                     running of the offices.

26                                                                            SHANGHAI BUSINESS REVIEW     MARCH 2007
SBR: How do clients react to a change of            in these – Shanghai and Beijing. But we are            in the coming years. However, a very encour-
ownership?                                          also watching with interest the development            aging trend is the number of local companies
TM: For the newly acquired clients it is only       of the second-tier cities. We already have             that are using our centres for their business
good news. Once an acquisition has become           centres in Dalian, Shenzhen and Guangzhou,             needs in Europe and North America. We feel
part of Regus, our clients automatically get        and cities like Chengdu, Chongqing, Qingdao,           confident that the benefits they experienced
our business lounge service whereby they            and Tianjin are looking interesting.                   there will start to filter back over here, and
can enjoy the use of facilities at our global        Although our client base here is still very           help us get the message out.
network of 950 offices in more than 400 cities      much international companies, we see the
                                                                                                           SBR: In your time here, what would you
                                                                                                           say has been the biggest challenge for
                        “Critical to a successful acquisition                                              you?
                        is making a smooth and rapid                                                       TM: I guess it would be people. Finding and
                                                                                                           training the right people to support our clients
                        transition to our standards.”                                                      on a daily basis and manage our China opera-
                                                                                                           tions. But I can say that I am really proud of
worldwide. We also bring to new centres an          local sector as offering us tremendous growth          what our China team has achieved so far and
exceptional IT platform that clients can use,       opportunities. We still have a perception              I am confident in its ability to grow our busi-
that generally upgrades the services they had       problem: local businesses tend to view us as           ness in the long term. 
on offer before. Looking back, I can say that we    just office space providers, whereas when you
have successfully integrated our new clients        take into account the hidden cost savings of
to the Regus network.                               all the additional services that come with us            This interview was conducted in collaboration
                                                    – administrative, reception and secretarial            with ITV-Asia, an internet business television
SBR: So where do you go from here?                  services, the use of our office facilities in 400      channel that can be found at
TM: We still see good opportunities for growth      cities, IT & IT support, total flexibility in upsiz-   com. A televised version of this interview will
in China. Our strategy in growing our business      ing or downsizing space requirements, etc - we         be available for viewing from April, and many
is to target the large Central Business Districts   actually offer substantial cost savings. And it        other interviews with leading business people,
of the principal cities, and we still see growth    will be one of our challenges to get this across       can be viewed there free of charge.

SHANGHAI BUSINESS REVIEW     MARCH 2007                                                                                                  27

Bridging the Cultural Divide
For international companies managing local staff performance, introducing
“best practice” standards or the latest management fads is often not nearly as successful
as a common-sense approach to overcoming the fear of failure, says Les Lothringer.

                                                                                                     most here in China and you’ll find that most
                                                                                                     report the same things. These include the
                                                                                                     drag on their time from micro-managing,
                                                                                                     difficulties with usefully training local staff,
                                                                                                     motivating local staff to be more effective,
                                                                                                     reducing HR turnover and sensitising them
                                                                                                     all to quality standards and the whole culture
                                                                                                     of quality.
                                                                                                       A common approach some organisations
                                                                                                     adopt is to simply introduce “best practice
                                                                                                     standards”, theirs or someone else’s, along
                                                                                                     with the operating manual, and then assume
                                                                                                     that everything will work out just like back
                                                                                                     home. This is not always the case.
                                                                                                       Recent developments in the field of Western
                                                                                                     medicine can serve as a useful reference point
                                                                                                     to open a discussion into the well intentioned
                                                                                                     yet sometime fruitless Western approaches
                                                                                                     to the management of staff within Foreign
                                                                                                     Invested Enterprises here in China.

                                                                                                     Evidence-based Analysis
                                                                                                     Western medical practice, a discipline that is
                                                                                                     thought to be entirely scientific, is undergoing
                                                                                                     a renaissance in the methods and approach to
                                                                                                     patient treatment. This new approach, entitled
                                                                                                     “evidence-based medicine” is, quite simply, the

 “Cheshire Puss ... Would you tell me please,               his mythical discussion between          application of the scientific method to clinical
which way I ought to go from here?”                         the youthful Alice and the all-          medical practice. You might be forgiven for
                                                            knowing Cheshire Cat illustrates         thinking, when you visited the doctor, that
 “That depends a good deal on where you                                                              the medical diagnosis and the treatment you
                                                            the twin business challenges of
want to get to’,” said the Cat.                                                                      received were indeed always scientifically
                                                            deciding where to go and how to
 “I don’t much care where,” said Alice.         get there. Deciding where to go is strategy;         based. After all, the scientific method has been
 “Then it doesn’t matter which way you go,”     how to go about it is tactical. Strategy is usu-     with us for a very long time now. Yet when it
said the Cat.                                   ally pitched as the hard part. In reality it’s the   comes to medical treatment - well, no, actu-
                                                tactics that are hard - the actual implementa-       ally, not always!
 “So long as I get SOMEWHERE,” Alice added
as an explanation.                              tion, the hands-on work.                               A great deal of medical practice has, in
                                                                                                     fact, been based upon authoritative medical
 “Oh, you’re sure to do that,” said the Cat.    The Same Recurring Challenges                        opinions and what has supposedly worked
Alice’s Adventures in Wonderland, 1865 - Rev.   Discuss with many China-based foreign CEOs           somewhere else in the world. And therein
C. L. Dodgson [ Lewis Carroll]                  and senior executives what concerns them             lies the problem. For a good deal of what is

28                                                                                           SHANGHAI BUSINESS REVIEW      MARCH 2007
supposed to work has not necessarily been
scientifically proven, but is just adopted pro-                                          “Managers grew more
cedures that have appeared to work sometimes
somewhere else. Just one example was the
                                                                                         confident simply by dealing
practice of placing new born babies to sleep                                             successfully with the risk and
on their front, instead of their back. This prac-
tice, possibly originating in the United States                                          uncertainty attached to new
but backed by medical celebrities, persisted                                             initiatives.”
for years and contrary to any evidence that
it was any good and against evidence that
it was not.                                          cal, empirical approach are characteristics of    solutions in the face of organisational resis-
                                                     the Chinese education system. Several of my       tance to change. And this brings me to the key
  Turning now to business management, if             Chinese colleagues point to the tediousness       point. The fear and inexperience behind their
this criticism sounds familiar that is because       in their university training and the lack of      objections was always couched in technical
management and particularly consultants to           practical relevance, where an over-empha-         terms and what they asserted to be techni-
management commit the same errors of judg-           sis on book work and unquestioned theory          cally feasible or infeasible. Of course I have
ment. In place of statements like authoritative      dominates. So, when it comes to maximising        seen this in the West, where non-technically
management opinions, try “world’s best               the performance of foreign ventures here, just    minded CEOs get “snowed” by short sighted
practice” or “best of breed”. These are usually      what does work?                                   technical staffers.
mantras that enable consultants to promote
methods and procedures and company man-              A Practical Example                               Saying Goodbye to All the Excuses
agers to be convinced that what they have
                                                     For most companies, it is actually not all that   How we got past that was firstly to work
bought and are applying will achieve their
                                                     hard. I’ll demonstrate that with a couple of      though all their technical objections, while ap-
performance goals.
                                                     70%-30% JVs that I renovated – what I did and     plying an admixture of leadership, coaching,
  Factually speaking, no one actually knows          what I didn’t do. At all times, practical and     mentoring plus some old fashioned pushing,
what “world’s best practice” is and the use of       simple solutions defined the approach. What       dragging, discussion and encouragement.
this or the “best of breed” label may well be a      I didn’t do was to ride the crest of the latest   What really instilled confidence was simply
substitute for the critical analysis and realistic   management fads that originate in the West;       - and as early as possible - to propose a
long-term thought needed for the situation           attractive as they are to managers, certainly     technical solution that worked and one that
a manager finds himself here in China. And           rewarding for consultants and sometimes           they either would not have thought of or else
what works in the West does not necessarily          disastrous for organisations.                     dismissed as unworkable. As I mentioned
work here in the East.
                                                       These two manufacturing JVs, located in         above, senior staff had the knowledge and
 To consider why, let us recognise some Chi-                                                           mental power to work it all out; it’s just that
                                                     Shanghai’s adjacent provinces, needed in-
nese work and management traits.                                                                       they wouldn’t.
                                                     dustrial, application-specific skills and the
The Persistence of Cultural Factors                  Chinese and foreign management needed im-           Note that we did not have the time to spend
                                                     mediate, or near immediate, profit-generating     (or waste – depending on your point of view)
While the conversion to a market economy             feedback to assist them in dealing with their     on the standard coaching and mentoring to
proceeds swiftly and haphazardly, social traits      actual problems. This feedback was needed         bring about psychological change. With our
change slowly. I refer to the Chinese tradition      in sufficiently fine detail to lock in lasting    approach, managers grew more confident
of heavy bureaucratic administration and             changes, particularly in how they approached      simply by dealing successfully with the risk
methods, often contradictory, resulting in a         and solved their business challenges. So our      and uncertainty attached to new initiatives.
mountain of office paperwork yet no formal           target was not just solving the immediate         In the part I played, we required no special
procedures for dealing with it. There is also a      business problems, but also locking in sys-       equipment, software, methodologies, visions,
strong cultural trait that leads to the avoid-       tematic thinking in the leadership team, who
ance of taking initiatives that might result in                                                        strategies or “world’s best practice”. It just
                                                     could then use that to go on to create better     required a deeper appreciation of technical
personal “mistakes” and blame. These factors         and more competitive solutions, consistent
pose major challenges for foreign companies in                                                         matters, recognition of real world psychology
                                                     with the higher performance found in fully        of people and a preparedness to deal with the
China. The obsession with bureaucratic group         developed industrial economies.
decision-making and a deeply felt need to-                                                             two most frequent and usually unstated objec-
                                                       Part of this transformation in managerial       tions – “it can’t be done this way” and “we’ve
wards error avoidance are highly problematic
                                                     style was achieved by us all working on the       never done it this way before”. 
features of the East Asian management style
                                                     problems of the day. Many problems were
when encountered in a Western management                                                                 Mr. Les Lothringer B.Sc., MBA, Grad. Dip.
                                                     technical and some were complex, thereby
context.                                                                                               Acctng, is a veteran business manager
                                                     appearing to require even greater technical
  And the desire to avoid mistakes may run           strength. Both the Chinese and Western senior     and consultant with over three decades of
very deep. For many action-oriented manag-           staff had the necessary technical knowledge       commercial experience including Business
ers, this can be a highly aggravating trait when     and the mental power to work out what ad-         Re-engineering, Management Consulting,
trying to get things done. Obsessing about it,       ditional knowledge might be needed. What          Interim Management and Profit Improvement
arguing with their staff about it and wishing        they lacked though was what I like to call        in diverse industries throughout the Asia
it was different is pointless and arrogant. The      “driving force”. That is, the confidence to go    Pacific Region. Les may be contacted via the
desire to avoid errors and the lack of a practi-     “the whole nine yards” in pushing through         Shanghai-based TalentSpheres Group, E-Mail

SHANGHAI BUSINESS REVIEW      MARCH 2007                                                                                             29

Feeding Retail
Shanghai is leading the country’s retail development, which is driving the logistics sector forward.
But, despite several supply chain parts already in place, local industry standards still lag behind.
By Anthony Lin

         hanghai’s retail presence pervades the main thoroughfares       retail sector are more of the same – more timely, more precise and
         of Nanjing Lu and Huaihai Lu and buzzing areas like Xu-         altogether more efficient.
         jiahui, even Lujiazui. The mass-scale outlets have become         “The retail and consumer goods business is among the most complex
         landmarks erected throughout the expansive city, from Gubei     logistics businesses, because it caters ultimately to one of the most
         to Zhongshan Park to Jinqiao. Together, they are very visible   demanding clients: the final consumer,” says Jim Ritchie, President and
signs marking Shanghai as China’s consumer capital, leading the          CEO of Meridian IQ, a global logistics services provider. “In the retail
country’s collective rise in spending power.                             and consumer goods business, everything is about speed to market,
  The supply channels that feed these retail outlets, small and large,   inventory control and order fill rates.”
may be less evident to the average shopper, yet they are crucial in        As complex as its logistics is, the retail sector accounts for 76.70 per
serving the continuous demand by retailers and consumers. And,           cent of logistics activity in China, according to a Jones Lang LaSalle
while logistics services have always been about delivering goods in      report released in January.
full from point A to B on time, the particular requirements for the

30                                                                                         SHANGHAI BUSINESS REVIEW      MARCH 2007
 The sector has seen a threefold increase over two years, rising from
314 foreign retailers in 2004 to 1,000 in 2006, says Trent Iliffe, Head
of Industrial, China, of the global property management firm. “That
impact is starting to filter through to logistics operators, suppliers
and buyers,” he says. The next largest logistics driver in China is the
automobile industry, at 15.80 per cent.

What Retailers Require
Thus far, China still presents daunting challenges for logistics operators
and retailers alike. That the country’s land mass is so vast and varied
demands more and more developed infrastructure – as impressive as
some of that may be – and not just that which surrounds urban com-
mercial centres along the coast. Operators say industry-wide standards
are still lagging behind, causing inefficiencies throughout the national
network. All of which add up to the reality that operating at an efficient
level here commands a high cost.
  Logistics spending occupies 20 per cent of company GDP in China. Or, as
Ritchie puts it in retailing terms, that’s 20 per cent of “the cost of goods
sold”. In mature markets in Europe and North America, for example,
logistics costs are half that, at nine to 10 per cent. “It’s important to
control this cost in order to be competitive globally,” says Iliffe.
  On the ground, meanwhile, and in the stores, the cost of inefficiencies
is as much about numbers as it is about customer satisfaction. “Unfiled
shelf space or late deliveries equate immediately to lost sales for our
clients,” says Ritchie of Meridian IQ, whose customers are in retail,
apparel and consumer packaged goods, among other industries. “Our
clients must be able to replenish stock regularly and react quickly to

   Logistics spending occupies 20
   per cent of company GDP in
   China – or 20 per cent of “the
   cost of goods sold”.
market trends while maintaining and monitoring the inventory levels
closely, as too much inventory increases costs, may spoil or will be
out of fashion.”
  In large part, logistics services providers act as proxies in the supply
chain for their retail customers, who, in turn, depend on operators, such
as Meridian IQ or the Switzerland-based Kuehne + Nagel, to manage
the flow of goods. “Retailers require the assistance of logistics provid-
ers in managing the vendors and orders, in order to ensure on-time
shipping with advance notice,” says Andy Weber, Managing Director
of Kuehne + Nagel (Asia Pacific) Management Ltd.

Assurance in Visibility
Visibility is a commonly used term and concept for logistics opera-
tors – that is, knowing precisely where the goods are en route, at any
given point between warehouse and store. “Retail and consumer goods
customers need full reporting and visibility as to what and when de-
tailed line items are shipped,” says Yvonne Lim, Regional Manager,
North China, of BDP International. “It must meet certain marketing
and product launch deadlines throughout different times of the year,
especially around the festive season.”

SHANGHAI BUSINESS REVIEW      MARCH 2007                        31

  “Since a large number of vendors and                                                              to extinguish problems that potentially arise
buyers are involved in different orders, it                                                         somewhere along the supply chain, thus
is very important for the retailers to have                                                         delaying delivery.
network-wide visibility of product flows.”                                                            BDP offers key services such as supplier
says Nicolas Tronel, Logistics Manager,                                                             management and timeline monitoring. “Qual-
Central/Eastern/Northern China, for France-                                                         ity control is another key factor which directly
based operator Geodis.                                                                              influences customers’ product cycle times,”
  Speed to destination is another key re-                                                           says Lim, referring to preventive measures.
quirement. Retailers’ supply chains are                                                             But the U.S.-based logistics company is also
“demand-driven, which requires fast and                                                             equipped with capabilities such as “emer-
dynamic solutions to cater to rapid changes                                                         gency stock replenishment” and “just in
in order demands,” says Tronel. Geodis em-                                                          time management”. BDP’s primary custom-
ploys 23,800 people worldwide and operates                                                          ers in the retail and consumer goods sector
in 11 cities in China, including Shanghai,             Cross-docking                                include McDonald’s, Revlon and Johnson &
Beijing, Tianjin and Ningbo, serving French
retailers in cosmetics products and other
                                                       distribution centres and                     Johnson.
                                                                                                      Retail-specific logistics solutions also cover
consumer goods, and European wine and                  warehouses serve to                          barcode scanning and labeling, kitting and
spirits producers.
                                                       store inventory in the                       assembly, container load planning, and docu-
                                                                                                    mentation and reporting. Kuehne + Nagel,
Specialised Services                                   consolidation stage.                         like a number of other logistics operators,
Given the particular needs of retailers, logis-                                                     also set up an IT service called “KN Login,” a
tics companies roll out a variety of services                                                       “globally integrated tracking, order and sup-
in order to compete in China’s market. The spectrum runs from basic       plier management system” that assists with customers’ “end-to-end
‘pick and pack’ services and vendor management to value-added             supply chain visibility and reporting”, says Weber.
logistics, even reverse logistics. At times, operators even have to act     Supplies to any one retail outlet commonly originate from various
                                                                          different sources, thus, requiring logistics operators to consolidate the
                                                                          finished goods before distributing them. In the consolidation stage,
 Current Warehousing Uses                                                 cross-docking distribution centres and warehouses serve to store
                                                                          inventory. However, for retail customers to avoid depleted in-store
                                                                          stock, says Tronel, it is then crucial to keep inventories “low enough
                                                                          to minimise carrying costs and respond to ever-changing consumer
                                                                          demands”. Retail sales are, after all, the penultimate link in the supply
                                                                          chain, as it is the frontline of logistics operations.

                                                                          Bumps in the Road Forward
                                                                          Iliffe, who headed the 12-month effort in compiling Jones Lang
                                                                          LaSalle’s 2006 logistics survey, speaks of rampant inefficiencies in a
                                                                          highly fragmented logistics market, while offering an extreme contrast.
                                                                          Moving goods, for instance, from Shanghai port to Chengdu requires
                                                                          five days and seven trucks, he says; in a developed market, that same
                                                                          distance would take about two days and merely one truck.
 Logistics Market Segmentation                                             “With labour and raw material costs rising in China, supply chain
                                                                          costs are an area for efficiency increases and savings,” says Ritchie of
                                                                          Meridian IQ. “The government here has recognised this and contin-
                                                                          ues to stress the importance of improving the logistics infrastructure
                                                                          and processes. Companies will continue to look aggressively for less
                                                                          expensive and reliable transportation, warehousing and distribution
                                                                          services and solutions.”
                                                                            For such reasons, a handful of mass-scale retailers in China have
                                                                          brought significant segments of their logistics operations in-house,
                                                                          setting up their own distribution centres, supported by their own
                                                                          networks. The home furnishings retailer Ikea opened the first stage
                                                                          of its distribution centre in Shanghai’s Songjiang district – its largest
                                                                          in the Asia-Pacific region – that has more than 90,000 cubic metres of
Source: Jones Lang LaSalle; China Supply Chain Council; Datamonitor       storage capacity. B&Q operates three distribution centres, in Shanghai,

32                                                                                          SHANGHAI BUSINESS REVIEW      MARCH 2007
Beijing and Guangzhou, to serve its 50                                                                Retailers and consumer
outlets nationwide; the Britain-based chain
is looking to add another 82 stores by the                                                            goods producers will
end of 2011. Wal-Mart, the world’s larg-
est retailer, invested RMB100m to build a
                                                                                                      continue to rely on the
logistics centre dedicated to footwear, add-                                                          number of logistics
ing to its two primary general distribution
centres in Shenzhen and Tianjin.                                                                      operators who are still
  Meanwhile, smaller retailers and con-                                                               navigating through
sumer goods producers will continue to
rely on the number of logistics operators                                                             China’s regionalised
who are still navigating through China’s
regionalised landscape, as well as the
labyrinth of regulations. Even if industry
standards are still being established, China’s WTO accession has, for           City Corporation recently invested an undisclosed figure to acquire
now, further opened the logistics industry to foreign investment. “As           the Waigaoqiao Logistics Centre Phase II, a stand-alone, two-storey
a result, there is growing competition among logistics providers to             warehouse that occupies more than 250,000 sq. m. It represents the
increase their investment ownership and logistics services coverage in          first China investment for the Tokyo-based, “Pacific Rim-focused” real
China,” says Tronel, of Geodis, “but such competition may not neces-            estate investment management firm.
sarily respond to customers’ needs.”                                              “The logistics industry in Shanghai has great growth potential,”
  And, inevitably in logistics as in other industries in China, it comes down   says Jeremy Chapman, Executive Vice President, New City China, not-
to personnel. “One of the practical challenges is the limited pool of people    ing developments at Yangshan and plans announced for Chongming
with the right background,” says Weber. “There are insufficient candidates      Island. “All these factors basically culminated in a strategy to invest
with adequate logistics experience and knowledge in the logistics industry      in the sector.” The traffic of goods traveling through Waigaoqiao has
in China, as compared with Europe and North America.”                           been growing at up to 25 per cent annually. Chapman adds: “With the
                                                                                expansion of the retail industry, there’s a natural growth that feeds
Cash Confidence                                                                  into the logistics industry.”
Yet, the areas that are still lagging behind do not obstruct the wider            Overall, China’s retail sales, being the overwhelmingly strong driver
view of the promising road ahead, for both logistics industry develop-          of logistics, are expected to grow by about 15 per cent a year in the
ment and business growth. Even as China’s arguably most advanced                coming years, according to Iliffe of Jones Lang LaSalle, while its
logistics hub, Shanghai still has plenty of room for development and            logistics sector is expected to grow at an average of 28 per cent per
investment. The work and money that have gone into Yangshan Deep-               year over the next three years. (In Europe and the United States, that
water Port, for example, have been well-documented, with Phases                 figure hovers around three per cent.) “So,” he says, “you can see an
I and II commencing over the last two years. At Waigaoqiao, New                 inefficient system operating at a huge growth.” 

SHANGHAI BUSINESS REVIEW      MARCH 2007                                                                                             33
                                                                      OFFSHORE TAX

The View Offshore
New tax developments in Asia Pacific.
by Sovereign Trust (Hong Kong) Ltd.

BVI legislates for private trust                           (goods and services tax), and other indirect taxes,”   The tribunal rejected Gaines-Cooper’s claim that
                                                           D’Ascenzo said.                                        he had moved his domicile on the grounds that
cos                                                        The Commissioner said the majority of tax              he retained connections with the UK. As well
The British Virgin Islands have brought in new             avoidance by Australian companies occurred             as educating his son in the UK and visiting his
laws, as of 1 January 2007, designed to make it            through transfer pricing by companies selling their    wife who was mainly based in the UK, he visited
easier for private trust companies to set up in the        own goods and services to overseas divisions of        regularly for pheasant shooting, Royal Ascot and
BVI. Under the proposals, most unremunerated               their company, so that most of a company’s profit       the Rolls-Royce Enthusiasts Club rally. It held
private trust companies that do not offer, and             could be booked in a country with low taxes. Since     that Gaines-Cooper was resident and ordinarily
which are not perceived as offering, their services        1998, the ATO had garnered more than AUD1.7bn          resident in the UK.
to the general public will be able to apply for the        in tax and penalty adjustments from audits of
new exemption from the licensing requirements              transfer pricing, together with disallowed losses                  Sovereign Comment
and other provisions of the BVI Banks & Trust              of around AUD1.9bn.                                    It is understood that Gaines-Cooper, whose
Companies Act.                                             He also said the ATO was seeing evidence of            businesses ranged from a jukebox company
Unremunerated BVI companies that merely hold               “aggressive” moves to avoid royalty and interest       in Henley-on-Thames to a medical equipment
assets as nominees or “bare trustees” and which            withholding, and currently had a number of cases       supplier incorporated in the Netherlands Antilles,
do not offer, or purport to offer, their services to the   under audit.                                           intends to appeal the decision. The ruling may
general public are expected to be automatically                                                                   affect a lot of people who avoid tax by carefully
exempted. It is also anticipated that those exemp-         New ruling hits “tax exiles”                           limiting their time spent in the UK. It also raises
tions will, once granted, take retroactive effect.                                                                wider concerns about the reliability of the Revenue
                                                           over days spent in the UK                              guidance. But the change in how residence and
Lisa Penn-Lettsome, President of the BVI Bar                                                                      domicile status are determined for tax purposes
Association, said that the ability of BVI-domiciled        The Special Commissioners ruled, on 31 October
                                                           2006, against British-born businessman Robert          means, conversely, that many wealthy foreigners
companies to act as trustees of trusts was integral                                                               who live and work in the UK are now less likely to
to the provision by an offshore financial centre of a       Gaines-Cooper, who sought to establish he was
                                                           resident and domiciled in the Seychelles for           be forced to pay UK tax.
comprehensive range of financial services.
                                                           the tax years 1992/93 to 2003/2004. If upheld
             Sovereign Comment                             on appeal, the ruling means that many wealthy          Thai foreign ownership rules
                                                           business people may be stripped of their non-          You may have read that Thailand has amended
Despite being a world leader for Incorporations,           resident status.
BVI has rather belatedly legislated for private trust                                                             its existing foreign ownership legislation to the
                                                           In Robert Gaines-Cooper v. Revenue & Customs,          general disadvantage of non-Thai nationals. In
companies. Sovereign has been setting up these             the appellant, who had business interests across
structures in other jurisdictions for many years.                                                                 fact, it is simply enforcing the existing legislation.
                                                           the world, purchased a house in the Seychelles         It has been common practice to hold Thai as-
For clients who dislike the loss of control entailed       in 1975 and obtained a residency permit in 1976.
by putting their assets into trust, a trust company                                                               sets, including freehold land, in a company that
                                                           He indirectly retained a house and assets in           is majority owned by Thai nationals (as required
ensures that the trustee remains under the control         England and latterly his wife and son resided
of the settlor and his family. This can remove much                                                               by the law), but where enhanced voting rights
                                                           in England. He often visited his family in the UK      give control to the minority shareholders. The
of the anxiety. Sovereign has particular expertise         at weekends, but he judged he was not liable to
in this area and can advise upon request.                                                                         “new” laws prohibit such minority control. This
                                                           tax because he had moved his domicile to the           will be of concern to anybody who owns property
                                                           Seychelles and spent fewer than 90 days a year         in Thailand through one of these structures. We
Australia to expand TIEA                                   on average in the UK.                                  have solutions, so please contact Sovereign if this
network                                                    Since 1993, days of entry and departure have           matter is of concern to you. 
                                                           been disregarded when calculating whether an
The Australian Taxation Office (ATO) plans to               individual has spent an average of more than           For further information on how Sovereign can
expand the number of tax information exchange              90 days in the UK during four consecutive tax          help your international tax planning, please
agreements (TIEAs) with offshore financial centres          years - or more than 183 days during any single        contact:
in a bid to restrict corporate tax avoidance.              year. Anyone who exceeds either limit is liable to     Jacques Scherman, Director
A TIEA with Bermuda was finalised last November             income tax.
and similar agreements with nine other countries                                                                  Sovereign Trust (Hong Kong) Ltd.
                                                           The Special Commissioners acknowledged that
are well advanced, said ATO Commissioner                   Gaines-Cooper had based his assessment of the          +852 2542 1177
Michael D’Ascenzo. Preliminary discussions                 days spent in the UK on Revenue guidance, but          email:
are also being held with several countries in the          agreed with Revenue & Customs that ignoring
Pacific Region.                                                                                                    Sunny Liew, Liaison Officer
                                                           both the dates of arrival and departure would
“We also want to extend our comprehensive                  create a distorted picture. It therefore adjusted      Sovereign Trust (China) Ltd.
treaties so that they will cover information               the time spent in the UK to include nights spent       +8621 6103 7089
exchange not just on direct taxes but also GST             in the UK.                                             email:

34                                                                                                       SHANGHAI BUSINESS REVIEW MARCH 2006
                                                                                                      SHANGHAI BUSINESS REVIEW DECEMBER 2007
The importance of having a will
By Tony Mustafa, Managing Director, Offshore2online
For most people, deciding on who to leave              and in doing so governs transactions such as                    rule a will has no legal effect until it is probated.
their assets to is the main decision they think        marriage, divorce, succession of property and                   A will should be probated immediately, and no
they need to make in their will. But there are         inheritance tax. A person’s domicile is related                 one has the right to suppress it. The person
more important decisions for parents to make.          to a distinct legal jurisdiction - a country like               with possession of a will, usually the executor
What happens to your children if both parents          England or Wales or a state within the US - but                 or the decedent’s attorney, must produce it.
are involved in an accident from which there is        not necessarily to the United Kingdom or the                    Most countries have statutes that impose
no survivor? Who will bring up these children          US as a whole. So it is important to know what                  penalties for concealing or destroying a will, or
in your place and what happens to them if the          your domicile is as it will govern the laws and tax             for failing to produce it within a specified time.
appointment is not made, and how will that be          liabilities governing the execution of your will.               Every will also must have in it the appointment
funded? If there is no will, or if it is out of date    Although a person may have more than one                       of an Executor and Trustee. Simply put, the
because it has not been rewritten since the birth      nationality,they can only have one domicile. A                  difference is that an Executor is the person
of children, then there is a problem. Remember         person’s domicile of origin is fixed at the time                 responsible for the administration work
that in most countries, the state takes over if        of birth and is the same as that of the person                  connected with a will, whereas a Trustee looks
there is no appointment of a legal guardian.           to whom they are legally dependent. Under                       after the various assets as they are collected
Good will can resolve all this and give peace          certain circumstances it can change and                         or liquidated before they become the property
of mind. For example, if both you and your             become one of choice. A domicile of choice is                   of somebody else. Often these are one and
spouse die and your children’s guardians live in       acquired by taking up residence in a country                    the same person, but it can be more, and
another country, there may be a period during          of choice with the intention of living there                    although this is traditionally a task given to a
which your children will need to be cared for          permanently. A substantial amount of proof,                     lawyer, a clearly drafted will makes it possible
on a temporary basis. In your will you can             however, is required for authorities to accept                  for a friend or close relative to do the job.
appoint someone locally who could be a friend,         this change. What the authorities may require                   All this may make the job of drafting a will
neighbour or your domestic helper to fulfill this       for recognition, amongst other things, is that                  seem somewhat daunting, which is why
important role until the legal guardians arrive or     the person no longer owns property, has bank                    Offshore2online has set up a guide to writing a
until the children return to their extended family.    accounts or holds any other assets in their                     will - It gives users a
At the same time you can make arrangements             domicile of origin. And if a person intends to be               simple, low-cost method to ensure that wills are
for money to be held in trust for your guardians       buried or cremated in the country which is his                  written properly and cover all contingencies.
and also the children.                                 or her domicile of origin, this will also result in             Ensuring your children’s future is secure in the
                                                       their domicile of choice having no relevance.                   event of a tragedy, no longer needs to cost you
Understanding Domicile
                                                                                                                       an arm and a leg.
Another issue that many overlook is the                Probate, Executors & Trustees
                                                                                                                       If you have a question that you would like Tony
importance of domicile. A person’s domicile            The probate of a will means proving its                         Mustafa to answer in this column, please email:
connects a person to a particular legal system         genuineness in probate court and as a general         

Your money. Which markets?
Every month, Offshore2online compares more than 20 leading fund
managers, 12-month forecasts of the performance trends for key financial
markets. Using this data, a consensus forecast is derived which indicates
which markets the experts believe will become high or low performers.
The accompanying table provides a summary of the results. Full details of
forecasts are available at

Using AIM for higher returns
Offshore2online provides an active investment management (AIM) portfolio
service whereby we automatically switch our clients’ investments, using
the market consensus, into those financial markets anticipated to give the
highest returns in the coming 12-month period.
The accompanying table tracks the performance of AIM compared with other
major market indices. As can be seen, AIM has outperformed all indices
since its inception.
For more information on this and how it may help increase your investments,
log on to

For further information on Offshore2online, please contact
Tony Mustafa, at:                                        Source and copyright:

SHANGHAI BUSINESS REVIEW       MARCH 2007                                                                                                                 35
                                                     MERGERS & ACQUISITIONS

Who’s Buying Whom?
This month’s M&A news in key business sectors.

                                                     Rotary Vortex’s RMB562m purchase of a 25 per               necessary regulatory approval to buy a 70 per
Energy & Power                                       cent stake in the Group’s publicly traded unit,            cent stake in Shandong Lingong Construction
                                                     Shuanghui Investment and Development Co.                   Machinery Co. Ltd for RMB327.5m.
CNOOC Targets Hunt
China National Offshore Oil Corp. was reported                                                                  Shuanghong Acquires Sterope
to be in discussions to acquire Hunt Oil Co.’s       Infrastructure                                             Century Shuanghong Display Devices Co. Ltd.,
stake in Yemen’s first liquefied-natural-gas                                                                    a JV between Changhong and Irico Group
(LNG) operations for about USD600m. Hunt has         Road King Acquires Sunco Stake                             Electronics, acquired 75 per cent of Netherlands-
a 17.2 per cent stake in Yemen LNG Co., which        Road King Infrastructure Ltd. acquired a further           based Sterope Investments BV for USD99.9m.
is planning an USD3.7bn project as it tries to       39.74 per cent of Beijing-based Sunco Property             The acquisition gives Shuanghong the indirect
produce 6.7 million tons of LNG a year.              for RMB1.3bn after buying a 55 per cent stake              shareholder interest, previously held by Sterope,
                                                     in the firm last September. Sun Hongbin, the                in the South Korean plasma panel manufacturer,
Electric-Crane & Conveyor                            founder of Sunco, will retain the remaining 5.26           Orion PDP.
Shanghai Electric Co. will buy a 97 per cent stake   per cent stake. After acquiring Sunco, Road King
in Shanghai Crane & Conveyor Works Co. from          will expand its China property business to over            CIMC Eyes Burg
its parent Shanghai Electric (Group) Corp. for       16 cities, covering 39 projects with a construction        China International Marine Containers (Group)
RMB152m. At present, Shanghai Electric holds         area of 12.5 million sq. m.                                Ltd. (CIMC), a leading producer of freight
a 2.76 per cent stake in the crane manufacturer                                                                 containers, plans to buy Dutch container maker
through Shanghai Heavy Machinery, a wholly-                                                                     Burg Industries B.V. to expand in Europe and
owned subsidiary.                                    Manufacturing                                              extend its product range. The acquisition will be
                                                                                                                made through a EUR60m JV held 80 per cent
                                                     Baosteel Buys Rival                                        by CIMC’s wholly owned Hong Kong unit, CIMC
Financial Services                                   Shanghai Baosteel Group Corp. agreed to                    Tank Equipment Investment Holdings Co., and
                                                     pay RMB3bn to buy a 69.61 per cent stake in                20 per cent by one of Burg’s shareholders.
Dalian Bank Sells Stake                              smaller rival Xinjiang Bayi Iron & Steel Group,
Dalian City Commercial Bank sold nearly a 25         with the remaining stake going to Xinjiang’s local
per cent stake to foreign investors including        government. The takeover will also give Baosteel           Media & Telecommunication
Canada’s Bank of Nova Scotia (Scotiabank) and        a 53.12 per cent stake in Shanghai-listed Bayi
the International Finance Corp. (IFC). According     Iron and Steel Co., a subsidiary of Bayi Group.            China Mobile to Pakistan
to an earlier report from Shanghai Securities                                                                   China Mobile will pay USD284m for an 88.86
News, Scotiabank and IFC have reached an             China Steel in Baosteel JV                                 per cent stake in Pakistan’s mobile phone firm
initial deal to pay over RMB2bn for the combined     China Steel, Taiwan’s leading steel manufacturer,          Paktel Ltd., a unit of Luxembourg-based Millicom
25 per cent stake in the bank.                       bought a 10 per cent stake for USD1.5m in a                International Cellular SA, marking its first major
                                                     JV in Jiangsu province led by the mainland’s               overseas acquisition. The acquisition followed
Warburg Buys into ZK                                 Baoshan Iron & Steel (Baosteel). Baosteel holds            CMCC’s abortive bid last year for Millicom, which
Warburg Pincus, an American private equity firm,      a 45 per cent stake in the venture, while China’s          runs mobile networks in 16 countries in Latin
bought a 25 per cent stake in Shanghai ZK Real       Jiangsu Baixue Electric Appliances and Van                 America, Africa and Asia.
Estate Development Co. Ltd. for an undisclosed       Shung Chong Holdings of Hong Kong hold 30
amount. According to the deal, Warburg Pincus        per cent and 15 per cent, respectively.
agreed to provide at least USD30m for a                                                                         Travel
                                                     DaimlerChrysler-Beiqi Foton
housing project invested and managed by ZK                                                                      Changi Invests in Nanjing
Real Estate.                                         DaimlerChrysler AG will pay RMB817m to take
                                                     24 per cent shares in China’s Beiqi Foton Motor            Singapore’s Changi Airports International made
BOC’s RMB1bn Deal                                    Co. and become its second-largest shareholder.             its first investment in China, buying a 29 per cent
                                                     DaimlerChrysler also agreed to form a strategic            stake in Nanjing Lukou International Airport for
Bank of China will pay about USD950m for
                                                     partnership with Beiqi Foton, helping it upgrade           USD138m. It represents the first private-equity
Singapore Aircraft Leasing Enterprise, becoming      Foton’s medium and heavy duty trucks.                      investment deal in a Chinese airport by an
the first acquisition by a state-owned bank. The                                                                 overseas airport. The Nanjing airport handled
final cost of the acquisition, which will assume      Philips Buys into TPV                                      6.27 million passengers last year, up 16.4 per
at least USD2.28bn in debt, will reach about         Royal Philips Electronics NV will become the largest       cent from 2005.
USD3.5bn.                                            shareholder of computer monitor maker TPV
Goldman Deal Approved                                Technology, as BOE Technology Group of China,
                                                     which currently owns the biggest stake in TPV, plans       Retail & Consumer Goods
The state-owned Assets Supervision and               to sell about half of that for up to HKD1.1bn. After the
Administration Commission of Luohe, in Henan         sale, Philips will hold a 13.6 per cent stake of TPV,      Home Depot, Home Way
province, won approval from the Ministry of          followed by BOE’s 11.56 per cent.                          Home Depot acquired Home Way, the Tianjin-
Commerce (MOFCOM) to sell its 100 per cent                                                                      based home improvement retailer, a deal that
stake in Shuanghui Group to Rotary Vortex            Volvo CE Buys into Lingong                                 will give the U.S.-based retailer presence in 12
Ltd. for RMB2.01bn. MOFCOM also approved             Volvo Construction Equipment received all                  stores in six Chinese cities. 

36                                                                                                      SHANGHAI BUSINESS REVIEW MARCH 2007
                                                                                                        SHANGHAI BUSINESS REVIEW MARCH 2007
                                                                      LAW & TAX

Regulatory Update
New legal and tax developments affecting foreign invested enterprises in Shanghai.
Provided by CCH China

                                                       ber 2006. Under the Provisions, information about        they account costs, they will enjoy the preferential
Legal News                                             salespeople’s credit should contain the basic            policy of value-added tax refund, based on the
                                                       materials of insurance salespeople; the records          proportion of sales. If they fail to calculate the
New Measures on Insurance Statistics                   of job changes in the insurance industry; and            costs, they won’t receive the refund.
To tighten control over the administration of          information involving records of bad credit, for         The Circular took effect on 20 December 2006.
statistics involving insurance firms’ foreign          example, if they were ever punished by insurance         SAT requires its local offices to check and verify
currency operations, and to improve the quality        companies, insurance regulatory institutions or          value-added tax refunds involving embedded
and comparability of statistical information           professional organisations.                              software prior to the issuance of the Circular. If
about foreign currencies, the China Insurance          Moreover, insurance companies can provide                they find that refunds should be issued for some
Regulatory Commission (CIRC), on 26 December           information regarding salespeople’s professional         embedded software, they should address the
2006, issued the Procedures for the Administration     credit with relevant service institutions, only          issue in a timely manner.
of Currency Used for Making Statistics on              after they have obtained permission from the
Insurance Foreign Currencies, and the Conversion       salespeople. Insurance companies and service             Donations Deductible From Income Tax
Rate (Procedures). Insurance companies and             institutions should not collect such information         The State Administration of Taxation (SAT) recently
insurance asset management firms should comply          through illegal means.                                   confirmed that the sum donated by taxpayers to
with the Procedures.                                   The Provisions took effect on 1 January 2007.            the China Narcotics Control Foundation (CNCF)
The Procedures stipulate that CIRC and its                                                                      can be deducted from the taxable amount of
agencies are responsible for compiling statistics      Information Disclosure of Stock Transfers                enterprise income tax or individual income tax
involving the foreign currency operations of           The Securities Association of China (SAC) has            prior to tax payment.
insurance firms and insurance asset management          announced, effective on 1 May 2007, that if              In accordance with the Circular on Questions
firms. The currencies used when compiling the           firms engaged in stock transfers fail to disclose         Concerning Taxpayers’ Contributions to China
statistics include the U.S. dollar, the euro, yen,     their annals on schedule, they will be allowed to        Narcotics Control Foundation that can be Deducted
Hong Kong dollar and the pound.                        conduct only one stock transfer on Friday of each        from Taxable Amount of Income Tax [Guoshuihan
The Procedures also stipulate that insurance           week. Moreover, the firms will be required to issue       (2006) 1253] (Circular), if the sum donated by
institutions should submit the following statistical   announcements, prior to 15 April 2007, explaining        taxpayers to the CNCF is less than three per cent
information involving foreign currencies to CIRC       why they missed the deadline, and confirming the          of the taxable amount of annual enterprise income
and its agencies: statistical information compiled     predicted date the information will be disclosed.        tax, or doesn’t exceed 30 per cent of the taxable
based on the above-mentioned currencies;               Under the Circular on Improving the Work of              amount of individual income tax, the sum is allowed
statistical information compiled by converting         Disclosure of 2006 Annals of Firms Engaged in            to be deducted from the taxable amount of income
foreign currencies into the U.S. dollar; and           Stock Transfers (Circular), which was issued on          tax prior to tax payment. 
statistical information compiled by converting         4 January 2007, firms engaged in stock transfers
foreign currencies into China’s renminbi.              must complete the compilation, submission and             This article was first published in the China Law
The exchange rate used when converting                 disclosure of their annals prior to 15 April 2007. The    Express (, and is
foreign currencies into the U.S. dollar will be        deadline must not be behind the date of disclosing        reprinted with the kind permission of CCH China,
the monthly conversion rate announced by the           the first quarterly report of 2007. Firms that transfer    a leading provider of tax and accounting, legal and
State Administration of Foreign Exchange. The          stocks five times each week must issue an analysis         HR information.
exchange rate used when converting foreign             report on their annals within 10 working days after
                                                                                                                 China Law Express is a daily bilingual legal news
currencies into the renminbi will be the middle        they have disclosed their annals.
                                                                                                                 service, featuring briefs and commentary on legal
price of foreign exchange quotations announced         If firms are expecting a deficit in 2006, relevant          developments and court case reports.
by the People’s Bank of China, the central bank,       securities companies should urge them to issue an
on the last day of each accounting period.                                                                       New from CCH China:
                                                       announcement regarding risks within 30 working
The Procedures took effect on 1 January 2007.          days after the fiscal year.                                 Beijing Employment & Labor Law Guide:
                                                                                                                     Chinese, loose-leaf subscription, with
Shanghai’s New Credit Information System                                                                             commentary and legislation.
                                                                                                                  Essential HR Solutions: Letters, Forms and
The Shanghai bureau of the China Insurance             Tax News                                                      Policies. 2nd edition, bilingual, CD with manual
Regulatory Commission (Bureau) has outlined
the purpose of and principle for establishing          VAT Refunds for Embedded Software                          Sarbanes-Oxley Manual: a handbook for the
the information system of professional credit of       The State Administration of Taxation (SAT) now                Act and SEC rules, bilingual loose-leaf book,
insurance salespeople in the Shanghai Municipality,    requires payers of the value-added tax who sell               with commentary and legislation
Tentative Provisions for the Administration of         computer networks, computer hardware and/or                Sarbanes-Oxley Act: Planning and Compli-
Information System of Professional Credit of           equipment that accompanies sales of embedded                  ance, bilingual loose-leaf book with commen-
Insurance Salespeople (Provisions). The Provisions     software to calculate costs.                                  tary and legislation.
also outline the rights and obligations of relevant    Under the Circular on Questions Concerning                 Legal Manager, Chinese journal.
parties during the process of collecting information   the Policy of the Value-added Tax of Embedded
of salespeople’ s credit, and maintaining and using                                                               China Tax Intelligence, bilingual journal.
                                                       Software (Circular), which was issued on 20
the information system.                                December 2006, if payers of the value-added tax           For more details, please visit, call
The Bureau issued the Provisions on 29 Decem-          sell embedded software developed by them, and if          86 21 6391 0808 or email

                               MARCH 2007                                                                                                               37
                                                               COUNTRY FOCUS

German Precision
German companies are making their mark in several different
sectors in Shanghai and across China.

By Sheila Wong

              s the EU’s largest economy               2005, Germany has allocated an accumulated
              and the world’s third-largest            USD12.5bn in investments in China,” says
              exporter, Germany is a formi-            Dr. Albrecht von der Heyden, Consul Gen-
              dable economic force, one that           eral of Germany in Shanghai. An additional
              has built its strength on trade.         USD1.6bn was invested in the first 11 months
Total exports were estimated at USD1.13 tril-          of last year. “The number of investments from
lion in 2006, while total imports were around          Germany is substantial, but they could be
USD916.4bn. Total trade between Germany                even higher if, for example, the framework
and China, meanwhile, reached USD71bn                  conditions for the effective protection of IPR
from January to November 2006, represent-              and law enforcement, and full participation
ing an increase of 24.5 per cent from 2005.            in trade and services could be further im-
  Germany is among the world’s top ten                 proved in the Shanghai region.”
foreign investors in China. “Up to the end of            German companies in the Shanghai re-
                                                       gion are largely active in the automotive,
                                                       electronics, chemical and pharmaceutical,
GERMANY FACTS*:                                        financial services, and logistics sectors. Von
                                                       der Heyden notes that there is strong and
GDP:                                USD2.86 trillion   growing investment interest in chemical
GDP growth rate:                    2.2%               production as well as environmental protec-         “Up to the end of 2005, Germany has
                                                       tion. “Environmental protection is about to         allocated an accumulated USD12.5bn in in-
GDP per capita:                     USD31,400          form an important part in the activities of         vestments in China,” says Dr. Albrecht von
                                                                                                           der Heyden, Consul General of Germany in
GDP composition (sector):           Agriculture 0.9%   German companies in China, and Shanghai,
                                    Industry 29.1%     in particular,” he adds.
                                    Services 70%         Germany’s biggest and best known companies
                                                       have had an early start in China, with many        Auto Manufacturers
Population:                         82.4 million       arriving in the late 1980s and early 1990s,        Auto manufacturing is one of Germany’s
Labor force:                        43.66 million      and China continues to be an integral part of      most important sectors as it accounts for
                                                       their global strategy. Top companies, includ-      every seventh employee and about 40 per
Labor force by occupation:          Agriculture 2.8%   ing Siemens, Volkswagen, Bayer, BASF, Bosch,       cent of the country’s exports. China is im-
                                    Industry 33.4%     ThyssenKrupp and Infineon, have invested an        portant to Germany both as an assembly
                                    Services 63.8%     estimated EUR7.9bn in China in 2006. The more      and manufacturing base and as a growing
                                                       recent arrivals are a legion of SMEs, considered   consumer market as it is the second largest
* All figures 2006 est.   Source: CIA World Factbook
                                                       the backbone of Germany’s economy.

38                                                                                                SHANGHAI BUSINESS REVIEW    MARCH 2007
                                                        COUNTRY FOCUS

auto market in the world, after the United
States, and is expected to expand a further
15 per cent this year.                                                                                               Once one of the busi-
                                                                                                                     est squares in Germany,
  Amid this rapid growth is an increasingly                                                                          the Potsdamer Platz in
competitive field, one with all the major car                                                                        central Berlin became
manufacturers vying for favour. Volkswagen,                                                                          known as the largest con-
which once dominated the market with a 50                                                                            struction area in Europe
                                                                                                                     during the 1990s. Again a
per cent share in 2003, has seen its fortunes
                                                                                                                     centre of commerce, the
wane and rebound. A radical restructur-                                                                              square is now home to
ing plan implemented in October 2005 has                                                                             several landmark towers,
helped boost its sales by 28.7 per cent in the                                                                       a shopping and enter-
                                                                                                                     tainment complex, and
  “In auto manufacturing                                                                                             residential buildings.

  China is important
                                                 first nine months of 2006. Part of its cost-      Corp., will introduce 12 to 14 new models
  to Germany both                                cutting plans included the centralisation of      between 2005 and 2010. They will fall under
  as an assembly and                             its sourcing operations and an increase of        a branding strategy that will include Skoda,
                                                 its localisation of auto parts for its Chinese-   a new brand to the market, alongside the
  manufacturing base                             made vehicles.                                    Volkswagen and Audi brands.
  and as a growing                                Volkswagen and its two JVs, one with the           DaimlerChysler in June announced plans to
                                                 Shanghai Automotive Industry Corp. and            increase the amount of Chinese-made auto
  consumer market.”                              another with the First Automotive Works

40                                                                                          SHANGHAI BUSINESS REVIEW   MARCH 2007

Geared up for New Production

The Schaeffler Group is one of the leading roll-      Schaeffler (China) Co., Ltd. As demand for            protection makes a significant contribution to
ing bearing and linear products manufacturers        large-size bearings currently far exceeds supply     the success and the sustainable development
worldwide as well as a renowned supplier to          in the Chinese market, the launch of the new         of a company. The Schaeffler facilities at all
the automotive industry. With its three strong       production line of Schaeffler Group is timely,        locations have been awarded environmental
brands – INA (est. 1946), LuK (est. 1965), FAG       and symbolises Schaeffler’s confidence in            certifications which comply with strict German
(est. 1883), the Schaeffler Group is active in        expanding its business in China.                     standards. In production, all the processes are
the automotive, industrial and aerospace sec-                                                             inspected for their environmental compliance
tors. Since its debut, the Schaeffler Group has                                                            according to legal and internal specifications.
been striving for excellent production expertise,    Consistent Pursuit of Quality                        This has minimized potential risks of adverse
outstanding product quality and creative ap-                                                              environmental effects and our finished products
plication solutions for its customers. Schaeffler                                                          also help reduce environmental pollution and
Group is a global leader in the industry, and        The Schaeffler Group is committed to achieve          protect natural resources in the long term.
has total sales of approximately 8.3bn euros         its quality objective of “Zero Defects” in all ar-
in 2006, with about 63,000 employees at more         eas. A commitment to quality is an integral part
                                                     of the corporate culture of Schaeffler Group,         Promoting and Challenging Employees
than 180 locations globally.
                                                     and is embraced throughout its daily operations
Having operated in the Chinese market for more       at INA, FAG and LuK facilities worldwide. From
than 25 years, Schaeffler now has three produc-                                                            The Schaeffler Group regards its employees as
                                                     the design phase to the manufacturing stage,         its most valuable asset. The HR policy of the
tion bases in Shanghai, Taicang and Ningxia,         the consistent and strong quality manage-
and ten sales offices nationwide.                                                                          company focuses on promoting and challenging
                                                     ment system of Schaeffler Group guarantees            its employees. Personnel development is char-
The strong commitment of Schaeffler Group             the highest standards of product safety. This        acterised by continuing education and training.
to the booming Chinese market has been               strong commitment to quality is an important         Within Schaeffler Group’s companies, there
proved with its increase in investment in the        prerequisite for establishing trust with our         are great opportunities for further professional
manufacturing base and its R&D center. The           customers, suppliers and employees. And our          development and exciting career prospects.
large-size bearing production line has been put      success speaks for itself. INA, FAG and LuK are      Management LIFE, for example, is a forum for
into operation in Plant II in Taicang on Jan 2007.   among the industry’s leading manufacturers in        managers, which combines targeted further
This production line has introduced advanced         cold-forming technology, forging, metal-cutting      education with the exchange of knowledge and
manufacturing technology from Germany at             and assembly.                                        the development of personal networks. As a
substantial cost. It will mainly produce cylindri-                                                        family company, Schaeffler Group combines a
cal roller bearings, spherical roller bearings                                                            long-term strategic focus on human resources
and large-size tapered roller bearings in three      Sustainable Management                               with modern management methods and attrac-
different categories for transmission gearboxes                                                           tive job opportunities. This approach has been
and wind-power generator appliances.                                                                      very successful as can be seen by the low em-
                                                     In addition to Schaeffler Group’s orientation
                                                                                                          ployee turnover, and the high level of employee
“We will make good use of this new production        to long-term and sustainable development,
                                                                                                          identification with the company. 
line to serve Chinese customers and reinforce        effective environmental protection and manage-
our presence in the Chinese market,” remarks         ment is also a cherished corporate objective.        For more informations on the Schaeffler Group visit: www.
Dr. Gou JianHui, the managing director or            The company believes that environmental    

                              MARCH 2007                                                                                                       41
                                                         COUNTRY FOCUS

parts in its products eightfold in the next
two years, increasing annual expenditure on
such parts from USD100m to USD840m by
2008. It signed an agreement to purchase a
24 per cent stake in Beiqi Foton Motor at a
cost of USD105m, making it the second-larg-
est stakeholder.

     in June announced
     plans to increase
     the amount of
     Chinese-made auto
     parts in its products
     eightfold in the next
     two years.”
  The company also signed an agreement
with its partner, Chery Automobile, to produce     Bombed to ruins in 1945, Dresden is now home to flourishing industries that include
a small car in China with the Chrysler brand       microelectronics, information and communications technology, and biotechnology.
for the international market. Additionally, the
two partners expect to increase their sales       Parts & Tools                                   The group’s global sales reached EUR8.3bn in
this year by 29 per cent given an expanded                                                        2006 and the company features a catalogue
                                                  With all of Germany’s major auto makers         of over 160,000 product types.
sales network.
                                                  present in China and with most moving
  Luxury car maker, BMW, saw its sales in-        towards localisation, it is no wonder that        Family-owned and operated Würth Hard-
crease significantly in China over the past       many German auto parts suppliers are either     ware and Tools established its Shanghai
year. Sales of its BMW and MINI offerings         already established in China or have plans      operations in 1997 as a sales office and has
grew 51.3 per cent from 2005. Sales of its        to do so. Schaeffler Group, a leading rolling   since expanded into a WFOE trading com-
locally produced BMW 5 Series and 3 Series        bearing manufacturer and auto parts supplier    pany with a 2,000-sq.-m warehouse. “We
grew by 49.6 per cent while those of its MINI     under the brands LuK, INA and FAG, has          import our products from Germany and sell
brand increased by 145.8 per cent. The compa-     production facilities in Shanghai, Taicang      chemicals and tools to customers in auto
ny and Brilliance China Automotive Holdings       and Ningxia. Since entering the market in       manufacturing, industrial production and
together developed the newly launched BMW         1998, Schaeffler has expanded its reach to      other general production facilities,” says Hen-
5 Series Long Wheelbase, which has been           ten sales offices across China and is in the    rik Neubold, Business Development Manager.
well-received by the local market.                process of building an R&D centre in Anting.    “We don’t have the final figures yet, but sales
                                                                                                  in China in 2006 were between RMB57m to
                                                                                                    The company operates offices in Shanghai,
  Germany-China Trade: At-a-glance Facts                                                          Guangzhou, Hong Kong and Tianjin with
                                                                                                  between 500 and 600 employees. “We have
  - Total value of trade between Germany and China from Jan.-Nov. 2006: USD71.05bn –              200 people in Shanghai with about 130
    increase of 24.5% over same period in 2005                                                    salesmen who visit our customers daily”,
                                                                                                  Neubold says. Plans are underway to build a
  - Imports from Germany to China from Jan.-Nov. 2006: USD34.5bn – increase of 24%
                                                                                                  production plant in Shenyang this year at a
    over same period in 2005
                                                                                                  cost of USD13m. Production will be for both
  - Exports to Germany from China from Jan.-Nov. 2006: USD35.55bn – increase of 25%               the domestic market as well as export.
    over same period in 2005
                                                                                                    A leading global supplier of industrial
      Source: Nework Centre of MOFCOM                                                             technology – including automotive parts

42                                                                                         SHANGHAI BUSINESS REVIEW    MARCH 2007
                                                          COUNTRY FOCUS

                                                                                             and accessories, home and industrial tools,
                                                                                             security equipment and packaging equipment
                                                                                             – Bosch operates 14 subsidiaries, six JVs, and
                                                                                             six trading companies in China. In 2005,
                                                                                             the company’s sales in this market reached
                                                                                             EUR1bn, growing 35 per cent from the previ-
                                                                                             ous year. Up until 2005, Bosch had invested
                                                                                             a total of EUR620m in expanding its China
                                                                                             operations, not including its most recent ad-
                                                                                             dition, a EUR18.5m plant that opened late
                                                                                             last year in Beijing. In the past five years,
                                                                      Castle, sitting in
                                                                      the Bavarian Alps      the company has doubled its manufacturing
                                                                      is the most famous     facilities from ten to 20 and employs over
                                                                      of the three royal     14,000 people across the country.
                                                                      palaces built for
                                                                      King Ludwig II,        Electronics
                                                                      served as the inspi-
                                                                                             Electrical and electronics maker Siemens has
                                                                      ration for Disney-
                                                                      land’s Sleeping        more than 70 companies and 60 regional of-
                                                                      Beauty castle.         fices in China, and a workforce of over 43,000

 Top Five Imports from Germany (January-June 2006):                                                                    Unit: USD million
 Imports                                                      2005 (1-6)        2006 (1-6)         Share      Change in 2006 over 2005
 Total                                                         12,040.8           14,593.6                           +21.2%
 Power Plants; Boilers; Machine Tools; Related Parts and
 Accessories                                                    4,947.4            4,877.0         33.4%               -1.4%

 Machinery; Electric Equipment and Accessories;
                                                                1,918.4            2,192.6         15.0%             +14.3%
 Recorders; Video Recorders and Accessories
 Vehicles and Related Parts and Accessories
 (exclusive Rail Locomotives; Tramcars and Accessories)           928.0            2,179.2         14.9%            +134.8%
 Aircraft; Spacecraft and Parts Thereof                           285.9              862.6          5.9%            +201.8%
 Optical; Photographic; Musical Instruments and Equipment;
 Related Parts and Accessories                                    736.7              826.0          5.7%             +12.1%

 Top Five Exports to Germany (January-June 2006):                                                                       Unit: USD million
 Exports                                                      2005 (1-6)        2006 (1-6)         Share       Change in 2006 over 2005
 Total                                                        379,721.5         431,610.1                            +13.7%
 Mineral Fuels; Lubricants; Asphalt etc.                       42,255.5          60,106.0          13.9%             +42.2%
 Power Plants; Boilers; Machine Tools; Related Parts
 and Accessories                                               53,014.1          55,758.8          12.9%              +5.2%

 Machinery; Electric Equipment and Accessories;
                                                               43,713.7          51,312.3          11.9%             +17.4%
 Recorders; Video Recorders and Accessories
 Vehicles and Related Parts and Accessories (exclu-
 sive Rail Locomotives; Tramcars and Accessories)              39,502.7          40,918.6           9.5%              +3.6%

 Pharmaceutical Products                                       15,128.1          16,834.6           3.9%             +11.3%

44                                                                                    SHANGHAI BUSINESS REVIEW    MARCH 2007
                                                          COUNTRY FOCUS

employees, making it one of the largest

                                                    Growing, One Year on
foreign-invested employers in China. Its busi-
ness reach includes automation and control,
power, transportation, medical, information
and communications, lighting, as well as
household appliances. Sales in 2006 reached         Present in Shanghai since 1994, the German       Sommer says that plans are also underway
RMB50.4bn and total investments reached             Centre offers a wide range of facilities and     to develop a conference centre to be used for
                                                    services to help companies establish opera-      large-scale events. “The facility will be able to
RMB15bn as of September 2006.
                                                    tions in China. In November, it celebrated its   accommodate a reception of 600 guests or up
  The company plans to further invest in            first year anniversary at its new location in     to 1,000 guests in its outdoor area.”
China by expanding locally-based R&D,               Zhangjiang Hi-tech Park in Pudong. Within
manufacturing, engineering, procurement,                                                             Designed to provide all-round convenience to
                                                    the last year, the 33,000-sq. m centre has       its tenants, the German Centre features mod-
as well as management training and leader-          seen the number of its tenants grow from         ern office facilities, comprehensive services
ship development. Siemens has also invested         50 to over 90, as well as the opening of its     as well as accommodation and recreational
RMB1bn into the construction of its new             serviced apartments and a large commercial       activities. Within the commercial area are
corporate headquarters in Beijing. Under its        area that includes the restaurant, Syzygy.       an exhibition centre, retail outlets including
“Full Speed 2010” programme, the company                                                             a printing service, bookstore, and a flower
will invest a further RMB10bn to increase its       “We’re adding, on average, one new tenant
                                                    a week,” says Christian Sommer, General          shop among others.
regional offices to 100 and aims to double
                                                    Manager. “And we’re more than happy with         The German Centre is a subsidiary of Bay-
sales by 2010.
                                                    the developments of the last year.” In May       ernLB and is part of a global network that
  Weidmüller, a manufacturer of components          2007, the centre will see the opening of a       promotes foreign trade. Other centres in Asia
for electrical connectivity, first started its      new sports club measuring 2,500 sq. m and        are located in Beijing, Jakarta, Singapore and
operations in China in 1994 with a JV, of           will feature a 25-metre-long swimming pool.      Yokohama.
which it took 100 per cent control in 2001.
It now operates a trading company and sales
network of 11 offices across the country, a
training centre that serves the Asia-Pacific

  Bayer’s acquisition of
  Topsun for a reported
  USD136m is one of
  the largest involving
  an MNC in China’s
region, as well as a logistics centre in Waigao-
qiao. In 2003, the company established a
production facility in Suzhou supplying the
local market. “The Chinese market is clearly
the most dynamic and has the broadest range         Established in Shanghai in 1994, the German Centre re-opened in its new facility in
of customer requirements,” says Rainer Ber-         Pudong’s Zhangjiang Hi-tech Park last year and now accommodates more than 90 tenants,
than, China President, adding that this makes       including retailers, restaurants and an exhibition centre.
the market highly changeable.
                                                   of 2006, a growth rate that is expected to          Investments last year included the acqui-
Chemicals & Special Materials                      extend to the second half of the year. Sales in   sition of Topsun Science and Technology
Chemical and pharmaceutical giant Bayer            the company’s MaterialScience unit increased      for a reported USD136m, which is said to
AG China, which operates 19 companies              18 per cent, reaching EUR524m in the first        double its presence in China. The deal is one
in China, Hong Kong and Taiwan, saw its            half and are projected to reach EUR1bn for        of the largest involving an MNC in China’s
sales rise 22 per cent in the first six months     the entire year.                                  pharmaceutical industry. Bayer also opened

46                                                                                            SHANGHAI BUSINESS REVIEW      MARCH 2007
                                                         COUNTRY FOCUS

three new plants at the Shanghai Chemical
Industrial Park last year and plans to invest a
further USD1.8bn by 2009, the largest capital
expenditure outside of Germany.

  BASF is one of                                                                                                        The Brandenburg
                                                                                                                        Gate, built in 1791,
  the biggest foreign                                                                                                   was commissioned
                                                                                                                        by Friedrich Wilhelm
  investors in China’s                                                                                                  II to symbolise peace.
  chemical industry                                                                                                     It was incorporated
                                                                                                                        into the Berlin War
  with more than 30                                                                                                     during the Cold War
                                                                                                                        and now signifies
  JVs and WFOEs.                                                                                                        the reunification of

  BASF is a leader in the manufacture and
sale of chemical products ranging from plas-        Henkel, a manufacturer of laundry and        in Guangzhou to electronics and auto parts
tics to agricultural products and from crude      homecare products, consumer and crafts-        in Jiangsu province.
oil to natural gas. The group employs more        men adhesives, toiletries, and technologies,     Schott, a glass and optics manufacturer, fea-
than 95,000 people globally and saw its sales     employs about 52,000 people worldwide with     tures over 10,000 products with applications
surpass EUR42.7bn in 2005. It is one of the       subsidiaries in more than 75 countries. Its    that cover a wide spectrum from household
biggest foreign investors in China’s chemical     best known brands include soaps Dial and       appliances to pharmaceutical and solar en-
industry with more than 30 JVs and WFOEs,         Fa, and Brilliance shampoo and Persil laun-
                                                                                                 ergy products. Greater China has been one
and 5,500 employees. Sales in Greater China       dry detergent. In the third quarter of 2006,
                                                                                                 of the group’s most important markets for
over the last 10 years have grown an aver-        Henkel’s global sales reached EUR3.26bn,
                                                                                                 the past ten years, with interest accelerating
age of 23 per cent year-on-year. In 2006, the     representing an increase of 3.8 per cent.
                                                                                                 following China’s accession to the WTO.
company acquired Engelhard, Degussa Con-          Sales in Asia Pacific reached EUR262m, up
structions and Johnson Polymer, increasing        8.7 per cent. In China, the company has 13      Schott currently operates sales offices in
its production sites to 25 in Greater China.      operations ranging from chemical production    Shanghai, Beijing, Hong Kong and Taipei,

48                                                                                        SHANGHAI BUSINESS REVIEW    MARCH 2007

Placing Investment and
Faith in the China Market
Weidmüller, a leading manufacturer of com-          This means that the technology Weidmüller             of the calibre of its R&D team, the company
ponents for electrical connection, has stepped      uses on its production lines in China are the         last year introduced three new product series
up its investments in China in recent years and     same as that used in Germany. “We are using           that were developed and produced entirely in
is committed to elevating its China operations      identical quality standards and working proce-        China.
                to the top of its Asian strat-      dures worldwide. Our products are commodities
                                                                                                          It was the first time in the history of 150 years
                 egy. The company invested          and all of them are used in the domestic and
                                                                                                          that the company’s products were entirely
                  significantly in its various      international markets,” Berthan says. “A good
                                                                                                          made outside Germany. Berthan notes that
                   facilities between 2004 and      portion of our parts are sold via distribution net-
                                                                                                          localisation is a trend that will continue in China.
                     2005; meanwhile, sales         works so we can’t limit the use of our products
                                                                                                          “We invest heavily in R&D and are planning to
                            have accelerated with   to special regions or countries.”
                                                                                                          expand and develop the production activities
                             revenues reaching
                                                    Based on sales, about 90 percent of Weid-             of Weidmüller in China to supply the world
                              RMB250m in 2005
                                                    muller’s clientèle are Chinese companies that         market,” he adds.
                              and are likely to
                                                    are active internationally and in the domestic
                               reach RMB400m                                                              Competition in China for qualified staff is quite
                                                    market. Berthan notes that what makes this
                                when 2006 final                                                           high, and Weidmüller has persisted in attracting
                                                    particular market a challenge is its highly dif-
                                figures are calcu-                                                         an excellent level of staff. “We identify talent
                                                    ferentiated regions and industries, which are
                                 lated.                                                                   through approaching universities, consulting
                                                    undergoing continual change and develop-
                                                                                                          companies and via the internet,” Berthan says.
                              The company           ment.
                                                                                                          “To retain our people, we invest in training
                              launched its
                                                                                                          and development of skills, and as a company
                               entry to the
                                                                                                          originally from Germany, we also try to create
                               Chinese mar-         Broad Applications
                                                                                                          the best working environment and, of course,
                                ket in 1994
   Rainer Berthan, China                                                                                  pay a competitive salary.”
                                with a JV in
   President Weidmüller
                                 Chengdu,           Because its components are used in such a
and by 2001, it had closed its JV and estab-        wide variety of applications, Weidmüller places
                                                    great emphasis on developing new products             Competitive Edge
lished its first WFOE, Weidmuller Interface
International Trading (Shanghai). In 2003,          that directly address customers’ needs. The
Weidmüller established production facilities in     company offers more than 35,000 of its prod-          The competitive field is equally high in the busi-
Suzhou, which is ISO9001:2000 certified.             ucts worldwide, with almost 10,000 available in       ness arena, Berthan acknowledges. “We’re fully
                                                    China and 3,000 being made in Suzhou, and             aware of the situation and try to improve our opera-
Further expansion has included establishing         that number is quickly growing. Main products         tions and market approach constantly”, he says.
12 branch offices across the country by 2006,        include terminal blocks, accessories, tools,          “You can never be satisfied with the status quo in
and moving its production facilities to Suzhou’s    heavy duty connectors, electronic products,           sales and marketing or internal routines.”
New District measuring more than 10,000 sq.m        PCB terminals and connectors, as well as
to accommodate the fast growth in business.         customer-specific products.                            The company strives to adapt steadily to the
A training centre and a logistics centre in                                                               changing requirements. “I don’t expect any
Pudong’s Waigaoqiao Free Trade Zone were            Berthan notes that the technology and know-how        significant changes in the next 10 years, and
also established.                                   from the West and the flexibility, speed and cost-     China will, without a doubt, remain number one
                                                    effectiveness found in Asia combine to make the       worldwide in offering the most interesting and
                                                    Weidmüller operation beneficial to its customers       challenging business opportunities.” But, he
China Expansion                                     in China, which is why the company has such           warns, it will not be easy. “It will require tremen-
                                                    high hopes for its future in this market.             dous effort and the moment you feel satisfied,
“The Chinese market is the most important for                                                             you will lose market share!” 
Weidmüller in Asia and the second most impor-       Centering on R&D                                      Weidmüller
tant market worldwide,” says Rainer Berthan,                                                              12F, Century Ba-Shi Building, 398 Huaihai
Weidmüller China President. “It’s the only fully                                                          Middle Road, Shanghai, P.R. China 200020
integrated Weidmüller operation outside Ger-        Weidmüller has a highly trained and profes-
many.” The Suzhou production facility is one of     sional R&D team that is continually developing        Tel: +86 21 6386 8188, +86 21 6386 7177
Weidmüller’s three facilities worldwide.            and designing new products. As an indication

                             MARCH 2007                                                                                                     49
                                                       COUNTRY FOCUS

as well as a manufacturing plant in Suzhou
that was built with an initial investment of
more than USD10m. Production is for both
the domestic market as well as export. Ad-
ditionally, the company is set to open an
Application Centre in Suzhou later this year
that will serve regional customers. Global                                                                             Opened in 1904, the neo-ba-
sales in 2005 reached EUR1.93bn with 17                                                                                roque building of the Bode
                                                                                                                       Museum sits on Berlin’s
per cent from the Asian market.
                                                                                                                       Museum Island, on the River
                                                                                                                       Spree. Emperor Friedrich
Services                                                                                                               Wilhelm IV saw the island
Up to 70 per cent of Germany’s GDP is gen-                                                                             as a “sanctuary of art and
erated through its service industry, and this                                                                          science.”
strength is well represented in the growing
number of service providers arriving in China.

                                                 German Chamber of
German banks have a strong presence here
and are continuing to expand their interests
in the growing market.

                                                 Commerce in China
  Dresdner Bank, the first German bank to
open a Shanghai branch 14 years ago, also
operates a Beijing branch, in addition to
a representative office in Guangzhou and
                                                 The German Chamber of Commerce in China              Sciences and attended by a wide range of
a sales office in Hong Kong, says Hans
                                                 was established in Beijing in 1999 in the pres-      German companies. The primary objective
Schniewind, General Manager. “We have two
                                                 ence of visiting German Chancellor Gerhard           of CSR is to promote harmony between
pillars of business: commercial banking for      Schröder. Today, there are 1,300 member              social and economic development along
foreign companies and capital markets.” He       companies in the chapters located in Beijing,        with the population, resources and the
notes that both businesses are doing well        Shanghai and Guangzhou. Membership in                environment.
given the growing economy in Shanghai            Shanghai has grown about 20 per cent in
and the increasing number of SMEs arriving                                                            Working under the same umbrella with the
                                                 the past year with the number of member
                                                                                                      German Chamber of Commerce is the Del-
from Germany.                                    companies reaching 883, making it one of the
                                                                                                      egation of German Industry and Commerce
  In addition to its investment in the German    largest German chambers in the world.
                                                                                                      (AHK), which is the official German govern-
Centre in Pudong, BayernLB has stepped up        The chamber serves as a forum for the ex-            ment representative office in Shanghai that
its cooperation with the Industrial and Com-     change of information among its members              assists SMEs in conducting business in
mercial Bank of China, with which it has         and organises various workshops, seminars,           China. The Delegation of German Industry
been working since 1990. Deutsche Bank,          and other events throughout the year. Earlier        and Commerce Co. Ltd. (GIC) also assists
meanwhile, began private banking services in     this month, the chamber in Beijing and UN            Chinese companies looking to develop busi-
China to appeal to those in the market with a    Global Compact hosted a symposium on                 ness opportunities in Germany. The number
wealth of EUR1m to EUR1.3m. In 2005, the         Corporate Social Responsibility in China             of foreign companies in Germany numbers
bank, along with Sal. Oppenheim, Germany’s       moderated by Prof. Monika Schaedler of the           around 22,000, which employ an estimated
largest private bank, acquired 13.9 per cent     Hochschule Bremen University of Applied              2.7m people.
of Huaxia Bank. Through RREEF, its real
estate and infrastructure investment arm,
Deutsche Bank has also entered China’s real
estate market with plans to build 20 hotels      The German Chamber of Commerce in China:
in conjunction with other investors.
                                                 German Chamber of Commerce in China                    Member companies Increase from 2005
  Originally founded in 1979 in Germany as
                                                 Membership Shanghai                                    883                  +145
Inpro GmbH, InGenics AG has accumulated
27 years of consultancy experience and has       Membership Beijing                                     314                  +16
engaged in more than 2,170 projects. With        Membership Guangzhou                                   103                  +20
three offices in Germany and one in the          Total                                                  1300                 +181
United States, InGenics set up its Shanghai      Source: Annual Report of German Chamber of Commerce in China • Shanghai
office in 2005 offering expertise in planning

50                                                                                            SHANGHAI BUSINESS REVIEW      MARCH 2007
                                                          COUNTRY FOCUS

factories and production plants, logistics,
as well as improving production efficiency.
Clients in China have included BMW, Airbus,
Digisound, Würth and Prym. Its team of
engineers and certified technicians work in
cooperation with Ulm University in Germany
and Tongji University, among others.
  German software maker SAP established its
eighth R&D centre in China in 2003 and plans
to expand its operations through investing
EUR10m annually in SAP Labs China. The lab
will address the needs of local customers of
its enterprise management software. Clients
have included Lenovo, Haier, Sinopec, Cosco,
Mingsheng Bank and the FAW Group.

Transportation & Logistics
Last year saw Germany’s national air carrier

Lufthansa grow significantly, reinforcing its
number one position among European carri-
ers serving China. It currently offers 47 direct
flights from Shanghai, Beijing, Guangzhou
                                                     Cargo services are one of Lufthansa’s major sources of profit in China. The German
and Hong Kong to Frankfurt and Munich.               carrier also holds 25 per cent in Shenzhen-based Jade Cargo.
Beginning this summer, the carrier will in-
crease to three flights daily from Shanghai.
The added flights are designed to appeal to        the issues and concepts of CSR. In coopera-    and socially responsible. This can, in turn,
business travellers as they will feature newly     tion with the Global Compact, the chamber      enhance a company’s competitiveness by
designed business class seats, including its       highlighted the social and environmental       fostering goodwill among those with whom
2.02-m-long PrivateBed, and are scheduled          issues that are creating risks and oppor-      the company interacts.
to depart Shanghai at night and arrive in          tunities, which are changing the playing
Frankfurt in the early morning.                    field for businesses and industries. German    Important Developments
  Schenker Logistics and BAX Global have           companies, from Bayer to DaimlerChrysler       Continuing the growing pace of economic,
combined resources to offer integrated logis-      to BASF, have taken proactive approaches in    cultural and academic ties between Germany
tics services, making it one of Europe’s                                                                and China is a priority of the Consul
                                                                                                        General’s office. Von der Heyden notes
top operators. It has over 40,000 em-
ployees in 1,100 locations around the
                                              German companies have                                     that German companies will be in-
world. In China, it offers air and sea        taken proactive approaches                                volved in 31 trade fairs in the Shanghai
freight transport services as well as                                                                   region this year, the second-largest
related logistics services. Additionally,     in implementing CSR                                       number worldwide. Another major
it offers logistics services for fairs and    strategies in China, as in                                event this year includes the 100th an-
                                                                                                        niversary of Tongji University, which
exhibitions, relocations, and sporting
events, as well as corporate travel and       other markets worldwide.                                  has close ties with German academic
event management services. Schenker                                                                     institutions. Celebrations will include
was one of the first international forwarders                                                           prominent visits from Germany at the
to enter the mainland in 1979, and it now          implementing CSR strategies in China, as in    federal and state government levels, says
has offices in over 39 locations around the        other markets worldwide.                       von der Heyden.
country, including Shanghai, Beijing and             Given the Chinese government’s recent         Major sporting events this year include
Guangzhou.                                         emphasis on sustainability and a harmoni-      Germany’s participation in the Special Olympics
                                                   ous society, and a business environment        and the Women’s Soccer World Championship.
Corporate Social Responsibility                    that is rapidly evolving, discussions of CSR   Preparations are also underway for Germany’s
 The German Chamber of Commerce recently           and sustainable development are increas-       participation in EXPO 2010 and the sustain-
held a symposium on Corporate Social Re-           ingly important in creating awareness and      able city planning project, “ECObuild,” which
sponsibility (CSR), marking the first time in      understanding that a sustainable corporation   was launched under a partnership between
China that German firms gathered to discuss        can profit from, while being environmentally   Hamburg and Shanghai. 

52                                                                                          SHANGHAI BUSINESS REVIEW   MARCH 2007

Business Diary
At-a-glance guide to forthcoming business events in Shanghai.

                                                                                                                        Fri-Sun   Shanghai Everbright Convention &
      Sunday 4—Saturday 10 March                            10-11     China Int’l Education Exhibition Tour                       Exhibition Centre - Exhibition
                                                            Sat-Sun   Shanghai East Asia Exhibition Hall - Exhibition             Organised by: Shanghai JingHai Exhibition
3-5       Shanghai Int’l Leisure & Sports                             Organised by: Chinese Service Centre for                    Service Co., Ltd., Indoor Environment &
          Vehicles Exhibition                                         Scholarly Exchange, Ministry of Education,                  Health Branch of CSES
Sat-Mon   Shanghai East Asia Exhibition Hall - Exhibition             P.R.C. 010-8589 8181                                        5497 1945 / 6470 7078
          Organised by: Shanghai Hope Exhibition
          Company 6483 7603
                                                                  Sunday 11—Saturday 17 March                           16-19     Spring Real Estate Market Shanghai
                                                                                                                        Fri-Mon   Shanghai Exhibition Centre - Trade Fair
7         Intra-China & Domestic China                      13        Deutscher Stammtisch                                        Organised by: VNU Exhibitions Asia
          Logistics                                         Tue       Paulaner - Chamber Event                                    6247 7668 * 915
Wed       Millenium Hotel - Conference                                Organised by: German Chamber of
          Organised by: China Supply Chain Council                    Commerce Shanghai - 5081 2266
                                                                                                                            Sunday 18—Saturday 24 March
7         Special Seminar                                   13-14     German Business Etiquette                         19-20     Managing Personal Development
Wed       AHK Shanghai - Chamber Event                      Tue-Wed Venue TBC - Seminar                                 Mon-Tue Venue TBC - Seminar
          Organised by: German Chamber of                           Organised by: Delegation of German Industry                 Organised by: Delegation of German Industry
          Commerce Shanghai 5081 2266                               & Commerce Shanghai and GIC 5081 2266                       & Commerce Shanghai and GIC 5081 2266
          Ltd. 852-8199 9882
                                                            13-14     Annual Int’l IC-China Conference                  20-22     Int’l Textile Printing Industrial
7-9       Japanese Auto Part Procurement                              & Exhibition                                                Technology Expo
          Exhibition                                        Tue-Wed INTEX Shanghai - Exhibition                         Tue-Thu   ShanghaiMart - Exhibition
Wed-Fri   ShanghaiMart - Exhibition                                 Organised by: Global Sources/CMP Media                        Organised by: Hong Kong ALLALL Info
          Organised by: Japan External Trade Organi                 5306 8968                                                     Media Group, Ltd. 5448 9433/5448 9435
          sation Shanghai Office 6270 0489
                                                            13-15     Bus World Asia                                    22-23     Destination Germany
7-9       SpinExpo                                          Tue-Thu   Shanghai New Int’l Expo Centre - Exhibition       Thu-Fri   Venue TBC - Seminar
Wed-Fri   Shanghai Int’l Convention & Exhibition                      Organised by: B.A.A.V., China Civil                         Organised by: Delegation of German Industry
          Centre - Exhibition                                         Engineering Society Public Transport Society                & Commerce Shanghai and GIC 5081 2266
          Organised by: Well Link Consultants Ltd.                    of China, VNU Exhibitions Asia
          852-6033 0482                                               6247 7668 * 911/919
                                                                                                                        22-23     Working Smart with MS Project 2003
                                                            13-15     FPD 2007 (Flat Panel Display)                     Thu-Fri   Venue TBC - Seminar
7-9       Int’l Women’s Apparel & Fashion                                                                                         Organised by: Delegation of German Industry
          Accessories Trade Fair                            Tue-Thu   INTEX Shanghai - Exhibition                                 & Commerce Shanghai and GIC 5081 2266
Wed-Fri   ShanghaiMart - Trade Fair                                   Organised by: SEMI China 6448 5666 * 207
          Organised by: ShanghaiMart, China Fashion                                                                     20-23     WoodMac China / Furnitek China
          Weekly 6236 6178                                  15-16     Financial For Non-Financial
                                                                                                                        Tue-Wed Shanghai New Int’l Expo Centre - Exhibition
                                                                      Managers                                                  Organised by: China National Forest
8-9       Motivate Yourself and Your Team                   Thu-Fri   Venue TBC - Seminar                                       Machinery Association, China International
Thu-Fri   Venue TBC - Seminar                                         Organised by: Delegation of German Industry               Exhibitions Ltd., Deutsche Messe AG 6209 5209
          Organised by: Delegation of German                          & Commerce Shanghai and GIC 5081 2266
          Industry & Commerce Shanghai and GIC                                                                          21-23     China SMT Forum (Service
          5081 2266                                         15-17     FASHION Shanghai                                            Mount Technologies and
                                                            Thu-Sat   Shanghai New Int’l Expo Centre - Exhibition
8-9       Coaching and Counselling for                                Organised by: Shanghai Textile Technology
                                                                                                                                  Microelectronic Packaging
          Effective People Management                                 Service & Exhibition Centre 6227 1120                       Technologies)
                                                                                                                        Wed-Fri   Shanghai International Convention &
Thu-Fri   Venue TBC - Seminar
                                                            15-17     Shanghai Int’l Energy-Saving &                              Exhibition Centre - Conference
          Organised by: Delegation of German Industry
                                                                                                                                  Organised by: Business Media China
          & Commerce Shanghai and GIC 5081 2266                       Brownout New Energy Exhibition                              AG, Shanghai Science & Technology
                                                            Thu-Sat   Shanghai Everbright Convention & Exhibition                 Development and Exchange Centre
8-10      China Int’l Optics Fair                                     Centre - Exhibition                                         51-693 230 106
Thu-Sat   Shanghai Everbright Convention & Exhibition                 Organised by: Shanghai Energy Saving
          Centre - Trade Fair                                         Association, China Council for the Promotion
                                                                      of Int’l Trade, Shanghai Pudong Branch
                                                                                                                        21-23     PCIM China (Power Electronics,
          Organised by: Orient Int’l Exhibition Co., Ltd
          852-2789 3220                                               6592 9965                                                   Automation, Motion Drives &
                                                                                                                                  Control and Power Quality)
8-10      Toy China 2007                                    16-18     China Int’l Human Habitat Environ-                Wed-Fri   Shanghai New Int’l Expo Centre - Exhibition
Thu-Sat   INTEX Shanghai - Exhibition                                 mental Technology Fair/Shanghai Int’l                       Organised by: Mesago Messe & Kongress
          Organised by: Shanghai Toys Industry                                                                                    GmbH 49 711 61946-0,
                                                                      Indoor Environmental Technology &
          Import/Export Corporation 6275 5800                         Products Exhibition & Forum

54                                                                                                              SHANGHAI BUSINESS REVIEW        MARCH 2007

                                                                                                                26-29     Preview in Shanghai (Korea
                                                                                                                          Textile & Apparel Show)
                                                                                                                Mon-Thu ShanghaiMart - Exhibition
                                                                                                                        Organised by: Korea Federation of Textile
                                                                                                                        Industries 3228 3361

                                                                                                                27        Developing a Mentoring Organisation
                                                                                                                Tue       Mesa-Manifesto – Workshop
                                                                                                                          Organised by: Shi Bisset & Associates
                                                                                                                          1380 176 8527

                                                                                                                27-28     Logistics and Supply Chain
                                                                                                                Tue-Wed Venue TBC - Seminar
                                                                                                                        Organised by: Delegation of German Industry
                                                                                                                        & Commerce Shanghai and GIC 5081 2266

                                                                                                                28-30     DOMOTEX Asia/ China Floor
                                                                                                                Wed-Fri   Shanghai New Int’l Expo Centre - Exhibition
                                                                                                                          Organised by: China National
                                                                                                                          Forestry Industry Association, Carpet
                                                                                                                          Industrial Association Affiliated with China
                                                                                                                          Arts and Crafts Association, China Chamber
                                                                                                                          of Commerce of Import and Export of
                                                                                                                          Foodstuffs, Native Produce & Animal By-
                                                                                                                          Products, Shanghai STEO Exhibition Co.,
                                                                                                                          6247 7668

                                                                                                                28-30     Food Ingredients China
                                                                                                                Wed-Fri   Shanghai Everbright Convention & Exhibition
                                                                                                                          Centre - Exhibition
                                                                                                                          Organised by: China Food Additive
                                                                                                                          Association, CCPIT Sub-Council of Light
                                                                                                                          Industry 010-8229 0623, 8229 0624

                                                                                                                28-31     Shanghai Gift & Home Show
                                                                                                                Wed-Sat   ShanghaiMart - Exhibition
                                                                                                                          Organised by: Shanghai Jiemao Exhibition
                                                                                                                          Service Co., Ltd. 6470 1082

                                                                                                                28-31     Sino-Corrugated 2007
                                                                                                                Wed-Sat   Shanghai New Int’l Expo Centre - Exhibition
                                                                                                                          Organised by: Reed Huayin (Shanghai) Int’l
                                                                                                                          Exhibitions Co., Ltd. 5118 8222

                                                                                                                29        Special Chamber Meeting with
                                                                                                                          Trade Fair
                                                                                                                Thu       Grand Hyatt - Chamber Event
                                                                                                                          Organised by: German Chamber of
                                                                                                                          Commerce Shanghai - 5081 2266

                                                                                                                29-30     Chinese GAAP in Reform
                                                                                                                Thu-Fri   Venue TBC - Seminar
                                                                                                                          Organised by: Delegation of German Industry
                                                                  Organised by: Munich Trade Fairs                        & Commerce Shanghai and GIC 5081 2266
21-23     Int’l Electronic Circuits Exhibition                    (Shanghai) Co. Ltd. 5045 0808
Wed-Fri   Shanghai New Int’l Expo Centre - Exhibition
          Organised by: China Printed Circuit                                                                   29-31     China Design & Contract Expo
                                                        22-24     Clearing Water China / Clearooms              Thu-Sat   Shanghai Exhibition Centre - Exhibition
          Association 5490 1782
                                                                  China                                                   Organised by: VNU Exhibitions Asia
21-23     Laser World of Photonics China                Thu-Sat   INTEX Shanghai - Exhibition                             6247 7668
                                                                  Organised by: Shanghai Clearing Water
Wed-Fri   Shanghai New Int’l Expo Centre - Exhibition             Association, Shanghai Environmental Protec-
          Organised by: Munich Trade Fairs                                                                      29-31     Kitchen + Bath Business Expo
                                                                  tion Industry Association, INTEX Shanghai     Thu-Sat   Shanghai Exhibition Centre - Exhibition
          (Shanghai) Co. Ltd. 5045 0808                           Co. Ltd. 5490 1782                                      Organised by: Kitchen + Bath Business
21-23     China Int’l Agrochemical & Crop                                                                                 Magazine, VNU Expositions U.S.A., VNU
                                                        22-25     World Travel Fair                                       Exhibitions Asia 6247 7668 * 913
          Protection Exhibition                         Thu-Sun   Shanghai Exhibition Centre - Trade Fair
Wed-Fri   Shanghai Everbright Convention & Exhibition             Organised by: VNU Exhibitions Asia,
          Centre - Exhibition
                                                                                                                30-31     Sino-Int’l Real Estate Summit
                                                                  Shanghai Int’l Conference Management          Fri-Sat   Shanghai Exhibition Centre - Summit
          Organised by: CCPIT Sub-Council of Chemi                Organisation 6247 7668
          cal Industry 010-6427 2719 / 6428 3092                                                                          Organised by: China Urban Realty
                                                                                                                          Association, China Business Network, VNU
21-23     Electronica & Productronica China                Sunday 25—Saturday 31 March                                    Exhibitions Asia, The Shanghai Media Group
                                                                                                                          6253 3994
Wed-Fri   Shanghai New Int’l Expo Centre - Exhibition

SHANGHAI BUSINESS REVIEW        MARCH 2007                                                                                                            55

New WFOEs & JVs in Shanghai
Registration of foreign entities with the Shanghai Industrial and Commercial Administration Bureau.
--------------------------------------------------------------   --------------------------------------------------------------                                                                    Business Scope: storage, distribution and
                                                                                                                                  assemble and sell plastic machinery and
WHOLLY FOREIGN OWNED ENTERPRISES                                                                                                  electronic components, provide technical                         after-sales services for mitsubishi electric
                                                                 Cipherlab Electronic Trade                                                                                                        products; international trade, transit trade and
--------------------------------------------------------------   (Shanghai) Co. Ltd.                                              support and after-sales services.
                                                                                                                                                                                                   trade consulting services.
Argus Bioscience (Shanghai)                                      赛弗莱电子贸易(上海)有限公司                                                  Legal Head: Christophe Georges Albin
                                                                                                                                                                                                   Legal Head: Wu Yue Nv Zheng Fu
Co. Ltd.                                                         Rm1604, 2025 Zhongshan Xi Lu                                     --------------------------------------------------------------
格斯生物医药(上海)有限公司                                                   Business Scope: wholesale, commission                            Gal Wood Industry (Shanghai)
                                                                 agency, import and export electronic products.                                                                                    NewElite (Shanghai) Software
Rm 614, Bldg 1, 720 Cailun Lu                                                                                                     Co. Ltd.
                                                                                                                                                                                                   Co. Ltd.
Business Scope: research and develop                             Legal Head: Tan Zhenhuan                                         杰爱木业(上海)有限公司
bioscience and medicine, provide technology                      --------------------------------------------------------------   707 Sunqiao Lu
service.                                                                                                                                                                                           Rm F2, 22/F, East (H) Bldg, 666 Beijing Dong Lu
                                                                 Crown Forklift Truck Corp.                                       Business Scope: manufacture and sell all
Legal Head: Zhang Jiaqi                                                                                                           kinds of wooden floor.                                            Business Scope: design, develop and sell
                                                                 科朗叉车商贸(上海)有限公司                                                                                                                    computer software, provide technical support,
--------------------------------------------------------------   Rm1204-1205, POS Plaza Bldg, 1600 Shiji Da Dao                   Legal Head: Shushan Shimon Ben                                   consulting, after-sales, system integration,
BUCHI Laboratory Equipment                                       Business Scope: wholesale, import and export,                    --------------------------------------------------------------   network technology design and developing
Trading(Shanghai)Ltd.                                            commission agency for forklift truck and other                                                                                    services.
                                                                                                                                  Givaudan Synthetic Fragrances
步琦实验室设备贸易(上海)有限公司                                                transit equipment and spare parts, provide                       (Shanghai) Co. Ltd.                                              Legal Head: Hu Zhengpei
Block C,D, 21/F, 18 Caoxi Bei Lu                                 technology, transfer, and consulting services.                                                                                    --------------------------------------------------------------
Business Scope: wholesale, commission                            Legal Head: James F. Dicke III
                                                                                                                                  111 Lianhe Bei Lu                                                Nokia Siemens Telecommunication
agency, import and export lab equipment, and                     --------------------------------------------------------------                                                                    (Shanghai) Co. Ltd.
                                                                                                                                  Business Scope: manufacture and sell natural
related services.
                                                                 Diageo Wine Trading                                              and synthetic fragrances, provide technology                     诺基亚西门子通信贸易(上海)有限公司
Legal Head: Josef Kalin                                          (Shanghai) Co. Ltd.                                              consulting and other related services.                           Rm2FB, 1155 Jinhu Lu
--------------------------------------------------------------   帝亚吉欧洋酒贸易(上海)有限公司                                                 Legal Head: Nicholas J. T. Wong                                  Business Scope: wholesale, import and
Cars (China) Network Co. Ltd.                                    Rm04,05, 18/F, Kerry Centre, 1515 Nanjing                        --------------------------------------------------------------   export, commission agency for electronic and
车盟(中国)网络有限公司                                                     Xi Lu                                                                                                                             telecommunication products and spare parts,
                                                                                                                                  Kelaman Electric Power                                           provide after-sales, technology consulting,
Rm201B, Bldg 1, 1270 Longwu Lu                                   Business Scope: wholesale, commission                            Technology (Shanghai) Co. Ltd.
                                                                 agency, import and export wines, and related                                                                                      technical support and trade consulting
Business Scope: develop, design, produce and                     services.
                                                                                                                                  凯尔曼电力科技(上海)有限公司                                                  services.
sell computer software, internet technology                                                                                       Rm 108, Block 1, 361 Hongzhong Lu                                Legal Head: Charles Schanen
software, e-commerce system, provide auto-                       Legal Head: Adam James Pateman
service information consulting, investment                                                                                        Business Scope: assemble, process,                               --------------------------------------------------------------
consulting, science and technology consulting.                                                                                    manufacture and sell electrical power inspection
                                                                 Dresser - Rand Engineered                                        equipment and appliances; provide technical
                                                                                                                                                                                                   Outokumpu Stainless Steel
Legal Head: Lin Zhen                                             Equipment (Shanghai) Co. Ltd.                                    support, consulting and after-sales services.                    (Shanghai) Co. Ltd.
--------------------------------------------------------------   迪傲机械设备(上海)有限公司                                                   Legal Head: John Edward Cunningham
Chemia (Shanghai) Fragrance                                      Warehourse 3,4,5, 1 Yingao Lu                                                                                                     Rm401, Hotel Equatorial, 65 Yan’an Xi Lu
Co. Ltd.                                                         Business Scope: design, research and                                                                                              Business Scope: wholesale, commission
                                                                                                                                  Lights of America (Shanghai)                                     agency, import and export stainless steel and
承美(上海)香精香料有限公司                                                   develop, produce and repair basic machinery,
                                                                 machinery equipment and appliances, sell own
                                                                                                                                  Co. Ltd.                                                         manufacturing equipment; provide consulting,
58 Xiushan Lu, Chongming Industrial Park                                                                                          迩欧艾照明(上海)有限公司                                                    technical support and after-sales services.
Business Scope: manufacture and process                                                                                           99 Liuye Lu, Chedun Town, Songjiang District                     Legal Head: Anders Orjan Joakim Lewerentz
fragrance, household and care products, sell                     Legal Head: John Michael Hanigan
own products.                                                    --------------------------------------------------------------   Business Scope: develop, manufacture and                         --------------------------------------------------------------
                                                                                                                                  process lighting products and spare parts, sell                  Power Network Precision
Legal Head: Norman Andrew Van Rees                               Dumex Nutritional Food                                           own products, provide after-sales service.
--------------------------------------------------------------   (Shanghai) Co. Ltd.                                                                                                               Industry (Shanghai) Co. Ltd.
                                                                                                                                  Legal Head: Kamran Mirza                                         强网精密五金(上海)有限公司
China Green (Shanghai)                                           英特儿营养食品(上海)有限公司
                                                                                                                                  --------------------------------------------------------------   601 Jiuxin Gong Lu
Industry Co. Ltd.                                                Plot 51, Nanhui Industrial Park
中绿(上海)实业有限公司                                                     Business Scope: manufacture and sell baby food.
                                                                                                                                  Media Portal (Shanghai) Co. Ltd.                                 Business Scope: develop, manufacture and
                                                                                                                                  逸讯管理咨询(上海)有限公司                                                   sell high-level construction hardware and
Fengxian Agricultural Zone                                       Legal Head: Mark A.Willson                                                                                                        hardware products.
                                                                                                                                  Rm420, 99 Huichuan Lu
Business Scope: manage business in fresh                         --------------------------------------------------------------                                                                    Legal Head: Xiao Chuan Zhao Jiu
vegetable, fruit, beverage and instant food processing.                                                                           Business Scope: provide enterprise
                                                                 Durkeesox (Shanghai) Air                                         management consulting service.                                   --------------------------------------------------------------
Legal Head: Sun Shaofeng                                         Dispersion System Co. Ltd.                                       Legal Head: Lina Ross Mohindar                                   Rockwell Automation Contro &
--------------------------------------------------------------   杜肯索斯空气分布系统有限公司
                                                                                                                                  --------------------------------------------------------------   Integratiion (Shanghai) Co. Ltd.
China Power International New                                    Rm517, 1158 Changning Lu                                                                                                          罗克韦尔自动化控制集成(上海)有限公司
Energy (Shanghai) Holdings                                                                                                        Mission Foods (Shanghai) Co. Ltd.
                                                                 Business Scope: develop, design, test,                                                                                            Plant T20-2, 565 Chuangye Lu
Co. Ltd.                                                                                                                          麦西恩食品(上海)有限公司
                                                                 maintain, produce and sell air dispersion
中电国际新能源(上海)控股有限公司                                                system and related software; provide                             668 Wuxing Industrial Zone                                       Business Scope: research, design, install,
                                                                 technology consulting.                                                                                                            manufacture and sell new type of electronic
Rm602-3, 438 Pudian Lu                                                                                                            Business Scope: manage business in all kinds                     components, industrial automation products,
Business Scope: investment; provide services                     Legal Head: Lu Biao                                              of food.                                                         system and spare parts; provide technology
for its invested companies, including purchasing,                --------------------------------------------------------------   Legal Head: Juan Antonio De Jesus Gonzalez                       consulting and after-sales services.
foreign exchange settlement, technical support,                                                                                   --------------------------------------------------------------   Legal Head: Mark Adam Todd
                                                                 Escatec Plastic Machinery
staff training, loan guarantee; consulting services
for related companies; and contract outsourcing                  (Shanghai) Co. Ltd.                                              Mitsubishi Electric M&E Co. Ltd.                                 --------------------------------------------------------------
business from parent companies and affiliated                     艺科注塑(上海)有限公司                                                     三菱电机机电(上海)有限公司                                                   SDC Information Technology
companies.                                                       Block 1-a, 1688 Zhuanxing Lu                                     Part 202, 2/F,Plant 46, 11 Debao Lu,                             (Shanghai) Co. Ltd.
Legal Head: Li Xiaolin                                           Business Scope: design, manufacture,                             Waigaoqiao Free Trade Zone                                       尚瑞薪才信息技术(上海)有限公司

56                                                                                                                                                                SHANGHAI BUSINESS REVIEW                         MARCH 2007

Rm201-B, Bldg 2, 690 Bibo Lu                                     --------------------------------------------------------------   Legal Head: Gao Qiao Hong Ming                                   Legal Head: Zhao Shichong
Business Scope: develop, design, produce and                     Toshiba-Carrier Air Conditioning                                 --------------------------------------------------------------   --------------------------------------------------------------
sell computer software, provide technical services.              Sale (Shanghai) Co. Ltd.                                         KBC GOLDSTATE Fund                                               Shanghai Potevio Co. Ltd.
Legal Head: Zhang Yong                                           东芝开利空调销售(上海)有限公司                                                 Management Co.,Ltd                                               上海普天邮通科技股份有限公司
--------------------------------------------------------------   Rm402, 333 Jiujiang Lu                                           金元比联基金管理有限公司                                                     700 Yishan Lu
Shanghai Ching Shiang                                            Business Scope: wholesale, commission                            Rm 3608, Citigroup Tower, 33 Huayuan                             Business Scope: develop and manufacture
                                                                 agency, import and export air conditioning and                   Shiqiao Lu
Agriculture Technology Co. Ltd.                                                                                                                                                                    telecommunication equipment and component;
                                                                 spare parts, provide after-sales and consulting
上海青上农业科技有限公司                                                                                                                      Business Scope: fund management.                                 computer information system integration,
                                                                                                                                  Legal Head: Peng Zhenming                                        technology consulting, sell own products.
Block D, 246 Nanqiao Lu, Nanqiao Town                            Legal Head: Pierre-Yves Rollet
                                                                                                                                  --------------------------------------------------------------   Legal Head: Wei Hongjiu
Business Scope: research and develop,                            --------------------------------------------------------------
manufacture and sell long-term effective                                                                                                                                                           --------------------------------------------------------------
                                                                 Vogelsang Machinery Engineering                                  Langood (Shanghai) Construction
fertiliser and hydrochloric acid.                                                                                                                                                                  Shanghai Red Town Property
                                                                 (Shanghai) Co. Ltd.                                              Chemicals Co. Ltd.
Legal Head: Chen Nanhong                                                                                                          能高共建(上海)新型环保建材有限公司                                               Development Co. Ltd.
--------------------------------------------------------------                                                                    185 Lefu Lu                                                      上海红坊物业发展有限公司
                                                                 Rm101, 173 Jiangyang San Lu
Shanghai Hermès Trading Co.                                                                                                       Business Scope: manufacture and sell high-                       Rm200, Zone B, 570 Huaihai Xi Lu
                                                                 Business Scope: design, manufacture, process                                                                                      Business Scope: property management,
Ltd.                                                                                                                              end construction materials, provide technology
                                                                 and sell pump, muller, spreading system,                                                                                          investment consulting, market planning,
上海圣特娜商贸有限公司                                                                                                                       consulting service.
                                                                 environmental protection equipment and spare                                                                                      enterprise image planning, commercial
Rm 3001,3010,3011, 1038 Nanjing Xi Lu                            parts; provide after-sales and technology services.              Legal Head: Xu Zhi                                               consulting, landscape design and production.
Business Scope: import and export, retail                        Legal Head: Hu Jianwei                                           --------------------------------------------------------------   Legal Head: Zheng Peiguang
and wholesale garment, accessories, bag,                         --------------------------------------------------------------   Otsuka (Shanghai) Food Safety
jewellery, watch, hat, cosmetics, and daily                                                                                                                                                        --------------------------------------------------------------
articles etc; provide luxury goods marketing                     WABCI (Shanghai) Management                                      Research & Development Co. Ltd.
                                                                                                                                                                                                   Shanghai Wecosmos-Transcosmos
consulting service.                                              Co. Ltd.                                                         大冢(上海)食品安全研究开发有限公司
                                                                                                                                                                                                   Business Consulting Co. Ltd.
Legal Head: Christian Blanckaert                                 威伯科(上海)管理有限公司                                                    1969 Lianhua Nan Lu                                              上海微创大宇宙商务咨询有限公司
--------------------------------------------------------------   35/F, Block I, 1 Hongqiao Lu                                     Business Scope: research and develop food                        Rm5020, Bldg Yi, 555 Dongchuan Lu
                                                                                                                                  and raw material inspection technology,
Shanghai Hurun Investment                                        Business Scope: provide marketing, financial                      transfer technical achievement, provide                          Business Scope: provide business consulting,
Consulting Co. Ltd.                                              management, technical support, staff training                    technical support.                                               technical support, e-commerce project,
                                                                 and management for parent companies and                                                                                           software development, system integration, and
上海胡润百富投资管理咨询有限公司                                                                                                                  Legal Head: Qing Shan Xing Zhi
                                                                 affiliated companies.                                                                                                              other related consulting services.
2453 Huhang Gong Lu                                              Legal Head: Leon Liu                                             --------------------------------------------------------------   Legal Head: Qu Liefeng
Business Scope: business information                             --------------------------------------------------------------   Shanghai HMEC Power
consulting, enterprise management consulting,                                                                                                                                                      --------------------------------------------------------------
marketing planning and conference services.                      Xing Da International (Shanghai)                                 Transmission Co. Ltd.
                                                                                                                                                                                                   Shanghai ZMC Enterprises Co. Ltd.
                                                                 Cord Co. Ltd.                                                    上海尚能机电设备贸易有限公司
Legal Head: Hu Run                                                                                                                                                                                 上海杰名钢结构有限公司
                                                                 兴达国际(上海)特种帘线有限公司                                                 7D, 450 Fushan Lu
--------------------------------------------------------------                                                                                                                                     122 Huangjiazai, Heqing Town, Pudong New Area
                                                                 106 Hami Lu                                                      Business Scope: wholesale, commission
Shanghai Kong Yue Digital Co. Ltd.                                                                                                agency, import and export mechanical                             Business Scope: manufacture, process
上海江裕数码科技发展有限公司                                                   Business Scope: research and develop,                            equipment, instrument, hardware, textile                         and sell metal configuration pieces, boiler
                                                                 manufacture and sell new type of hi-tech cord,                   products, and related services.                                  accessories, hardware etc.
RmA-43, No.12 Lane 777 Guangzhong Xi Lu                          provide technology consulting service.
                                                                                                                                  Legal Head: Xu Yuanfan                                           Legal Head: Lu Guozhong
Business Scope: research and develop,                            Legal Head: Liu Jinlan
manufacture and sell electronic display                                                                                           --------------------------------------------------------------   --------------------------------------------------------------
products, provide technical service.                             --------------------------------------------------------------
                                                                                                                                  Shanghai Hope Real Properties                                    Shanghai Zonfa AE High-voltage
Legal Head: Ou Baixian                                           Yazaki (China) Investment Co. Ltd.                                                                                                Electric Apparatus Co. Ltd.
                                                                                                                                  Consultancy Co. Ltd.
                                                                 矢崎(中国)投资有限公司                                                                                                                      上海中发依帕超高压电器有限公司
--------------------------------------------------------------                                                                    上海合富置业顾问有限公司
                                                                 28/F, Xinmei Union Square, 999 Pudong Nan Lu                                                                                      5088 Puxing Gong Lu
Shanghai Peppes Food & Beverage                                                                                                   Rm801-C, 719 Yan’an Xi lu
Co. Ltd.                                                         Business Scope: investment; provide services                                                                                      Business Scope: develop, design, test,
                                                                 for its invested companies, including purchasing,                Business Scope: real estate management.
上海派乐仕餐饮有限公司                                                                                                                                                                                        manufacture and sell gas insulated switch
                                                                 foreign exchange settlement, tehcnical support,                  Legal Head: Huang Jianbang                                       devices (126kv-550kv) and gas insulated
Block 01DE, 2066 Nanjing Xi Lu                                   staff training, loan guarantee; consulting services              --------------------------------------------------------------   breaker equipment (126kv-550kv), provide
Business Scope: medium-level restaurant.                         for related companies; and contract outsourcing                                                                                   after-sales service.
                                                                 business from parent companies and affiliated                     Shanghai Hopefluent Real
Legal Head: Joannis Vendrig                                                                                                       Properties Co. Ltd.                                              Legal Head: Gao Jianshen
--------------------------------------------------------------                                                                    上海合富辉煌房地产经纪有限公司                                                  --------------------------------------------------------------
                                                                 Legal Head: Xi Chuan Bo Wen
Synopsys Science & Technology                                                                                                     Rm 801-B, 719 Yan’an Xi Lu                                       Yanfeng Visteon Automotive
(Shanghai) Co. Ltd.                                                                                                               Business Scope: real estate management.                          Mold Co. Ltd.
                                                                 JOINT VENTURES                                                                                                                    延锋伟世通汽车模具有限公司
                                                                                                                                  Legal Head: Huang Jianbang
14-16/F, 1027 Changning Lu                                       --------------------------------------------------------------                                                                    778 Jinsui Lu, Jinqiao Export & Processing Zone
Business Scope: research, develop, design and sell               Beauty Works (Shanghai) Co. Ltd.                                                                                                  Business Scope: design, develop, test,
big scale integration circuit and design tools.                  碧优缇商务咨询(上海)有限公司                                                  Shanghai Long Chen Paper Co. Ltd.
                                                                                                                                                                                                   manufacture and sell automobile trim and
Legal Head: Pan Jianyue                                          Rm301A, 302B, Bldg 1, 1232 Dingxi Lu                                                                                              other non-metal spare parts moulds, provide
                                                                                                                                  Block A, 2708 Liyue Lu                                           technology consulting and after-sales services.
--------------------------------------------------------------   Business Scope: commercial consulting,
                                                                 enterprise image planning, conference service.                   Business Scope: manufacture, process and                         Legal Head: Zhao Qihua
Tellabs Communication Technol-                                                                                                    sell high-level paper products.
ogy (Shanghai) Co. Ltd.                                          Legal Head: Chen Guoqi                                                                                                            --------------------------------------------------------------
                                                                                                                                  Legal Head: Zheng Yingbin
泰乐通讯技术(上海)有限公司                                                   --------------------------------------------------------------                                                                    Shanghai Doormax Hardware
                                                                                                                                  --------------------------------------------------------------   Manufacturing Co. Ltd.
G/F, Bldg 8, 200 Niudun Lu, Zhangjiang                           Daiishi Kosho Electronic
Hi-tech Park                                                     (Shanghai) Co. Ltd.                                              Shanghai PARAMOUNT                                               上海多麦克司五金制造有限公司
Business Scope: research and develop                             第一兴商电子贸易(上海)有限公司                                                 Entertainment Co.,Ltd.                                           Block 3, 128 Changta Lu, Songjiang Industrial Park
communication network software and                                                                                                上海百乐门文化娱乐有限公司
                                                                 Rm403,404, 24 Yangxin Dong Lu                                                                                                     Business Scope: manufacture, process, design
hardware, provide technology consulting and                                                                                       2-3/F, 218 Yuyuan Lu                                             and sell hardware products and spare parts,
                                                                 Business Scope: wholesale, commission
services, transfer own technology.                                                                                                                                                                 provide after-sales service.
                                                                 agency, import and export electronic products                    Business Scope: manage business in
Legal Head: Jun Yu                                               and other daily articles, and related services.                  entertainment consulting service.                                Legal Head: Zhang Renfei

SHANGHAI BUSINESS REVIEW                            MARCH 2007                                                                                                                                                                                57

Executive Appointments

58                         SHANGHAI BUSINESS REVIEW   MARCH 2007

  HR Manager
  Key Accountabilities / Duties
  • Acquire understanding of the company’s objectives, expansion goals
     and business processes; ensure the HR system, services and solutions               Advertising Sales Professional
     are in line with business objectives.
  • Deliver effective recruitment and staffing services with standardized           Shanghai Business Review is Shanghai’s leading English-
     selection criteria and processes to meet the manpower supply needs.            language business magazine. Due to rapid growth, we are looking
  • Monitor the C&B factors, benchmark internal and external practices              for an experienced and dynamic advertising sales person to join
     to ensure the competitiveness of the company pay structure.                    our team. This is an excellent opportunity to get in on the ground-
     Manage the payroll budget and MI.
                                                                                    floor of a fast-growth publishing business with great opportunities
  • Document the HR practices in the Employee Handbook (HR Policy)
                                                                                    for rapid advancement.
     and ensure that they are in line with statutory obligations, corporate
     objectives and market practices.
  • Ensure that each team leader is responsible for performance
     reviews. Be responsible for the administration procedures briefing
     and time-schedules setting.
                                                                                         Candidates must be native English speakers with
  • Promote the company culture through open communication
     channels and various team-building activities.                                     previous sales experience, ideally with a successful
  Candidate specification                                                                           track record in print advertising.
  Education: Bachelor Degree
  Experience: Preferably in a (strong) service-based corporation, with 3~5             We offer an above industry average basic salary plus
  years experience in a multinational HR operation.
  Skill Sets: Mandarin and English language skills are essential – as are
                                                                                        excellent commission. Expected on target earnings
  professional proficiency, PC application skills, HR related skills and                         Rmb20,000 plus per calendar month.
  knowledge, and familiarity with the Chinese work environment.
  Desired Competencies (Typical): Result oriented / Quick learner / Agile
  and flexible mind / Creative
  Desired Competencies (Nice to have): Strategic capability                     For further information plase send your English resume and covering letter to
  Interested candidates, please email to with resume.                            

                                    “BlueScope Steel-Australia’s Largest Investment in China!”
                                    BlueScope Steel China has been a market leader in the metal building and construction industry in China
                                    since 1995. We have eight world class manufacturing sites, 56 sales offices and over 1900 employees.
                                    Our company is part of the global BlueScope Steel Ltd business, headquartered in Melbourne, Australia,
                                    and one of the top 50 companies listed on the Australian Stock Exchange.

   Company Governance and Compliance                                            Employee Communication Manager
   Manager                                                                      Reporting to the VP HR China, this position will develop and execute
                                                                                employee communication plans that help our employees understand the
   Reporting to the VP Finance, China, this position will be managing overall
                                                                                Company’s business goals; manage communication tools channels, mes-
   corporate governance and compliance for Greater China. The role involves
                                                                                sages, standards and publications, and support internal capability projects.
   establishing the corporate governance and compliance standards for the
   businesses, while ensuring that internal control practices and procedures    Requirements
   are firmly in place in each business.
                                                                                •    Previous employee communications experience within a large firm,
   Requirement                                                                       multinational preferred
   •   Degree minimum with a Major in Accounting, member of Institute of Ac     •    Experience in the management of communication projects and provid-
       countants preferred                                                           ing communications advice
   •   Minimum eight years working experience with multinational companies      •    Tertiary qualification in marketing, communications or English
   •   Possess strong controllership skills and process orientation             •    Excellent computer skills, proficient in Power Point
   •   Leadership and team skills                                               •    A professional attitude, service-oriented approach and the ability to
                                                                                     deliver results effectively to meet specific objectives
   •   High level of energy and commitment towards continual improvement
   •   Good communication skills with excellent spoken and written English

                        Please forward your CV both in English and Chinese to:

SHANGHAI BUSINESS REVIEW       MARCH 2007                                                                                                       59

                                                 Technical Consultants
                                                 Functional Consultants
                                                 Project Managers
     SIVECO is the number one sup-
     plier of Facility Management (FM)           Responsible for implementing our FM/EAM system in customers’ projects, as well as for
     and Enterprise Asset Management             presales consulting. Follow the entire project, from presales to delivery and Go Live, to
     (EAM) systems in Europe with op-            ensure continuity of our service to customers.
     erations in 54 countries. We work
     with industry-leading customers in          Sales Manager – Facility Management (real estate)
     the manufacturing, infrastructure,
     and facility management markets.
                                                 Sales Manager – Industry (manufacturing plants)
     By implementing innovative man-             Responsible for sales within their respective market segments, sales managers are in charge
     agement solutions, we assist facility       of all aspects of sales, from lead generation and qualification, to follow-up and closing, with
     owners in optimizing the utilization        support from marketing and our team of industry experts. Measured on pipeline progress and
     of their assets and reducing their op-      sales quota.
     eration costs, while improving safety
                                                 General requirements:
     and ensuring regulatory compliance.
                                                 Engineering degree in a relevant discipline
     Ranking among the ten fastest grow-
                                                 Experience with ERP/EAM/CMMS implementations
     ing IT companies in China in 2006,
                                                 Ability to take responsibility and solve problems
     we are now recruiting new team
                                                 Industrial experience in one of our target markets, preferably in operation/maintenance/
     members to join our Shanghai opera-
     tion. See for
                                                 Self-motivated and able to work independently
     more information.
                                                 Good communication skills in both Chinese and English
                                              Please email your resume to :

60                                                                                          SHANGHAI BUSINESS REVIEW     MARCH 2007
                                                                                      CLASSIFIED SECTION

Classified                                                            Key service providers to Foreign Invested Enterprises in Shanghai.
                                                                                                                      Shanghai Valuable Finance And Accounting Service        上海长乐路989号世纪商贸广场26楼

         Are you prominent enough?                                                                                    Co., Ltd. Rm1202, No.10, Lane 888 Hongjing Lu,
                                                                                                                      201103. T: 5108 9603
                                                                                                                                                                              Shanghai Lowe Advertising Co. Ltd. 15/F Wenxin Plaza
                                                                                                                                                                              Tower, 755 Weihai Lu, 200041. T: 5292 1000
                                                                                                                      虹井路888弄10号1202室                                         上海威海路755号文新报业大厦15楼
              Why not take out an enhanced entry                                                                            ADVERTISING & GRAPHIC                             Starcom Media. Rm 1603 CITIC Square, 1168
                                                                                                                                                                              Nanjing Xi Lu, 200041. T: 5298 4333
            and increase your profile to thousands of                                                                               DESIGN                                     上海南京西路1168号中信泰富广场1603室
                                                                                                                      Adpush. Rm 603, 525 Jianguo Dong Lu, 200025.
                    potential key customers?                                                                          T: 6385 8700
            Contact Yvonne at 6247 2203 for further
                     information and rates.

                              INDUSTRY CATEGORIES
  ACCOUNTANTS                                           IT SERVICES
  AIRLINES                                              LAW FIRMS
                                                        FREIGHT                                                       Atomic Milkshake Boutique Agency. Suite 435, 4/F,
                                                        MANAGEMENT CONSULTANTS                                        1033 Kangding Lu, 200042. T: 5228 1525/6
  BUSINESS ASSOCIATIONS                                                                                               上海康定路1033号435室
                                                        MARKET RESEARCH, MARKETING                                    BBDO Group. 16/F Peregrine Plaza, 1 Baoqing Lu,
  BUSINESS CONSULTANTS                                  CONSULTANTS & SERVICES                                        200031. T: 6467 9699
  BUSINESS PARKS & SPECIAL ECONOMIC                     PATENT & TRADEMARK AGENTS                                     上海徐汇区宝庆路1号百富勤广场16楼
                                                        PROFESSIONAL EDUCATION - EMBA                                 Carat China. Rm 2305-2308 CITIC Square, 1168
  COMMUNICATIONS & PUBLIC RELATIONS                     PROGRAMMES                                                    Nanjing Xi Lu, 200041. T: 5298 4280                     The Tomorrow Group. Rm16, 39/F, Plaza 66, 1266
  CREDIT & RISK SERVICES                                                                                              上海南京西路1168号中信泰富广场2305-2308室
                                                        PROFESSIONAL EDUCATION - TRAINING                                                                                     Nanjing Xi Lu, 200040. T: 6103 8550
                                                                                                                      Dentsu Young & Rubicam/Wunderman. Rm 608-616            上海市南京西路1266号恒隆广场39楼16室
  ENGINEERING CONSULTANTS                               REAL ESTATE AGENTS                                            Ocean Towers, 550 Yanan Dong Lu, 200001. T: 6351 8588   Weber Shandwick. 28/F Eastern Tower, 689 Beijing
  EXHIBITION & CONFERENCE CENTRES                       RECORDS MANAGEMENT                                            上海延安东路550号海洋大厦608-616室
                                                                                                                                                                              Dong Lu, 200001. T: 6322 2746
  FINANCIAL ADVISORS                                                                                                  Future id. 6/F, 200 Taikang Lu, 200025. T:5466 0369     上海北京东路689号东银大厦28楼
                                                        REMOVALS & RELOCATIONS                                        上海卢湾区泰康路200号6楼
  GOVERNMENT AGENCIES                                                                                                                                                Personlize give-aways.
                                                        SECURITY SYSTEMS                                              Idea Factory China. 29/F, 1515 Nanjing Xi Lu,           Building #4, 1448 YanAn Xi Lu, 200052 T: 5258 5557
  HUMAN RESOURCES - CONSULTANTS                         SERVICED OFFICES & BUSINESS                                   200040. T: 6103 7155                                    中国上海长宁区延安西路1448弄4号
                                                        CENTRES                                                       上海静安区南京西路1515号29楼
  HUMAN RESOURCES - RECRUITMENT &                                                                                                                                             Zenithmedia. 3/F, 900 Huaihai Zhong Lu, 200020. T: 5465 5858
  EXECUTIVE SEARCH                                      TRANSLATORS & INTERPRETERS                                    J. Walter Thompson/Bridge Advertising Co., Ltd. 25/     上海淮海中路900号三楼
                                                                                                                      F The Center, 989 Changle Lu, 200031. T: 2405 0000
                                                                                                                      上海长乐路989号世纪商贸广场25楼                                                            AIRLINES
                                                                                                                      Leo Burnett Shanghai Advertising Co., Ltd. Unit         Aeroflot Russian Airlines. Rm 208, EastWing Shanghai
                                                                                                                      3201-3204 Bund Center (Shanghai), 222 Yanan Dong        Centre, 1376 Nanjing Xi Lu, 200040. T: 6279 8033
                                                                                                                      Lu, 200002. T: 6335 2338                                上海南京西路1376号上海商城东峰208室
                                                                                                                                                                              Air Canada. Rm 3901 United Plaza, 1468 Nanjing Xi
                                                                                                                      Mediaman Shanghai. Suit 601, 68 Changping Lu,           Lu, 200040. T: 6279 2999
                                                                                                                      200041. T: 6299 4416                                    上海南京西路1468号中心大厦3901室
                                                                                                                                                                              Air China. Rm 307, 2550 Hongqiao Lu, 200335. T: 6269 1196
                                                                                                                      MindShare. 28/F The Center, 989 Changle Lu,             上海虹桥路2550号上海国航大楼307室
                                                                                                                      200031. T: 2405 1188                                    Air France. Rm 1301 Novel Plaza, 128 Nanjing Xi Lu,
                                                                                                                                                                              200003. T: 400-880 8808
                                                                                                                      McCann Erickson Guangming Ltd. 25/F, Eastern            上海南京西路128号永新广场1301室
                                                                                                                      Tower, 689 Beijing Dong Lu, 200001. T: 63608380         Air Macau Co., Ltd. Rm 104 International Equatorial
                                                        Jim Sung & Associates P.C. Shanghai CPA T: 021-               中国上海市北京东路689号东银大厦25楼
                                                                                                                                                                              Hotel, 65 Yanan Xi Lu, 200040. T: 6248 1110
                                                        52137828 Shanghai CPA T: 021-32181116 Jim Sung                                                                        上海延安西路65号国际贵都大饭店办公楼104室
                                                        & Associates P.C. U.S. Office T: 201-507-1770 Beijing
                                                        CPA T: 010-6445 1289                                                                                                  Air New Zealand. Rm 3511 Citic Square, 1168
                                                                                                                                                                              Nanjing Xi Lu, 200041. T: 5111 9006
                                                        KPMG. 50/F Plaza 66, 1266 Nanjing Xi Lu, 200040                                                                       上海南京西路1168号中信泰富广场3511室
                                                        T: 5359 4666
                                                        上海南京西路1266号恒隆广场50楼                                                                                                    Alitalia. Rm 3607 The Centre, 989 Changle Lu,
                                                                                                                                                                              200031. T: 6103 1133
                                                        Lehman Brown International Accounts. Rm 902 Universal                                                                 上海长乐路989号世纪商贸广场3607室
                                                        Mansions (Tower A), 172 Yuyuan Lu, 200040. T: 6288 1635
                                                        上海愚园路172号环球世界大厦A座902室                                                                                                 All Nippon Airways. Rm 208 A Shanghai Centre,
                                                                                                                                                                              1376 Nanjing Xi Lu, 200040. T: 5696 2525
                                                        PricewaterhouseCoopers. 11/F Pricewaterhouse                                                                          上海南京西路1376号上海商城东楼208 A室
                                                        Coopers Center, 202 Hubin Lu, 200021. T: 6123 8888
              ACCOUNTANTS                               上海湖滨路202号普华永道中心11楼                                                                                                    American Airlines. Rm 702 Central Plaza, 227
Baker Tilly China. 22/F Hong Kong Plaza, 283                                                                                                                                  Huangpi Bei Lu, 200003. T: 63758686
                                                        Shanghai Branch CWCC Consultant Service                                                                               上海黄陂北路227号中区广场702室
Huaihai Zhong Lu, 200021. T: 6390 6501                  (Shenzhen) Co., Ltd. Rm 904, Walton Plaza, 801
上海淮海中路283号香港广场南楼22层                                     Changle Lu, 200031. T: 5404 9333                                                                                      AirEuropa. Rm 2001, South Tower, Hong Kong Plaza,
BDO Shanghai Zhonghua Certified Public                   上海长乐路801号华尔登广场904室                                                                                                    283 Huaihai Lu, 200021. T: 5351 0135
Accountants. 12/F Ocean Towers, 550 Yanan Dong          Shanghai LSC Certified Public Accountants Co., LTD.
Lu, 200001. T: 6352 5500                                Rm1905, XinDa Mansion, 322 Xianxia Lu, 200336. T: 6209 9258                                                           Asiana Airlines. 2/F, No 2000, Yanan Xi Lu, 200051.
上海延安东路550号海洋大厦12楼                                       上海仙霞路322号鑫达大厦1905室                                                                                                    T: 6219 4000
Dezan Shira & Associates. Suite 1803-1805, Tian An      Tin Wha CPAs. Rm 2204 South Building Hong Kong
center,338 Nanjing Xi Lu, 200003. T: 6358 8686          Plaza, 283 Huaihai Zhong Lu, 200021. T: 6390 6501                                                                     Austrian Airlines. Unit 2904, Raffles City Office
上海南京西路338号天安中心1803-1805室                                                                                              Rimagine Photography Co. Ltd. 767 Wan Hang Du           Tower, 268 Xizang Zhong Lu, T: 021-6340 3411
                                                                                                                      Lu, No.43, Unit 344 Shanghai 200042 T: 5157 0280        上海西藏中路268号来福士广场办公楼2904室
Ernst & Young Da Hua Certified Public Accountants.       Willsonn Partners. Suite 2007-2009, Huai Hai China            万航渡路 767弄43号5号楼 344室
23/F The Center, 989 Changle Lu, 200031. T: 2405 2000   Tower, 885 Remin Lu, 200010. T: 6355 0900 / 0060                                                                      China Eastern Airlines. 2550 Hongqiao Lu, 200051.
上海长乐路989号世纪商贸广场23楼                                                                                                    Ogilvy & Mather Advertising Ltd. 26/F The Center,       T: 6268 6268
                                                        上海人民路885号淮海中华大厦2007- 2009室
                                                                                                                      989 Changle Lu, 200031. T: 2405 1888                    上海虹桥路2550号

62                                                                                                                                               SHANGHAI BUSINESS REVIEW                     MARCH 2007
                                                                                         CLASSIFIED SECTION
British Airways. Suite 703, Central Plaza, 227Huang        AGAPE INTERIOR Decoration Co., Ltd. Rm801,                     Zhangyang Lu, 200122. T: 6876 6600                                 Austrade-Australian Trade Commission. Rm 2106
Pi Bei Lu, 200003. T: 800-810 8012                         No.111, Lane 158, Baocheng Lu, 201100. T: 6460 4752            上海张杨路838号华都大厦17楼                                                   CITIC Square, 1168 Nanjing Xi Lu, 200041. T: 5292 5000
上海黄陂北路227号703室                                             上海市宝城路158弄111号801室                                             Citibank. 2/F Citigroup Tower, 33 Hua Yuan Shi Qiao                上海南京西路1168号中信泰富广场2106室
Dragonair. Rm 2101-2104 Shanghai Square, 138               ANS Architects & Planners. Rm 406, 1313 Xizang                 Road, 200120. T: 5879 1200                                         Australia Victoria Trade & Investment Shanghai
                                                           Nan Lu, 200011. T: 5109 7772                                   上海浦东花园石桥路33号花旗集团大厦2楼                                               Office. Rm308 Shanghai Centre, 1376 Nanjing Xi Lu,
Huaihai Zhong Lu, 200021. T: 6375 6330
上海淮海中路138号上海广场2101-2104室                                   上海西藏南路1313号406室                                                CLSA. Suites 305-310, 3/F, One Corporate Avenue,                   200040. T: 6279 8681
Emirates. Rm 3302-3303, United Plaza, 1468 Nanjing         B+H Architects International Inc. Suite 301, Block 7,          222 Hubin Lu, 200021. T: 2306 6101                                 上海南京西路1376号上海商城308室
                                                           No 10, Jianguo Zhong Lu, 200025. T: 5465 8161                  湖滨路222号企业天地1号305-310室                                              Austcham Shanghai (Australian Chamber of
Xi Lu, 200040. T: 3222 9999
上海南京西路1468号中欣大厦3302-3303室                                  上海建国中路10号7号楼301室                                               Commerzbank. 25/F World Plaza, 855 Pudong Nan                      Commerce). Rm 605 Apollo Building, 1440 Yanan
Finnair. Rm 2406 CITIC Square, 1168 Nanjing Xi Lu,         BAZO Design. 5A Sanhe Building, 121 Yanping Lu,                Lu, 200120. T: 5836 6666                                           Zhong Lu, 200040. T: 6248 2496
                                                           200042. T: 5256 0580                                           上海浦东南路855号世界广场25楼                                                  上海延安中路1440号阿波罗大厦605室
200041. T: 5292 9400
上海南京西路1168号中信泰富广场2406室                                     上海延平路,121号三和大厦5A                                               Credit Industriel Et Commercial. Rm 1105 Overseas                  Australian Trade Commission (Austrade). Suite
Garuda. Unit A,10/F East Ocean Square, 618 Yanan           Charpentier Architecture Design Consulting (Shanghai)          Chinese Mansion, 129 Yanan Xi Lu, 200040. T: 6249 6690             4710-4712 Plaza 66, 1266 Nanjing Xi Lu, 200040. T: 6321 1333
                                                           Co., Ltd. Rm 503, 119 Madang Lu, 200021. T: 6320 2822          上海延安西路129号华侨大厦1105室                                                上海南京西路1266号恒隆广场4710-4712室
Dong Lu, 200001. T: 5385 5399
上海延安东路618号东海商业中心10A                                        上海马当路119号新天地广场503室                                             Credit Suisse First Boston. 17/F Shanghai Stock Exchange           Benelux Business Association China. Rm 1709-1710,
Japan Airlines. Rm 435 Plaza 66, 1266 Nanjing Xi           DP Architects Pte Ltd (Shanghai). Rm 17A Orient                Bldg. (South Tower), 528 Pudong Nan Lu, 200120. T: 6881 8418       Corporate Avenue, 222 Hu Bin Lu, 200021. T: 6385 2023
                                                           International Science&Technology Place, 58                     上海浦东南路528号上海证券大厦南塔17楼                                              上海湖滨路222号企业天地1709-1710室
Lu, 200040. T: 6288 1125
上海南京西路1266号恒隆广场435室                                        Xiangcheng Lu, 200122. T: 6840 6338                            Daiwa Bank. Rm 2709 International Trade Centre,                    British Chamber of Commerce (BritCham). Unit 17-03
KLM Royal Dutch Airlines. 3901A, Ciro’s Plaza, 388 Nan     上海向城路58号东方国际科技大厦17 A室                                          2201 Yanan Xi Lu, 200335. T: 6275 5198                             Westgate Mall, 1038 Nanjing Xi Lu, 200041. T: 6218 5022
                                                           EDAW (Shanghai) Consulting Ltd. 30/F Shanghai                  上海延安西路2201号上海国际贸易中心2709室                                           上海南京西路1038号梅龙镇广场17-03室
Jing Xi Lu, Shanghai 200003 T: 4008 808 222
上海市南京西路388号仙乐斯广场3901A上海                                    Times Square, 93 Huaihai Zhong Lu, T: 63910303                 Den Norske Bank. Rm 307, 2 Zhongshan Dong Yi Lu,                   Canada China Business Council. Suite 912 Central
Korean Air. Rm 3406 Maxdo Centre, 8 Xingyi Lu,             上海淮海中路93号时代广场30楼                                               200002. T: 6841 0808                                               Plaza, 227 Huangpi Bei Lu, 200003. T: 6359 8908
                                                           GDG Architechture + Design Co., Ltd. Rm 2208, 22/F             上海中山东一路12号307室                                                     上海黄陂北路227号中区广场912室
200336. T: 5208 2108
上海长宁区兴义路8号上海万都中心3406室                                      Peregrine Plaza, 1325 Huaihai Zhong Lu, 200031. T: 6466 8173   Deutsche Bank. 29/F HSBC Tower, 101 Yincheng                       Canadian Trade Commission. Suite 604 Four Shanghai
Lufthansa German Airlines. 3/F, Building 1 Corporate       上海淮海中路1325号百富勤广场22楼2208室                                       Dong Lu, 200120. T: 6841 0607                                      Centre, 1376 Nanjing Xi Lu, 200040. T: 6279 8402
                                                           Hassell Design Consulting Ltd. 2/F, 777 Century                上海浦东新区银城东路101号汇丰大厦29楼                                              上海南京西路1376号上海商城四区604室
Avenue, 222 Hubin Lu, 200021. T: 5352 4999
上海湖滨路222号企业天地1号楼3层                                         Avenue, Pudong, 200120. T: 6887 8777                           Dresdner Bank. 39/F Jinmao Tower, 88 Century                       China Britain Business Council. 1701 Westgate
Malaysia Airlines. Rm 209, EastWing Shanghai Center,       上海世纪大道777号人民日报大楼2层                                             Boulevard, 200121. T: 5049 5588                                    Mall, 1038 Nanjing Xi Lu, 200041. T: 6218 5183
                                                           Interior Action Ltd. 5/F, 7 Building, 8 Jianguo Zhong          上海浦东新区世纪大道88号金茂大厦39楼                                               上海南京西路1038号梅龙镇广场1701室
1376 Nanjing Xi Lu, 200040. T: 6279 8579
上海南京西路1376号上海商城东峰209室                                      Lu, 200025. T: 6415 1333                                       Fortis Bank. 3703 Jinmao Tower, 88 Century
Northwest Airlines. Rm 207 EastWing Shanghai               上海建国中路8号7号楼5楼                                                  Boulevard, 200121. T: 5049 8833
                                                           JGP Architectural (Shanghai) Co., Ltd. 27H Huadu               上海浦东新区世纪大道88号金茂大厦3703室
Centre, 1376 Nanjing Xi Lu, 200040. T: 6279 8100
上海南京西路1376号上海商城东峰207室                                      Mansion, 838 Zhangyang Lu, 200122. T: 6875 3000                Hang Seng Bank. 1/F China Development Bank
Qantas Airlines Limited. Suite 208, East Wing Shanghai     上海张杨路838号华都大厦27H座                                              Tower, 500 Pudong Nan Lu, 200120. T: 5882 1338
                                                           M Moser Associates Limited. 9/F Rongze Mansion,                上海浦东南路500号国家开发银行大厦首层
Centre, 1376 Nanjing Xi Lu, 200040. T: 6279 8182
上海南京西路1376号上海商城东峰208室                                      1100 Dingxi Lu, 200050. T: 6213 1933                           HSBC. 35/F HSBC Tower, 101 Yincheng Dong Lu 200120. T: 3888 3888
                                                           上海定西路1100号融泽大厦9楼                                               上海浦东新区银城东路101号汇丰大厦35层
Royal Brunei Airlines. Rm 305 Kerry Centre, 1515
Nanjing Xi Lu, 200040. T: 5298 6688                        PDM International China Pte Ltd. 300 Han Kou Road,             ING Bank. 37/F HSBC Tower, 101 Yincheng Dong Lu,
上海南京西路1515号嘉里中心305室                                        JF News Tower Level 22nd, 200001. T: 6322 3688                 200120. T: 6841 3355
                                                           300号汉口路解放日报大厦22楼                                               上海浦东新区银城东路101号汇丰大厦37楼
Royal Nepal Airlines. Rm 405, Block B Universal Mansions
(auxiliary), 1 Wanhangdu Lu, 200040. T: 3214 0717          Robarts Interiors and Architecture. 1/F, 333                   JP Morgan Chase Bank. 31/F HSBC Tower, 101                         China Supply Chain Council (CSCC). Rm A1, 3/F, Block
上海万航渡路1号环球世界大厦(副)B座405室                                    Changle Lu, Fuxing Xi Lu, 200031. T: 6437 7000                 Yincheng Dong Lu, 200120. T: 6841 1828                             1, 543 Xinhua Lu, 200052. T: 5102 1617, 5102 1618
                                                           上海长乐路333号1楼                                                    上海浦东新区银城东路101号汇丰大厦31层                                              上海新华路543号1号楼,3楼A1室
Turkish Airlines. Rm 211, East Wing Shanghai
Centre, 1376 Nanjing Xi Lu, 200040. T: 3222 0022           SSOE CHINA CO., LTD. Suite 28-K, Pufa Tower,                   Lloyds TSB Bank plc, Shanghai Representative                       Confederation of Indian Industry. Rm 11A47-49
上海南京西路1376号上海商城东楼211室                                      No.588,Pudong Nan Lu, 200120 T: 5878 5857                      Office. Unit 06A, 11/F Shui On Plaza, 333 Huai Hai                  ShanghaiMart, 2299 Yanan Xi Lu, 200336. T: 6236 0969
                                                           上海浦东南路588号浦发大厦28楼K室                                            Zhong Lu, 200021. T: 5306 8798                                     上海延安西路2299号上海世贸商城11A47-49室
Shanghai Airlines. 1/F Kaidike Building, 212
Jiangning Lu, 200041. T: 6255 8888                         Urbis. Suite 1102 Sanwu Building, 555 Nanjing Xi Lu,           淮海中路瑞安广场11楼06A室                                                    Delegation of German Industry and Commerce.
上海江宁路212号凯迪克大厦1楼                                           200041. T: 6255 6356                                           Malayan Banking Berhad. 15/F Marine Tower, 1                       29/F POS Plaza, 480 Pudian Lu, 200122. T: 5081 2266
                                                           上海南京西路555号三五大厦1102室                                            Pudong Da Dao, 200120. T: 6886 0003                                上海浦电路480号浦项商务广场29楼
Singapore Airlines. Rm 606-608 Kerry Centre, 1515
Nanjing Xi Lu, 200040. T: 6289 1000                        Vinyl Group. 5/F, Bldg 1, 751 Huangpi Nan Lu,                  上海浦东大道1号中国船舶大厦15层                                                  European Chamber of Commerce. Suite 1709,1710
上海南京西路1515号嘉里中心606-608室                                    200025. T: 6255 9044                                           Oversea-Chinese Banking Corporation Ltd. Unite                     Corporate Avenue, 222 Hubin Lu, 200021. T: 6385 2023
                                                           上海黄陂南路751号1号楼5楼                                                104 Tomson Commercial Building, 710 Dongfang Lu,                   上海湖滨路222号企业天地1号1709-1710室
Swiss International Airlines. Rm 314A, Bldg 1,
Corporate Avenue, 222 Hubin Lu, 200021. T: 6340 6399       Woodhead. Suite 1001 Bund Intl Tower, 99 Huangpu               200122. T: 5058 3336                                               Finland-China Innovation Center. Rm 401-402,Bldg 2, No
上海湖滨路222号企业天地1号楼314A室                                      Lu, 200080. T: 6356 5999                                       上海东方路710号汤臣金融大厦104室                                                690, Bibo Lu, Zhangjiang Hi-Tech Park 201203. T: 6104 2222
                                                           上海黄浦路99号上海滩国际大厦1001室                                           PT Bank Mandiri (Persero). Suite 3401 Bank of China                上海碧波路690号2号楼401-402室
Thai Airways International. Unit 105 Kerry Centre,
1515 Nanjing Xi Lu, 200040. T: 5298 5090                                                                                  Tower, 200 Yincheng Zhong Lu, 200120. T: 5037 2509                 French Chamber of Commerce. 1/F Eastern Business
                                                                  BANKS - INTERNATIONAL                                   上海银城中路200号中银大厦3401室                                                Building, No.586 Panyu Lu, 200052. T: 6281 3618
                                                           ABN Amro. 28/F Jinmao Tower, 88 Century                        Rabobank Nederland. Rm 3301 China Merchants                        上海番禺路586号东方商务大楼1楼
United Airlines. Unit 3301-3317 Central Plaza, 381
Huaihai Zhong Lu, 200020. T: 3311 4568                     Boulevard, 200121. T: 5049 9303                                Tower, 161 Lujiazui Dong Lu, 200120. T: 5887 5223                  German Centre. No 88, Keyuan Lu, Zhangjiang Hi-Tech
                                                           上海浦东新区世纪大道88号金茂大厦28层                                           上海陆家嘴东路161号招商局大厦3301室                                              Zone, 201203. T: 2898 6888
                                                           American Express Bank Ltd. 455 Retail Plaza Shanghai           SEB. 31/F Lippo Plaza, 222 Huaihai Road Middle,                    上海张江高科技园区科苑路88号
Vietnam Airlines. Rm 531A, East Wing Shanghai
Centre, 1376 Nanjing Xi Lu, 200040. T: 6279 7777           Centre, 1376 Nanjing Xi Lu, 200040.T: 6279 8082                200021. T: 5396 6681                                               German Chamber of Commerce in Shanghai. 29/F
                                                           上海南京西路1376号上海商城455室                                            上海淮海中路222号力宝广场31楼                                                  POS Plaza, 480 Pudian Lu, 200122. T: 5081 2266
                                                           ANZ Banking Group Ltd. 39/F HSBC Tower, 101                    Societe Generale. Rm 4101 Jinmao Tower, 88                         上海浦电路480号浦项商务广场29层
                                                           Yincheng Dong Lu, 200120. T: 6841 0111                         Century Boulevard, 200121. T: 5047 6886                            German Industry and Commerce Shanghai. 29/F
                                                           上海浦东新区银城东路101号汇丰大厦39楼                                          上海浦东新区世纪大道88号金茂大厦4101室                                             POS Plaza,480 Pudian Lu, 200122. T: 5081 2266
                                                           Bangkok Bank Public Co., Ltd. 7 Zhongshan Dong                 Standard Chartered Bank. 35/F China Merchants                      上海浦电路480号浦项商务广场29楼
                                                           Yi Lu, 200002. T: 6323 3788                                    Tower, 161 Lujiazui Dong Lu, 200120. T: 5887 1230                  Hong Kong Chamber of Commerce. 23/F East Ocean
                                                           上海中山东一路7号                                                      上海陆家嘴东路161号招商局大厦35楼                                                Centre, 588 Yanan Dong Lu, 200001. T: 6350 8187
                                                           Bank of America. 758 Nanjing Xi Lu, 200041. T: 5228 8833       United Overseas Bank. Rm 2201 Jinmao Tower, 88                     上海延安东路588号东海商业中心东l楼23层
                                                           上海南京西路758号                                                     Century Boulevard, 200121. T: 5047 3688                            Hong Kong Trade Develoment Council. 23/F East
                                                           Bank of East Asia. 38/F Bank of China Tower, 200               上海浦东新区世纪大道88号金茂大厦2201室                                             Ocean Centre, 588 Yanan Dong Lu, 200001. T: 6352 8488
                                                           Yincheng Zhong Lu, 200120. T: 3883 4567                        Westdeutsche Landesbank. 12/F HSBC Tower, 101                      上海延安东路588号东海商业中心东l楼23层
                                                           上海银城中路200号中银大厦38楼                                              Yincheng Dong Lu, 200120. T: 6841 3399                             Human Resources Professional Club. 20/F Yujia
Virgin Atlantic Airways. Suite 221, 2/F, 12 Zhongshan      Bank of Tokyo-Mitsubishi. 21/F Huiya Tower, 1233               上海浦东新区银城东路101号汇丰大厦12楼                                              Mansion, 1336 Huashan Lu, 200052. T: 6251 5253
                                                           Lujiazui Huan Lu, 200120. T: 6888 1666                                                                                            上海华山路1336号玉嘉大厦20层
Dong Yi Lu, 200002. T: 5353 4605                                                                                                 BUSINESS ASSOCIATIONS
上海中山东一路12号221室                                             上海陆家嘴环路1233号汇亚大厦21楼                                                                                                               Indonesian Business Association Of Shanghai. 20/F
                                                           Banque Nationale De Paris. Rm 1202 Shanghai                    American Chamber of Commerce. Rm 568 Shanghai Centre,              Lippo Plaza, 222 Huaihai Zhong Lu, 200021. T: 5396 6151
ARCHITECTS & INTERIOR DESIGN                               Stock Exchange Building (North Tower), 528 Pudong              1376 Nanjing Xi Lu, 200040. T: 6279 7119                           上海淮海中路222号力宝广场20层
                                                           Nan Lu, 200120. T: 5879 7725                                   上海南京西路1376号上海商城东峰568室
Allied Architects International Inc. Rm 16B, 1375                                                                                                                                            Italian Institute of Foreign Trade Romeo. Rm 1901 The
Huaihai Zhong Lu, 200031. T: 6433 9320                     上海浦东南路528号证券大厦北塔1202室                                          Association of International Accountants. Rm 2201                  Centre, 989 Changle Lu, 200031. T: 6248 8600
上海淮海中路1375号16B                                             Bayerische Landesbank. 17/F Huadu Mansion, 838                 Sheng Ai Plaza, 88 Chaoxi Bei Lu, 200030. T: 6391 0881             上海长乐路989号世纪商贸广场1901室

SHANGHAI BUSINESS REVIEW                       MARCH 2007                                                                                                                                                                             63
                                                                                           CLASSIFIED SECTION
BUSINESS ASSOCIATIONS - Cont’d                                Office General Global Business Centers. 6/F, Cross
New Zealand Trade Development Board. 1607B The                Region Plaza, 899 Lingling Lu, 200030. T: 6468 8833
Centre, 989 Changle Lu, 200031. T: 5407 5777
上海长乐路989号世纪商贸广场1607B                                          SBA Consulting Group. 8/F Universal Mansions
Rotary Club of Shanghai. 1285 Zhongshan Xi Lu,                (Tower A), 168 Yuyuan Lu, 200040. T: 6248 2277
200051. T: 6208 5577
上海中山西路1285号                                                   Shanghai LSC Management Consultants Co., LTD.
Rotterdam Commercial Representative Office. Rm 3908            Rm 1906 XinDa Mansion, 322 Xianxia Lu, 200336.
United Plaza, 1468 Nanjing Xi Lu, 200040. T: 6247 3771        T: 6209 9258
Shanghai Singapore Business Association. 89                   Sun Bridge Consultants Ltd. Suite 1501 Universal
Wanshan Lu, 200036. T: 6335 2222#248                          Mansion, 168 Yuyuan Lu, 200040. T: 6249 6352
Shanghai Stock Exchange. Rm 528 Shanghai Stock                Shanghai Resource Business Consulting Co.,
Exchange Bldg, 528 Pudong Nan Lu, 200120. T: 6880 0061        Ltd. Suite J1, 7/F Zhaofeng Universal Building, 1800
上海浦东南路528号上海证券大厦528室                                          Zhongshan Xi Lu, 200233. T: 6440 0234
South Australian Government Commercial
Representative Office. Unit A, 21/F Jiushi Renaissance         Shanghai WSP Consulting Ltd. Rm 1507 Oriental
Mansion, 918 Huaihai Zhong Lu, 200020. T: 6415 5866           Center, 31 Wujiang Lu, 200041. T: 5211 0228
US-China Economic Exchange Association                        SIP Consulting. Suite G33, 10/F ShanghaiMart, 2299         Communications. Rm 1306 Novel Plaza, 128 Nanjing            Ruder Finn Public Relations Co., Ltd. 2/F,Building 7,
Shanghai Office. Rm 709, 108 Damuqiao Lu, 200032.              Yanan Xi Lu, 200336. T: 6236 0978                          Xi Lu, 200003. T: 6350 0860                                 Lane 789, Huangpi Nan Lu, 200025. T: 5383 1188
                                                              上海延安西路2299号上海世贸商城10楼G33室                                   上海南京西路128号永新广场1306室                                         上海黄陂南路789弄7号楼2楼
T: 6418 6445
上海大木桥路108号709室                                                The JLJ Group. Unit 603, Oriental Center, 31 Wujiang       Hill and Knowlton Zhonglian Public Relations
                                                              Lu, 200041. T: 5211 0068                                   Consulting Co., Ltd. Rm 2606 Westgate Mall, 1038                   CREDIT & RISK SERVICES
       BUSINESS CONSULTANTS                                   上海吴江路31号东方众鑫大厦603室                                         Nanjing Xi Lu, 200041. T: 6218 6150                         Asia Pacific Security Consulting (China) Ltd.
800 TeleServices Marketing Consulting Co., Rm                 Triple A Business & Management Consulting. Rm              上海南京西路1038号梅龙镇广场2606室                                       Rm 806 Huaihai Zhong Hua Plaza, 885 Renmin Lu,
601, 6/FMarine Tower, 1 Pudong Da Dao, 200120.                407 Hongqiao Dianzi Building, 168 Tianshan Zhi Lu,         Ketchum Newscan. Rm 29B Kaidike Building, 212               200021. T: 6111 5249
T: 6886 1800                                                  200051. T: 5206 1601                                       Jiangning Lu, 200041. T: 6289 5838                          上海人民路885号淮海中华大厦806室
上海浦东大道1号中国船舶大厦6楼601室                                          上海天山支路168号虹桥电子时代广场407室                                     上海江宁路212号凯迪克大厦29楼B座                                         Capital Genesis Group. 23/F, Citigroup Tower, 33
Abacus Corporation Business Consulting Ltd. 29/F              Wadley Business Consulting (Shanghai) Co., Ltd. Suite                                                                  Hua Yuan Shi Qiao Lu, 200120. T: 6101 0020
Huaihai Mansion, 200 Huaihai Zhong Lu, 200021. T: 6387 0700   501 OOCL Plaza, 841 Yanan Zhong Lu, 200040. T: 6289 6090                                                               上海花园石桥路33号花旗集团大厦23楼
上海淮海中路200号淮海大厦29楼                                             上海延安中路841号东方海外大厦501室                                                                                                   Coface China. Rm 2104 CITIC Square, 1168 Nanjing
APAC Associates (Shanghai) Co., Ltd. Unit 21-09,                                                                                                                                     Xi Lu, 200041. T: 6288 0008
Ciro’s Plaza, 388 Nanjing Xi Lu,200003. T: 63345663
                                                                   BUSINESS PARKS & SPECIAL                                                                                          上海南京西路1168号中信泰富广场2104室
上海南京西路388号仙乐斯广场2109室                                                  ECONOMIC ZONES                                                                                                 Control Risks Group. Suite 1207 Lansheng Building, 2
Asia Business Consulting Co., Ltd. 8/F ABC Building,          Caohejing Hi-Tech Park Development Corp. Rm 903 New                                                                    Huaihai Zhong Lu, 200021. T: 5298 1800
2558 Yanan Xi Lu, 201103. T: 6295 9001                        Caohejing Tower, 509 Caobao Lu, 200233. T: 6485 0710                                                                   上海淮海中路2-8号兰生大厦1207室
上海延安西路2558号8号楼                                                上海漕宝路509号新漕河泾大厦903室
                                                                                                                                                                                     Pinkerton Consulting Services Ltd. Rm 26B Zhaofeng
BiField Business Resources,Ltd. Suite 2079, The               Shanghai Business Park Development Company                                                                             Tower, 369 Jiangsu Lu, 200050. T: 5237 6566
Centre,989 Changle Lu, 200031 T: 51175480                     Ltd. 888 Tianlin Lu, 200033. T: 5490 2222                                                                              上海江苏路369号 兆丰世贸大厦26B
上海长乐路989号世纪商贸广场2079室                                          上海田林路888号
                                                              Shanghai Zhangjiang Hi-Tech Park Group Co. 69                                                                            ENGINEERING CONSULTANTS
Cathay Consulting Co. Ltd. Suite 5A Xin Xing
Mansion, 137 Julu Lu, 200020. T: 6358 7853                    Zhangjiang Lu, 201203. T: 5080 1818                                                                                    Ascendas China. 30/F, 333 Ascendas Building, 333
上海巨鹿路137号鑫兴大厦5A                                               上海张江路69号                                                                                                               Tianyaoqiao Lu, 200030. T: 6426 3222
                                                              Waigaoqiao Free Trade Zone Administration. Rm                                                                          上海天钥桥路333号腾飞大厦30楼
CEO SUITE Shanghai. Hong Kong New World Tower,
47/F, 300 Huaihai Zhong Lu, 200021. T: 5116 2888              317, 2 Huajing Lu, Waigaoqiao Free Trade Zone, 200131.                                                                 BlueScope Butler. 21 Baosheng Lu, Songjiang
上海淮海中路香港新世界大厦47楼                                              T: 5046 1100                                                                                                           Industrial Zone, 201613. T: 5774 2931
                                                              上海外高桥保税区华京路2号317室                                                                                                      上海松江工业区宝胜路21号
China Enterprise Consulting. 35/F, 158 CITIC Square,
1168 Nanjing Xi Lu, 200041. T: 5111 9168                                                                                                                                             DHV Shanghai. Rm 1101, No.1 Bldg, Grand
                                                                COMMUNICATIONS & PUBLIC                                                                                              Gateway, 1 Hongqiao Lu, 200030. T: 6447 0808
上海南京西路1168号中信泰富广场35楼#158                                                                                                 MKM Communications. Rm 12C, 12/F May Fair
                                                                     RELATIONS                                                                                                       上海虹桥路1号港汇中心大厦1号楼1101室
Enlight Forum,Shanghai Jie Hua Consulting Co.,                                                                           Tower, 89 Fumin Lu, 200040. T: 6247 2203
Ltd. Suite 1405, ShanghaiMart, 2299 Yanan Xi Lu,              AsiaMedia Limited. Bldg 2, Suite 4, 1360 Fuxing            上海富民路89号巨富大厦12楼C座                                           Gleeds (Shanghai) Construction Consultant Co., Ltd.
200336. T: 6236 0810                                          Zhong Lu, 200031. T: 6431 9390                                                                                         6H Haixing Plaza, 1 Ruijin Nan Lu, 200023. T: 6418 7134
                                                              上海复兴中路1360弄2号楼4室                                           Ogilvy Public Relations Worldwide. 26/F The                 上海瑞金南路1号海兴广场26楼H室
上海延安西路2299号上海世贸商城1405室                                                                                                   Centre, 989 Changle Lu, 200031. T: 2405 1888
Gardiner & Theobald Construction Management. Rm               APC Communications Co., Ltd. No 16, Lane 3679,             上海长乐路989号世纪商贸广场26层                                          Spitzer Automation. Rm H, 4th Bldg, 351 Chengjian
1004B-1005 Shanghai Square, 138 Huaihai Zhong Lu,             Jindu Lu, Xinzhuang Industrial Zone 201108. T: 5442 3680                                                               Lu, 201108. T: 6434 5701
                                                              上海莘庄工业区金都路3679弄16号                                         Promus Printing. 1501, Xin Mei Building, 585 Tianmu         上海澄建路351号4号楼H
200021. T: 2890 9648                                                                                                     Lu, 200070. T: 6381 0283
上海淮海中路138号上海广场10楼1004B-1005室                                  Art de Vivre. Rm 1202, Tian An Zhong xin Building, 338     上海天目中路585号新梅大厦15楼01室                                        Tebodin Asia Pacific. 7/F, Esplanade, 30A, Tianshan
Hill & Associates Ltd. East Suite 669 Shanghai                Nanjing xi Lu, 200030. T: 6327 5966                                                                                    Lu, 200336. T: 6259 2560
                                                              上海南京西路338号天安中心1202室                                                                                                    上海天山路30号(甲)天山大厦7楼
Centre, 1376 Nanjing Xi Lu, 200040. T: 6279 8055
上海南京西路1376号上海商城东峰669室                                         Burson-Marsteller China. Rm 303-304 K. Wah
                                                              Centre, 1010 Huaihai Zhong Lu, 200031. T: 5403 2121                                                                        EXHIBITION & CONFERENCE
HRS Consulting Co., Ltd. 27/F POS Plaza, 480
Pudian Lu, 200122. T: 5081 5858                               上海淮海中路1010号嘉华中心303-304室                                                                                                             CENTRES
上海浦电路480号浦项商务广场27层                                            Edelman. Rm 2902, Zhongxing Tower, 1468 Nnanjing                                                                       Shanghai Centre Theatre. Rm 353, 1376 Nanjing Xi
Keystone Consulting Shanghai Co Limited. Suite 1804           Xi Lu, 200020. T: 6289 2929                                                                                            Lu, 200040. T: 6279 7132
                                                              上海南京西路1468号中欣大厦 2902室                                                                                                  上海南京西路1376号353室
Oriental Center, 31 Wujiang Lu, 200041. T: 5211 0250
上海吴江路31号东方众鑫大厦1804室                                           Fleishman-Hillard (China) International                                                                                Shanghai Everbright International Convertion&
                                                                                                                                                                                     Exhibition Center. 66 Caobao Lu, 200235. T: 6451 6345
                                                                                                                                                                                     Shanghai Exhibition Centre. 1000 Yanan Zhong Lu,
                                                                                                                                                                                     200040. T: 6279 0279
                                                                                                                                                                                     Shanghai Grand Theatre Banquet Hall. 300 Renmin
                                                                                                                                                                                     Da Dao, 200003. T: 6386 8686
                                                                                                                                                                                     Shanghai International Convention Centre. 2727
                                                                                                                                                                                     Binjiang Da Dao, T: 5037 0000
                                                                                                                                                                                     Shanghai Mart. ShanghaiMart, 2299 Yanan Xi Lu,
                                                                                                                         Value Communication Services(Shanghai) Inc. Unit M, 10/F
                                                                                                                                                                                     200336. T: 6236 6888
                                                                                                                         Cross Region Plaza, 899 Lingling Lu, 200030. T: 5489 0505   上海延安西路2299号上海世贸商城

64                                                                                                                                                     SHANGHAI BUSINESS REVIEW                    MARCH 2007
                                                                                     CLASSIFIED SECTION

          FINANCIAL ADVISORS                               Shanghai Personnel Bureau. 123 Damuqiao Lu,            Hireright Consulting Profiles Shanghai. 22/A Huadu        MRI Worldwide. 702 Hong Kong Plaza, 283 Huaihai
                                                           200032.T: 6404 5568                                    Mansion, 838 Zhangyang Lu, 200122. T: 5820 4355          Zhong Lu, 200021. T: 6390 6007
Austen Morris Associates. Guangdong Development            上海大木桥路123号                                             上海张杨路838号华都大厦22楼A座                                       上海淮海中路283号香港广场南楼702室
Bank Tower, 555 Xujiahui Lu, 200023. T: 6390 1233
上海徐家汇路555号广东发展银行大厦6E室                                      Shanghai Pudong New Area Development. 2001             Hong Kong Executive Search. Suite 3203, 32/F             MTS-Consulting. Unit 1703 City Centre of Shanghai
                                                           Century Avenue, 200135. T: 2828 2172                   United Plaza, 1468 Nanjing Xi Lu, 200040.                (Tower A), 100 Zunyi Lu, 200051. T: 6237 0910
De Vere & Partners. Suite 1410, Tian An Centre, 338        上海浦东新区世纪大道2001号                                        T: 6289 7676                                             上海遵义路100号上海城A座1703室
Nanjing xi Lu, 200122. T: 6372 8118                                                                               上海南京西路1468号中欣大楼3203室
南京西路338号天安中心1410室                                          Shanghai Statistical Bureau. 48 Weihai Lu, 200003.                                                              Russell Reynolds Services Inc. Shanghai Rep.
                                                           T: 5385 7070                                           Hudson Human Capital Solutions (Shanghai) Ltd.           Office. Rm 1513 Central Plaza, 381 Huaihai Zhong
Financial Partners International. Rm 1801, Plaza 66,       上海威海路48号                                               Rm 1602 Central Plaza, 227 Huangpi Bei Lu, 200003.       Lu, 200020. T: 6391 5511
1266 Nanjing Xi Lu, 200040. T: 6288 0236                                                                          T: 6375 8922                                             上海淮海中路381号中环广场1513室
南京西路1266号恒隆广场1801室                                         Shanghai Tourism Bureau. Huating Guest House,
                                                           2525 Zhongshan Xi Lu, 200030. T: 6439 1475             上海黄陂北路227号中区广场1602室
Gladstone Morgan International. 26/F,Times                 上海中山西路2525号华亭宾馆                                        Integer Consulting. Rm 1810 Ciro Plaza, 388 Nanjing
Square,93 Huaihai Zhong Lu,200021.T: 5117 9393                                                                    Xi Lu, 200003. T: 6334 5522
淮海中路93号时代广场26楼                                                      HUMAN RESOURCES -                             上海南京西路388号仙乐斯广场1810室
Knightsbridge. Suite 513, 885 Renmin Lu, 200010.                      CONSULTANTS                                 Jen International Executive Search. Unit 1706, Level
T: 6328 7331                                               DDI Asia/Pacific International, Ltd. Rm 1106, 2         17, Gang Tai Plaza, 700 East Yan’an Lu, 200001.
上海人民路885号5楼513室                                                                                                   T: 5385 0611/0622/0623; 5385 0151/0161/0171
                                                           Grand Gateway, 3 Hongqiao Lu, 200030, T: 6113 2525
Mason LaRoche (HK) Ltd. Rm 1801, 18/F, Shanghai            上海虹桥路3号港汇中心二座1106室                                     上海延安东路700号港泰广场17楼1706室
Oriental Centre, 699 Nanjing Xi Lu, 200041. T: 3217 0841   Hewitt Associates Consulting (Shanghai) Co., Ltd.      J.M.Gemini. Suit 8E Industrial Investment Building, 18
南京西路699号上海东方众鑫大厦18层1801                                                                                           Caoxi Bei Lu, 200030. T: 6428 2460
                                                           36/F Central Plaza, 381 Huaihai Zhong Lu, 200020.
                                                           T: 6391 6788                                           上海漕溪北路18号上海实业大厦8楼E座
                                                           上海淮海中路381号中环广场36楼                                      Korn/Ferry International. Suite 3208, CITIC Plaza,       Search & Staaffing International. 39/F Plaza 66,
                                                           I Will Not Complain. 1008 Pacheer Commercial           1168 Nanjing Xi Lu, 200041. T: 6256 7333                 1266 Nanjing Xi Lu, 200040. T: 5150 0915
                                                           Centre, 555 Nanjing Xi Lu, 200041. T: 6258 1024        上海南京西路中信泰富广场3208室                                        上海南京西路1266号恒隆广场39层
                                                           南京西路555号三五大厦1008室                                      Manpower & Standard Human Resources                      Shanghai Foreign Service Co. Rm 1707 Jinling
                                                           Mobley Group Pacific. Rm 2006-2007, 20/F, One           (Shanghai) Co., Ltd. Rm 2808-2811 Information            Building, 28 Jinling Xi Lu, 200021. T: 6372 1888
                                                           Corporate Avenue, 222 HuBin Lu, 200021. T: 6340 6222   Building, 211 Century Avenue, 200120. T: 5878 2618       上海金陵西路28号金陵大厦1707室
                                                           上海市湖滨路222号企业天地 大厦2006-2007室                            上海浦东世纪大道211号信息大厦2808-2811室
                                                                                                                                                                           Shanghai Sincere International Human Resources
                                                           Mercer Consulting Ltd. Rm 3601 HongKong New                                                                     Consulting Service Co., Ltd. Rm 818 Zhongyue
                                                           World Tower, 300 Huaihai Zhong Lu, 200021.                                                                      Building, 225 Fujian Zhong Lu, 200001. T: 6350 6220
                                                           T: 6335 3358                                                                                                    上海福建中路225号中悦大楼818室
                                                           上海淮海中路300号香港新世界大厦3601室                                                                                          Shanghai SOKA Consulting Co.,Ltd. 27/F No.31
                                                           Redbank Consulting Ltd. Level 23, Citigroup Tower,                                                              Oriental Center, Wujiang Lu, 200041. T: 5211 0505
Offshore2online. Rm 1608, OOCLPlaza , 841 Yanan            33 Huayuan Shiqiao Lu, 200120. T: 6101 0486                                                                     上海吴江路东方众鑫大厦31号27楼
Zhong Lu, 200040, T: 6247 2877                             上海浦东陆家嘴花园石桥路33号汇丰大厦23层
延安中路841号东方海外大厦1608室                                                                                                                                                        Staff Service (Shanghai) Co., Ltd. Unit 2606-09
                                                           Shanghai Tempstaff Co., Ltd. 21/F, Jiushifuxing                                                                 Kerry Centre, 1515 Nanjing Xi Lu, 200040. T: 5298 6298
Temple Bar International. Suite 2704, 66Shan Xi            Mansion, 918 Huaihai Zhong Lu, 200020.                                                                          上海南京西路1515号嘉里中心2606-09室
Lu (N), 200041. T: 5116 8797                               T:6415 5368*120
上海陕西北路66号科恩国际中心2704室                                                                                                                                                       Sunshine Consulting Shanghai Office. 11/F
                                                           上海淮海中路久事复兴大厦21楼                                        Michael Page International. Rm 602-03 Kerry              Overseas Chinese Mansion, 129 Yanan Xi Lu, 200040.
      GOVERNMENT AGENCIES                                  The Mint Organization. Rm 602B, 256 Pudong Nan         Centre, 1515 Nanjing Xi Lu, 200040. T: 3222 4758         T: 5653 9490
                                                           Lu, 200120. T: 5877 6663                               上海南京西路1515号嘉里中心602-03室                                   上海延安西路129号华侨大厦11楼
Division of Aliens & Exit-Entry Administration. 333        上海浦东南路256号602B
Wusong Lu, 200080. T: 6357 7925
上海吴淞路333号                                                  Watson Wyatt Consultancy (Shanghai) Ltd. 11/F
                                                           Kerry Centre, 1515 Nanjing Xi Lu, 200040.
Foreign Affairs Office of Shanghai Municipality.            T: 5298 6888
1418 Nanjing Xi Lu, 200040. T: 6256 5900                   上海南京西路1515号嘉里中心11楼
Foreign Economic Commission of Huangpu                     HUMAN RESOURCES - RECRUITMENT
District People Government Shanghai. 10/F(West),               & EXECUTIVE SEARCH
300 Yanan Dong Lu, 200001. T: 3313 4800
                                                           Asia Pacific Management Consulting GmbH. Rm
                                                           2106, 500 Chengdu Bei Lu, 200003. T: 5102 9522
Overseas Chinese Affairs Office of Shanghai                 上海成都北路500号竣岭广场2106室
Municipal Government. 12/F Overseas Chinese
                                                           Bennett Associates Ltd Shanghai Representative
Mansion, 129 Yanan Xi Lu, 200040. T: 6249 1710
                                                           Office. Rm 1833, 222 Yanan Lu East, 200020.
                                                           T: 6335 2380
Shanghai Auditing Bureau. 288 Henan Nan Lu,                上海延安东路222号18楼1833室
200011. T: 3305 4999
                                                           Consult Group (Shanghai). 25/F, Central Plaza, 227
                                                           Huangpi Bei Lu, 200003. T: 6375 9366
Shanghai Commerce Commission. 7/F, 200                     黄陂北路227号中区广场25楼
Renmin Dadao, 200003. T: 6321 2810
                                                           China Rm 3108, Kerry Everbright City
                                                           (Tower 1), 218 Tianmu Xi Lu, 200070. T: 6354 8848
Shanghai Economic Relations & Trade Commission             上海天目西路218号嘉里不夜城1场3108室
of Shanghai Municipality. 55 Loushanguan Lu, 200336.
                                                           Executive Leasing China Ltd. Rm 1607, 1277 Beijing
T: 6275 2200
                                                           Xi Lu, 200040. T: 6120 4690
Shanghai Foreign Investment Commission. 16-17/F,
New Town Centre, 55 Loushanguan Lu, 200336. T: 6275 2200
Shanghai Foreign Investment Development Board. 15/F
New Town Centre, 83 Loushanguan Lu, 200336. T: 6236 8800
Shanghai Foreign Investment Service Center. 9/F New
Town Mansion, 55 Loushanguan Lu, 200336. T: 6275 3910
Shanghai Industry & Commercial Administration
Bureau. 301 Zhaojiabang Lu, 200032. T: 6422 0000
上海肇家浜路301号                                                 Hays Executive. Rm 603 Platinum Building, 233
                                                           Taicang Lu, Xintiandi, 200020. T: 5382 4662
Shanghai Labour & Social Security Bureau. 2001             上海太仓路233号新茂大厦603室
Century Avenue, 200120. T: 5878 8388
上海浦东新区世纪大道2001号                                            Heidrick & Struggles. 3308 Plaza 66, 1266 Nanjing
                                                           Xi Lu, 200040. T: 5298 4840
Shanghai Municipal Govemment. 200 Renmin                   上海南京西路1266号恒隆广场3308室
Dadao, 200003. T: 6321 2810

SHANGHAI BUSINESS REVIEW                        MARCH 2007                                                                                                                                                      65
                                                                                CLASSIFIED SECTION
IT SERVICES - Cont’d                                  Roosevelt China Capital, Inc. Suite 3506, Bank of      TNT China. 45F Raffles City Tower, 268 Xizang Zhong   Gide Loyrette Nouel. Suite 2008, Shui On Plaza, 333
                                                      China Tower, 200 Yincheng Zhong Lu, 200120.            Lu, 200001. T: 5352 4688                             Huaihai Zhong Lu, 200021. T: 5306 8899
SpencerStuart. Rm 1107, O ne Corporate Avenue,        T: 5037 2488                                           西藏中路268号来福士广场45楼                                     上海淮海中路333号瑞安广场2008室
222 Hubing Lu, 200021. T: 6386 1177                   银城中路200号中银大厦35楼3506室                                   UPS. Rm 1318-1338 Central Plaza, 381 Huaihai         Haarmann Hemmelrath & Partners. Rm 2308,
                                                      Salira Optical Network Systems Inc. 5F, 5 Bibo Lu,     Zhong Lu, 200020. T: 6391 5555                       Jinmao Tower, 88 Century Boulevard, 200121.
Templar International Consultants. A16 Plaza          201203. T: 5080 6800                                   上海淮海中路381号中环广场1318-1338室                             T: 5047 9352
Business Centre, 12/F, Shui On Plaza, 333 Huaihai     碧波路5号5楼                                                                                                     上海浦东世纪大道88号金茂大厦2308室
Zhong Lu, 200021. T: 5116 0707                        SiemensBusiness Communication Systems Co.,                              LAW FIRMS                           Haiwen + Partners. Rm 2604, Kerry Centre, 1515
                                                      Ltd. 931 Ningqiao Lu, Jinqiao Export Processing        ADAMAS. Rm 608 Dynasty Business Center, 457          Nanjing Xi Lu, 200040. T: 5298 5028
                                                      Zone, 201206. T: 6101 3000                             Wulumuqi Bei Lu, 200040. T: 6249 0302                上海南京西路1515号嘉里中心2604室
                 IT SERVICES                          金桥出口加工区宁桥路931号                                         上海乌鲁木齐北路457号朝代商务中心608室
                                                                                                                                                                  Herbert Smith. Rm 5 38/F, Bund Centre, 222 Yanan
Citrix System Asia Pacific Ltd. 21/F, HSBC Tower,                                                             Allbright Law Offices. 14/F Citigroup Tower, 33 Hua   Dong Lu, 200002. T: 6335 1144
101 Yincheng Dong Lu, 200120. T: 2890 3389                                                                   Yuan Shi Qiao Lu, 200120. T: 6105 9145               上海延安东路222号外滩中心38楼5室
                                                                                                                                                                  Holman, Fenwick & Willan. Rm 1411, China
Eicon Technology Corporation. Rm.1901, Bldg B,                                                               Advokatfirman Vinge KB Shanghai Office. Rm1207-        Insurance Building, 166 Lujiazui Dong Lu, 200120.
188 Zhangyang Lu, 200122. T: 5830 9610                                                                       08 Shanghai Times Square, No.93 Huai Hai Zhong       T: 5888 7711
                                                                                                             Road, 200021, T: 5382 0196 / 5382 0473               上海陆家嘴东路161号中国保险大厦1411室
Guoxin Lucent Technologies Network                                                                           上海淮海中路93号大上海时代广场1207-08室
                                                                                                                                                                  Ince & Co. Rm 322, 12 Zhongshan Dong Yi Lu,
Technologies Co., Ltd. 2/F, 1215 Dongfang Lu,                                                                Allen & Overy. Suite 601, 1 Corporate Avenue, 222    200002. T: 6329 1212
200127. T: 6867 4520                                                                                         Hubin Lu, 200021. T: 5386 9988                       上海中山东一路12号322室
                                                                                                                                                                  Jin Mao Law Firm. 21/F Universal Mansions, 168
I1 Inc. 2/F Chunxiao Lu 200120. T: 5047 0418                                                                 Allens Arthur Robinson. 13/F HSBC Tower, 101         Yuyuan Lu, 200040. T: 6249 5606
                                                      SSBG- IT Solutions. Rm. 305, Xiangyang Plaza, 97       Yincheng Dong Lu, 200120. T: 6841 2828               上海愚园路168号环球世界大厦21楼
It Resources. Rm. E-F, 26/F, Lekai Mansion, 660       Xiangyang Bei Lu, 200031. T: 5404 3999                 上海浦东新区银城东路101号汇丰大厦13层
                                                                                                                                                                  Johnson Stokes & Master. Suite 2501-2504 Plaza
Shangcheng Lu, 200120. T: 3887 0950                   襄阳北路97号襄阳大楼305室                                        Armstrong Teasdale LLP Shanghai Office. Suite         66, 1266 Nanjing Xi Lu, 200040. T: 6288 0688
                                                                                                             718 Shanghai Centre, 1376 Nanjing Xi Lu, 200040.     上海南京西路1266号恒隆广场2501-2504室
Kingdee Software 3/F, Silver Tower, 218 Xizang Nan         INTERNATIONAL COURIER                             T: 6279 8808                                         Jones, Day, Reavis & Pouge. 30/F Kerry Centre,
Lu, 200021 T: 6334 3008                                           SERVICES                                   上海南京西路1376号上海商城西峰718室
                                                                                                                                                                  1515 Nanjing Xi Lu, 200040. T: 2201 8000
                                                      DHL-Sinotrans Ltd. 303 Jinian Lu, 200434.              Baker & McKenzie. Suit 1601 Jinmao Tower, 88         上海南京西路1515号嘉里中心30楼
MCSB Systems (Beijing) Ltd. Shanghai Branch           T: 6536 8888                                           Century Boulevard, 200121. T: 5047 1634              Jun He Law Firm. Rm 2501, 32/F Kerry Centre, 1515
Office. Rm. J-L 19/F, No.1 Department Store, 800       上海纪念路303号                                              上海浦东新区世纪大道88号金茂大厦1601室
                                                                                                                                                                  Nanjing Xi Lu, 200040. T: 5298 5488
Nanjing Dong Lu, 200001. T: 6361 5578                 Federal Express-DTW Co., Ltd. Shanghai Rep. Office.     Barlow Lyde & Gilbert Shanghai Office (UK). Suite     上海南京西路1515号嘉里中心32楼2501室
                                                      10/F Aetna Tower, 107 Zunyi Lu, 200051. T: 6275 0808   1606, 16/F Jinmao Tower, 88 Century Boulevard,       King & Wood. 21/F Shui On Plaza, 333 Huaihai
Nortel Networks. 381 Huaihai Zhong Lu, 200020.        上海遵义路107号安泰大厦10楼                                       200121. T: 5047 6633                                 Zhong Lu, 200021. T: 6385 2299
T: 5382 2000                                          Shanghai Jet Express Corp. Ltd. 59-61, Lane 2545,      上海浦东新区世纪大道88号金茂大厦1606室                               上海淮海中路333号瑞安广场21楼
                                                      Hongqiao Lu, 200335. T: 6269 1122                      Blake Dawson Waldron International Lawyers. Rm       Linklaters. 28/F HSBC Tower, 101 Yincheng Dong Lu,
Orion I.T. Services. Unit 2301-2308, 23/F, Shanghai   上海虹桥路2545弄59-61号                                       628 Shanghai Centre, 1376 Nanjing Xi Lu, 200040.     200120. T: 6841 5858
Central Plaza, 381 Huaihai Zhong Lu, 200020.          Shanghai L-Jie Express. 1319 Wuding Xi Lu,             T: 6279 8069                                         上海银城东路101号汇丰大厦28层
T: 5351 0733                                          200042. T: 3220 1579                                   上海南京西路1376号上海商城628室
淮海中路381号中环广场2301-2308室                                                                                                                                            Links Law Office. 21F Shanghai Stock Exchange Bldg.
                                                      上海武定西路1319号                                            Birindelli e Associati Studio Legale. Suite 1007,    (South Tower), 528 Pudong Nan Lu, 200120. T: 6881 8100
                                                                                                             Shanghai Kerry Centre, 1515 Nanjing Xi Lu, 200040.   上海浦东南路528号上海证券大厦21楼
                                                                                                             T: 5298 5060
                                                                                                             C & S Law Firm. Suite 1502 Shanghai Stock
                                                                                                             Exchange Bldg.(North Tower), 528 Pudong Nan Lu,
                                                                                                             200120. T: 6881 6261
                                                                                                             Cabinet Dvocats Freshfields Bruckhaus Deringer.
                                                                                                             34/F Jinmao Tower, 88 Century Boulevard, 200121.
                                                                                                             T: 5049 1118
                                                                                                             Clifford Chance. 40/F Bund Centre, 222 Yanan Dong
                                                                                                             Lu, 200002. T: 6335 0086
                                                                                                             CMS Bureau Francis Lefebvre. Rm 905 Kerry
                                                                                                             Centre, 1515 Nanjing Xi Lu, 200040. T: 6289 6363
                                                                                                             Davis Wright Tremaine LLP Shanghai
                                                                                                             Representative Office. Suite 450, East Tower
                                                                                                             Shanghai Centre, 1376 Nanjing Xi Lu, 200040.         Lehman, Lee & Xu. Suite 210 Kerry Centre, 1515
                                                                                                             T: 6279 8560                                         Nanjing Xi Lu, 200040. T: 6288 2698
                                                                                                             上海南京西路1376号上海商城东峰450室                                上海南京西路1515号嘉里中心210室
                                                                                                             Deacons Shanghai Office. Suite 2801, Raffles City,     Lovells. Suite 1107, Kerry Centre, 1515 Nanjing Xi Lu,
                                                                                                             268 Xizang Zhong Lu, 200001. T: 6340 3588            200040. T: 6279 3155
                                                                                                             上海西藏中路268号莱福士广场2801室                                 上海南京西路1515号嘉里中心1107室
                                                                                                             DLA Shanghai Rep. Office. Rm 2807-2810, Bank of       Minter Ellison Lawyers. Suite 6211-6212 Plaza 66,
                                                                                                             China Tower, 200 Yincheng Zhong Lu, 200120.          1266 Nanjing Xi Lu, 200040. T: 6288 2171
                                                                                                             T: 5037 2726                                         上海南京西路1266号恒隆广场6211-6212
                                                                                                                                                                  Oelveny & Myers LLP. 20/F Kerry Centre, 1515
                                                                                                             Dorsey & Whitney, LLP, Shanghai Representative       Nanjing Xi Lu, 200040. T: 5298 5600
                                                                                                             Office. Suite1701, Bldg 1 Corporate Avenue, 222       上海南京西路1515号嘉里中心20楼
                                                                                                             Hubin Lu, 200021. T: 6288 2323                       Paul Hastings. Rm 2301 HongKong New World
                                                                                                                                                                  Tower, 300 Huaihai Zhong Lu, 200021. T: 6335 3930
                                                                                                             DS Avocats. Rm 1707, Hong Kong Plaza, 283            上海淮海中路300号香港新世界大厦2301室
                                                                                                             Huaihai Zhong Lu, 200021. T: 6390 6015               Salans Shanghai Representative Office. Rm1301-
                                                                                                                                                                  1304, Shanghai Kerry Center, 1515 Nanjing Xi Lu,
                                                                                                             Faegre & Benson LLP. Rm 425, Shanghai Centre,        20040. T: 6289 0990
                                                                                                             1376 Nanjing Xi Lu, 200040. T: 6279 8988             上海南京西路1515号上海嘉里中心1301-1304室
                                                                                                                                                                  Shanghai Hengtai Law Office. Rm 2302, Summit
                                                                                                             Fangda Partners. Rm 2202, Kerry Centre, 1515         Centre, 1088 Yanan Xi Lu, 200052. T: 6226 2625
                                                                                                             Nanjing Xi Lu, 200040. T: 5298 5566                  上海延安西路1088号长峰中心2302室

66                                                                                                                                      SHANGHAI BUSINESS REVIEW                MARCH 2007
                                                                                  CLASSIFIED SECTION
                                                                                                                  Plaza, 85 Loushanguan Lu, 200335. T: 6209 9738
                                                                                                                  Mercantile (China) Logistics Services Co., Ltd.
                                                                                                                  Suite 1304-05 Hong Kong Plaza, 283 Huaihai Zhong
                                                                                                                  Lu, 200021. T: 6390 6310
                                                                                                                  OnTime Express Ltd.- Shanghai. Huangpu Lu 99,
                                                                                                                  Shanghai International Tower Room 2510 T: 6364 2582
                                                                                                                  上海市黄浦路99号上海滩国际大厦 2510室

                                                                                                                                                                         Savino Del Bene China. 11/E West Tower Shanghai
                                                                                                                                                                         Hi Tech King World 668 Beijing Road (East) 200001
                                                                                                                                                                         T: 5308 0977
                                                                                                                                                                         北京东路668号 科技京城 西楼11/E
                                                                                                                                                                         SSI Schaefer System International Storage System
Sidley Austin Brown & Wood. Suite 2501, Shui On       DHL-Sinotrans Ltd. 303 Jinian Lu, 200434. T: 6536 8888                                                             (Kunshan) Co., Ltd. Unit 17D, West Block Hi-Tech
Plaza, 333 Huaihai Zhong Lu, 200021. T: 5306 2866     上海纪念路303号                                                                                                          King World, 668 Beijing Dong Lu, 200001.
                                                      Dachser Far East Ltd. Shanghai Rep. Office. Rm                                                                      T: 5308 3678
Simmons & Simmons. 33/F Plaza 66, 1266 Nanjing                                                                                                                           上海北京东路668号科技京城西楼17D
                                                      2305-2308, 1038 Nanjing Xi Lu, 200041. T: 3217 4790         OOCL Logistics (China) Ltd. 18/F OOCL Plaza, 841
Xi Lu, 200040. T: 6249 0700                           上海南京西路1038号梅龙镇广场2305-2308室                                                                                         Suttons International Ltd. Shanghai Rep. Office.
上海南京西路1266号恒隆广场33楼                                                                                                Yanan Zhong Lu, 200040. T: 2301 8899                   109 Changjiang Nan Lu, 200441. T: 5644 7447
                                                      ESL EXPRESS (Worldwide Inc.) Forwarding,                    上海延安中路841号东方海外大厦18楼
Sinclair Roche & Temperley. 8/F HSBC Tower, 101       Logistics and Warehousing. Rm. 1402, 988 Dingxi
Yincheng Dong Lu, 200120. T: 6841 0988                                                                            PIL Logistics (China) Co., Ltd. Rm 609 Bund
                                                      Lu, Shanghai, 200050. T: 6225 5599                          International Tower, 99 Huangpu Lu, 200080.
上海浦东新区银城东路101号汇丰大厦8楼                                  上海市定西路988号1402室
Stephenson Harwood Shanghai Rep. Office. 8/F                                                                       T: 6393 0663
                                                      EGL Global Logistics Shanghai Ltd. 19/F Jiang Nan           上海黄浦路99号上海滩国际大厦609室
HSBC Tower, 101 Yincheng Dong Lu 200120.              Shipyard Building, 600 Luban Lu, 200023.
T: 6841 0988                                          T: 5302 9988                                                Penske (Shanghai) Logistics. 39/F Plaza 66, 1266
上海浦东新区银城东路101号汇丰大厦8楼                                  上海鲁班路600号江南造船大厦19层                                          Nanjing Xi Lu, 200040. T: 6288 1470
Taylor Wessing Shanghai Rep. Office. 1509 United       Emery Worldwide Shanghai Rep. Office. Suite
Plaza, 1468 Nanjing Xi Lu, 200040. T: 6247 7247       1107 Ruijin Building, 205 Maoming Nan Lu, 200020.           P & O Nedlloyd (China) Ltd. 16/F Pidemco Tower,
上海南京西路1468号中欣大楼15层1509室                               T: 6466 9559                                                318 Fuzhou Lu, 200001. T: 6391 2500
                                                      上海茂名南路205号瑞金大厦1107室                                         上海黄浦区福州路318号百腾大厦16层
Tenet United Law Firm. Rm 708 Tomson Commercial
Building, 710 Dongfang Lu, 200122. T: 5836 4666       Exel Logistics (China). 18/F Tomson Commercial
上海东方路710号汤臣金融大厦708室                                   Building, 710 Dongfang Lu, 200122. T: 5058 1111
Thieffrey et Associes. 14/F China Merchants Tower,    上海东方路710号汤臣金融大厦18层
161 Lujiazui Dong Lu, 200120. T: 6841 1388            Federal Express-DTW Co., Ltd. Shanghai Rep.
上海陆家嘴东路161号招商局大厦14楼                                   Office. 10/F Aetna Tower, 107 Zunyi Lu, 200051.
TransAsia Lawyers. Suite 620 Shanghai Centre,         T: 6275 0808
1376 Nanjing Xi Lu, 200040. T: 6279 8212              上海遵义路107号安泰大厦10楼
上海南京西路1376号上海商城620室                                   Geologistics Limited. Rm 2010 ShanghaiMart, 2299
Weil, Gotshal & Manges LLP. Rm 4101 CITIC Square,     Yanan Xi Lu, 200336. T: 6236 0666
1168 Nanjing Xi Lu, 200041. T: 3217 4618              上海延安西路2299号上海世贸商城2010室
上海南京西路1168号中信泰富广场4101室                                Globe Express Services. Rm 3101-08 Central Plaza,
White & Case LLP. Rm 220 12 The Bund, 12              381 Huaihai Zhong Lu, 200020. T: 6336 6777                                                                         Schenker China Ltd. 13/F CITIC Square, 1168
Zhongshan Dong Yi Lu, 200002. T: 6321 2200            上海淮海中路381号中环广场3101-3108室                                                                                           Nanjing Xi Lu, 200041. T: 2307 1188
上海中山东一路12号外滩12号220室                                   Globex Logisitics Shanghai R.O./Globex Asia. Rm 403-A                                                              上海南京西路1168号中信泰富广场13层
Yao Liang Law Office. 7/F, Huaxia Bank Tower, 256      Fortune Gate N 1701 Beijing Xi Lu. 200040 T: 6132 4248                                                             The Bonded Warehouse. Units 401-402, Bldg B, 757
Pudong Nan Lu, 200120. T: 5115 0338                   上海北京中路1701号403-A室                                                                                                  Guangfu Lu, 200070. T: 5355 0061
上海浦东南路256号华夏银行大厦701-702室                              Hellmann Worldwide Logistics. Pudong International                                                                 上海光复路757号B栋401-402室
                                                      Airport, 328 Haitian Yi Lu, 201202. T: 2898 0000                                                                   TNT China. 45F Raffles City Tower, 268 Xizang
      LOGISTICS, FREIGHT                              上海海天一路328号浦东国际机场                                                                                                   Middle Lu, 200001. T: 5352 4688
   FORWARDING & AIR FREIGHT                           Interdean International Relocation. Suite 1403 Vanke                                                               西藏中路268号来福士广场45楼
ABX Logistics. 9/F, Crystal Century Tower, 567        Plaza, 37 Shuicheng Nan Lu, 201103. T: 6270 2421                                                                   Vopak Logistic Service (Shanghai) Ltd. Rm 7005 Novel
Weihai Lu, 200041. T: 6415 6565                       上海水城南路37号万科广场1403室                                          Panalpina World Transport (PRC) Ltd. 33/F POS          Building, 887 Huaihai Zhong Lu, 200020. T: 6431 5002
上海威海路567号晶采世纪大厦9楼                                     Jardine Logistics. Rm1410 Pidemco Tower, 318                Plaza, 1600 Century Avenue, 200122. T: 6105 1629       上海淮海中路887号永新大厦7005室
BAX Global Ltd. Rm 3802-06 Raffles City, 268 Xizang    Fuzhou Lu, 200001. T: 6391 2401                                                                                    Wallenius Wilhelmsen Vehicle Logistics (Shanghai)
Zhong Lu, 200001. T: 6122 5888                        上海黄浦区福州路318号百腾大厦1410室                                       Rickmers-Linie Shanghai Rep. Office. Suite 1209         Ltd. Rm 2702-2703 Shanghai Square, 138 Huaihai
上海西藏中路268号莱福士广场3802-06室                               Jet-Speed Air Cargo Forwarders (China) Ltd. Suite           Bund International Tower, 99 Huangpu Lu, 200080.       Zhong Lu, 200021. T: 6385 0066
BDP Asia-Pacific. Unit 2102 Shanghai Bund              1108 CITS Building, 1277 Beijing Xi Lu, 200040.             T: 6364 0102                                           上海淮海中路138号上海广场2702-2703室
International Tower, 99 Huangpu Lu, 200080.           T: 6289 7711                                                                                                       Worldwide Trade Logistics, Inc. Rm 312&320
T: 6364 9336                                          上海北京西路1277号国旅大厦1108室                                        SembCorp Logistics Ltd. Shanghai Rep. Office.           Aviation Centre, 1600 Nanjing Xi Lu, 200040.
上海黄浦路99号上海滩国际大厦2102室                                  Kerry Logistics Ltd. Rm 206-208 Kerry Centre, 1515          18/F Raffles City, 268 Xizang Zhong Lu, 200001.         T: 5238 9595
Caterpillar Logistics Services China, Ltd. Shanghai   Nanjing Xi Lu, 200040. T: 6279 3738                         T: 6340 3399                                           上海南京西路1600号上海机场城市航站楼312&320室
Rep. Office. 1000 Huashan Lu, 200050. T: 3220 4628     上海南京西路1515号嘉里中心206-208室
上海华山路1000号                                                                                                        Shanghai Eastern Logistics Co.Ltd. Airport Avenue       MANAGEMENT CONSULTANTS
                                                      Kuehne & Nagel Limited. 12/F, 1 Corporate Avenue,
Chinawave Trading & Logistics (Shanghai) Co., Ltd.    222 Hubin Lu, 200021. T: 3310 4688                          66,Shanghai Pudong International Airport, 201202.      A.T.Kearney (Shanghai) Co., Ltd. 42/F HSBC Tower,
25/F Super Ocean Finance Centre, 2067 Yanan Xi Lu,    上海湖滨路222号企业天地中心1号楼12楼                                       T: 6885 4395                                           101 Yincheng Dong Lu, 200120. T: 6841 2020
                                                                                                                  上海浦东国际机场机场大道99号                                        上海浦东新区银城东路101号汇丰大厦42楼
200336. T: 6278 4796                                  Linkstar Logistics Co., Ltd. Part A, No.49 plant, No.199,
上海延安西路2067号仲盛金融中心25楼                                  Ri Ying Road(N),Shanghai 200002. T: 5046 1666               Shanghai JAS International Cargo Transport Co.         Arcadia Consulting. 1101C Yi Tian Xia Tower, 360
Cosco Shanghai International Freight Co., Ltd. 378    上海日樱北路199号49号厂房A部位                                          Ltd. Rm 404 Kunyang International Business Building,   Hengtong Lu, 200070. T: 63801124
Dongdaming Lu, 200080. T: 3512 4777                                                                               798 Zhaojiabang Lu, 200030. T: 6473 8135               上海恒通路360号一天下大厦11C01
                                                      Maple Freight Ltd. Rm 403, Bldg. D Orient International     上海肇家浜路798号坤阳国际商务广场404室

SHANGHAI BUSINESS REVIEW                      MARCH 2007                                                                                                                                                  67
                                                                                     CLASSIFIED SECTION
MANAGEMENT CONSULTANTS - Cont’d                          Shanghai IMF Management Consulting Co., Ltd.               Technomic Asia Shanghai Rep. Office. Rm 502                  Suite1303,Shenle Tower, 300 Yuyuan Lu,200041.
Achieveglobal Consulting Co., Ltd. Rm 803-805            Rm 202, 1 Lane 105 Wuyi Lu, 200050. T: 6213 2064           Jintai Building, 58 Maoming Nan Lu, 200020.                 T:6102 8581
Kerry Centre, 1515 Nanjing Xi Lu, 200040. T: 6289 1977   上海武夷路105弄1号202室                                            T: 6473 2588                                                上海愚园路300号1303室
上海南京西路1515号嘉里中心803-805室                                  TalentPoint Management Consulting. Suite 3803              上海茂名南路58号锦泰商务楼502室                                          Shanghai Bangde College. 299 Jinqiu Lu, 200436
Accenture. 30/F Central Plaza, 381 Huaihai Zhong         Nanzheng Building, 580 Nanjing Xi Lu, 200041.                                                                          T: 6650 4951
Lu, 200020. T: 6391 5588                                 T: 5228 6086                                               PATENT & TRADEMARK AGENTS                                   上海锦秋路299号
上海淮海中路381号中环广场30层                                        上海南京西路580号南证大厦3803室                                        CCPIT Patent & Trademark Law Office. 13E Jinling
Amrop Hever (Samuel Wan Partners Ltd.)                                                                              Haxin Building, 666 Fuzhou Lu, 200001. T: 6391 7811
Shanghai Rep. Office. Rm 3709-3710 The Centre,                MARKET RESEARCH,                                       上海福州路666号金陵海欣大厦13E
989 Changle Lu, 200031. T: 6375 8995                      MARKETING CONSULTANTS &                                   China Trademark & Patent Law Office Co., Ltd. Rm
上海长乐路989号世纪商贸广场3709-3710室                                         SERVICES                                          1209, 655 Zhangyang Lu, 200120. T: 5835 7701
A-T International Consultants.Llc. Suite 310, 12         21 Communications. 4/F, 218 Xinle Lu, 200031.
Zhongshan Dong Yi Lu, 200002. T: 6321 7001               T: 5234 0810                                               Essen Patent Agency. 36 Wuning Lu, 200063
上海中山东一路12号310室                                           上海新乐路218号4楼                                                T: 6203 6829
Bain & Co. Rm 1902, Block 1 Corporate Avenue, 222        Access Asia. 509 Shenxin Mansion, 200 Ninghai
Hubin Lu, 200021. T: 3304 4666                           Dong Lu, 200021. T: 6374 7484                              Ipwell International. Rm 102, No 98, Lane 91, Eshan
上海湖滨路222号企业天地1座1902室                                     中国上海市宁海东路200号申鑫大厦509室                                      Lu, 200127. T: 5090 0665
BearingPoint. Unit 3101, 31/F CITIC Square, 1168         ACNielsen. 4/F East Ocean Center, 618 Yanan Dong
Nanjing Xi Lu, 200041. T: 5292 5392                      Lu, 200001. T: 5385 5000                                   Shanghai East Asia Patent Agency Co., Ltd. 4/F,
上海南京西路1168号中信泰富广场3101室                                   上海延安东路618号东海商业中心(二期)4楼                                     Suite A, No. 33, Lane 672, Changle Lu, 200040.
BBDO Consulting Shanghai RP Office. 42/F, 1               amber - China Industry Insights. #703, 500                 T: 6418 3548
Grand Gateway, 1 HongQiao Lu,200030.                     Xiangyang Nan Lu, 200031 T: 6466 4229
T: 2401 8000 Ext. 8136                                   上海襄阳南路500号703室                                             Shanghai Patent & Trademark Law Office. 435
上海虹桥路1号港汇广场42层                                           Chinaloop. 17/F Minfang Building, 593 Fuxing Zhong         Guiping Lu, Caohejing Hi-Tech Park 200233. T: 6485 3500
Boston Consulting Group International Inc.               Lu, 200020. T: 2402 8355
Shanghai Rep. Office. 21/F Central Plaza, 227             上海复兴中路593号民防大厦17楼D座
Huangpi Bei Lu, 200003. T: 6375 8618
                                                                                                                       PROFESSIONAL EDUCATION
                                                         Communication Consulting. 5A Xinxing Building,                  - EMBA PROGRAMMES
上海黄陂北路227号中区广场21楼                                        137 Julu Lu, 200020. T: 6358 7853
                                                                                                                    CBSD-Thunderbird. Suite 600 Apollo Building, 1440           MKM Sales Training. Rm12C, 12/F, May Fair Tower
CAP Gemini Ernst & Young. Suite 1101 China Insurance     上海巨鹿路137号欣兴大厦5楼A室
                                                                                                                    Yanan Zhong Lu, 200040. T: 6248 6202                        89 Fumin Lu, 200040. T: 6247 2203
Building, 166 Lujiazui Dong Lu, 200120. T: 6841 9696     Diagaid Marketing Research Consultants. Suite D,                                                                       上海富民路89号巨富大厦12楼C座
上海陆家嘴东路166号中国保险大厦1101室                                                                                              上海延安中路1440号阿波罗大厦600室
                                                         5/F Jinling Haxin Building, 666 Fuzhou Lu, 200001.
                                                                                                                    CEIBS. 699 Hongfeng Lu, 201206. T: 2890 5246                TACK Business Consulting Co., Ltd. Rm 930-938
CEGOS Management Consulting Co., Ltd. 6/F                T: 6391 7666
                                                                                                                    上海浦东金桥红枫路699号                                               Central Plaza, 381 Huaihai Zhong Lu, 200020. T: 6391 6622
Zhongda Square, 989 Dongfang Lu, 200122.                 上海福州路666号金陵海欣大厦5楼D座
T: 6876 8525                                             Euromonitor International Co., Ltd. Unit 5A, Level         Grenoble Ecole De Management. Rm 1410, 2550
上海东方路989号中达广场6楼                                          41 Bund Centre, 222 Yanan Dong Lu, 200002.                 Zhongshan Bei Lu, 200063. T: 6285 2026                               REAL ESTATE AGENTS
CEL Management Consultancy. AH, 8/F China                T: 6335 2808                                               上海中山北路2550号1410室
                                                                                                                                                                                Asia Pacific Properties Ltd. Suite 422 Shanghai
Overseas Building, 25 Chongqing Zhong Lu, 200020.        上海延安东路222号外滩中心41层5A单元                                      Lasalle-Dhu International. 16-18/F, 1882 Yanan Xi           Centre, 1376 Nanjing Xi Lu, 200040. T: 6279 7111
T: 6387 8222                                             Frontiers Group. North Bldg, No.20, Lane 48, Yuyuan        Lu, 200051. T: 6270 1196                                    上海南京西路1376号上海商城422
上海重庆中路25号中海大厦8楼AH座                                       Lu, 200040. T: 6218 1212                                   上海延安西路1882号新大楼16-18楼
                                                                                                                                                                                Bao Market Real Estate Consultants(Shanghai)Ltd.
Dashofer Management Consulting. Rm 803-807 Jun           上海豫园路48弄20号北向                                              Marshall Global Executive MBA Program in                    D-F, 11/F, 111 Pudong Nan Lu, 200120. T: 5830 8228
Building, 211 Wulumuqi Bei Lu, 200041. T: 5150 1155      Future Trends International (Group) Corporation.           Shanghai. Rm 206 Aetna Management Building, 535             上海长宁路855号亨通国际大厦5楼
上海乌鲁木齐北路211号聚安大厦803-807室                                 Suite 801 Central Plaza, 227 Huangpi Bei Lu, 200003.       Fahuazhen Lu, 200052. T: 6293 2707
Deloitte Consulting (Shanghai) Co. Ltd. Rm               T: 6375 8886                                               上海法华镇路535号安泰楼206室
2701-2704 Bund Centre, 222 Yanan Dong Lu, 200002.        上海黄陂北路227号中区广场801室                                         Rutgers Executive MBA Program. Rm 4312,
T: 3302 4988                                             Gallup (China) Research Ltd. Suite 701 Kerry               Nanzheng Building, 580 Nanjingxi Lu, 200041. T: 6217 6067
上海延安东路222号外滩中心2701-2704室                                 Centre, 1515 Nanjing Xi Lu, 200040. T: 6289 2089           上海南京西路580号南证大厦4312室
Fiducia Management Consultants (Shanghai)                上海南京西路1515号嘉里中心701室                                        School of Management, Fudan University. 7/F, Starr
Co., Ltd. Suite 1908 Ciro Plaza, 388 Nanjing Xi Lu,      IMG Sports Development Co., Ltd. Rm 29B, Tower 1           Building, 670 Guoshun Lu, 200433. T: 5566 4888
200003. T: 6327 9118                                     Xiehe Building, 2066 Nanjing Xi Lu, 200040. T: 6249 4430   上海国顺路670号南楼505室
上海南京西路388号仙乐斯广场1908室                                     上海南京西路2066号协和世界1座29B                                       The Strathclyde MBA. 5/F Qihua Tower, 1375
Horton International Management Consultancy              Ipsos Marketing Research Consulting Co., Ltd.              Huaihai Zhong Lu, 200031. T: 6433 2626
(Shanghai) Co., Ltd. Suite 1802-1804 Plaza 66, 1266      31/F World Trade Tower, 500 Guangdong Lu, 200001.          上海淮海中路1375号启华大厦5层
Nanjing Xi Lu, 200040. T: 6288 1808                      T: 6362 1100                                               Webster University. 369 Zhongshan Bei Yi Lu,
上海南京西路1266号恒隆广场1802-1804室                                上海广东路500号世界贸易大厦31楼                                         200083. T: 6210 6843
Javelin Investments. Suite 3305, The Centre, 989         Phillips Marketing Associates, Inc. 2061 Huhang Lu,        上海中山北一路369号
Changle Lu, 200031. T: 5407 5080                         Shanghai Comprehensive Industrial Zone,Fengxian            Washington-Fudan EMBA Program. Rm710 7/F
上海长乐路989号世纪商贸广场3305室                                     201415. T: 5746 3763                                       Starr Building, 670 Guoshun Lu, 200433. T: 5566 4788
Kroll Associates (Asia) Ltd. Shanghai Rep. Office.        上海奉贤县庄行镇沪杭公路2061号                                          上海国顺路670号史袋楼7楼710室
Suite 904 Aurora Plaza, 99 Fucheng Lu, 200120.           PKF Consulting Inc. Rm 4607 Plaza 66, 1266
T: 6888 2808                                             Nanjing Xi Lu, 200040. T: 6288 2077                           PROFESSIONAL EDUCATION
上海富城路99号震旦国际大厦904室                                       上海南京西路1266号恒隆广场4607室                                                 - TRAINING
Manpo International Business Co., Ltd. Rm 101            Research International China. 6/F Huaye Building,          Boston Training Technologies China. Rm 802
Manpo International Center, 660 Xinhua Lu, 200052.       69 Yixueyuan Lu, 200032. T: 6417 3038                      Zhonghuan Business Building, 468 Changshou Lu,
T: 6280 1000                                             上海医学院路69号华业大厦6楼                                            200060. T: 3227 0148
上海新华路660号万宝国际商务中心101室                                                                                               上海长寿路468号中环商务大厦802室                                         Belfrey Partners. Suite 403A, 58 Yueyang Rd,
                                                         Shanghai HUADE Consulting Co. Ltd. 3063                                                                                200031 T: 6467 5464
MAZARS. Suite 2205 Shanghai Stock Exchange               Hechuan Lu, 201103. T: 6406 7255                           City & Guilds. Unit 1807 Kerry Centre, 1515 Nanjing         上海岳阳路58号403A室
Bldg. (South Tower), 528 Pudong Nan Lu, 200120.          上海合川路3063号                                                 Xi Lu, 200040. T: 5298 6611
T: 5882 6606                                                                                                        上海南京西路1515号嘉里中心1807室                                        Better House (Shanghai) Ltd. Unit 201 Walton Plaza,
上海浦东南路528号上海证券大厦2205室                                    Shanghai HUADE Consulting Co. Ltd. 3063                                                                                801 Changle Lu, 200031. T: 5404 5318
                                                         Hechuan Lu, 201103. T: 6406 7255                           Cross Cultural Interchange. Suite 3-201, 303                上海长乐路801号华尔登广场201室
McKinsey & Company. 23/F Shui On Plaza, 333              上海合川路3063号                                                 Huashan Lu, 200040. T: 6249 6315
Huaihai Zhong Lu, 200021. T: 6385 8888                                                                              上海华山路303弄3号201室                                             Bonity Property Group Shanghai. 5/F, 855
上海淮海中路333号瑞安广场23层                                        SOPEXA (Shanghai). Rm 405, Office block                                                                                 Changning Lu, 200050. T: 5238 1838
                                                         International Equatorial Hotel, 65 Yanan Xi Lu,            Executive Learning Center. 3386 City Center Tower           上海长宁路855号亨通国际大厦5楼CB
MQM Consulting Ltd. Unite 8675,7/F,Bld.A8 Jiahua         200040. T: 3214 0318                                       B, 100 Zunyi Lu, 200051. T: 6208 0398
Business Centre, 808 Hongqiao Lu, 200030.                上海延安西路65号国际贵都大饭店办公楼405室                                    遵义南路100号上海城B栋3386室                                          CB Richard Ellis. Suite 3201 Kwah Centre, 1010
T: 6447 8739                                                                                                                                                                    Huaihai Zhong Lu, 200031. T: 2401 1200
上海虹桥路808号加华商务中心A-8幢7层8675室                               Steel Business Briefing Ltd. Rm 406, Huaihai China          Global English Corporation. Rm 22B, No.3 Building ,         上海淮海中路1010号嘉华中心3201室
                                                         Tower, 885 Renmin Lu, 200010. T: 5110 5488                 100 Xingeng Lu, 200030. T: 6469 4979
Ove Arup & Partners Hong Kong Ltd. Shanghai              人民路淮海中华大厦406室                                              上海幸耕路100号3号楼22B                                             Central Place Fortune Capital Real Eatate Co., Ltd.
Office. Rm 1, 38/F Lippo Plaza, 222 Huaihai Zhong Lu,                                                                                                                            Shanghai. Rm 806 Central Place, 16 Henan Nan Lu,
200021. T: 5396 6633                                     Synovate. Rm 1210 World Trade Tower, 500                   I Will Not Complain. 1008 Pacheer Commercial                200002. T: 6374 8888
上海淮海中路222号力宝广场38楼01室                                     Guangdong Lu, 200001. T: 6360 9138                         Centre, 555 Nanjing Xi Lu, 200041. T: 6258 1024             上海河南南路16号中汇大厦806室
                                                         上海广东路500号世界贸易大厦1210室                                       上海南京西路555号三五大厦1008室
Roland Berger Strategy Consultants (Shanghai).                                                                                                                                  China Overseas Property. 3/F Shanghai Square, 138
23/F Kerry Centre, 1515 Nanjing Xi Lu, 200040.           TATSU-ME. 31st Floor, Jin Mao Tower, 88 Century            Redcarpet Mandarin and Consultation. Practical              Huaihai Zhong Lu, 200021. T: 6375 6800
T: 5298 6677                                             Boulevard, Shanghai, PRC. T: 28909098                      Cross Cultural Business in China Training and               上海淮海中路138号上海广场3楼
上海南京西路1515号嘉里中心23楼                                       上海世纪大道88号金茂大厦31楼                                           Consultation

68                                                                                                                                                SHANGHAI BUSINESS REVIEW                     MARCH 2007
                                                                                     CLASSIFIED SECTION
Colliers International. 1881 City Centre of Shanghai      Shanghai Jia Hua Property Ltd. 2123 Pudong               Sino Santa Fe. 5/F Tian Hong Building, 80 Xianxia Lu,   14/F Suncome Cimic Tower, 1090 Century Avenue,
(Tower B), 100 Zunyi Lu, 200051. T: 6237 0088             Dadao, 200135. T: 5860 1188                              200051. T: 6233 9700                                    200120 T: 58352278
上海遵义路100号上海城B座1881室                                       上海浦东大道2123号                                              上海仙霞路80号天虹大楼5楼                                          上海市陆家嘴世纪大道1090号斯米克大厦14楼
CRISPIN Property Consultants. Rm 15C Yandang              Shanghai Jia Hua Real Estate Development Co.,            Unigroup Worldwide Uts Asian Express. Rm 802            CEO Suite. 47/F HongKong New World Tower, 300
Plaza, 107 Yandang Lu, 200020. T: 3311 0500               Ltd. 1010 Huaihai Zhong Lu, 200031. T: 5403 6688         Xincheng Building, 167 Jiangning Lu, 200041.            Huaihai Zhong Lu, 200021. T: 5116 2888
上海雁荡路107号雁荡大厦15C室                                         上海淮海中路1010号                                              T: 6267 3357                                            上海淮海中路300号香港新世界大厦47楼
Cushman & Wakefield China. Block A, 21/F Eastern           Shanghai Rutsing Real-Estate Broker Co., Ltd. 2/F,       上海江宁路167号新城大厦802室                                       Dynasty Business Centre. No 457, Wulumuqi Bei Lu,
Tower, 689 Beijing Dong Lu, 200001. T: 6360 8300          1669 Kai Xuan Lu, 200030. T: 6407 3888                                                                           200040. T: 6248 5888
上海北京东路689号东银大厦21楼A座                                       上海凯旋路1669号2楼                                                       SECURITY SYSTEMS                              上海乌鲁木齐北路457号
Deli Real Estate. 201 Hubei Lu, 200001. T: 6360 1195      Shanghai Senmao International Real Estate Co.,           Assa Abloy Asia Pacific. Rm 602, Suite South             Far Glory Business Centre. 27/F, K.Wah Centre,
上海黄浦区湖北路201号                                              Ltd. 17/F HSBC Plaza, 101 Yincheng Dong Lu,              Merchant Square, 333 Chengdu Bei Lu, 200041.            1010 Huaihai Zhong Lu, 20031. T:6103 1288
                                                          200120. T: 6841 2211                                     T: 5298 0161                                            淮海中路1010号嘉华中心27楼
DTZ Debenham Tie Leung International Property                                                                      上海成都北路333号招商局广场602室
                                                          上海浦东新区银城东路101号汇丰大厦17楼                                                                                            Office General. 39/F Plaza 66, 1266 Nanjing Xi Lu,
Advisers. 27/F Hong Kong Plaza, 283 Huaihai Zhong
Lu, 200021. T: 5306 1383                                  Super City Real Estate. Rm 703 International Trade                                                               200040. T: 6288 3288
上海淮海中路283号香港广场南楼27楼                                       Centre, 2201 Yanan Xi Lu, 200335. T: 6270 0779                                                                   上海南京西路1266号恒隆广场39层
                                                          上海延安西路2201号上海国际贸易中心703室                                                                                          Regus. T: 6122 1005, 800 819 0091
First China Property Group. Rm 2587-2588 City
Centre of Shanghai (B), 100 Zunyi Lu, 200051.             Vigers Property Consultants (SH) Ltd. Rm H-J, 23/F,                                                              15/F,One Corporate Avenue, 222 Hubin Lu, 200021
T: 6237 1112                                              Times Square, 500 Zhangyang Lu, 200122.                                                                          上海湖滨路222号企业天地一号15层
上海遵义路100号上海城B座2587室-2588室                                 T: 61469 288                                                                                                     31/F,JinMao Tower, 88 Shi Ji Avenue, 200120.
Fullhome Real Estate. Rm 902 Huaxia Bank Tower,                                                                                                                            上海浦东世纪大道88号金茂大厦31层
256 Pudong Nan Lu, 200120. T: 5115 0666                                                                                                                                    18/F, Bund Centre, 222 Yanan Dong Lu, 200002.
上海浦东南路256号华夏银行大厦902室                                           RECORDS MANAGEMENT
Joanna Real Estate Consulting Co., Ltd. Rm 1103 Nan       Crown Records Management. Lane 729, 75 Branch
                                                          Lane, 59 Suide Lu, 200020. T: 6250 8820                                                                          18/F,Oriental Center, 699 Nanjing Xi Lu, 200041.
zheng Building, 580 Nanjing Xi Lu, 200041. T: 5109 9888                                                                                                                    上海南京西路699号东方众鑫大厦18楼
上海南京西路580号南证大厦1103室                                       上海绥德路729弄75支弄59号
                                                          Guarantee Records Management. 2 Lane, 271                                                                        12/F Shui On Plaza, 333 Huaihai Zhong Lu, 200021.
Jones Lang Lasalle. 48/F, Plaza 66, 1266 Nanjing Xi                                                                                                                        淮海中路333号瑞安广场12楼
Lu, 200040. T: 6393 3333                                  Qianyang Lu, 200333. T: 5270 3311
上海南京西路1266号恒隆广场48楼                                        上海长征工业区千阳路271弄2号                                                                                                 Servcorp Business Services Co., LTd. Level 23,
                                                          OSG Records Management. 179 Minfeng Lu,                                                                          Citigroup Tower, 33 Hua Yuan Shi Qiao Lu, 200120.
                                                          201209. T: 6872 3398                                                                                             T: 6101 0000
                                                                                                                                                                           Level 29, Shanghai Kerry Centre, 1515 Nanjing Xi Lu,
                                                             REMOVALS & RELOCATIONS                                                                                        200040. T: 6103 7000
                                                          Allied Pickfords Ltd. Rm 801 Xin Yuan Plaza, 268
                                                          Zhongshan Nan Lu, 200001. T: 6278 7204                   Chubb China. Rm 2A-B, 55, Huaihai Lu (West),            The Executive Centre. 35/F CITIC Square, 1168
                                                          上海中山南路268号新源广场801室                                       Shanghai, 200030.T: 5298 9333                           Nanjing Xi Lu, 200041. T: 5252 4618
                                                          Asian Tigers (China) Ltd. Rm 2-D Taitech Business        上海淮海西路55号申通广场2楼A-B室
                                                          Center, 2 Lane 1245 Zhongshan Xi Lu, 200051. T:          Ferma Information Technology (Shanghai) Co.,            The Executive Centre. 20/F The Centre, 989 Changle
                                                          6278 3496                                                Ltd. Rm 1906 Marine Tower, 1 Pudong Da Dao,             Lu, 200031. T: 5116 6888
                                                          上海中山西路1245弄2号科美商务大厦2-D室                                  200120. T: 6886 0530                                    上海长乐路989号世纪商贸广场20楼
                                                          Asian-Pacific Worldwide Movers Ltd. Rm 9B Apong           上海浦东大道1号中国船舶大厦1906室
                                                          Building, 585 Lingling Lu, 200030. T: 6441 1770
                                                                                                                                                                           TRANSLATORS & INTERPRETERS
                                                                                                                   Genius Security System Service. Rm 912, Bldg
                                                          上海零陵路585号爱邦大厦9B室                                         1 Xingya Square, Lane 258 Yongxing Lu, 200071.          Acme Translation Co. Ltd. Suite H, 6/F, New
                                                          Bridge Worldwide Relocations. Suite 102, 35 Lane         T: 6605 9990
                                                          588 Jinhui Lu, Minhang District, 201103. T: 6402 1458    上海永兴路258弄兴亚广场1号楼912室
                                                          Crown Worldwide Ltd. Lane729, 75 Branch Lane, 59
                                                                                                                   SERVICED OFFICES & BUSINESS
                                                          Suide Lu, 200020. T: 6250 8820                                    CENTRES
                                                          Eagles Worldwide Mover Shanghai. Rm 309, Building
Knight Frank Petty. Rm1208,Evergo Tower, 1325             6, Lane 500, Maotai Lu, 200336. T: 6273 3482
Huaihai Zhong Lu, 200031. T: 6445 9968                    上海茅台路500弄6号楼309室
1208室                                                     Globy Trans Co., Ltd. Rm 3B, Block D, 868 Huashan
                                                          Lu, 200050. T: 6441 2138
League Real Estate Ltd. Rm 206, President Business        上海华山路868号D幢3B室
Centre, 890 Huashan Lu, 200041. T: 6211 6719                                                                                                                               Shanghai International Tower, 360 Pu Dong Nan Lu,
上海华山路890号总统商务中心206室                                       Interdean Interconnex. Rm1403 Vanke Plaza, 37                                                                    200120. T: 6886 2122
                                                          Shuicheng Nan Lu, 201103. T: 6270 2420                                                                           浦东南路360号新上海国际大厦6楼H座
Lai Real Estate. Rm 403, Block 1, No.999 Shuying          上海水城南路37号万科广场1403室
Lu, 201100. T: 6446 1087                                                                                                                                                   Brilliant China Translation Services Co., Ltd. 5/F,
上海疏影路999号富林四季1号楼403室                                      Links Relocations. 5/F, Block 5 Shanghai Taipan                                                                  16 Lane 465 Xishan Lu, 200135. T: 5852 3638
                                                          Business Center, 1 Ruijin Nan Lu, 200031. T: 5405 0500   APBC Offices. 12/F Platinum, Xintiandi 233 Tai Cang      上海栖山路465弄16号5楼
Metropolis Real Estate Brokerage Co. Ltd. Unit 202,       上海瑞金南路1号5楼F座                                             Road, 200020 T: 5175 7777
#16, 1310 Dingxi Lu, 200050. T: 139 1651 2856                                                                      新天地太仓路233号新茂大厦12楼                                       CTC Translation Center. Rm 17A2, 5 Anshan Lu,
上海定西路1310弄16号202室                                         Move One Relocations. Rm. 503, 1465 Beijing Xi Lu,                                                               200092. T: 6553 3150
                                                          200040. T: 5212 3989                                     26/F Shanghai Times Square Office Tower, 93 Huaihai      上海鞍山路5号17A2室
Phoenex Property Agency. Unite G,11/F Yujia               北京西路1465号503室                                            Zhong Lu, 200021. T: 5117 9333
Mansion, 1336 Huashan Lu, 200052. T: 6437 9891                                                                     上海淮海中路93号大上海时代广场办公楼26楼                                  Orchid Interpreting and Translation. Rm 318, 689
上海华山路1336号玉嘉大厦11层G座                                       Pricoa Consulting (Shanghai) Co., Ltd. Rm 5007,                                                                  Beijing Dong Lu, 200001. T: 13917746820
                                                          Raffles City, 268 Xizang Zhong Lu, 200001. T: 6122 6058                                                           上海北京东路689号318室
Pricoa Consulting (Shanghai) Co., Ltd. Rm 5007,           西藏中路268号来福士广场5007室
Raffles City, 268 Xizang Zhong Lu, 200001. T: 6122                                                                                                                          Shanghai Interpreters Association. Rm 702-704,
6058                                                      Phoenix Transportation Worldwide. Rm 503A, 349                                                                   7/F, 66 Nanjing Dong Lu, 200002. T: 6323 3608
西藏中路268号来福士广场5007室                                        Jiangxi Zhong Lu, 200002. T: 6487 5923                                                                           上海南京东路66号7楼702-704室
Residential Agency Colliers International. Rm 1881                                                                                                                         Shanghai Translation Center. 20/F Huaihai Building,
City Centre of Shanghai (B), 100 Zunyi Lu, 200051.        Rhema (Suzhou) Service Co. Ltd. Shanghai Rep.                                                                    200 Huaihai Zhong Lu, 200021. T: 5383 3076
T: 6237 0088                                              Office. 6/F-A Zhongxi Mansion, 121 Jiangsu Lu,                                                                    上海淮海中路200号淮海大厦20楼
上海遵义路100号上海城B座1881室                                       200050. T: 6225 3301
                                                          上海江苏路121号中西大厦6楼A座                                                                                                Shinyee Translation & Consulation (Shanghai) Co.,
Savills Property Services (Shanghai) Co., Ltd.                                                                                                                             Ltd. 4 Lane 10 Fuxing Xi Lu, 200031. T: 6437 1504
20/F Central Plaza, 381 Huaihai Zhong Lu, 200020.         Schenker China Ltd. 13/F CITIC Square, 1168                                                                      上海复兴西路10弄4号
T: 6391 6688                                              Nanjing Xi Lu, 200041. T: 3218 4628
上海淮海中路381号中环广场20楼                                         上海南京西路1168号中信泰富广场13层                                     Asian Biz Center. Fully-furnished Serviced Office        Talking China Translation. Rm 8E Xinan Building,
                                                                                                                   T: 52283126, 16/F South Tower, Merchant Plaza, 258      200 Zhenning Lu, 200040. T: 5109 8340
Shanghai Asia Pacific Property Co., Ltd. 25 Lane           Santa Fe Relocation Service. 5/F Tianhong Building,                                                              上海镇宁路200号欣安大厦东楼8E
                                                          80 Xianxia Lu, 200335. T: 6233 9700                      Weihai Lu, 200041 T: 52283126
770, Qingxi Lu, 200335. T: 6290 1199                                                                               上海市威海路258号招商局大厦南座16楼                                    Translation Department, Institute of Scientific &
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SHANGHAI BUSINESS REVIEW                      MARCH 2007                                                                                                                                                       69

Taking Control: Post-deal Planning
Thomas Stanley explains the benefits – and necessities – for planning well
ahead of the ‘morning after.’

      n the M&A process, many CEOs and CFOs             The situation is clearly magnified, then, when       2.      Identify and
      around the world will be familiar with that     deals occur cross-border. For such deals, it is        investigate post-deal
      “morning after” feeling, when the intensi-      not only company culture that can clash. For           issues prior to comple-
      ty of the deal negotiation process is finally   overseas firms looking to acquire a Chinese            tion – remember, these
      behind them. However, rather than relief        target, cultural issues can present themselves         issues could be deal-
and celebration, the feeling may be altogether        at every stage, and incongruities will be ap-          breakers!
different – that of realisation of the enormity       parent everywhere, from leadership style to            3.   Start post-deal
of the task ahead in order to take control of the     go-to-market strategy. The companies’ raison           management work prior to completion.
acquired business successfully.                       d’être could even be incompatible, with very
                                                                                                             4.    Set up a dedicated team to manage
  Nowhere is this more true than in China.            different visions for the future business.
                                                                                                             the post-deal work.
The Middle Kingdom has been an incredible               The survey found that two-thirds of compa-
                                                                                                             5.     Obtain control over the finance and
hot-bed for acquisitions by foreign companies.        nies had not placed a great deal of emphasis
                                                                                                             reporting systems as early as possible after
According to a report by the Economist Intel-         on addressing people and cultural issues
                                                                                                             deal closure.
ligence Unit, the country is the third-largest        in planning for the post-deal period. The
market in Asia, after Japan and Australia.            top three actions that people would take on            6.    Identify the cultural differences early
USD28.5bn worth of transactions took place            their next deal were to plan earlier, perform          and plan to overcome them.
in China during 2005.                                 additional cultural due diligence, and set             7.    Anticipate and plan for management
  The scale of the challenge was highlighted          up a dedicated team to handle the post-deal            and leadership issues early, then monitor
in a recent KPMG survey, The Morning After:           integration work.                                      them closely.
Driving for Post-Deal Success. The survey               After closing the deal, it often takes consid-       8.    Balance focus on delivering incre-
quizzed major companies around the globe on           erable time for the acquirer to gain control           mental value, with the need to keep an eye
their M&A track record. The top three post-deal       and bring about needed operational changes.            on the day-to-day business performance.
challenges cited were:                                In fact, it took nine months after closing, on         9.    Plan to exceed the original synergy
 • Complex integration of two businesses;             average, for the companies to feel they had            and performance improvement targets
 • Dealing with different organisational cul-         control of the significant post-deal issues. A
                                                                                                             10. Track the value being delivered from
   tures; and                                         little over 10 per cent stated that it took them
                                                                                                             the deal and honestly assess the success (or
 • Difficulty in integrating IT and reporting         nearly two years to get to this point.
                                                                                                             otherwise) of the post-deal work.
   systems.                                            A clear message is presented: companies
                                                                                                            Companies today are very attuned to the
  Only around half of the respondents felt that       need to plan earlier for the post-deal period, in
                                                                                                          need for diligence on their M&A transactions.
they had been suitably prepared for the post-         order to be ready to handle the crucial aspects
                                                                                                          However, as KPMG’s study has shown, all
deal integration of the acquired business, and        of the integration. ‘Softer’ issues should be
                                                                                                          too often companies do not plan effectively
the integration of IT and reporting systems.          carefully considered upfront, in order to pre-
                                                                                                          for transitioning and gaining control quickly
This decreased to only one-fifth when it came         vent serious problems down the road.
                                                                                                          post-deal, jeopardising their ability to deliver
to cultural issues. This is particularly telling,       The advantages of early planning cited by         the expected value from the transaction.
considering the fact that almost 70 per cent          respondents included:
                                                                                                            To address this, companies should give care-
of the survey sample described themselves as           • Limiting the risk of losing customers;           ful thought to the issues included in the scope
“serial acquirers” – and were largely referring        • Bringing forward synergy delivery; and           of their due diligence, to ensure that critical
to acquisitions in their own geographies.              • Avoiding a communication vacuum, where           commercial and operational post-deal aspects
                                                         rumours and misinformation prevail.              are adequately taken into consideration. The
  What would companies do                               A further benefit of early planning is the        message to companies considering an acquisi-
  differently next time?                              identification of potential deal breakers – the     tion in China should be clear: when doing a
                                                      majority of survey respondents said that they       deal, early planning for “the morning after”
  1. Plan earlier for post-deal management            had walked away from deals in the past due          is critical. 
                                                      to anticipated post-deal difficulties.
  2. Conduct additional cultural due                    So what can companies do? The survey ag-            Thomas W. Stanley is Partner with KPMG
     diligence                                        gregated the top potential remedies to mitigate     Transaction Services in China, where he
                                                      that ‘morning after’ feeling:                       heads the Commercial Due Diligence practice
  3. Appoint dedicated post-deal                         1.    Perform robust analysis of synergy         for China and Hong Kong SAR and advises
     management team                                     and performance targets. Be confident            clients on China market entry and acquisi-
 Source: KPMG International, “The Morning After:         about what is achievable before including        tion issues. He can be reached at: thomas.
 Driving for Post-Deal Success”                          them in the purchase price.            

70                                                                                                SHANGHAI BUSINESS REVIEW      MARCH 2007