Showing posts with label Europe. Show all posts
Showing posts with label Europe. Show all posts

Monday, April 23, 2018

State firms move in where private investments fail abroad - Shaun Rein

Shaun Rein
State moloch CITIC moved in to pick up 49% of Czech assets from CEFC Europe, owned by tycoon Ye Jianming. It is part of a trend, says business analyst Shaun Rein, author of The War for China's Wallet: Profiting from the New World Order to the South China Morning Post, as state firms are easier to control by China's central government and expand its policies abroad.

The South China Morning Post:
Since Ye’s problem in mid-February, the Rosneft deal has been stuck in limbo. 
“State firms are the most ideal ones to take over the overseas projects because they are less sensitive to profits and more reliable politically,” said Shaun Rein, managing director of China Market Research, a strategic market intelligence firm. 
“They will also take over assets in countries that China is trying to wield more political power. As for the Czech Republic, it along with Hungary, are critical to China’s ambitions in Europe. It is easier to buy influence there,” he said. 
Up to 496 million shares of Shenzhen-listed CEFC Anhui International were frozen by four Chinese courts in late March. Shanghai-based CEFC, established by Ye in 2002 when he was in his mid-20s, had spent at least US$1.7 billion since 2015 buying energy-related businesses in Romania, the United Arab Emirates, Russia and Chad. The company also invested another US$1.2 billion buying financial services assets in the US and the Czech Republic. 
Besides financial services, CEFC has stakes in Czech brewery group Pivovary Lobkowicz, Prague soccer club Slavia Praha, the national airline, hotels and property.
More in the South China Morning Post.

Shaun Rein is a speaker at the China Speakers Bureau. Do you need him at your meeting or conference? Do get in touch or fill in our speakers' request form.

Are you looking for more experts who can help you in dealing with Chinese investors abroad at the China Speakers Bureau? Do check out this list.

Friday, June 30, 2017

WeChat: indispensable for Chinese tourists - Matthew Brennan

Matthew Brennan at the EU Parliament
Europe is preparing for the 2018 China-EU Tourism year and the European Parliament invited social media expert Matthew Brennan to Brussels to brief them on the position of WeChat. He explained the committee how to improve Europe's performance, writes the China-EU newsletter.

The China-EU newsletter:
Matthew Brennan, Co-Founder of China Channel, explained the potentialities of digital marketing in China. 
If one is to understand China’s digital ecosystem, one needs to understand the phenomenon of WeChat. WeChat is not social media. It is not, as many people put it, China’s version of WhatsApp. WeChat is a tool, an operating system which integrates all different functions of life.” 
In order to attract Chinese tourists, Europe needs to become smarter and link to the very tools used by Chinese travelers, such as e-wallet solutions like WeChat Pay and Alipay, online booking apps like Ctrip and Dianping, and leading mapping platform Baidu Maps.
More at the China-EU newsletter.

Matthew Brennan is a speaker at the China Speakers Bureau. Do you need him at your meeting or conference? Do get in touch or fill in our speakers' request form.

Are you looking for more e-commerce experts at the China Speakers Bureau? Do check out this list.  

Tuesday, June 06, 2017

Chinese tourists prefer Europe and SE-Asia - Rupert Hoogewerf

Rupert Hoogewerf
Luxury outbound travel by Chinese tourists keeps on booming, with Europe and SE-Asia as their favorite destinations, says the latest report by the Hurun or China Rich List, tells its chief researcher Rupert Hoogewerf to the Shanghai Daily.

The Shanghai Daily:
Europe and Southeast Asia were the most preferred destinations among the country's super wealthy last year, accounting for 45 percent and 44 percent of respondents, respectively, according to "The Chinese Luxury Traveller," which was released in its seventh year and covered 334 samples from 12 Chinese mainland cities including Beijing, Shanghai, Nanjing and Chengdu. These high-end tourists averaged 42 years of age with per capita wealth of nearly 22 million yuan (US$3.23 million). 
Notably, Southeast Asia, in just two years, has successfully surpassed the Americas to become Chinese luxury traveller's new choice, displaying a shocking 34 percent increase in millennial favor and jumping from last year's fourth place to take the crown this year. 
"In the past year, Chinese luxury travelers have gone abroad an average of 3.3 times and stayed for an average of 27 days, with tourism increasing 5 percent to reach 69 percent," said Rupert Hoogewerf, Hurun Report Chairman and Chief Researcher. "And 60 percent of high net worth Chinese families are now willing to pay 3,000 yuan for a night on hotel accommodation and fly business or first class, impossibly high figures compared with a decade ago." 
By vocation theme, leisure, at 41 percent, was still the most popular among the rich while polar exploration and outdoor adventures have gained further momentum from the past two years, ranking the second (31 percent) and fourth (20 percent) respectively. As a new option in this year's study, island holidays, at 23 percent, were the dark horse and surpassed both cruises and self-drive holidays to rank the third. Interestingly, island holidays were especially popular among the Post-80s generation and ranked first with 46 percent. 
Looking forward, Around World travel, polar exploration and outdoor adventures will be the trend in themes for the Chinese luxury travelers in the next three years, with the Post-80s generation displaying an increased interest in Africa and the Polar regions, according to the report.
More in the Shanghai Daily.

Rupert Hoogewerf is a speaker at the China Speakers Bureau. Do you need him at your meeting or conference? Do get in touch or fill in our speakers' request form.

Are you looking for more experts on China's consumption trends? Do check out this list.  

Tuesday, May 30, 2017

How new rules will kill soccer transfers to China - Rowan Simons

Rowan Simons
China has been a financial paradise for many top European soccer players. But a new rule by the China Football Association, with a 100% tax on transfers by clubs who are losing money, might kill this track, says Beijing-based soccer expert Rowan Simons to Tribal Football.

Tribal Football:
Rowan Simons, a writer on Chinese football, and also Chairman of China Club Football, the country's biggest grassroots football network, explains how the rule will work. "If implemented in it's current form and based on the fact that all of the Chinese clubs lose money, then all future imports of foreign players will be subject to the 100% tax. So, in effect doubling the cost of player transfers. " 
And the number's have been huge: So say with €60m with 100% tax, that becomes €120m. 
"This means, for example, the €60m Shanghai SIPG paid Chelsea for Oscar would in fact cost them – if they were in debt – €120m with the new rule in place. 
Footballers plying their trade in Europe have flocked to the Far East in recent years – and not only in the twilight of their careers, as the aforementioned Oscar can attest. 
According to Steve Price from The Guardian, the combination of just four transfers alone – Oscar, Carlos Tevez, Ramires and Jackson Martinez – cost a combined total of £175 million. 
As well as the European clubs being rewarded with hefty transfer fee's, so too are the players with astronomical wages, with players like Tevez set to make £64m over two years. However, that will all change soon according to Simons. " 
(The rule) changes the dynamics of the professional league here in all kinds of ways - certainly in terms of investors ability to attract top players. 
"I mean the sponsors, which have been attracted to the league because of the star players, the gate receipts which have been increasing, all can be impacted by this policy." 
The tax will come into effect on June 16 when the Super League's transfer window opens, which is two weeks before the European windows opens.
More at Tribal Football.

Rowans Simons is a speaker at the China Speakers Bureau. Do you need him at your meeting or conference? Do get in touch or fill in our speakers' request form.

Are you looking for more stories by Rowan Simons? Do check out this list.    

Thursday, February 02, 2017

Where to put your investments under Trump? - Shaun Rein

Shaun Rein
US-president Donald Trump is hitting world trade like an unguided missile and many investors wonder where to put their money now China seems next on his agenda, says Shanghai-based business analyst Shaun Rein in the South China Morning Post. "(Trump) likes to use chaos in order to negotiate." Australia and Europe could be winning.

The South China Morning Post:
The two weeks of volatility since Donald Trump took office have fuelled anxiety that investments in China will be the next victims of his hostile, unpredictable policies, analysts say. 
“It’s a fearful time right now,” said Shaun Rein, managing director of China Market Research Group. “When we talk to investors, they don’t know where to put their money.” 
International investors have been given a blunt reminder that US presidential pledges can do real harm to the global market.... 
Trump has vowed to impose a 45 per cent tariff on Chinese imports and label Beijing a currency manipulator. His administration has also angered China by talking tough on Taiwan and the South China Sea disputes – tough stances Rein believes Trump will be maintained in his dealings with China. 
“He likes to use chaos in order to negotiate,” he said. “My guess is he is going to take a strong stand and criticise China on trade, currency and its military.”... 
Looking at the positives, however, Rein is advising his clients to invest in naval weapons companies, which might benefit from China bolstering its navy to tighten its grip on the South China Sea. 
Food producers in Australia, New Zealand and Europe might also see surging demand from Chinese consumers if agricultural imports from the US were reduced, he adds. 
“Chinese consumers are still spending a lot,” he said. “There is going to be more tension between America and China. Consumers will have to buy food and commodities from Australia and Europe.” 
Meantime, tourism in Asian countries could gain from a sharp decline in Chinese travelers heading to the US, Rein said. 
“Many will start to think it’s unsafe because they see all the protests,” he said, and worry they are going to be targeted by “ultra-white nationalists who do not like Asians”.
More in the South China Morning Post.

Shaun Rein is a speaker at the China Speakers Bureau. Do you need him at your meeting or conference? Do get in touch or fill in our speakers´request form.

Are you looking for more strategy experts at the China Speakers Bureau? Do check out this list.

Monday, October 20, 2014

Premier Li in anti-recession mode - Sara Hsu

Sara Hsu
+Sara Hsu 
Europe talks already about a triple-dip, a third financial crisis, as China´s premier Li Keqiang visited the continent with a global anti-recession business trip, offering deals to Germany, Italy and Russia. Financial analyst Sara Hsu. "Bolstering growth is needed in those countries... It won´t be Li´s last tour," writes financial analyst Sara Hsu in the Diplomat.

Sara Hsu:
Li’s tour highlights the major challenges facing these countries. While Germany remains economically strong, as a producer and exporter of high-value added products, China, Italy and Russia must overcome structural barriers to economic growth. China, for its part, currently faces a large debt burden incurred mainly by its corporate sector and local governments. At the same time, the nation is attempting to move away from a low value-added manufacturing model of growth to a high value-added manufacturing and service-based economy. Italy faces major challenges pulling out of its debt distress, with the most difficult issue its underlying need for economic restructuring. Finally, Russia faces not only economic sanctions, but serious challenges to the expansion of its market economy. Institutions favoring rent-oriented firms have stalled the growth of the private economy, with a lack of competition, corruption, and inefficiency posing barriers to market expansion. 
It is hopeful that the agreements resulting from Li’s tour will bolster growth in these countries. The agreements work in part to facilitate restructuring, focusing to some extent on economic upgrading and innovation, as between China and Germany and China and Russia, the building of infrastructure to complement industry growth, as between China and Russia, and investment, as between China and all three nations. The lion’s share of the restructuring onus still falls on the shoulders of each nation, however, and the difficulty of the task may mean that Li’s Recession Tour won’t be his last.
More in the Diplomat.

Sara Hsu is a speaker at the China Speakers Bureau. Do you need her at your meeting or conference? Do get in touch or fill in our speakers´request form.

Are you looking for more financial experts at the China Speakers Bureau? Do check our recently updated list. 

Friday, October 10, 2014

Why China needs Europe now - Shaun Rein

Shaun Rein
+Shaun Rein 
Premier Li Keqiang will visit Germany this week with the largest business delegation ever. Business analyst Shaun Rein explains why China has a rather weak economy, and needs Europe for support. With some advise on German business how to treat Chinese competitors.

Shaun Rein is a speaker at the China Speakers Bureau. Do you need him at your meeting or conference? Do get in touch or fill in our speakers´request form.

Are you interested in more experts on risk management at the China Speakers Bureau. Do check out our latest list.

Monday, October 06, 2014

Europe book tour for Joel Backaler

Joel Backaler
+Joel Backaler 
 Author Joel Backaler of China Goes West: Everything You Need to Know About Chinese Companies Going Global is visiting Europe this month on an impressive book tour. Shortly, he will visit Dublin, London, Hamburg, Brussels, Amsterdam, 14 events in 8 cities.

The Hamburg EU-China is the largest event, also attended by premier Li Keqiang.

A selection of these events you can find here:
If you are interested in attending one of these events, please follow the links to check on the availability of seat, reservation and other details.

Joel Backaler is a speaker at the China Speakers Bureau. Do you need him at your meeting or conference? Do get in touch or fill in our speakers´request form.

Funding from Europe: mixed results for Chinese firms - Sara Hsu

Sara Hsu
+Sara Hsu 

Chinese firms have been looking increasingly at European stock markets to raise capital, but – perhaps with the exception of London – most results have been rather disappointing, writes financial analyst Sara Hsu in the Diplomat. A short overview. 

Sara Hsu:
Chinese firms are increasingly looking to Europe to raise funds, with mixed results. While stock listings of Chinese companies in London have performed well, those in Frankfurt and Warsaw have done poorly. Chinese bond and equity funds have received more positive response, initiating new types of exchange-traded funds this year. Changing regulations are gradually altering the requirements of foreign fundraising for Chinese firms. Stock listings of Chinese companies in Frankfurt and Warsaw have struggled. Most recently, in an incredible gaff, Frankfurt-listed Chinese shoe-maker Ultrasonic announced that its CEO had absconded with $60 million from the company’s bank account, only to find out he had been on holiday. Shares of Ultrasonic declined in the wake of the blunder. Ultrasonic joins Kinghero and Youbisheng Green Paper in the ranks of questionable Chinese companies listed on the Frankfurt stock exchange. Chinese companies Peixin International Group NV and JJ Auto, trading on the Warsaw exchange, have traded at below their initial values. The perception of Chinese companies in Frankfurt and Warsaw at this point is not a positive one. 
Chinese firms listed on the London stock exchange have fared better. Currently, there are seven Chinese companies on the main exchange and 54 on the AIM market for smaller companies, and the outlook continues to be positive. 
Chinese bond and equity funds have also done well in Europe, as Europeans seek to diversify their risk exposure. A £140 million ($226 million) fund was listed in London in January of this year to allow retails investors to purchase mainland Chinese shares for the first time. Also in January, Deutsche Asset and Wealth Management and Harvest Global Investments Limited set up Europe’s first ETF tracking China’s CSI300 “A-shares” Index. A $320.9 million fund set up by the E Fund to track the MSCI China A-share Index was launched in May, trading on the Deutsche Börse, the London Stock Exchange, the NYSE Euronext Amsterdam, and the Borsa Italiana. Heptagon Capital joined Harvest Fund Management in selling an A-share based ETF in August. 
Bank of China Hong Kong Asset Management has recently moved a $165 million high yield bond fund to Luxembourg from the Cayman Islands in the hopes of attracting European wholesale and retail investors. Citi will distribute the funds through its platforms. This move represents the first time that a Chinese state-owned bank will raise funds from European retail and pension fund investors. 
China’s stance toward foreign fundraising is changing. First, changes to the Renminbi Qualified Institutional Investor (RQFII) regime in 2013 removed restrictions to the requirement for RQFIIs to hold at least 80 percent of their funds in the domestic fixed income market. This encouraged an increase in foreign funds entering the Chinese stock market. Second, China relaxed rules on overseas listings in December 2012, abolishing the threshold on net income and net asset holdings that had been in place since 1999. This regulatory change did not result in an immediate surge in listings of Chinese companies on European stock exchanges, but it does open the door to future public offerings. Third, the Shanghai Hong Kong Stock Connect will allow foreign investors to trade shares on the Shanghai stock exchange directly, raising foreign capital for Chinese companies on the mainland. 
While the listing of Chinese companies promises to soar in the United States, growth in stock listings for Chinese firms in Europe remains relatively slow. Exchange-traded funds appear to be more desirable, as they spread risk across a diverse group of assets. New regulatory changes may improve the investment environment; for example, a new trading scheme between China and Europe will allow currencies to be traded directly. This may, over time, prompt an increase in European funding of Chinese firms. Such a relationship could well prove fruitful in the long run.
More at the Diplomat.

Sara Hsu is a speaker at the China Speakers Bureau. Do you need her at your meeting or conference? Do get in touch or fill in our speakers´ request form.

Are you interested in more experts on China´s outbound investments? Do get this recently updated list. China consultant Joel Backaler will be visiting a range of European cities and events in the coming weeks. Check here for some of the events he will be addressing. 

Tuesday, September 02, 2014

Joel Backaler to visit Europe in October

Joel Backaler
+Joel Backaler 
Joel Backaler, a leading expert on China´s outbound investments, will be visiting Europe in October and has still some time slots available for speeches. He will be visiting London and Dublin in the week of October 5, and Brussel and Amsterdam in the week of October 13.

Washington-based Joel Backaler just published China Goes West: Everything You Need to Know About Chinese Companies Going Global. Backaler is the person to talk to if you want to get your company or organization China-ready.
Joel Backaler is a speaker at the China Speakers Bureau. Do you need him at your meeting or conference? Do get in touch or fill in our speakers´ request form.

Are you interested in the recent stories by Joel Backaler. Do check out our list with his contributions. 

Thursday, January 12, 2012

Chinese rich offer mainly European gifts at New Year - Rupert Hoogewerf

Rupert Hoogewerf
Chinese new year is nearing fast, a traditional gift-giving season. Most of those luxury gifts from China's rich are foreign, European to be precise, says a study done by Hurun, the research company founded by Rupert Hoogewerf, reports the China Daily. Only Chinese liquor moutai makes it into the top-10.

The China Daily:
"Gift-giving is an essential part of Chinese culture," Rupert Hoogewerf, chairman and chief researcher of the Hurun Report, a research unit and publishing group, told a news conference in Beijing on Wednesday. 
"The money spent on gifts is staggering compared with the West." 
The report, Top 10 Gifts for the Chinese Luxury Consumer 2012, found that French brands dominate with the five of the top 10, followed by Italy's Gucci and Prada. Apple Inc of the US was sixth. 
The study covered 503 wealthy Chinese on the mainland as it sought to reveal their brand awareness and preferences, consumption habits and lifestyle trends. 
Those interviewed - mostly engaged in manufacturing and property development - had average wealth of 63 million yuan ($10 million), up 15 percent from the previous year... 
Hurun's wealthy individuals are 41 years old, on average. 
A typical wealthy Chinese individual included in the survey "has two private bank accounts, 4.2watches and three cars," Hoogewerf said. 
"They travel eight days a month for work. They go abroad three times and spend 20 days for leisure in a year." 
The report found that the very wealthy have less interest in real estate this year, which still tops their investment category, with gold ranked second and fixed-income securities ranked third.
More in the China Daily.

Rupert Hoogewerf is a speaker at the China Speakers Bureau. Do you need him at your meeting or conference? Do get in touch or fill in our speakers' request form.
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Wednesday, January 11, 2012

"Welcome, best friend from Europe"

Chinese Lantern
Image by Ulrich Thumult via Flickr
Today we noted an interesting dispatch from the Chinese state news agency Xinhua, reporting on a recent trip of "top Chinese investors" to Europe. The crunch of the article was the summary of a statement issued earlier today:
The decision to open joint headquarters in Denmark follows a working visit by some 25 Chinese investors to European countries in December 2011. They represented up to 500 Chinese companies who are members of the Aigo Entrepreneur Alliance, which helps Chinese firms build overseas operations.
Fun detail: Denmark did win from other European countries like the Netherlands, the UK, Belgium and others. I reposted this with a short remark on Google+, and got an instant remark with a link to this Belgium success on the vote.
An earlier example of this strategy is the giant electronic firm Huawai, who has been announcing the opening more European headquarters, R&D centers and even global centers than we can count on the fingers of two hands. It is mostly part of justified Chinese politeness towards their European friends.
Unfortunately, those European friends might take the promise all too literally. It is part of the Chinese culture where you try to tie the knot with your potential friends as close as possible; similarly, it is part of the European culture to take it all too serious and use it too early as serious fodder for their respective electorates.
It is not only happening in Europe, also different states in the US and countries in other parts of the world are vying for the status of "best friend of China". And of course, some might get something out of those promises, but the race is only starting.
Mostly, those citizens do not read each others newspapers, so both Chinese companies and European politicians can just ignore the fact that the same promise is do to so many other countries.
Now, just thinking loudly: would coordinating this kind of 'promises' on a public website not be a cute idea for the newly formed EU foreign affairs department? Or could that hurt the intra-European relations too much?

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Monday, December 19, 2011

Lack of institutional trust hampers computer industry - Tricia Wang

Tricia Wang
People and institutions in China's computer industry do not trust each other, stalling innovation, argues sociologist Tricia Wang on her weblog. Without trust there will be no collaboration, and no innovation.

Tricia Wang:
But these collaborations are still far and few between and more importantly, they operate independently from each other. Industrial social structures matter in how industries form, as demonstrated by AnnaLee Saxenian's research on the emergence of Silicon Valley in California. Her analysis revealed that tech companies in Boston, Massachusetts Route 128 operated in a decentralized and independent fashion, while companies in California's Silicon Valley adopted a more decentralized but cooperative system. She argued that Silicon Valley was able to generate more innovation because its unique industrial structure encouraged collaboration between companies. 
Trust is an essential factor for collaboration. The missing ingredient in Route 128 wasn't investment or human capital, it was trust. Without the underlying social bond of trust, companies were largely isolated from each other, which prevented collaboration. Lack of collaboration hindered healthy levels of sharing and competition. 
The Chinese tech industry is set up more like Route 128 than Silicon Valley. There are pockets of innovation in China, but the innovators are not networked, nor are they collaborating. A common question that Chinese people ask is why China does not have a Steve Jobs. Whenever I hear this question, I ask myself, could Steve Jobs have created Apple in Route 128, instead of Silicon Valley? I'll leave that question for the experts to ponder.
More on Tricia Wang's Weblog.

An earlier installment on her latest publication, on the lack of common stories that bind China's computer industry, you can find here.

Tricia Wang is a speaker at the China Speakers Bureau. She will be in Europe for an academic conference in Switzerland and is available for speeches in the third week of February. Do you need her at your meeting or conference? Do get in touch, or fill in our speakers' request form.

More on Tricia Wang, exploring China's underbelly, on Storify.
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