Monday, May 29, 2017

Who will be the Disney of China? - Jeffrey Towson

Jeffrey Towson
Entertainment parks are becoming big business in China, but there are at least three players trying to come the Disney of China, including Disney itself. Who will be the real Disney of China, wonders Beida business professor Jeffrey Towson on his weblog.

Jeffrey Towson:
The takeaway here is that while Disney’s dream is capturing the Chinese market, that is not the objective of the government, which is actively operating in this sector as both policeman and player. They are focused on the development of an entertainment industry in Shanghai. 
And while the government needs Disney today, it is worth keeping in mind this will not always be the case. 
Finally, well-funded locals, like Wanda and Alibaba Pictures, are now giving chase. This force is the most worrisome. 
Disney is off and running in China. But so are well-funded local competitors. Dalian Wanda Group clearly wants to be the “Disney of China” and has come out with guns and press releases blazing. They are opening multiple theme parks and are the largest owner of movie theaters in China and the U.S. (and #2 in Australia). They are also actively acquiring in Hollywood. Plus you have Alibaba Pictures, Huayi Brothers and others. The competitive picture is daunting. 
However, lots of rich companies have tried to be Disney in the past and have failed. When Disney entered Europe and Japan, lots of local companies had the same ambition. And for decades, other Hollywood studios have tried to replicate Disney in the US. All have largely failed. It turns out copying Disney is pretty difficult. 
Two companies have arguably had some success: Dreamworks, founded by Jeffrey Katzenberg (who previously ran Disney Animation); and Pixar, run by John Lasseter (purchased by Disney in 2006). You could also perhaps point to Lucasfilm, creator of the “Star Wars” franchise (now owned by Disney as well). But all of these are essentially pure media companies. None have replicated Disney’s combination of animation and theme parks. 
I think this has a lot to do with cash flow. Creating animated (and singing) movies that children love is tricky. It takes years of work for one movie, costs a lot of money and is “hit or miss”. If the movie is a hit, you make lots of money. If not, you probably go bust. The unpredictable cash flow makes funding animated movie development and then building large, expensive theme parks impossible for most all companies. Disney’s advantage is that it already has a stable of popular characters and international operations that create financial scale and stability. 
But even Disney has had trouble being Disney at times. It had great success under Walt Disney but struggled in the 1980s as its movies lost their appeal. And when the movies aren’t hits, the theme parks can suffer. New leadership took over (Eisner and Katzenberg) and a string of successes like “The Little Mermaid” and “Aladdin” followed. Disney again stumbled in the early 2000s until it bought Pixar, which made Steve Jobs the largest Disney shareholder. 
So now Chinese companies are trying to be like Disney in China, which is actually really difficult. Wanda is opening theme parks and starting to make animated movies. We will see if they are more successful than past attempts by cash rich companies. Overall, it is going to be an interesting fight to watch.
More at Jeffrey Towson's website.

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Condoms: not volume but quality is the issue - Shaun Rein

Shaun Rein
Attitudes towards the usage of condoms are changing fast in China, says business analyst Shaun Rein to CNBC. While condoms have always been available, their quality was often doubtful. That opens opportunities for high-end condoms with a good - read: international - reputation.

CNBC:
"Volumes are not expanding but there is massive upgrading," in search of higher quality and a superior feel, said Shaun Rein of China Market Research Group, a consultancy. "This is where the foreign brands definitely have the advantage. Consumers are moving up the value chain." 
Chinese tourists to Japan have been returning home with bundles of condoms and Japanese manufacturers have been ramping up exports to China in recent years following a series of safety scandals that have reduced trust in local brands such as Donless, Double Butterfly and Gobon. 
Last year Shanghai police said they seized 3m locally made condoms manufactured from inferior and in some cases foul-smelling materials, following a 2013 bust of 5m fakes. Counterfeit Chinese condoms have been found as far afield as Ghana and Puerto Rico in recent years. 
Jissbon is a mid-level brand in China, appealing to lower-income workers and students who are wary of local products, said Mr Rein. 
"It's above the Chinese brands," he added. China's young people are having sex earlier, state media reported last year, with the average age of the youngest generation's first sexual experience occurring at 17. 
Ansell's main competitor in China is Reckitt Benckiser, which owns Durex, and has one of its largest factories in the Chinese city of Qingdao. 
More in CNBC.

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Wednesday, May 24, 2017

Chinese brands: no price premium - Tom Doctoroff

Tom Doctoroff
Chinese brands might be improving, but they can still not offer a price premium, says marketing guru Tom Doctoroff and author of What Chinese Want: Culture, Communism, and China's Modern Consumer at Campaign Asia. They are lacking long-term concept and are mostly sales-driven, he adds.

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Monday, May 22, 2017

Ant Financial: a global payment monster - Ben Cavender

Ben Cavender
China's internet companies have turned around payment systems domestically. Now they are turning to global market, says retail analyst Ben Cavender to Cryptocoinnews. Alibaba's Ant Financial now is setting up a war chest to conquer those global markets.

Cryptocoinnews:
According to a Reuters source, Ant is looking to raise up to $3 billion in debt to fund acquisitions in foreign markets. 
“Ant’s ultimate goal is to become a global payments monster – the biggest, broadest option for consumers,” said Shanghai-based Ben Cavender, speaking to Reuters from China Market Research. “The challenge is facing strong local players around the world, so it’s cheaper to buy into these companies rather than burning money to steal market share from them.” 
In its latest funding round, Ant is valued at $60 billion and is expected to announce an initial public offering this year. As things stand, Alipay is supported at nearly 100,000 retail stores across 70 overseas markets, outside China, in countries including France and Germany.
More in Cryptocoinnews.

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The China Football Association is illegal under FIFA rules - Rowan Simons

Rowan Simons
Soccer in China is government-organized and that not only leads to a bad quality soccer, it is also illegal under the FIFA rules, writes soccer expert Rowan Simons at the New York Times. Rowan Simons is chairman of China ClubFootball FC, the first amateur football network in China with foreign investors, and the author of “Bamboo Goalposts.

 Rowan Simons
China is not at the World Cup and its women’s team is no longer a leading force for reasons of politics, economics, culture and education — all challenges we are trying to tackle with ClubFootball. 
Let’s talk politics. The Chinese Football Association is an illegal organization under Article 17 of FIFA’s constitution which demands independence from government. Yet government control of the C.F.A. is clearly laid out in China’s 1994 Sports Law. These mutually exclusive regulations pose significant concerns. 
This “top down” system has several fundamental flaws that ignore the long-term grassroots solutions required. Chinese sport still follows a Soviet model, placing children in elite schools (at their own expense!). Football is a mass participation sport in which the best players may not emerge until their later teens. The simple truth is that China needs a system of community-based clubs that are run by the people for the people.
Since the C.F.A. does not even have a department for amateur football, football must grow itself. With 100,000 supporters, 2,000 kids in after-school courses and 100 adult teams, this is exactly what ClubFootball is proving today in Beijing. If our small success (with no government funding) could be replicated in every large city, China could finally benefit from its one great football advantage — its people.
More at the New York Times.

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Action needed to narrow wealth gap - Zhang Juwei

Zhang Juwei
The wealth gap in China, reflected in the gini coefficient, is moving into dangerous heights, and government action is needed to narrow to divide between rich and poor, says professor Zhang Juwei, director of the labor and social security research center at the Chinese Academy of Social Sciences to the China Daily.

The China Daily:
The Gini coefficient - a measure of income inequality commonly used by economists and institutions - reached 0.47 in China in 2005, overtaking the recognized warning level of 0.4, according to the World Bank. 
Although no new calculation has been released to gauge the latest situation of income inequality in China, the previous World Bank figure basically represents the nation's current situation and the gap is widening dramatically, said Zhang Juwei, professor and director of the labor and social security research center at the Chinese Academy of Social Sciences. 
Zhou Tianyong, senior economist of the Party School of the Central Committee of the Communist Party of China, said in a recent article that in 2008, the Gini coefficient was 0.47 in China. 
"When the Gini coefficient reaches around 0.5, it means the inequality problem is extremely severe and needs immediate action to bring it down," Zhang said... 
As for solutions, analysts are divided on where the strongest measures should be taken. Zhang said the emphasis should be placed on the primary distribution of national income. "It is the root of the income distribution system. The government should do more to raise the proportion of laborers' incomes in the income basket, which has been declining for years," he said, adding that capital investment has been a major reason for the disproportionately high ratio of wealth held by the rich. 
He said raising farmers' incomes is a practical measure and by doing that, the salaries of low-income groups like migrant workers would also go up.
More at the China Daily.

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The revival of China's traditional believes - Ian Johnson

Ian Johnson
Often reviewers tend to look at the emergence of world religions like Christianity, Islam and Buddhism, when they summarize Ian Johnson's book The Souls of China: The Return of Religion After Mao. But the most moving chapter is that on the 80 pilgrim associations from Beijing, writes professor Richard Madsen in the Washington Post.

The Washington Post:
In the most vivid and moving chapters of the book, Johnson follows the Ni family, which leads one of the 80 pilgrim associations in Beijing. The family organizes the annual two-week pilgrimage to the city’s most important religious site, Miaofengshan, or the Mountain of the Wondrous Peak, to worship a goddess called Our Lady of the Azure Clouds. These associations are independent of the government, with an authority that derives from tradition and faith. The work is unpaid and passed down from father to son. Johnson spends the entire two weeks with the Ni family’s association, ascending the mountain with tens of thousands of pilgrims. The mountain is transfigured with statues and flowers and gold-colored sheets and banners; the air is redolent of incense; and time is filled with performances of singing and dancing, stilt-walking and martial arts. 
What was the meaning of all this? “The key,” Johnson writes, “was that something was here, now: a bridge to the future. After everything that China had been through over the past century, the fact that temples were still standing was the miracle. . . . Instead of appraising the statues, I looked at the people, to see what was in their eyes.” 
What was in their eyes was a kind of faith and hope, a belief that they were connected to their ancestors and a wish that they could bequeath that connection to their children. These aspirations are expressed in different ways by the religious practitioners throughout the book. Li Bin from rural Shanxi province is a ninth-generation Daoist, a “yin-yang man,” who organizes funerals and tells fortunes, helping the living both to understand their fate and to carry on the legacy of the dead. Qin Ling is a master of Daoist “inner alchemy” meditation techniques, who teaches in Beijing, with a clientele that includes the children of high-ranking officials. Johnson studies with her and then goes on a 10-day retreat in southern China with her mentor Wang Liping and 500 others, including lawyers, business people and artists.
More in the Washington Post. 

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Thursday, May 18, 2017

What moves China on a global stage - Howard French

Howard French
Explaining China's position on a global stage, that is the underlying purpose of Howard French's book Everything Under the Heavens: How the Past Helps Shape China's Push for Global Power. As an emerging world power, we need to understand China, in a similar way we now understand the US, Britain, Russia and other current and past global powers, he explains to the South China Morning Post. "Tianxia" is the key concept to understand.

The South China Morning Post:
China’s story just happens to be intimidatingly vast and complex, which partly explains French’s decision to filter its history through a central concept: tianxia, an ancient Chinese cultural concept that gives his book its title. The literal translation of the word is “everything under heaven”. 
What tianxia means in practical political terms, French writes in the book, is “China’s tribute system”. 
Tianxia emerges as a paradigm for China’s geopolitics from a correct sense that it is vastly larger and, for most of its history, vastly richer than any neighbouring state,” French explains during our conversation. “Out of this flows an ideal, from the Chinese perspective, that order can best be established in our neighbourhood by a situation whereby the neighbours defer to us.” 
In the most technical sense, deference is expressed through a highly ritualised series of ceremonies: embassies dispatched to pay obeisance to the emperor; the adoption of the Chinese calendar and language. In broader policy terms, tianxia combines carefully deployed “sticks” and “carrots”. French points to historical evidence to argue that China uses inducements first and force only as a last resort: the Sino-Vietnamese war of 1979 is an example. Carrots include access to Chinese trade, to its potentially vast market, and to what French describes as “patents of authority. China essentially legitimates local leaders by endorsing them”. On this basis, “a harmonious pattern of coexistence can endure in the region. One could say only on this basis”. 
Although the current leadership is careful not to invoke tianxia explicitly, French argues that it explains much of China’s international diplomacy. Everything Under the Heavens devotes considerable space to unpicking Beijing’s forthright claims to territory in the South China Sea, which have made several nations uneasy. In 2013, the Philippines took China to an arbitration tribunal in the Hague to invali­date Beijing’s territorial claims. At the heart of the South China Sea dispute is the “nine-dash line”, under which China lays claim to 90 per cent of the area. On July 12 last year, the tribunal ruled in favour of the Philippines. 
“China didn’t say, ‘You are infringing upon tianxia’, but that’s very much what was going on,” French says. “[China says] ‘We control those waters. You should get with the programme and defer to us.’”
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Next: home-grown designers - Jeffrey Towson

Jeffrey Towson
China has moved away from its copycat culture in much of manufacturing and R&D, but is still lacking experienced talent when it comes to developing design. That is just a matter of time, tells Peking University business professor Jeffrey Towson to Bloomberg. Branding and quality of design are getting higher on the agenda.

Bloomberg:
There may be a brighter future for home-grown designers..., said Mr Jeffrey Towson, a professor of investment at Guanghua School of Management at Peking University. 
China has invested heavily in art and design schools and that is bearing fruit, with more than a million art and design students graduating every year since 2009, he noted. 
"They don't have the experience yet, but they have the talent. "Fifteen years ago, nobody hired Chinese engineers. Now, every Fortune 500 company builds R&D centres in China. 
"It's going to be the same with designers."
More at Bloomberg.

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The disrupting power of China's consumers - Jeffrey Towson

Jeffrey Towson
China's consumers are becoming increasingly a force the rest of the world has to take into account, writes Beida business professor Jeffrey Towson at his weblog. Not only have Chinese more disposable income, they not only go for cheap offers, and regularly disrupt the world.

Jeffrey Towson:
Chinese consumers continue to grow relentlessly in number and wealth. This is a well-studied economic trend. But what people are missing is how the changing behavior of these consumers is now regularly shaking the world. 
Suddenly when Chinese consumers start eating more meat, it impacts agriculture in the American midwest. When they discover northern Thailand as a fun destination, they flood the area with tourists. When Chinese consumers change their minds about something, it now ripples outward into the global economy. And these types of phenomena are going to become a lot more noticeable in the coming years. 
The economic trend underlying this is the steady advance of China’s urban middle class families. This is the group to watch. According to McKinsey & Co., Chinese urban household disposable income will reach $8,000 a year by 2020. This will be about the same level as South Korea, but in a much, much larger population. After Middle Eastern oil, Chinese urban middle class families are arguably the most valuable natural resource on the planet. 
But within this big trend, an important shift is now occurring. Urban families are rapidly transitioning from “value hunters” to more emotional, aspirational and free-spending consumers. 
Price-focused consumers have dominated the China story thus far. They typically have had little brand loyalty and tend to shop around for the best deals, mostly for life’s necessities. Chinese companies such as Haier Group and China Vanke have done very well selling these consumers air conditioners and apartments at affordable prices. 
The more emotional group now emerging, called “new mainstream” consumers by McKinsey, already has life’s basics. And they have enough disposable income to buy discretionary items such as lattes and trips to Thailand. 
What this new group cares about is quality, brand and how products make them feel. So they want real iPhones, not cheap alternatives, and they are able and willing to pay for them. What is fascinating about this group is that they behave fairly similarly to consumers in developed markets.
More at Jeffrey Towson's weblog.

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Tuesday, May 16, 2017

Prostitution: A mirror of society - Zhang Lijia

Zhang Lijia
Prostitution is a mirror of society, tells Beijing-based author Zhang Lijia at the BBC. Her book Lotus: A Novel shows some of China's most urgent problems related to prostitution: migration, the gap between men and women and moral decline.

While entering the sex trade on their free will, most women did so for economic reasons, she tells. They gain economic independence, but often against a price. Much of their income is used to support their families back home, who often have no idea about the source. Why prostitution in China should be decriminalized.

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You can see the full clip here.
Zhang Lijia at the BBC

China-US trade deal: merely window dressing - Arthur Kroeber

Arthur Kroeber
The surprise trade deal between China and the US on beef and financial services is lacking real substance, tells economist Arthur Kroeber and author of China's Economy: What Everyone Needs to Know® at USagnet.

USagnet:
"China has made a few modest concessions that cost it very little, in areas strategically picked to maximize the political benefit to Trump," said Arthur Kroeber, managing director of Gavekal Dragonomics, an economic research firm in Beijing. "But the substantive impact on US-China trade and investment flows is pretty minimal."
More at USagnet.

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Monday, May 15, 2017

Coca-Cola is on the wrong track selling a tin of water for US$9 - Tom Doctoroff

Tom Doctoroffr
Coca-Cola surprised many branding experts by launching a tin of sparkling water called 'Valser' to Chinese consumers for US$9. It is not impossible, says branding guru Tom Doctoroff to the South China Morning Post, but then they have to change their marketing dramatically. “Turn it into a social currency,” Doctoroff says.

The South China Morning Post:
“Turn it into a social currency.” 
That’s the advice being given by one China marketing expert to Coca-Cola, as the US drinks giant launches what it is being billed as an ultra-luxurious Swiss sparkling water brand, a bottle of which costs double what a Starbucks venti cappuccino might cost. 
Its “Valser” water first appeared in the US soft drinks giant’s store on Chinese online marketplace Tmall a few weeks ago, highlighting specifically that it is sourced from “Switzerland.” 
But what raised many eyebrows was its price tag: a 750ml Classic bottle costs 64 yuan (US$9.29)... 
“Theoretically, it is possible [to sell at that price], but you would have to make it not just about water, but also a social currency,” said Tom Doctoroff, senior partner with global marketing consultancy The Prophet, and author of book What Chinese Want: Culture and Communism... 
“Our water comes from The Alps, which was formed 200 million years ago,” the world’s largest beverage company said of Valser in its Chinese advertisement, adding that its source is fed from melted snow and rain that filters through glacial sand. 
But other than focusing on origin, Doctoroff insists Coke should be adopting a vastly different marketing approach from what the industry is simply accustomed to. 
So far Coca-Cola has opted for a group of heavyweight endorsers, among them Chinese heartthrob Lu Han, the Korean actor Park Bo-gum, even the billionaire investment tycoon Warren Buffett – but just how successful they could prove for an ultra-premium, ultra-pricey Swiss bottled water remains a mute point. 
“The Chinese who would buy Coca-Cola’s luxury bottled water are likely to be the same group of people who are connoisseurs of Louis Vuitton handbags,” he said. 
“So to help build its prestige, you need new partners, and right opinion leaders .”
More in the South China Morning Post.

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Jacky Chan as China's soft power force - Ben Cavender

Ben Cavender
Gaining soft power is not an exclusive issue for China’s government. Jacky Chan and Wanda might be equally important for how the world sees China, says branding expert Ben Cavender to the South China Morning Post.

The South China Morning Post:
… it’s clear China is trying to exert a lot more intangible soft power force on the world,” said Ben Cavender of China Market Research Group. “With (President Donald) Trump coming into power, it’s created a massive opportunity for China to sort of rebrand itself.” 
Building up China’s entertainment industry can also support other sectors, from retail to advertising, which is a crucial move as the government works to maneuver an economic growth transition away from manufacturing and exports. 
“It used to be very difficult for China’s movie industry to go abroad,” Chan said. “Now, China has the capital and the ability to start purchasing foreign companies … this kind of cooperation will lead us to learn more, and allow us to spread Chinese culture overseas to help more people understand China.” 
Chan says he’s happy to use his influence to introduce China to the world, and that falls in line with next steps for his new animation. There are plans to roll out internationally, and eventually make a feature film over the next few years. 
But he has become so ubiquitous — showing up on commercials for everything from shampoo to energy drinks — that consumers sometimes feel “he’s in it for a paycheck because [it seems] he doesn’t care about the product,” Cavender said.
More in the South China Morning Post.

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The future of religion in China - Ian Johnson

Ian Johnson
Journalist Ian Johnson documented in this book The Souls of China: The Return of Religion After Mao how an estimated 350 million Chinese citizens found solace in religion, despite a ambiguous governments. In TimesOut Shanghai he tells how he feels that movement will develop in the future.

TimesOut Shanghai:
How do you think religion will develop in China? 
'They’re definitely all going to exist in the future, but I think they’ll appeal to different people. Big urban churches, like the one in Chengdu I describe in the book, appeal largely to white collar people in big cities, who are less interested in traditional culture and feel Christianity is more modern. But many other people are eagerly embracing traditional Chinese culture. This might be people who go fasting for a weekend with monks, or go to temples and read Buddhist mantras, or practice calligraphy. On one hand, this can be just seen as a hobby, but often there are religious statues, incense – some kind of a spiritual meaning and ritual, even if it’s not explicitly religious. But there is no interreligious dialogue in China. There are a lot of areas where religions could co-operate and it could be helpful, but people remain siloed in their religions. Christians don’t know anything about Buddhists, Buddhists don’t know anything about Christians, and nobody knows anything about Islam.' 
You met so many fascinating people throughout the book. Who made the biggest impression? 
'I think it’s the Beijing pilgrims who go to the Miaofengshan temple every year. More than 80 pilgrim associations from Beijing attend – groups you would just never think existed. They are really devoted people. They were typical in the sense that they really believed in actions – don’t spend a lot of time talking about it, just go and do charitable things, acts of faith. In a lot of Chinese cities, you don’t see any sign of religion. It’s not like European cities with big churches; in China you have to really look, and then you find all these people with their own faith and rituals just beneath the surface.'
More in TimesOut Shanghai.

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Friday, May 12, 2017

Lotus: a mirror of China's society - Zhang Lijia

Zhang Lijia
Sarah Mellors reviews for the LA Review of Books Zhang Lijia's Lotus: A Novel. The novel is a telling story of how China's society works, she says, and both main characters Lotus and Bing illustrate many issues: rural-urban divide, economic development without political liberalization, the post-Mao moral vacuum and money worshiping, and the tension between so-called traditional Chinese values and modern concerns.

LA Review of Books:
Within the hierarchy of Chinese prostitutes, Lotus is close to the bottom, working in a massage parlor that also offers erotic services. For most sex workers, the best they can hope for is a permanent position as an ernai (literally, second tit), a mistress whose housing and daily expenses are covered long term by a wealthy male patron. Though ernai rarely become wives, they can enjoy otherwise unattainable degrees of financial security and live in luxury. 
Yet, when multiple businessmen demand that Lotus become their ernai, she declines their offers. Instead, she falls for Bing, a photographer educated at Tsinghua University (one of China’s top schools) who is 16 years her senior, and who left his job in business to pursue a passion project of documenting the lives of Shenzhen’s sex workers. Through interactions among Lotus, Bing, and other characters, the book chronicles the changes in China since the period of reform and opening up that Deng Xiaoping initiated in 1978. 
Zhang’s lens zooms in and out, balancing Lotus and Bing’s personal lives with critiques of the sociopolitical climate as a whole. Lotus and Bing’s continual search for meaning and a sense of self beyond the quest for money mirrors the crisis of an entire generation of Chinese. Bing, highly educated and significantly older than Lotus, is representative of the generation of idealistic intellectuals who peacefully protested against government authoritarianism in 1989. Lotus, a generation younger, encounters a similar existential crisis but from the perspective of a poor migrant worker seeking to reconcile the hedonism of the city with her conservative rural upbringing and Buddhist faith. 
As in the LGBTQ novel Beijing Comrades, which I reviewed for this publication a year ago, readers of Lotus will encounter a vast array of topics related to modern China, including the growing rural-urban divide, economic development without political liberalization, the post-Mao moral vacuum and money worshiping, and the tension between so-called traditional Chinese values and modern concerns. These themes are effortlessly integrated into Lotus’s coming-of-age story. Against this backdrop, Zhang emphasizes the fortitude of her protagonist as much as Lotus’s vulnerability and suffering. The book highlights the ways in which sex work can lead to upward mobility for young women as well as abuse and social stigma. Well researched and deftly written, Lotus is at times cutting and raw, at other points delicate and poetic.
More in the LA Review of Books.

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Hooked on the opium of the people - Ian Johnson

Ian Johnson
An estimated 350 million Chinese are hooked to different religions, looking for a way to deal with the lack of morality of their current society. The Spectator reviews positively Ian Johnson's book The Souls of China: The Return of Religion After Mao, and describes a major change in China's cultural fabric.

The Spectator:
China has moved from zero tolerance of worship to more than 350 million believers in Buddhism, Taoism, Christianity and Islam. In an era in which religion was expected by many to become extinct, this is a stunning development. It has happened in a country where the policies of the regime range from grudging tolerance to heavy-handed oppression. We need to understand the explosion of religious faith in China. Ian Johnson’s excellent book explains it. 
He depicts a nation in deep moral crisis, quoting a 2014 official opinion poll in which 88 per cent of respondents agreed that society was suffering from ‘a social disease of moral decay and lack of trust’; and he cites a bestselling novelist who writes of ‘a tide of lust and greed’ surging from every corner of his home city, Chengdu. A Communist Party communiqué laments that ‘in a number of areas, morals are defeated, sincerity is lacking’. 
Referring to the party’s promotion of moral exemplars, a blogger tells Johnson: ‘Everything they teach you is fake.’ A Christian publisher says: ‘People can’t believe how corrupt society has become.’ In a society once ruled more by ethics than laws, in which religion and community cohesion were inseparable, people regret ‘the absence of a moral compass’. 
In this crisis, Johnson shows that people are turning to religions in search of moral clarity, truth and a meaning to their lives. At a spiritual level, like believers everywhere, they have an impulse to believe in God. At a social level, especially in Christian ‘house churches’, unregulated by the state, and self-governing, they find mutual trust and shared values, communities which combine faith and action. An estimated quarter of the lawyers active in the ‘rights defence’ movement of the early 21st century were Christians.
More in the Spectator.

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