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2-VIU6-May-2018Demographics.pptx

Dan Krassenstein

6-May-2018

Demographics & Business Cultural in China’s 2nd/3rd Tier Cities

Dan Krassenstein

6-May-2018

Tiers refer to key characteristics:

Economic Development

Provincial GDP

Advanced Transportation Systems/Infrastructure

Historical and Cultural Significance

Dan Krassenstein

6-May-2018

China’s first-tier cities (“The Big 4”):

Beijing

Shanghai

Guangzhou

Shenzhen

These cities are known for being important political, cultural, industrial and financial centers in China, as well as key hubs for the greater East-Asia region.

Dan Krassenstein

6-May-2018

China’s second-tier cities:

Tianjin

Chongqing

Chengdu

Wuhan

Xiamen

And capital cities of each province

Labor costs are cheaper than Tier 1 cities.  

Rapid increase in consumer spending/demand

Dan Krassenstein

6-May-2018

China’s third-tier cities:

Each have populations in the millions

Hundreds of county-level cities in China (3rd tier)

Zhongshan

Shantou

Xining

Baoding

Traditional Chinese Cultural Assumptions

Chinese Proverbs

“Know where the water comes from.”

(Relationship Focus/Long-Term Relationship - Guanxi)

“The first bird that peeps its head out gets shot.”

(Individual initiative discouraged; group conformity)

Ego

Traditional Chinese Worldview

Hierarchical

Identification with Authority

Observance of Rites and Social Rituals (Li)

Group Orientation

Group Stability

Cooperation

Relationship Focused

Tolerance for Ambiguity

Loose application of rules

Leadership

Life Style

Traditional Chinese Worldview

Filial Piety

Family Stability, Material Success

Surface Calm

Sense of Cultural Superiority

Self-Cultivation, Education

Perseverance

Fluid Time

Face & Avoiding Shame (Mianzi)

Reciprocation (Guanxi)

Senior Life

Children

Time Sense

THE IMPORTANCE OF "FACE” (MIAN ZI)

Face is a very important and complex feature of daily life.

Rough translation of “face”: “honor”, “good reputation” or “pride”

Three aspects of 'face':

1) Lose face (Diu-mian-zi/yao-mian-zi): when your actions or deeds have been exposed to people, you suffer disgrace, humiliation, or embarrassment

2) Give face (Gei-mian-zi): involves the giving of face to others through showing respect.

3) Save face(Liu-mian-zi): which we understand simply to mean not being disrespectful to others in public, or taking preventive actions so that we will not appear to lose face in the eyes of others.

It is critical you avoid losing face or causing the loss of face at all times.

Try to give face as often as possible—it will be appreciated.

GUANXI (CONNECTION OR RELATIONSHIPS)

“Guanxi” Is the basic dynamic in personalized networks of influence and is an important central concept in Chinese society

Guanxi describes

a personal connection between individuals.

also a broader network of contacts, which an individual can call upon when something needs to be done, and through which he or she can exert influence on behalf of another.

Guanxi is a way of life

Everyone uses it and depends upon it to get anything they need or want.

Apparent in all aspects of life in China, from buying hard-to-come by train tickets, to obtaining a foreign exit visa.

Not bribery or corruption—

The reality of how the system works, in a country of such an impossibly dense population.

The system of Guanxi is the way to get by in China

Remember that it works in two directions – just like Face

West Versus East Differences

Transportation

Time To Shower

Meals

Traditional Chinese Cultural Assumptions

Communication Styles

Indirect

Imply/suggest what is meant. You need to read between the lines.

High Context

Background information assumed depending on nature of relationship.

Formal

Sensitivity to hierarchy/face saving very important.

Restrained

Emotional displays avoided.

Opinion

Human Relationships

Parties/Social Gatherings

Communicating with the Chinese

Focus on how something is said – relational meanings often outweigh literal meanings.

Learn to read paralinguistic cues, such as facial expressions, body movements, gestures and pauses.

Develop a belief that words can be inadequate and insufficient.

Understand that Chinese selves are often embedded in plural pronouns, and learn to differentiate personal opinions from those of the group.

Be aware that impersonal language can be used with outsiders and that insiders and outsiders are treated differently.

Understand that modesty is a Chinese virtue and that understating and discrediting oneself is expected.

Accept that Chinese value indirect talk and that requests are often implied. However, many young people are “trying out” more direct communication which may seem surprisingly direct to outsiders expecting indirectness.

Recognize that definitive responses are rarely given in Chinese culture and that the word “yes” may have multiple meanings.

Accept that Chinese tend to keep opinions to themselves and may be uncomfortable in engaging in social talk with strangers.

Westerners are from low-context cultures (they place more importance of what is said, than what is not said) and that the Chinese are from a high-context culture

Social Distance

The distance you keep when you talk to others is conditioned by your culture

Social distance

Westerners like to keep 2-4 feet as the personal zone when they talk in earnest about something.

Asians are accustomed to talking to others from a closer distance.

It is very common to see two persons of the same gender walking and talking together with one's arm on another's shoulder, or two women talking hand in hand

Generally speaking , for Asians, same gender public social distance is closer than that of different genders

Table Manners

Usually, the person who will pay for the table orders most of the dishes.

The courses ordered will be cold dishes and hot ones.

Normally the last course served is soup.

Fruit served last will be regarded as dessert.

The Chinese host will use their chopsticks to put food in your bowl or plate as a sign of politeness

If you feel uncomfortable with this, you can just say a polite thank you and leave the food there.

Table Manners

When they entertain guests,

Chinese tend to eat out

The meal usually begins with a toast by the host, take your turn during the meal offering toasts to honor of the host and the other guests.

Toasts are in order of rank

Express thanks

‘Gan bei’, literally means ‘drain your glass.’

It is OK to ask for knife and fork

Chicken and fish is usually served as whole on the table

You'd can pick up the food with chopsticks and eat around the bone, or pick up the meat to eat, if its off the bone

Never stick your chopsticks upright in the rice bowl, lay them on your dish.

Socializing and Entertainment

At the round table

The host sits in the position directly facing the door and pays the bill

The honored guest sits to the host’s right side

Dishes are not served course by course as in western countries, but are all presented at the table, and everybody shares them from the common plates.

Pace yourself, you cannot be sure how many courses there are

Try everything, be polite and tolerant

Traditionally, the host or the hostess will keep putting food to your plate as soon as you finish yours.

To the Chinese is impolite to leave the guest not fully filled, while to a westerner not finishing the food on his/her plate is impolite

This misunderstanding will always cause you to overeat

Sometimes, even if the table is full of dishes the hostess will apologize in advance, according to the Chinese courtesy, for the “ill-prepared” meal about to be served

Socializing and Entertainment

Because, Chinese prefer to entertain in public places rather than in their homes, if you are invited to their house, consider it a great honor

If you must turn down such an honor, it is considered polite to explain the conflict in your schedule so that your actions are not taken as a slight.

Normally the Chinese will invite the guests to dinner at home by word of mouth.

Bring a gift as a token for respect - Fruit, sweets, wine or some local specialties you brought from your hometown or from a trip

Generally, the Chinese will arrive earlier either to give a helping hand to the hostess or to have a casual chat with hostess before other guests arrive

Gift Giving Etiquette

In general, gifts are given at Chinese New Year, weddings, births and more recently (because of marketing), birthdays.

Chinese like food and a nice food basket will make a great gift.

Four is an unlucky number so do not give four of anything.

Eight is the luckiest number, so giving eight of something brings luck to the recipient.

Always present gifts with two hands.

Gifts are not opened when received.

Gifts may be refused three times before they are accepted.

Some taboos in gift giving:

Sending the clock sounds like "song zhong“ in Chinese, which means attending a funeral

Don't send pears to your friends, especially at a wedding ceremony, because pears sound like "li" in Chinese, which means separating.

Gifts of scissors, knives or other cutting utensils indicate the severing of the relationship.