October '98 News and Perspectives about Business Opportunities in Asia

December 30, 1999

As Sun Tze, war strategist of ancient China and a favored strategist of modern enterpreneurs, wrote: KNOW THY ENEMY AND KNOW THY SELF, YOU WILL WIN ALL THE TIME. Because the “4 hundred million customers” country is now 1.2 billion customers, investors could get dizzy looking at the potentially purchasing power of such an astronomica number. No doubt , there is an immense market; it is equally true that there are risks involved, not only for foreign business people, but also for home-grown industrialists.

The latest reports indicate 8 big risks for PRC home industrialists including:
1)Brand creation : There were few startup’s which cashed in on this idea. Since more enterprises have joined this kind of movement, excessive investment in this regard has created problems

2)Diversification or expansion of business: Numerous industries, without adequate knowledge and management, have blindly diversified or expanded, sowing the seeds of their own failure or bankrupcy.

3)Bad management of capital: Earned capital has not always be re-invested back into the industry but have been channeled to sideline businesses or even to do day-trading of stocks. This has caused many businesses’ downfall.

4)Renovation of equipment with debts or credit has caused many to fall into a heavy interest trap.

5)Too much remuneration for the management and workers: As a result of reform, a large number of enterprises have taken over the power of management, policy, and other major responsibilities. This has resulted in the management, together with workers, recklessly raising their pay or bonuses.

6)Speculation: Many clever managerial staff believe that speculation is a standard business practise. This greed has resulted in the natural catastrophic consequences.

7)Merger of far-flung operations. China has a huge land mass,. Industries are scattered thoursands miles away. Merger of industries from different provinces has caused large operational budgetary problems for the centralized headoffices.

8)Democracy vs. authoritarianism in management : Without a reliable and good research unit, the policy-making process of the management could be either by democratic means, by collective leadership, or by fiat (powerful president or ceo). Under such circumstances, mistakes are bound to happen.

If you wish to know more details about these issues, please contact us.

December 21, 1999

Head hunters--not of the cannibalistic type--are widely known as the intermediaries between highly qualified persons and appriopriate employment opportunities.

In addition to the head-hunting tactics of educational institutions in Asia, many other organizations have stepped up their searches. A recent, well-known example is the PRC army which tried to recruit higher-educated young men to improve the quality of its troops. Apparently, this move was motivated by the Iraq-Kuwait war. The Hongkong Government has also recently lifted its restriction to allowing qualified persons from previously prohibited areas to enter.

Among the most active recruiting countries, Singapore is a strong candidate for the CAPITAL OF TALENT SEARCHES, or at least, it tries very hard to be so.

With an area, as small of 628 square kilometers and a population of 3.2 million, its only natural resouce is HUMAN SKILLS. During its economic development, Singapore’s labor force has been found to be not enough. There are about 700,000 aliens working in Singapore, made possible of her rapid economic growth, such as 7.5% in 1996. At least one third of the high economic achievement can be attributed to the imported workers. The evidence that this fact is recognized by the Singapore government came in 1998, when economic recession appeared in Singapore and 80,000 Singaporean were unemployed. There were hot debates about whether Singapore should continue to employ so many foreigners. The prime minister insisted that employment of foreign workers should not be restricted because those people did not seize any rice bowls from Singaporeans; instead, they created more opportunitites for everyone.

We have more information on the numerous measures taken by Asian countries to RECRUIT FOREIGH TALENT to their shores, it interested, please contact us.

December 14, 1999

All countries, developed or developing, are anxious to cultivate a strong talent base but the question of how to recruit or develop the talent pool has caused various governments to pursue audacious, even debatable, policies at home.

To stem the brain drain, governments have tried all kinds of subterfuges to coax, or even hoax, their overseas students to return home. More common practices include grants of coveted residency rights to foreign-born recruits. The most interesting way to find qualified staff is the effort initiated by certain companies in U.K. to look in PRISONS for qualified persons.

More far-sighted efforts include growing a talent pool within the state boundary. For instance, the Singapore government has selected the cream of their foreign middle-school graduates to be trained in Singapore universities/colleges. How significant can this be? In one Singapore middle school of 1800 students, there are 11% aliens. In another primary school there are 50 alien students who have earned 60 awards in domestic and international arithmatic, astronomy, chess, essay writing, etc for the school.

Do you have problems finding the right people with the right qualifications?We can help find and recruit the talent you need.

December 6, 1999

Where are beautiful and photogenic people good enough to be models or movie stars? There are professionals who look around all the time for such "TALENT". As a result, the phrase, TALENT SCOUT has been coined. Yes, these scouts have made quite a number of world-renowned stars in movies, sports or other entertainment areas. But the numbers are far fewer than the number of new employees needed by enterpreneurs or industries .

Therefore, the so-called employment agent came into being. Nowadays, this kind of agent has become a bit obsolete because there is the internet on which both the prospective employer and the employee can meet without any kind of match-maker.

In view of PRC’s forthcoming entry into WTO and presumably to be followed by Taiwan, more talented individuals are needed in Pacific Rim countries, particularly in PRC.

What are the professions presently needed? As far as our research shows, the following 7 categories are in high demand:

1) Teachers/professors

2) Lawyers

3) Foreign language interpreters or managerial personnel

4) Psychiatrists

5) Negotiators for trade

6) Tourism experts

7) Information experts including system technicians

If you wish to try your hand in the Pacific Rim area and need any help, we are ready to aid you. (to be continued)

Know your competitors' problems if you wish to invest in PRC

How to Recruit or RaiseTalent? (Part 4)

How to Recruit or RaiseTalent? (Part 3)