CSMT Day 7, SES Nanjing Day 1

Yay! SES Nanjing begins!

This morning, the members of the CSMT tour are met at the door by Inway Ni, the China-side organizer of the conference from TimeV/ISAS (Internet Society of China). He's a really great guy.

After signing in, I went to the keynote session featuring Jack Mah (Alibaba/Yahoo) and Johnny Chou (Google). I don't think anything else made the differences between China and America more clear than these two speeches. Johnny was the consummate Google professional, and Jack was the upstart "local boy does good". It was also pretty clear that although Johnny had more to say of substance, Jack was the darling of the Chinese press, and really knew how to speak to the local audience. This translates well into how each of their representative internet properties is seen in China, as well.

Jack VS Johnny - this should be an interesting battle...

Several people asked why Baidu wasn't at the conference. Were they boycotting it? I asked too, and the answer I got was that (in typical Chinese fashion) the Baidu team asked to show up as keynote at the last minute - far too late. So they were there, but not as visibly as Google and the others. That will change next year, I''m sure.

The turnout to the event was very respectable for the first SES in the country (a lot more than the first SES in the US) and was pretty well organized. The only thing marring the event was that the heat was off (or the air conditioning was stuck - I'm sure it was colder inside than it was outside) It was freezing during most of the sessions.

Some interesting facts and figures:


  • Yahoo China is different from Yahoo. You can get listed in both (and should)
  • Mobile search is likely to be really big in China soon
  • Executives tend to use Google, Students tend to use Baidu
  • Internet users in China are younger than elsewhere - averaging under 22 years old.
  • Google considers China to be the most competitive search market in the world.
  • The trend of search engine usage showed that the less sophisticated cities (ie Guangzhou) tended to use Baidu, and the more sophisticated cites (ie Shanghai) tended to use Google.
  • Jack Mah: The very concept of search engine usage is US-centric - "asking", and is not necessarily the way Chinese want to find things "looking/browsing".

After the sessions were over, we went to the Google Dance, which was very well done, though mostly (and obviously) a recruiting drive. I got a nice picture of me with Johnny Chou and then a bunch of us (with Mike Grehan, the ringleader) left to see if we could teach some of our new Chinese friends how to celebrate St. Patricks day. With 3 people of Irish decent in the group (including myself and Mike), there was no way we were going to skip this tradition!

After many bottles of wine, many bottles of a local dark beer that almost passed for Guiness if you had drank enough wine beforehand, and some Irish Coffee chasers, it was time to call it a night.

I'm proud to say that there are now several Chinese SEM's that now understand St. Patricks day almost as well as an Irishman. Of course "It's an excuse to get drunk" didn't take long to convey, but it's the cultural communication that's the important part here... ;)

Ian

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CSMT Day 6, Nanjing

Train from Shanghai to Nanjing

Today, we took the train from Shanghai to Nanjing.

It was quite an experience, as the train station was very crowded and definitely NOT big-suitcase friendly. Since at this point I was hauling more luggage than anyone else, it was especially fun for me.

Once on the train, though, it was quite nice. The train was modern, and actually reminded me of the one in the Chunnel between England and France (though slower and not, uh, underwater...)

I was hoping to get some nice pics of the countryside, but the train was going so fast, and the sides of the track were lined with trees (probably to reduce the sound of the train), so I didn't get many pics. I guess I'll have to make a countryside tour one of these days ;)

Once in Nanjing, we had lunch, including a specialty of Nanjing - "cold salted duck" which sounds disgusting but is quite good. Then it was off to the Dr. Sun Yat-Sen Memorial.

The memorial is a very beautiful park, and well worth the visit. While we were there, we met some junior high students from Shanghai, and naturally asked them what search engine they used. They were unanimous in saying that they normally used Baidu for "fun stuff", but their teacher liked Google, and they also used Google for research and study. Interesting.

After the park, we went (you guessed it) shopping. Brooke was still on a mission to find a suitcase. The thing that I noticed most about Nanjing is that it's very nice - modern, lots of greenery and parks, clean. Our first stop was a shopping mall (including an entire department devoted to merchandise for the 2008 Beijing Olympics).

Next, we took the subway to the Confucius Temple, which is more of a shopping area than a temple, IMO. Oh, I eventually found a temple, but the area is mostly a set of shopping streets ala Nanjing Road and Xiangyang Road Market. The temple, honestly, was a disappointment, especially after the really nice one in Shanghai. Nonetheless, the shopping and atmosphere was very pleasant.

After the temple area, we headed back to the hotel for a good nights sleep - after all, tomorrow is SES China!

Before we could tuck in, we got notice that there was a welcoming party for select SES guests (and all of the CSMT members happened to be on the list) so off we went. It was a very nice meet and greet, though I went through a LOT of business cards (or name cards, as they are often referred to in China).

After the party, Brooke (who is a journalist) managed to convince Stephen Noton to give an interview, and David and I tagged along. By this time, I was exhaused and almost asleep, but Stephen had enough interesting information that I managed to stay awake. ;) You'll hear all about it from Brooke, no doubt.

Finally, we went back to the hotel (New Century Hotel) and grabbed some sleep.

Ian

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CSMT Day 5, Shanghai

Confucius Temple, Luggage Shopping, Business and Negotiations

A full day in Shanghai. Our Shanghai guide, Katrina, met us in the hotel lobby early in the morning and off we went.

We had to make a minor modification to our plans, however. Lily, whom I had met on my way to China, had phoned and arraigned for me to meet the members of the company she was working as agent for this afternoon. A quick discussion resolved the timing with the tour - I'd go to the meeting while they went to the top of the same building (The Jin Mao building, which is apparently the tallest in Shanghai) for some sightseeing during it. If I was there too long, they'd just finish up the day without me. Perfect.

So, sightseeing in the morning, business in the afternoon - a good day in the big city :)

Our first stop was the Confucius Temple. Now, I'm a big fan of Confucius (most of the time) and even took an entire course in Confucianism during university, so this was very interesting to me. Apparently, "temple" is a bit of a misnomer, since Confucianism isn't really a religion - more of a philosophy. It's closer to a school.

Unfortunately, it was bombed during WWII, then the remainder destroyed during the Cultural Revolution, so it's more like a recreation of the original, rather than the original itself. But it's very beautiful. Almost all of the furnishings and artifacts were donated by locals during the rebuilding, which is very heartening.

The courtyard garden is gorgeous.

One of the more interesting views is that right across the street from the temple is a modern high school. Old and new schools teaching together - I like it.

After the temple, we went shopping in the Xiangyang Road Market. I thought that Nanjing Road was pretty good, but this place was incredible! It had a great "Chinese" look to it, and tons of stores. I was able to get some nice gifts for family and friends at some good prices.

After that, we had another tea ceremony, which was very nice, but by now I was starting to get all tea-ceremonied out. On the plus side, I can now do a tea ceremony perfectly. This one featured 2 interesting teas called "Romeo" and "Juliet". They consist of a ball of tea, that, when dropped into hot water, expand and unfold into a miniature bouquet -just beautiful.

After this, I loaned my camera to David and went to my appointment with the Shanghai Tiens Jinquan Investment Consulting Ltd. (http://www.tiens.com.cn/) who are apparently far larger than I originally thought they were. After discussions, it became clear that we both had very useful skills to bring to the table, so after some discussion, we signed an MOU (Memorandum of Understanding).

This is not common in North America, but almost every deal I've put together in Asia has started with one. An MOU is simply a non-binding written expression of interest in working together. This is usually (hopefully) followed by negotiations and discussions that solidify the expectations of each party. Once this has been sorted out, the next step is a Letter of Intent, which is basically the non-binding, high level, bare bones of a contract.

Once the Letter of Intent is agreed to in principle by the Directors of all parties, the lawyers get to work and draft a Contract, which then usually goes through several revisions (my personal record was 23, with Samsung) before it's all finally done.

This is a fairly normal practice and procedure in China, Korea and Japan, at least in my personal experience. It's actually quite nice, since putting something, even non-binding, in writing is a good way to show that you are serious about proceeding, and not just saying you are interested to be polite or to save face.

Since this all took far longer than I expected, I missed the rest of the tour that day.

When I got back to the hotel, I found that Dave and Dale were also doing some business meetings, and Brooke was getting hungry. The two of us decided to go grab something to eat, and then went on the "Great Suitcase Hunt" (which will be a minor but continuing theme for a good portion of the rest of the blog about the tour).

Brooke, shopping machine that she is, decided she needed another suitcase to hold all the stuff she had bought. I'd feel smug and superior about this except I had deliberately arrived with an almost empty huge suitcase myself, which was now bursting at the seams and weighed enough to make the ticket agents want to bill me for another ticket. Any big city can get a little seedy at night, so I went along with her.

Nanjing Road is a very different animal at night. The normal shops close down and the street vendors and beggars move in. One of the first things I noticed was someone zipping down the road wearing some strap-on wheels on their shoes. My kids had specifically asked for these, and I'd been looking in vain up until this point, so I decided I wanted them. Big mistake.

The vendor (a kid, really) started off at 600RMB per skate. Nonsense, of course. We went back and forth for a bit, and finally, I decided that I was willing to pay around 50RMB each. After much haggling (with Brooke wisely insisting that I should hold out for less) I agreed to 175RMB for 3 pairs (58RMB each or about $7 each).

You know you have just made a bad deal when the vendor grabs your money, runs towards his friends, jumps in the air, kicks his heels and yells "Wahooo!"

No lie. He did that. Lesson learned: Never want something so much you are not willing to walk away from it, unless you are willing to pay the sellers price, rather than yours.

To rub salt in the wound, we were then hounded by more wheel vendors, each one offering the wheels at progressively lower prices. For reasons I can only describe as pure evil, one finally offered to sell 3 pairs of wheels for 15RMB (less than $1 each). I watched, ego shattered, as Brooke bought a pair "just because they were too cheap to pass up". I briefly considered beating her to death with a wheelie, but then settled for a session of self pity.

But we still didn't have the luggage. So we continued down the street until we were mobbed by a bunch of old ladies thrusting cute kids with roses at us. I made a mistake and gave one little tyke a couple RMB for a rose, and was rewarded by being hounded by the rest of them in an incredibly offensive and belligerent manner. I felt really sorry for those kids. We retreated.

On the way back, the kid who had sold me my overpriced wheelies tried to sell us some more. Brooke asked him if he had any luggage. To my astonishment, he said yes! Off his friends went to procure it, while we continued walking back. Near the end of the road, just before we were to turn towards the hotel, we saw that the group of them had disappeared down an alley. An alley which I noticed was not only dark, but adjacent to a luggage store.

A few minutes later, they came out with a few pieces of very nice luggage. By this time, I was very concerned we were buying stolen goods ("You need luggage?" *smash* "Here’s some. How much you pay?").

Further, Brooke, who I must admit is a much better bargainer than I, only wanted to pay 300RMB, not the 500RMB they wanted. They then offered to show us more luggage, though we would have to follow them down the dark alley. No way on that one.

By this time Brooke had also decided it was all too shady, and she wasn't about to support shoplifting, so we left without luggage, hoping maybe we could find some in Nanjing, which we were scheduled to go to by train tomorrow morning.

Ian

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