MANILA, OCTOBER 3, 2012 – Still in the conference room in Makati Shangri-La, we’re back on the table with Lynne Anne Davis, Fleishman-Hillard president and CEO. As she talked about China’s monumental rise to power, she also offered ways how Chinese companies can prosper in other countries.
The first four principles for engagement have already been discussed in the first part of this series.
5. Let the sunshine in
A perceived passion for secrecy is one thing that holds most people back from doing business with China. Unfortunately, Chinese companies are considered opaque and their decision making unclear. Much of this suspicion could be because of cultural differences and some may just be due to language barriers. But according to a study by Fleishman-Hillard, this stereotype is an easy one to debunk – by being open and transparent right from the start of an engagement with a foreign country. This way, local stakeholders are enlightened and suspicions are defused.
6. It takes a team
One thing that founders of the companies should do is to let go and pass on their vision to the team. This is important if one wants to succeed globally. They need to empower people beyond themselves to carry out their vision.
7. Chinese with a local face
With all the stereotypes that abound, projecting the right balance of Chinese, global and local is a common challenge for Chinese companies investing overseas. But the key is to be authentic, Fleishman-Hillard says. One way is to “localize” the brand by building local relationships and hiring local employees. However, hiding the brand’s image will also do more harm than good. Fleishman-Hillard notes, “the mix of Chinese, global and local will be different and unique. It is simply critical that the ‘image’ reflect the reality”.
8. Confident, but humble
Although Chinese companies have earned the respect and admiration of global economic players, opinion could be mixed among key stakeholders in the country where they choose to invest. Some may fear Chinese companies and some may see threats. In order to avoid empowering economic competitors, Chinese companies should be confident but humble.
