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McGill Li Ka-Shing Summer Exchange May 31, 2015
CHINA BLOG Li Ka-Shing Summer Exchange Program
Dear Readers!
Thank you for picking up this blog.
For the next 20 days, we will share not only our experience in China but also all the new and interesting things aspects of Chinese culture!
This blog will focus upon Business in China and contains company visits to various Industries. You can also expect socioeconomic reflections that address problems in China’s every-day life!
Written by Qi Zhang Page �1
McGill Li Ka-Shing Summer Exchange May 31, 2015
Day 1: Tuesday, May 2nd - Hello China!
It was an early morning when a group of Mcgillians met at Pierre Elliot Trudeau airport
to embark on an exciting journey to China. The sun was out, the mood was great, and we sat
at our gate waiting for boarding. Some of us have visited China through travels or through
exchange but for many, it would be their first time. Needless to say, we were excited for the
20 days ahead but before reaching paradise, we must first endure the next 30 gruelling hours
that would be spent in the airport and in the air.
In order to arrive to Hong Kong, we transferred at Vancouver International Airport. We
flew Air Canada and the flight was pleasant. We arrived at the airport food court with empty
stomachs and most of us had A&W, Subway and a restaurant selling Chinese food. Knowing
we would taste authentic Chinese food for the next 3 weeks, many of us opted for a last fix of
a juicy hamburger.
A few hours into our second flight took us outside
of Canada. We have officially left Canada! Vancouver to
Hong Kong will take 14 hours and it felt like being
trapped within an air jail. Nothing too exciting… but we
did catch up on a lot of new movies releases. It was
pleasant to do nothing but slouch for 14 hours because of
how stressed and fast-paced finals period was. There
were some crying babies and a few overly chatty
neighbours but we arrived to Hong Kong in one piece!
Written by Qi Zhang Page �2
McGill Li Ka-Shing Summer Exchange May 31, 2015
That night, Professor Myung-Soo Jo treated us to dinner at a Korean restaurant. The
food was delicious but the alcohol was even better. We had Korean imported beer called
“Hite” and a vodka-like drink called “Soju”. We finished dinner at 9 pm and all of us headed
to “Central metro station”. Central, a.k.a bar town, a.k.a round two, a.k.a happy hour was the
epitome of Hong Kong night life. Neon signs, loud music but the most important is a
multiculturalism. When walking past its narrow streets, we overheard French, English,
Korean, Mandarin, and Russian conversations. Every look happy and we even found a bar
selling Molson Canada. Picture: Korean Dinner - Central - Korean Dinner - Central
Written by Qi Zhang Page �3
McGill Li Ka-Shing Summer Exchange May 31, 2015
Our first night in Hong Kong reminded us of Montreal. We were not outside our
comfort zone because we ate, saw, and experienced things similar to back home. This was
expected because metropolitan cities are similar worldwide. Some of us headed back to the
hotel earlier to recharge for the next day. Hopefully, we can have a taste of China tomorrow!
Some more pictures! Central - Metro System!
Written by Qi Zhang Page �4
McGill Li Ka-Shing Summer Exchange May 31, 2015
Day 2: Wednesday, May 3rd - Meeting Alumni and seeing Hong Kong from the top!
Our second day was a busy one. We rendez-vous’d at 11am to have brunch with
McGill Alumnus in a near-by hotel owned by a McGill alumni (Alumni-ception). The hotel was
spectacular and much fancier than where we lived (although ours was already very nice). We
took pride knowing that McGill graduates have made such a huge impact on Hong Kong. As
we walk the high streets of Hong Kong, we
wondered what we would accomplish in 30
years. Be it running our own hotel or being the
head of a multinational, a McGill education will
certainly prepare us for what’s up ahead.
The alumni meeting was a blast and we have to thank our Alumni Director, Mr. Alvin
Chung and his wife for organizing this wonderful event. The alumni provided insightful
answers for many of our career questions. One common key-take away was to never give up
because all roads lead to Rome. You might not have gotten a 4.0 this semester or landed a
dream internship position but if you continue to work hard, you will find success!
After the alumni meeting, we commuted by bus to “the peak”. It was literally the peak
of Hong Kong because it is a mountain at 1800m above sea level. For 20 minutes, our bus
drove up a steep mountain road with little-to-no railing. The ride got a lot scarier when we
eventually were higher than the skyscrapers below us! Skyscrapers are tall in HongKong!
According to our tour-guide, the real estate on the Peak is extremely expensive. 1 square
meter on the peak would cost more than 4 years of residence fee… Assuming a 80 square
meter condo, there’s enough money to pay 32 years of residence fee. Ouch!
Written by Qi Zhang Page �5
McGill Li Ka-Shing Summer Exchange May 31, 2015
Once at the top, the
peak gave us an impeccable
view of Hong Kong island. It
was surreal, from the left all
the way to the right, it was
endless skyscrapers. At that
m om e n t , H o n g K o n g
seemed like the perfect
fusion of man and nature.
We were looking down at
hundreds of skyscrapers
b u i l t b y m a n t h a t
challenged the rough terrain
created by mother nature.
We looked at awe at how
Hong Kong looked like a sea
of buildings. Mr. Li Ka-Shing
built his empire through
real-estate and this shows
his expertise in navigating
the highly competitive Hong
Kong market.
Written by Qi Zhang Page �6
McGill Li Ka-Shing Summer Exchange May 31, 2015
Moreover, Mr. Li Ka-Shing is constantly
pursuing new ventures that are bigger and
bolder than ever before. As the leaders of
tomorrow, we hope to walk in his footsteps.
The journey down the mountain was scarier
than the journey up. I was afraid that a wrong turn
would send us tumbling down the mountain. Our
driver navigated the roads expertly and lead us to
the next sight; the fishing village. The Hong Kong
today is incredibly different from how it was 3
decades ago. The literal translation of Hong Kong
is “Sweat Bay”. This name was given because the
area had a lot fishermen. It was believed that Hong
Kong bay was a prosperous place crawling with
fish. Fishermen flocked here with big boats in order
to reap in big harvests. To not be homesick,
fishermen eventually built a special type of fish that
resembles an RV. It was a huge boat that allowed
Written by Qi Zhang Page �7
McGill Li Ka-Shing Summer Exchange May 31, 2015
whole families to live at sea for weeks. Sounds like a permanent fishing trip! How cool! Today,
the fishing village serves only as a tourist attraction. There’s no more fishing going on here!
Written by Qi Zhang Page �8
McGill Li Ka-Shing Summer Exchange May 31, 2015
Day 3: Thursday, May 4th - Hong Kong to ShanTou University
At around 6 am, we woke up and made our
way to Hong Kong airport. We were excited
because we would finally see ShanTou
University! We landed in ShanTou after a short
flight and were greeted by local students whom
we would call “buddies”. Our buddies took us
to a hotel on campus called “STU ACC”:
Shantou University Academic Conference
Centre.
It is possible to describe our third day in China
as a world of contrasts; developed and rural,
modern and old.
Developed and Rural:
Shantou Airport is located 30 minutes away
by bus from Shantou University Campus. On
our 30 minute ride, we crossed wheat fields,
rock quarries, construction sites, and streets
filled with small businesses. It was interesting
to witness such diversity in livelihood. Unlike
HongKong where it was skyscrapers at every
corner, we immediately felt that Shantou would be the place to push us outside of our
comfort zone. Something told us that our 10 days here would be feel different. Picture: Us on the bus and our drive to STU
Written by Qi Zhang Page �9
McGill Li Ka-Shing Summer Exchange May 31, 2015
From the modern airport to piles of large
rocks on the side of the road, the city of
Shantou is clearly transitioning from a rural past
towards a more developed city. We witnessed
the construction of a new bridge but like many
developing cities, Shantou is sacrificing its
environment. Our drive towards the university
campus showed a much dirtier landscape
compared to Hong Kong. There was a lot of dirt
and garbage piled along the highway. This was
a bit shocking. However, change takes time and
it would be unfair to judge Shantou by its
current shape. Just like a butterfly, Shantou
certainly needs more time to catch up and with
its current ambitious projects, it will certainly
become a better city. Picture: STU Library
Modern and old:
On the theme of progress, our buddies told us that Shantou University is building a
new stadium and is continuously renovating its older buildings. In many ways, Shantou
resembles McGill. Both Universities have historical buildings with beautiful architecture but
also newer buildings that contain state-of-the-art machinery. Shantou university has less
students than McGill but both universities have strong backgrounds in medicine and
management. These two faculties foster innovation by teaching students to become
accustomed to change and to find ways to improve and challenge the status-quo. In a way,
Shantou and McGill are training the leaders of tomorrow but both does it while preserving its
heritage.
Written by Qi Zhang Page �10
McGill Li Ka-Shing Summer Exchange May 31, 2015
In the evening we were treated
to a great dinner by Shantou
University and were introduced to
more students that would be helping
us during our stay. Overall, our first
day in Shantou was eye-opening. We
w e r e o v e r w h e l m e d b y o u r
surrounding, we had great food and
met even greater people. We will have
8 more days here and classes start
tomorrow. Can’t wait!
Picture: the view from our hotel and STU Campus
Written by Qi Zhang Page �11
McGill Li Ka-Shing Summer Exchange May 31, 2015
Day 4: Friday May 5th — CLASS! Time to get school’d on GuanXi
Our first day of classes at Shantou University
explored the subtleties of doing business in China. This
course was taught by Professor Zeng and his lecture
covered the importance of 关系(Guanxi ). Guan Xi
means having connections and the more Guan Xi one
has, the easier it is to do business in China. Guan Xi
literally translates into Guan (closing) and Xi
(connections), so closing connections, or to seal the
b o n d
b e t w e e n
t w o
people.
Professor Zeng explained that Guan Xi
resembles Western networking. We meet
people, become friends and trade favours. At
first glance, Guan Xi appears to follow the
principle of quid pro quo; you scratch my back
and i’ll scratch yours. It’s a system of reciprocal
favours such as wine and dinning one’s
customer and exchange of gifts. Foreigners
often associate Guan Xi as corruption but
Professor Zeng explains that Guan Xi is not
easily achieved by expensive gifts and lavish dinners. On the contrary, spending vast sums of
money trying to build Guan Xi will only destroy relationships because the other party will
interpret your actions as calculative. So you should not give gifts? Not totally… let’s see why! Picture: Our classroom and STU Library
Written by Qi Zhang Page �12
McGill Li Ka-Shing Summer Exchange May 31, 2015
First, it is important to think of Guan Xi as a very long-term investment. It is a process
that should last one’s life time once established. For this reason, it takes a long-time to
cultivate such a deep bond and requires mutual commitment. The foundation of Guan Xi is
mutual trust and as we know, relationships last only when there is trust.
Okay… so it sounds like having a business
partner that is your best friend. Someone with
whom you can share everything and would help
you almost unconditionally. That sounds great.
It’s okay to treat your best friend to dinner but
you should not build a friendship upon lavish
dinners. Sounds great, how do I get one?
To build Guan Xi, one must first show how
you can bring value to the other person. It’s
about being sincere and showing genuine interest
in helping the other person. Offering an act of
kindness shows good character! Picture: Our welcoming dinner
This can be done by solving a problem for the other person. In the earlier stage, one
must be eager to help. As time goes by, through multiple projects and cooperations, you and
the other person would ultimately spend more time together. In doing so, both parties can
better judge the personality and character of the other. If they find you pleasant, they will
spend more time with you. By spending more and more time together, there’s naturally a
gradual commitment towards the relationship and the bond become stronger.
In a way, Guan Xi is like knowing a friend since elementary school. You’ve known that
person for most of your life and you two are inseparable. However, when you meet a new
Written by Qi Zhang Page �13
McGill Li Ka-Shing Summer Exchange May 31, 2015
person, you can’t expect to establish the same
level of intimacy. Guan Xi is like finding a new
childhood friend. Spending money on your
best friend is not a bad thing and that’s why
the Chinese do not think dining their
customers is not a bribe. However, you can’t
buy friendship so rushing to the wine and dine
portion is tacky and bad.
Overall, Guan Xi is about building a strong
relationship. Trust, patient, willingness to
help, and personality congruence are the
most important factors.
Written by Qi Zhang Page �14
McGill Li Ka-Shing Summer Exchange May 31, 2015
Day 6: Saturday, May 6th - Culture class!
Today, we had a Chinese culture course where we learned about some basic
information about the region surrounding ShanTou University.
The region in which we were staying is
called Chao Shan: literal Humid
Mountain. It has over over one
thousand years of history. We say that
China has around 5000 years of
history so 1000 years does not make it
one of the oldest places.
Picture: Red for where we are!
Geographic location & Significance:
Shantou University is located in the 广东 (Guang Dong) province. Guan Dong is located
in the southern part of China with roughly 14 million people. China is said to resemble a
rooster and Guang Dong is the Rooster’s feet. Our University is located in Chao Shan, in the
eastern region of Guang Dong. ShanTou has historic significance because it was amongst the
first ports opened after World war 2 through the Tianjin treaty. At that time, it was a
prosperous city with massive influx of Westerners. Today, Guang Dong is a multi-cultural
province with significant Thai, Singaporean, Malaysian diaspora communities.
Interesting fact: Shantou did not always have a spotlight in China’s history. In the Song
Dynasty, a poet was exiled to Shantou for speaking against the government. Happy to receive
a ‘famous’ person, many things in this region named after him. One of many is the Han River.
Written by Qi Zhang Page �15
McGill Li Ka-Shing Summer Exchange May 31, 2015
Climate: Extremely humid
As a general rule of thumb, cities become warmer as we move south. Shantou is
categorized as having a subtropical climate. The average temperature year round is 13.8 C to
28.3 C. A LOT better than Montreal! Before wanting to move here, it’s important to note that
ShanTou is like a living sauna. Although the temperature looks comfortable as it hovers
around 20 degrees, the humidity level makes it difficult to breath and mildly unpleasant.
Under the hot sun, sweating profusely is common.
Frequent natural disasters brings on average 5 typhoons to the area. Even worse,
according to the Chinese Government, ShanTou is in the prime earthquake zone. ShanTou
Earthquakes are deadly, often reaching a magnitude of 8. AHH! Montreal doesn’t look that
bad…
Language:
ChaoSan dialect has 8 tones while mandarin
has 4. ChaoShan is quite similar to Quebec.
Under the pressure of the Chinese Government,
the younger generation of Chao Shan does not
learn their native tongue. They grew up learning
only mandarin and the older population are
afraid of losing their dialect.
This was a lot of take in because many of us
were still tired from our flight. Tomorrow we will
go visit a Chinese firm. It will be an extremely
exciting opportunity to understand Chinese
corporate culture.
Picture: Cafeteria food: costed $2
Written by Qi Zhang Page �16
McGill Li Ka-Shing Summer Exchange May 31, 2015
Day 6: Sunday, May 6th - Company presentation and Discovering Shantou University
Our day started with a company visit to Cubic Fun, a company that sells a hybrid
between legos and puzzles where one would assemble miniature cardboard-foam models of
history landmarks. The head of marketing told us that the Cubic Fun was seeking to expand
into the North American market. We asked them why and they explained that the United
States has the biggest toy market. During our
conversation, we realized some flaws in their
foreign expansion.
First, they did not define a specific target
market. They believed that their product suited
everyone and that it could be marketed to all
age groups. This problem is seen through their
wide product line. To accomodate all age
groups, they have various sizes for the same
landmark. I.e, they sell puzzles with different
levels of difficulty. In doing so, there is
guaranteed cannibalization. Moreover, when
we assembled their product, it became clear
that children would not have the patience
and that teenagers would not have the time to
Written by Qi Zhang Page �17
McGill Li Ka-Shing Summer Exchange May 31, 2015
assemble the complete set. Their product
recommended on average 1 hour per
assembly with maximum 3 hours. The
reason that Cubic Fun is mistaken about
selling to all age groups is that parents
might buy the product for their children.
However, the parents will inevitably
assemble the entire product. Therefore,
targeting an age group of 30-45 is more
strategic.
Second, Cubic Fun does not seem to
understand the North American consumer
preference. Upon seeing their product,
our first impression was a toy. However,
Cubic Fun believes it belongs within the
model industry. Cubic Fun should realize
that North American consumers will compare its products against other construction toys
such as Legos. Cubic Fun’s competitive advantage is its low cost because unlike Legos or
Megabucks, its product are single-use and fragile. Their product retails for an average of $25
CAD. At this price, it does not provide enough value over Lego’s ecosystem of
interchangeable parts.
Written by Qi Zhang Page �18
McGill Li Ka-Shing Summer Exchange May 31, 2015
Picture: we climbed the mountain next to STU
Written by Qi Zhang Page �19
McGill Li Ka-Shing Summer Exchange May 31, 2015
Day 7: Monday, May 7th - Beach day
We were given a day off to enjoy the
bright weather of Shantou. It was a
really fun day because we visited Nan
Ao island and spent half the day on the
beach. Nan Ao island is located 2 hours
away from our campus and is known by
locals for its seafood. Before our
departure, we were given a short
briefing of the island and were told
there were many small restaurants
famous for various seafood dishes.
Hungry for adventure and for good
food, we departed for Nan Ao at around 7 am.
On our ride there, we passed the
downtown of Nan’ Ao. The streets were filled
with small businesses such as family-owned
restaurants and convenience stores. However, it
was interesting to see as many stores selling
cement and glass as restaurants. Food holds an
important place in Chinese culture but cement
does not. Having equal number of shops selling
cement hinted that Nan’Ao could be a supplier of
Written by Qi Zhang Page �20
McGill Li Ka-Shing Summer Exchange May 31, 2015
cement. Our buddies couldn’t confirm this.
The entrepreneurial spirit is visible but one wonders wether these businesses are
profitable. Although the streets were filled with storefronts, we also saw many vacant and run-
down apartment buildings. We were reminded of the infamous Chinese “Ghost City” and
wondered if there’s enough people to buy
from these businesses. Moreover, there
were at least 7 cement shops on one
street. This high level of competition
would drive prices down, thus needing
more sales to break-even and making
profits more difficult to achieve.
We arrived to the beach at 11 am and
were treated to an amazing lunch by our
buddies. It was a great balance of meat,
fish, and vegetables. We tasted some
regional specialities! After lunch, we
went to the beach and worked on our
tan. This is without doubt the best 6
credits at McGill! Many of us love
t rave l ing because of the joy of
experiencing a new culture. Trying new food is arguably one of the most exciting things. For
this reason, we must have a section dedicated to Chinese food. For the next few blogs, we
will talk about the various regional cuisines of China!
Written by Qi Zhang Page �21
McGill Li Ka-Shing Summer Exchange May 31, 2015
For this first entry, let’s talk about some general things:
Food is inherently a social event in China. There are 23 regions in China and approximately 8
types of cuisines.
There are 8 regional cuisines:
1) Shan Dong cuisines
2) Jian Su cuisine
3) An Hui cuisine
4) Zhe Jiang cuisine
5) Fu Jian cuisine
6) Si Chuan cuisine
7) Hunan cuisine
8) Guan Dong cuisine (where we area) ̶ Cantonese
Amongst these 8, the most popular ones are Si Chuan,
Guan Dong, Hu Nan, Zhe Jian, and Shan Dong. They are
distinctive because of the availability of natural
ingredients. For example, Shan Dong is next to the sea,
so there’s a wide variety of seafood dishes. Si Chuan is
located in a big basin and the weather tends to be very
humid. For that reason, locals eat a lot of spicy food
believing it will push the “humid” air out of your body
and make one healthier! China spans across multiple
weather conditions and the regional cuisine reflects
historic, geographic location, cultural, weather factors.
Written by Qi Zhang Page �22
McGill Li Ka-Shing Summer Exchange May 31, 2015
Let’s talk about Guan Dong Cuisine.
1. Guandong Cuisine: a.k.a Yue Cai
Guangdong cuisine is commonly known as Cantonese cuisine. The cooking method is
fried and steaming, baking and stewing. The majority of restaurants in Montreal’s china town
are of Guan Dong cuisine. The most popular example is Dim Sum. Guangdong people pride
themselves for eating everything. Vegans beware! Well… EVERYONE beware! We saw duck
feet, chicken feet, frog legs, duck head, insects, and a variety of things we would never
thought of eating.
Dim sum is the most popular dish of Cantonese cuisine. The popularity of dim sum is
the social element behind ordering
many types and sharing it with friends.
It is often eaten around a big table so
everyone can split the bill and eat a
bigger variety. Dim sum is best paired
with tea. it is so relaxing that on
weekends, families can spend over 3
hours dr inking tea and eat ing
dumpling.
Another day passed! Tomorrow will be
even better.
Picture: A temple near the beach
Written by Qi Zhang Page �23
McGill Li Ka-Shing Summer Exchange May 31, 2015
Day 8: Tuesday, May 8th - Company visits!
Our second company visit was
Dynavolt Energy, a battery company
specializing in motorcycles. Dynavolt energy
surprised us when they announced that 70%
of their sales were from foreign countries.
When thinking about batteries, we thought
about the little bunny with drums and none
of us has ever heard of Dynavolt. This was
because their sales are within Europe. As it
turns out, they are extremely prominent
within Germany. They were even the main
s pon s o r o f a Ge rman mo t o r c y c l e
competition. No wonder we never heard of
them!
Speaking with Dynavolt executives was enlightening. They
explained that their competitive advantage is a proprietary
nano-gel technology. Traditional batteries are lithium-ion
or lead-acid. For these two types, only 40% of the battery
is recyclable. Their patented nano-gel is 100% recyclable.
All domestically consumed batteries are recycled by
Dynavolt. Batteries sold abroad are recycled through an
outsourced firm. It was great knowing that a firm would go
beyond its way to help protect the environment. China is
rift with opportunities but is also extremely competitive.
Recycling increases costs and it felt good to see a firm
Written by Qi Zhang Page �24
McGill Li Ka-Shing Summer Exchange May 31, 2015
value corporate social responsibility above profits. During the Q&A period, one of our
members believed that motorcycle sales are declining in Europe because of tighter
regulations. Dynavolt is not concerned but expressed a desire to diversify into household
batteries. Incidentally, Tesla announced recently their household battery, Dynavolt did not
comment.
After our visit, we returned back to campus to attend a lecture on Chinese geography.
Our professor told us that the Chinese consider East to a symbol of prosperity and good luck.
For instance, throughout history, all major cities are located on the eastern coast. The capital
has always been on the East coast! From a historical perspective, there were many occasions
to move West but this never happened. It is possible to argue that China’s East coast is
surrounded by water and therefore facilitates trade.
Speaking of trade, the current
Chinese currency featuring
Chai rman Mao i s the 5 th
generation of currency artwork. However, the quantity
has always been the same and is denoted: 10 cent, 50
cent, 1 rmb, 5 rmb, 10 rmb, 20 rmb, 50 rmb, and 100
rmb.
50 cent and 10 cent bills are infrequent and unlike
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McGill Li Ka-Shing Summer Exchange May 31, 2015
Canada, coins are not popular. For many years, there were rumours for a 500 bills. However,
that will lead to rapid currency devaluation and therefore will remain a rumour for the
foreseeable future.
Food Section:
2. Si Chuan cuisine: Chuan cai 四川 Si Chuan cuisine is one word: Spicy. Popular Si Chuan dishes eaten in Montreal are
Mapo Tofu and Kong Pao Chicken.
Si Chuan cuisine uses Hua Jiao (flower pepper). It makes your mouth numb and adds
an aromatic taste. Lovers of spicy say that numbness and spiciness make a perfect match.
The first step to making many Si Chuan dishes is to fry a variety of green and red peppers in
sizzling hot oil to accentuate the spicy flavour. Later to add flower pepper to add that
numbness effect.
Picture: BBQ after our company visit and STU market
Written by Qi Zhang Page �26
McGill Li Ka-Shing Summer Exchange May 31, 2015
Day 9: Wednesday, May 9th - Chinese politics and Business
In International Business class, we explored the impact of political risk upon
multinationals. Political risk can be defined as the increase in business risk when exposed to
laws and governmental actions of another country.
On the topic of corruption, China is the words second largest economy. It is big in size but
also big in population. Per capita GDP is $7000 (roughly 15% of the US per capita GDP). It
contains 1/6 of the worlds population and for that reason, it’s like sharing an extra-large pizza
with 100 people. Sure it’s big, but everyone gets a small slice. In the past 3 decades, GDP
growth was in the double digits but GDP growth was ‘only’ 7% last year. The Economist
Magazine reported that China’s real-estate & construction industry, the fuel of its growth, is
forming a bubble and is nearing the ‘popping stage’. In other words, China’s GDP growth was
fuelled by intensive construction that improved its infrastructures and improved the economy.
However, the benefit of construction is declining and arguably counter-productive to China’s
economic growth. For instance, construction projects are subsided by local governments that
have accumulated soaring levels of debt. These construction projects lead to ‘ghost towns’
with no inhabitants. In a way, it’s to build a building for the sake of building it, not because
someone needs it. At this rate, as supply of new apartments overflows, everything will crash
but a lot harder.
Another factor feeling China’s economic development was the ‘migrant dream’. In the
past, huge amounts of farmers from rural areas flocked to cities searching for a better life. For
instance, roughly 4 million people or 1/5 of people in Shanghai are of temporary citizens- i.e
migrant workers. Many worked long hours in manufacturing plants and sent their hard-earned
money back home. This trend is no longer sustainable. The amount of available migrant
workers has diminished and the children of past migrants are unwilling to endure the
hardships their parents went through.
Written by Qi Zhang Page �27
McGill Li Ka-Shing Summer Exchange May 31, 2015
To continue growth, China is transitioning from manufacturing towards a service/
consumption economy. In 2014, services accounted for 48% of GDP but to sustain a
consumption economy, people must have money to spend. Socioeconomically, migrants
illustrate the widening of the wealth disparity within large cities. In Hong Kong, one can see
small, dark,and grimy alleys tucked between European Luxury brands such as Louis Vuitton
and Chanel where vendors sold homemade goods and water bottles. As locals buy handbags
over $10 000, migrant workers are paid next to nothing. The problems of poor wages become
even greater when there lacks an adequate pension system. Pensions are explained by locals
as a term coined “inside system”. The government provides pensions based upon one’s
contribution to the state. Those who are of the “inside” are ones who have worked for the
state. Only those in public section jobs or state-owned enterprises have a source of income
after retirement. This excludes migrant workers and leaves the poor with very little financial
stability and safety.
As China witnesses a growing proportion of elderly population, health care will also
play a great role. Unfortunately, health care in China is built upon Guan Xi: doctors are paid
by patients through “red pockets”, similar to the red envelops of money for gift-giving during
lunar new year. Patients pay their doctors a sum of money in addition to the fee to the
hospital hoping the doctor will be more ‘careful’ and would deliver better results. This
payment system expresses a large distrust between Patients and Hospitals. Hospitals are for-
profit institutions and often bill excessively high bills. Patients bypass the hospitals and
approach the doctors directly. They hope to find the best surgeons who are otherwise
impossible to book from the official waiting list.
In all, overcoming declines in growth resides upon China’s ability to address key
socioeconomic factors. By providing migrant workers more economic protection, China can
help the poor with a safety net and allow them to improve their life. In regards to corruption,
China has already made progress by arresting government officials and cracking down on
lavish dinners and fraudulent use of state funds. With time, this crackdown will reach
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hospitals and various institutions vital to the state. Hopefully, this will make China more
transparent.
Food Section:
3. HuNan Cuisine: Xian Cai Xian Cai - Ma la (spicy and numb). It tends to be oilier than Si Chuan cuisine. Locals eat a lot
more cured and smoked meat whereas Si Chuan eats fresh meat. Hunan has a variety of
pickled vegetables. Famous plates is stinky tofu - most commonly served as a street food.
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Day 10: Thursday, May 10th - Chao Zhou visit
Today we visited Chao Zhou. Our first stop was at a temple called Dan fu yuan. Dan fu
yuan reminded us of the quintessential Chinese temple, the likes of which one would see in a
Kong Fu movie. What makes Chinese temples spectacular is often not the temple itself. It is
the what surrounds the temple
which adds the additional ‘wow
factor’. For this temple, its three
sides were surrounded by a chain
of mountains densely filled with
trees. When you look up towards
the sky, the trees seemingly
merge with the sky, forming a line
of contrast with vibrant greens
that clashes with an opaque and
watery grey-blue. The temple is
also nested within the middle of a large
garden. Within the garden, there is a small
lake and many ornaments such as rock
sculptures and tall willow trees. As we sat
under the willow tree, a warm summer
breeze swept past us and made the entire
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view ever more serene.
After visiting this temple, we went for the most amazing vegetarian lunch. The dishes
were entirely vegetarian but some dishes containing tofu were purposely made to taste like
meat. It felt like cheating! Sorry vegetarian readers! After lunch, we walked on a famous
bridge that connected the two shores of the Han river. This bridge was built by the donations
of many local wealthy people. Mr Li Ka-Shing was unsurprisingly the top donor; with a
donation of 7.5 million RMB.
Food Section:
4. Shan Dong cuisine: Lu Cai Shan Dong was the birthplace of Confucius and he was very picky with his food. Shandong
cuisine has the longest history and has the biggest influence over other cuisine types. Locals
love soup and they made soup out of very aromatic broths. They slow boil bones such as
beef, fish, and duck to create nutritional and tasty soups.
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Pictures: The temple we visited and various vegetarian dishes
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Day 11: Friday, May 11th Company visit and culture class
We visited a medicine distribution company called Chaun Mei. The company was
founded in 2000 and according to their CEO, they are currently the market leader in
medicine distribution. Their CEO is called Mr. Yang and he is the youngest son of a big
family. His inspiration to start a company came from the fear that his mother would not have
money after retirement. Mr. Yang’s mother worked long hours to provide for his siblings and
him. His upbringing taught him that working for other people always limits one’s future.
Therefore, he decided to start his own business in order to get rich.
Today, Chuan Mei is a leader in medicine distribution. In China, there are over 12 000
medicine distribution firms and there’s 1200 firms in Shantou province. Mr. Yang believes
that the industry changes every 3 years and the only the best firms can survive. He says that
about half of firms die out every 3 years. He is proud that his company has survived 15 years
and this success comes from his values. The mission of Chuan Mei is seen through its name.
Chuan (create) mei (beauty) represents Mr. Yang’s desire to help society. He says that he does
not chase after profits. His primary goal is to serve society with safe and affordable medicine.
Once his primary goal is accomplished, money naturally flows into the firm.
His philosophy is seen through the “family-business”-like environment. His managers
told us that Mr. Yang knows all his 620 employees by name. Mr. Yang often eats lunch with
his employees at the company canteen. He knows a lot about his employees and can start a
conversation with them and chat about the well-being of his employees family. This builds
employee morale and organizational citizenship and is clearly one of his many core
competencies.
Going forward, Mr Yang is in the process of listing his company on the Hong Kong
stock Exchange. Going public is a big milestone for his company and Mr. Yang seemed very
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confident. In addition, he believes the future of medicine distribution is through B2B E-
commerce. He has a team that is building an e-commerce platform.
After the company visit, we attended another Chinese culture class. This lecture was
on the teachings of Confucius. Chinese people are very family-oriented because Confucius
said that if one’s family is coherent, all good things will follow. In essence, if one’s family is
functional, there’s always help to be provided. Therefore, one could overcome all difficulties.
The following section contains some topics covered in class.
Benevolence:
Don’t do to others what you don’t want to be done to you. The golden rule that many
of us abide by.
Harmony: Collectivism
Chinese people believe that everything has a place and that everything is a piece
within a larger puzzle. Chinese people seek balance and coordination. It is important to give
back to society and not harm it. For instance, the idea of Mian Zi (having face). To give
someone Mian Zi is to let someone have face and not putting them on the spot. Deliberately
trying to make someone look bad or to lose face will destroy this balance. For this reason,
one often does not say ‘no’ but rather some form of vague reply such as ‘let’s talk about it
later’.
Position of women in Chinese society:
In traditional Chinese culture, women were in a subordinate position. Men were
expected to be strong and the sole breadwinner and women were expected to stay at home
and to raise children. Today, China has changed. Women joined the workforce during the
cultural revolution and gained more financial power. The modern family is a dual-income
household where the wife often earns more than her husband. However, stay-at-home dads
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are rare. Men’s reluctance to stay at home is the result of social pressure. He fears that he
would be judged by his friends and be called “unmanly”.
Marriage:
Young people often get married because of parental pressure. Parents pressure their
children for grandchildren and many will ask their friends to ‘recommend’ someone they
know for their child. Not marrying is considered a problem and having a divorce is an even a
bigger problem. The power of social norms are again revealed because women dread not
finding a husband. If a
woman is not married
when she turns 40 ,
people assume she has
p r o b l e m s b e c a u s e
something bad must have
p reven ted he r f rom
finding love.
Picture: bridge funded by Mr.
Li Ka-Shing
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Day 12: Saturday, May 12th: Chinese Scenery & language
Mountains are important in China because emperors prayed to the mountain for good
luck and longevity of their dynasty. Two big mountains are Hua Mountain and Thai
Mountain. Hua Mountain is in the West and Thai Mountain is in the East. Hua Mountain is
famous for its planked walks. Climbers can navigate the small planks to reach the top of the
mountain. Thai Mountain is known for it’s valley of peaks and water flows. In essence, Hua
Mountain is more adventurous while Thai mountain is more scenic.
Chinese Language:
Han yu (language of the Han) is known as Mandarin. When the government first
adopted the term Han Yu, minorities groups were not happy. There are many minority
populations within China and Han is the predominant population. It’s like as if Canada
renamed English: Language of Anglophones. This wouldn’t make Quebecers happy!
The Chinese government changed the official term of Han Yu into Pu tong Hua: literal
translation as “commonly used language”.
Pu Tong Hua is spoken by 720 million people in the world. The number of people speaking
English is roughly 500 million. However, the number of countries using English is significantly
more than Chinese. Chinese people wonder if Mandarin will become the business language of
tomorrow. This remains to be seen because Mandarin is heavily concentrated within 1
country: China.
Some fun facts:
1) Chinese is one of the working languages of the U.N.
2) Mandarin belongs to the sion-tibetan language family
3) There are 8 dialects spoken in China: most popular are Mandarin and Cantonese
4) Although words are pronounced differently, there is only one calligraphy system.
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In Northern China, people speak rarely anything other than Mandarin. In the South,
there are 5 to 6 spoken dialects. In many provinces, there are 3-4 different dialects. It
becomes evident why mandarin was imposed. Pu Tong Hua facilities business because all of
China will speak this one dialect. It merges cultures together and creates a unified China.
Speaking: 4 tones
aaaaaaaaaahhhhhhh (a flat and short tone)
ahhhhhh! (a rising and short tone) - Resembles French accent aigu
Aahhhhh?????? (sounds like asking a question and short tone)
AAAAAAAHHHHHH!!!!!!! (a deep and short tone) - Resembles French accent grave
After learning about language, we played a famous game; Mahjong.
You might have seen this game within Hong Kong movies. For those who have never played
it, think of it as a game of finding combos.
Mahjong is most commonly played with 4 people. To win, one needs skill, strategy,
calculation, and LUCK!! There are 144 tiles but based on different rules in different provinces,
some tiles are not used. if you are gambling, all tiles are used. After shuffling the tiles, each
player receives 13 tiles and in turn draw and discard tiles. To win the game, you need 4
groups and a pair.
Groups consist of 3 same or consecutive numbers. i.e A A A or 1 2 3,
pair is a double. i.e AA, BB, 1 1, 2 2
The origin of mahjong:
Mahjong was named after a bird; ma que. According the the professor, the wikipedia
article on mahjong is wrong. Mahjong does not originate from confucious. In the past, in
Jiangsu Province, when the harvesting season approached, ma que bird ate all the crops. The
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government rewarded farmers for killing maque. To reward farmers, they used mahjong tiles.
From this background, we can understand the 7 different tiles.
The circular: the gunpowder - Used to kill the bird
letter: money - Reward
strings: the strings to attach guns
directional: N E S W - refer to the wind
Red Zhong: red because there’s blood. Zhong = hit
Blank mirror: You missed so there’s no blood
Green Cai: Wealth
Mahjong was initially banned at 1949 but was unbanned in 1959. Mahjong parlours
are popular for those who can’t afford to buy a set. However, gambling is illegal in China.
Formal gambling such as casinos do not exist but informal methods such as friendly
gatherings are popular. In the past, Chinese people did not trust banks. They hid their money
under their mattress, in holes in the ground or left them with friends and family. This excess
money fuelled the rise of Mahjong because people would always have money on hand to play.
In the area where we are staying, it is popular for locals to use their spare money to play
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Mahjong in the beginning of the year. If you win, it means prosperity for the next year.
However, if you lost a lot, you needed to go pray because there’s misfortune ahead.
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Day 13: Sunday, May 13th - Presentations and goodbye Today was the last day of lectures and we each presented our business ideas and what we
learned about Chinese culture.
The first presentation was on doing business in China. We could bring a Western
product into China or bring a Chinese product into Canada. Most of us wanted to bring
Western products into China. Some interesting product ideas were water filters, small ovens,
and toy furniture. In Q&A, we were surprised to find that there’s a product that could attach
to your water bottle cap and it can kill all the germs in the water. This will allow us to drink
tab water in China. This will be extremely helpful because only boiled water is safe to drink!
In the afternoon, we delivered a second presentation on what we learned from Chinese
culture.
At night, we had our going-away party. How fast times flies! It’s already been 10 days
and tomorrow we will be leaving for Shanghai. This trip would not have been the same
without our wonderful buddies. They showed up at our hotel and lead us to class everyday.
We can not forget the professors that shared their knowledge and helped organize company
visits. Our time in Shantou was short but memorable. We did so many things and without
realizing it, half of our trip is done.
We have an early flight tomorrow to shanghai and an alumni meeting. It is clear that
our trip would not have existed without the help of so many people. On this evening where
me must say goodbye to our friends at Shantou, we know our paths will cross again because
we look forward to meeting them again at McGill next summer!
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McGill Li Ka-Shing Summer Exchange May 31, 2015
Day 14: Monday, May 14th: Hello Shanghai!
We said our final goodbyes to our friends at Shantou University. Special thanks to Professor
Zeng, Jason, Shan, and Christine for taking us to the airport.
Our flight to Shanghai was very quick. Most of us were exhausted from waking up at 6
am and spent most the flight sleeping. Before we know it, we landed in Shanghai HongQiao
airport. We met our tour guide, a nice and spontaneous person called Candy. Candy
explained that Shanghai has 2 airports; Hong Qiao is the old and Pu Dong is the new.
Hong Qiao airport services dwesmtic
flights. It looks similar to Montreal’s
Trudeau airport. It is clean but not
very big when compared to the likes
of Vancouver Airport. Pu Dong
airport is a monster because it
services all international flights.
Candy explains that Pu Dong is much
bigger because China wishes to leave
international travellers with a good
impression of China. I guess we are not foreigners anymore because we have all been
Chinese for 15 days.
Candy lead us to the downtown area with small alleyways and shops. These shops sold
everything from souvenirs, miniature dolls, counterfeit earphones to a store that closely
resembles David’s tea. A store that attracted many of us was a candy store called Candy
factory. The artisans were making candy by hand and they gave us samples. It was really
tasty, their store smelled like gummy bears.
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Our next destination was our alumni meeting. It was on the
5th floor of a building with a small storefront. The restaurant
served Canadian food and Mr Banh, one of the organizers of
this alumni meeting told us that the restaurant was owned by
a Canadian expat. Everything on the menu looked delicious.
It’s probably because we were all craving burgers. Although
it’s only been 15 days, the sight of poutine on the menu
made many of us excited.
The alumni meeting
was a great success. Most of
u s h a d t h e C a n a d i a n
Hamburger. The service was
great and the food tasted
amazing. We had the chance
to talk with 6 alumnae from
Private Equity, Venture
Capital, and architecture. A
special shoutout to Mr Banh
for buying us a round of
drinks!
We finally arrived to our
hotel at 10pm. The night was
still young so many of us
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headed to a nearby bar. Our first day of Shanghai reminded us of the developed China.
Shantou was a tranquil city but for many of us, it’s the dynamic and hectic pace of Shanghai
that spices up life. We have seen a calm China, now it’s time to explore the fast-changing
Shanghai! Can’t wait for tomorrow!
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Day 15: Tuesday, May 15th - Second day in Shanghai
Today we visited
the Jade Garden and
the “china town” of
China.
The Jade Garden
was spectacular but
unlike its name, it
did not contain any
statues made out of
jade. Neither were
there walls of jade
but a very intricate
s e r i e s o f s m a l l
gardens that were
l i n k e d t o g e t h e r
t h r o u g h s m a l l
br idges . Chinese
gardens all have 3
elements based upon
Feng Shui. The first
is water because
water symbolizes the
flow of life. Chinese
people often have fishs within the ponds for two reasons. Since only water that flows is good,
there must be things that move the water, therefore fish. Moreover, fish has the same
pronunciation as plentiful. Having fish means having more than is enough to survive,
therefore a sign of prosperity.
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Second is beauty. According to our tour guide, this criteria involves many things such
as symmetry and attention. It generally means beauty as a sense of craftsmanship because
only the rich could afford to hire a master artisan. In addition, gardens commonly have 3
elements: towers, buildings and pavilions. Towers must be tall because it symbolizes the
ability to reach the sky god. Buildings must look good inside and out. For example, on the
roof, we saw wood carvings of bats. Interestingly, inside the room, we saw the exact same
carvings. We realize
that gardens indicate
one’s status and only
t h e r i c h e s t c a n
afford to make their
house look bo th
inside and out.
T h e d y n a s t y
during which this
garden was built was
known for intricate
f u r n i t u r e . F o r
e x a m p l e , t h e
armchairs had words
c a r v e d i n t o t h e
backrest. Everything
had its place and
there was always a
meaning for where
e a c h p i e c e o f
furniture should be
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placed. For instance,
we were surprised to
find 2 mirrors inside
the room. The mirrors
were almost as tall as
the roof. Our tour
guide explained that
the rooms were built
small and without air
conditioning. Since it
is in the south of
China, it was very hot
in the summer. The
big mirrors are facing
the garden so when
the owner looks at
either side, he will see
the garden within his
room. It makes the
room look bigger and
cooler.
T h i r d , i t i s
important to have plants. The tour guide did not explain why but it could have something to
do with Feng Shui and general aesthetics. In Shantou, we were told that plants such as cactus
can be placed in places within one’s house where we do not frequently visit. It is the same
idea as having flowing water. For believers of Feng Shui, plants can bring ‘life’ through
photosynthesis and this brings good chi into the room. As such, having plants and water
creates a double flow effect to make the emperors even more prosperous.
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After visiting the
jade garden, we walked
to the “China Town” of
Shanghai. The reason
we call this place the
chinatown is because
most of Shanghai is
modernized. Today,
Shanghai is like any
other international city.
The ‘China Town’ is the
only place that reminds
l o c a l s o f t h e o l d
Shanghai. We walked
around china town and
there were many shops
selling local specialties.
The food and souvenirs
were expensive so most
o f u s j u s t w a l k e d
around. Around noon,
we had lunch at a restaurant in the middle of China town. The food was interesting because
they served us banana for desert.
After China town, we visited the Shanghai art museum and out day ended with free-time.
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Day 16: Wednesday, May 16th: More Shanghai
We met up at 9 am
and found our way to the
bus to meet Candy. Our first
destination was Zhu Jia Jiao,
a.k.a the venice of China.
The ride there took 2 hours.
That provided the much
appreciated sleep because
many of us came back home
quite late.
Zhu jia jiao has 2
s i d e s w i t h a r i v e r i n
between. Both sides are
crowded with shops and
buzzing with tourists. We
took a boat ride to the end of
Zhu jia Jiao in order to reach
the marke t p lace . The
market had many small
roads that zig zagged. Traditional Chinese saying that bad spirits move in straight lines, so zig
zag roads prevented ghosts from reaching you. Interestingly, most shops sold same things.
The most popular product was pork. We counted around 15 shops selling pigs feet,
liver, and pork chops. The pork cuts were marinated in a sugary broth that resembled soy
sauce and there was a sweet yet oily aroma in the air. The pork were tied with bamboo
strings and sold as bite-size portions.
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The second popular product were pearls. There were shops with large aquariums filled
with oysters. Small oysters costed 50 RMB ($10), medium sized were 70 RMB ($12) and large
were 100 RMB ($20). Although we didn’t see anyone buy a live oyster, there were many pearl
necklaces hanged on the entrances of stalls. We thought that they could be fake because
necklaces looked identical from one shop to the next.
On a side note, competition must be intense in this area. Although it is busting with
tourists and its narrow streets look like Walmart on boxing-day, the supply of products is too
high. Shops sold identical products and there were little to no differentiation. Moreover, we
did not see any price competition because some of us walked around hoping for a good deal
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but no luck. It is possible that one owner owns many storefronts. In that case, cannibalization
and the insane cost of rent must eat into profits.
After our visit, we had lunch and ended the day with a free-time. We had a lot of fun in
Shanghai and it felt like home. Tomorrow, we will visit Beijing.
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Day 17th: Thursday, May 17th! Hello Beijing
We arrived at Beijing T2 Terminal at 10am. Upon landing in Beijing, the first thing that
caught our attention was the air quality. In shanghai, we asked the alumni of how bad Beijing
air was. Some told us it
was unbearable, others
said it was decent at
t ime s . Today was
certainly unbearable.
The smog does indeed
exist and be it within
cars, buildings, hotels
or outside, there is a
l inger ing smel l o f
cigarette and smoke.
The air was not clean
and one has to realize
that this is after efforts
by the Government to
improve air quality.
Just imagine how bad
the air could have
been! We all took our
our 3M masks and
walked towards
W e w e r e
greeted by our tour
guide called Wendy and she took us to the first sight: the forbidden city. The forbidden city
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has a mystique to it. It
i s e x c e p t i o n a l l y
spac ious , a house
worthy of the son of
the sky god but there’s
an intimidating aura
from the false sense of
simplicity of Chinese
architecture.
At first glance, the
buildings we saw were
1 story, they were built
entirely out of wood
and without the use of
a s ing le nai l . The
b u i l d i n g s d i d n o t
beauty or aw because
they were only one
story tall and yet very
wide . It occupied a lot
of space and it felt that
the sheer size of the
court delivered a stronger message than the building itself. However, once we look closely at
the buildings, our impression totally changed. There was a sense of extreme attention to
detail because every ceiling had a carved dragon. On the edges of balconies, doorways, and
even marble handrails, there were carved animals such as dragons and bats. When we
zoomed in with a camera showed that each dragon had carved scales. The amount of detail
reminded many of us of the 16th chapel.
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Our tour of the
forbidden city lasted
around 3 hours because
there are 9 gates to pass
before reaching the
central garden (home of
the emperor). Wendy
told us that 9 means
longevity and in the
past, one would have to
go through 9 “security
checks” before reaching
the king. This showed
h ow p ow e r f u l t h e
emperor was. Just as a
mental image, every
gate i s the s ize of
roughly 2 football fields.
We didn’t make it to the
last gate but he saw the
chair that the emperor
sat on when giving
royal decrees. Wendy
said it looked uncomfortable, many of us agreed.
After our tour, we arrived at Beijing Capital hotel and attended another alumni
meeting. We had a delicious Chinese buffet meal and met alumni and exchange students. This
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t ime, the alumni
w e r e n o t f r o m
management and
this allowed us to
explore other career
paths in China.
It was a great day!
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McGill Li Ka-Shing Summer Exchange May 31, 2015
Day 18: Friday, May 18th — Company visit and shopping
We started our day by visiting a
tea market. Tea is an inherent part of
Chinese culture and is believed to have
medicinal effects. The 4 most popular
types of tea are pu er, wu long, green,
a nd j a sm in e . D r i n k i n g t e a i s
considered by locals as one of the
many joys of life because preparing tea
is an art in itself. We watched carefully
as the tea master boiled us 5 types of
tea. It felt like a symphony.
The first step to making tea the
“Chinese way” is to wash the pot and
drinking cups with boiling water.
Depending on the type of tea, the
temperature of the water will be
different. As a general rule of thumb, fermented tea require higher water temperature.
Fermented tea can be stored indefinitely because they are no longer raw. Fermented tea are
also “collector-grade” because they gain flavour and value with age. Raw tea lose value with
age but they are enjoyed for their fresh and aromatic taste. Fermented tea are muddier and
bitter in taste.
Amongst the 5 types of tea we sampled, there was an overwhelming consensus that the
wu long with liquorice and ginseng was the best. The aroma was earthy but the taste was
sweet from the liquorice. The tea master showed us this interesting tool called the “pee pee
boy”. It literally pees when you pour boiled water onto its head. Its used to determine if the
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water is hot enough. A
very interesting tool
a n d d e fi n i t e l y a
conversational piece.
A f t e r t h e t e a
shop, we vis i ted a
securities firm called
C h i n a G a l a x y
securities. It is called
CGS for short and can
b e c o n s i d e r e d a
bou t ique fi rm tha t
o ff e r s n e a r l y a l l
financial services. It
d o e s i n v e s tmen t s ,
m e r g e r s a n d
acquisitions, wealth
m a n a g em e n t , a n d
commercial banking.
We saw branches of
their commercial bank
prior to arriving in
Beijing. We met 3 members of their senior staff and discussed the Chinese equity market. Two
heated topics arose: the first was impact of the Chinese economy upon the world and the
second was wether its slowdown this year in GDP growth is bad.
According to CGS, all things must come to an end and China can not grow indefinitely.
There will be changes ahead and perhaps it’s not necessarily a bad thing that it happens now.
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China wishes to become a global player but it wishes for cooperation. Finance is inherently
an international activity and in regards to the FED raising interest rates, CGS believes that the
immediate effect will be capital outflow out of China. This could strain the Chinese market
but necessary precautions have been taken. For instance, China created the HongKong and
Shanghai exchange network to assure easier cash flow between mainland investors and Hong
Kong firms. This hopes to incentivize investors to keep funds within China.
After the company visit, we went to a mall filled with knockoffs. It was literally a 5
story shopping mall filled with counterfeit products. There were even security guards
stationed at the entrance. It became evident that regulation and enforcement are two
complete different stories. China has laws forbidding counterfeits but there lacks enforcement
because security guards and officials are turning a blind eye. It wasn’t only knockoffs because
in the washroom of the securities firm, there was a security guard smoking next to a “no
smoking” sign.
Enough about laws! Some of us bought scarves and some of us bought souvenirs. It
was a great day. Can’t wait for tomorrow.
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McGill Li Ka-Shing Summer Exchange May 31, 2015
Day 19th: Saturday, May 19th — Farewell China!
Today was our last day of our trip. We started our day by visiting the great wall of
China. A trip to China is not complete without visiting the great wall. There is an old saying
that one is not a “hero” without having climbed the great wall. This felt like another ancient
saying but claiming the great wall turned out to be a bigger challenge than expected.
The difficulty of claiming the great wall lies upon the steep portions of the wall. Most
of the wall contains flat steps but there are certain steps that are very vertical. Climbing up
the wall is difficult because it gets more difficult the higher we get. However, the most scary
part was climbing down. Imagine walking down flights of stairs without railings while seeing a
mountain under you. Many of us had shaking legs and we moved down one step at a time. It
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McGill Li Ka-Shing Summer Exchange May 31, 2015
makes one wonder, if we had a hard time claiming the great wall, just imagine how difficult it
must have been to build this monument. According to our tour guide, 1.5 million men died
when building the great wall. To us, it seemed nearly an impossible task to just bring rock
bricks onto the mountain! Just imagine building the wall… This shows why the great wall
deserves a spot amongst the world’s greatest monuments.
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McGill Li Ka-Shing Summer Exchange May 31, 2015
After the GreatWall, we were stuck in traffic when going to the summer garden. Beijing
traffic is a big problem because there are simply too many cars on the road. Today, there are
over 1.7 million cars on the road each day and the number of new licenses given is
increasing every year. Within the last 10 years, the number of cars sold in Beijing has
increased 4 fold. This leads to congested roads where “highways” move as fast as regular
roads. To combat this problem, Beijing government restricts road access once per week
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McGill Li Ka-Shing Summer Exchange May 31, 2015
depending on the last digit of one’s drivers licence. Like many mega cities, congested roads
are a fact of life. The government has taken further steps by restricting the number of new
licenses and forcing new drivers to buy licences from existing drivers. It remains to see how
effective these measures will be.
Our stay in the summer garden was short because we were all exhausted and sad to be
leaving soon. It was our last night and only Peking duck deserved to be our last meal in
China. After our meal, we arrived at the hotel and said our farewells to each other. Some of
us are leaving tonight to continue an adventure in Asia, some are leaving tomorrow morning
for Canada, and some are still not sure where to do.
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McGill Li Ka-Shing Summer Exchange May 31, 2015
Ending note:
In these short 20 days, we learned so much about China and about ourselves. We went
from a group of 20 strangers to having great friends. Unfortunately, some of us are graduating
so this might be the last time seeing each other in Bronfman. However, we will stay in contact
because the bonds built during this trip will last for years to come.
China was truly inspiring and nothing would have been possible without the generous
help of Mr. Li Ka-Shing. We extend our sincerest gratitude towards him and his foundation.
As we continue in our education and eventually embark on our business careers, we hope to
one day become as influential and charitable as Mr. Li Ka-Shing.
Thank you once again LKS foundation and thank you reader for reading this blog!
- McGill
Written by Qi Zhang Page �62