The China experience - part 1

Fresh from my MDHUBAlpha trip to China. A fantastic experience - eye and brain opening. We started in Hong Kong - slightly tropical feel to the weather, bright lights and designer shops everywhere - stayed in The Langham which was fantastic and the staff were genuinely friendly as were most locals we met.

A couple of useful presentations from UKTI and HK Trade Development Council - the general message was direct trade with Mainland China was difficult particularly getting money (Rmb) out, IP protection poorish, legal system not what we would be used to. General view at this time - operate through a Hong Kong based company and find a good local representative.

Advantages of Hong Kong - British based legal system, currency linked to US dollar, free flow of trade, good IP protection and a low tax system.

Key figures from the presentations -
1.5billion people - 55% of them under 24
4 million graduates a year
100 million bachelors
200 cities with population of more than 1 million
20 new airports and 20 new underground systems being built
400 million mobile phones
320 million internet users
50% of the world's pork eaten
33% of world's tobacco consumed - forgot what it is like to be in a smoky restaurant or bar.
More people speak English in China than America
GDP growth 9.4% over 10 years
Trade Growth 21% over 10 years
$1.5 Trillion foreign currency reserve - no wonder the US is sweating!
Growing middle class 300 million (although this number varied from presentation to presentation) and 18,000 billionaires.

- that's the numbers, more about the trip later.

The New Normal and other phrases of the year

So "The New Normal" topped the list for most overused phrase of 2009. I have used it myself and it was a good shorthand for the "unprecedented events" (second on the list) of the last 18 months.

I saw the phrase as a way of stopping any conversations that wandered off into fantasy scenarios of things getting back to normal (whatever that is).

What entrepreneurs are good at is seeing what's going on and doing something with it - whether that is improving their business model, their service or product or launching something new or into a new market.

The best companies that I see regularly have done just this and are better placed now as a result and certainly the worst option when things aren't working is doing more of the same.

The start of the year is a great time to review what you do, who for and why they should come and get it from you - the foundation questions for any business.

As ever come and talk to us and MDHUB members to get an honest and pragmatic view of your plans.

Here's to a good New Year and the latest "New Normal" (first mentioned in 2001 by Warren Buffet, so not that new.)