‘Ideas for Singapore’ is a series of informal group sharing sessions by the Singaporean community based in Beijing, connecting industry leaders who are Singaporeans/affiliated to Singapore and are currently based in China, and provides a platform for the sharing of ideas.

Our guest for this month is Mr Teo Ser Luck, Minister of State for Ministry of Trade & Industry and Chairman of Action Community for Entrepreneurship (ACE). Being Chairman of ACE, Mr Teo shared several insights on entrepreneurship, some thoughts on Singaporean entrepreneurs and some schemes that may help Singaporeans move forward in starting their businesses.

In fact, prior to his arrival in Beijing, news from Doing Business tells us that the World Bank has ranked Singapore the top country for ‘ease of doing business’ in the world for the 6th consecutive year. The first question posted to our guest for the night corresponds with the report; it may be fairly easy to do business in Singapore, so why are we not seeing the bustling activities in the form of Silicon Valley and Beijing? Admittedly, this question also pretty sums up the takeaways that I gained for the session.

Attitude

One reason is the fear of failure. In many Asian societies, failure is often perceived to be a taboo. This is especially so in the context of Singapore, where academic results and the paper qualifications mattered much in job recruitment. It is inevitable that we have to follow a stringent path for our education system, since human is the only natural resource that we own in our sunny island.

On top of following this nicely crafted path, I feel that there is room for the individual student to develop and expose himself to more elements out there. Be it taking part in school activities, applying for overseas programmes or even taking courses of multi-disciplinary scopes will allow one to develop a myriad of critical thinking skills.

Mr Teo attributes the success of entrepreneurs to their never say die attitude. He also constantly encouraged young people like ourselves to try starting up. Try selling something, take the first step. Failure normally accompanies the first step; but it is not the result that matters the most, the process of trying is.

Change as the Only Constant

Prior to entering politics, Mr Teo had worked in the private sector for many years, having served at companies such as DHL and Nike. I remember him saying he disliked being “bound by rules”, and this attitude of embracing change in the MNC is also one of the major reasons that earned him the Country Manager post at DHL then, a company well know for its strict adherence to rules. This actually made me reflect that for people overseas like myself, the most important takeaway is to be receptive towards changes in the foreign lands, and to adapt to the surroundings.

“Change with the world, not change for the world.”

The ensuing discussion included several other questions that touched on issues revolving around Singaporeans, with Mr Teo and other participants sharing more on their experiences working abroad. What I observed, was the spirit and attitude that Singaporeans want to achieve something, but many are in the process of seeking how to go about doing it.

With that, we ended the session with a group photo!

(Dong Wu Yuan, outside the astronomy centre, the opposite bus stop is where I lost my phone)

Dong Wu Yuan closes at 5:30pm daily, the peak off-work hour in Beijing, and public transports can be really packed during this hour. Everyone knows it is important to take extra precautions while looking after your belongings in foreign countries, especially in crowded areas. Though I know this by heart, mishap still occurred.

My roommates and I ended our shopping spree and were heading home for dinner. When bus 632 arrived, I slide my phone into my down coat outer pocket, thinking it will be safe for the time being. Trying hard, I manage to squeeze up the bus and found a spot near the bus entrance, a middle age lady carrying a baby was between me and my friends. It was so crowded that my friends can hardly board the bus, the lady was kind enough to give up her space allowing my friends to board. After the doors closed, I wanted to relocate my cellphone, but it was gone. Everything unveiled! Who would expect a lady carrying a baby is a pick pocket!!!

Steps I took after my phone was lost: (hope it can serve as a guide for those who are in same situation)

1. Called the mobile service provider to temporary suspend your service, remember to provide your passport number, registered phone number and address you filled in when you applied for the line.
2. Report to the neighborhood police post within 24hours with your passport. I got it lost at Dong Wu Yuan, thus I have to go the respective police post.
3. If you have travel insurance that covers theft cases, as foreigners, you can ask for a receipt that certifies you had lost your property. The police will send you to the foreigner’s affair police station (外事, I went to the 西城外事所) in order to issue the receipt for insurance claim.
4. Go to the telecom service branches and get a new phone SIM card (20 RMB per SIM card replacement, bring your passport along).
5. Get a new phone. Have a local friend to recommend you to trustworthy phone retailers, this allows you to get a new phone at a lower price.

(My first friend in Beijing (second from left). He was our housing agent, kind of detest him in the past, but he was really helpful after the house issue.)

Well, it was a lesson learnt after all. Pickpockets are extremely skilled in China; the entire pick pocketing process was less than 10 seconds. Especially during winter when everyone is dressed in their thick jackets, it is really hard to sense if someone is in our pockets.
Ironically, I don’t feel dejected, I had an amazing aftermath experience; the police officers here were helpful and approachable. I had my first filed report and free ride in a Chinese police car (公安). Though it was fun and thrilling, losing your beloved belongings and going through the hassle…guess once is really enough.

and the adventures of our first 2 weeks here. woo! (just to a particular place)

We came to freezing cold Beijing, underclothed: without proper fur boots and Zhang without a pakka; just her Zara trench coat (which will be brought up again later in the post so stay tuned if you wanna find out more, heh) and thats where her penguin nickname came about cos she was all wrapped up and freezing on the first day like :    

(actually this was with her new pakka alr, but she was sometime like that – all wrapped up with only her eyes showing, haha)

which brings me to the point of this whole blog post, our adventure to…………………………:

the zoo. aka 动物园。

But no, we werent here to see

中国熊猫 （我的好朋友– if you get it; ok nvm)

but instead began our shopping adventures (HEHEE) and everytime the seniors asked where we were (when they were busy working and us not having started our internship yet) “dong wu yuan” and then gradually, they didnt really asked us what our day plans were anymore. Pretty much think we spent like half our time shopping away; we havent visited any tourist areas except for the capital museum.

Always felt it amusing that it was called dong wu yuan, like when we first asked the seniors where we could go to get cheap stuff and they said dongwuyuan i was wondering if i got it wrong like if the dong wu wasnt referring to like animals but something else. But anyway, the thing is:　seriously, ladies, shopaholics (men included, the men fashion there is really not bad) if you wanna shop, COME TO DONG WU YUAN. its the best place to be at, although doesnt really look impressive but it’s A-M-A-Z-I-N-G. i mean, where else can you buy trench coats for 59 Yuan (which is like what, 12 bucks in singapore? and Zhangmin has ever since never stopped saying how much she regretted getting her 100 over bucks Zara coat, haha) and skirts for 30yuan and not forgetting cute socks for 4 for 10yuan AND bags for 40yuan. OMG.

and so we thought Bangkok was shopping paradise.

You haven’t been to BeiJing’s DONGWUYUAN. There is everything, anything you need and trust me the fashion there isnt that bad. Well, you need to know which building to go to (There’s like a dozen of them  everywhere, it’s quite confusing) I have only been to three (and ‘m already going bankrupt) Just follow the crowd, see where those people carrying big black bags of stuff are coming out from and remember, BRING LOTS OF MONEY. what’s more, if you’re lazy to bargain, better still cos the prices that they offer here are already “pi fa jia” and normally they really give the lowest they can. Just spend a few more days shopping in BeiJing to get to know the rough pricings and you’re good to go!

The next time I go on a shopping overseas trip, I’m coming back to dongwuyuan and i’m bringing all you, my fellow shopaholic friends along

and just in case you might be wondering what the real thing (dong wu yuan) is:

(it’s really a zoo)

with real animals.

oh and guys,

this bear cost me 10yuan.

Remember,
xoxo, shopaholic.

The session was a panel discussion about the Hot Sectors of 2012, and the speakers highlighted some of these key sectors of 2012.

1. Healthcare: According to Ms Irene Tanner, Partner/Managing Director at China eCapital, she sees an increased interest in mobile healthcare, but there must be someone to pay and support this. This is still done regionally and the industry is fragmented, making it difficult to scale. Business models of providers of personal healthcare products are also not well understood, while relationships (关系) is so important in hospital-based solutions.

2. Cleantech sector: Droughts, floods, cleaning up of pollution(the evidence is in your face whenever you walk out to the Beijing air), all these require technology to support the clean-up of a rapidly developing “World Factory”. The textiles industry in China creating massive pollution was hugely publicised by Greenpeace with their 1 year long investigation, and water treatment is needed for this. There was also news of plans for increased installations of solar panels in China this year.

3. Technology TMT: There are various industries involved in this broad sector, and these are some key areas that were highlighted. Some have criticised China’s products to be copies of those in the more developed countries, but we have seen many of their local products overtake their foreign competitors in terms of user design and functionalities.

• Mobile and wireless Apps, Video Streaming, Social sharing: There are so many apps developed everyday in China, be it Angry Pigs or Angry Chickens. We have multiple platforms for them. We have 2 main microblogging competitors, Sina and Tencent Weibo. Is it possible to make money? Are there any other alternatives to monetization besides advertisements, raking in profits offline?
• NFC and Mobile payments: Having gone to various NFC and mobile payment conferences recently, there is indeed renewed interest because of the clearer government policies. It is now mandatory for a third party payment provider such as 99Bill or Alipay to get a payment license. As of 31st Dec 2011, 101 third party payment providers are now issued with these licenses. NFC technology was also a key topic that Mobile Monday covered late last year, featuring developments by Watchdata with their SIMPass technology, amid many other solutions.
• E-commerce : E-commerce in China is huge. With Taobao and the newly launched 天猫(previously known as TMall), I no longer have to use Amazon, E Bay, Gmarket, blogshop shopping like what I do to source for the cheapest deals online back in Singapore. The convenience and the price competitiveness of e-commerce in China is very attractive.
• Smartphones: China companies have launched their own line of smartphones such as Xiaomi and various phones from ZTE and Huawei, priced at much lower prices and thus affordable for the general population. These phones, unlike the iPhone, are also compatible with the local 3G network provided by China Mobile, the world and China’s largest operator. As of Dec 2011, their official figures show a whooping 650million subscribers.
• Group Buying sites consolidation: Despite many negative news about group buying sites, such as false sales numbers and fake goods, the market remains profitable. Smaller companies will consolidate to become bigger, or be phased out of this playing field.

How well do you think each of these three sectors will fare in 2012?

HELPLESS because of the visa, (be prepared to go around) BUT PROUD TO BE SINGAPOREAN because of the passport. (Singapore embassy and ICA will do their utmost best to help their citizens abroad, though sometimes the local staff might not be so friendly). I am truly thankful that I am situated in the Capital City of China, Beijing, where Singapore put our embassy at.

When you lose your passport, Firstly you have to go to a dozens of 派出所 police stations because no one really wants to open a case for you. FYI, the place you DISCOVERED that you lost your passport is the branch you need to go to, not the place you actually lost it. Get the police officers to call the branches that they redirect you to and tell their colleagues what you need instead of doing it yourself or going straight there only to find out that you need to go back again. If you intend to stay in a hotel, most of them will require you to show the lost report. This report can only be obtained for the Main Branch Police Station of your district, and the police report you had previously will not suffice. Hotels will also not even let you talk to the ONLY visa officer in charge of hotels and hostels, meaning there is no such thing as exceptions and case-by-case. What’s new, I should have realised it already. It is really rare in China.

My colleagues in China says that if they lose their 户口 here, it will take months before it can be replaced.

The whole of China knows that it is very troublesome when a foreigner loses their passport in China, what more a foreigner with a visa to stay in China, what they call 居留许可。

For example, I called up six times to ask the Visa office staff what is required for my application. They said that a 照会, official letter from the embassy will mean that I can skip the second step of filing a lost report at the Haidian Police Main Branch.

Letter from the Embassy

I went there anyway just in case; It was highly guarded but the people were smoking inside the station and no one really knew what I needed nor cared till I burst out crying, they were even asking why I need the form if my super efficient Singapore ICA and embassy has already issued me my new passport within 7days. I feel that the police officer should have never raised his voice at me.

Report Loss Form from Police HQ at Ulu Bagou.

I eventually found out that the Visa office will reject my application if I did not have this lost form. I also had to pay 210yuan to put my name and visa number up in a newspaper in order for the office to process my order. The space allocated is smaller than the top edge of an iPhone4. This money spent is on top of 400yuan charged for the replacement of your visa.

Visa Application Form

Lastly, If you’re a student, you cannot just apply straight at the office. Your application has to be first approved by an officer at the visa office, then printed out by the school, stamped by the foreign students teacher in charge before you can proceed to the office to apply. In this aspect I really have to thank the visa affairs lady at Tsinghua, thank you for updating me on my application status ASAP and also getting the teacher to stamp the application. Thank you really (:

When you get depressed and frustrated with all the procedures and places you have to go to collect the millions of forms, tell yourself to understand that China is huge and people need jobs and they need the inefficiency to cope with the demands of their service. But seriously, sometimes there is only so much we can understand, then tell yourself that China is only making you stronger. It really does, because you will start appreciate the efficiency that you take for granted (:

When you have come through everything, have a good meal or get your friend to treat you to a good meal and pat yourself on the back, you survived yet another trial in China! Woohoo! For me, I was lucky that Vanessa, who is our NOCBJ05 Mama accompanied me through half the journey. She even treated me to Japanese Buffet and brought me to Laupatsat for Singaporean food to cheer me up I miss you!

I would also like to thank my awesome happy family Jason, Dennis and my Beijing friends who offered their help in someway or another, Sg embassy Mr Lee, ICA Ms Rosni, dearest boyfriend for getting up early to make payment to DHL, my boss for offering emotional consolation by relating his experiences and Maverick China for giving me time off work to attend to this matter, Tsinghua staff and nice police officers. Thank you!

{The author is currently having her visa processed by the bureau, she really hopes that everything goes well and she can really get her visa 10 working days later on 16 Jan }

China Entrepreneurs Event

YEAN is an official media partner of CE Entrepreneur 101: The Secrets of Raising Capital in 2012, Beijing, happening on January 12, 2012. Click to Register

Please Note: This Event Will Be Conducted in Chinese

Kroeber strongly believes that China still possesses the potential to sustain a 7-8% average real GDP growth annually over the next decade. Coupled with Beijing’s recent introductions of various productivity-boosting policies, the Middle Kingdom looks poised to replace the US as the world’s largest economy by the year 2020.

Kroeber also mentioned that there are five common misconceptions that the public generally share about China’s economy that should be clarified.

1 – China is a huge investment bubble waiting to pop.

Kroeber stated that while it’s true that China is currently receiving massive amount of foreign investment funds, her capital stock is still relatively very low. China’s current per capita capital stock is actually at less than half of what the US was at in the beginning of the Great Depression when Wall Street crashed in October 1929 and is only about a fifth of Japan’s at the beginning of its bust in the year 1990.

Compared to the figures of many other developed countries, China is struggling in this department and in fact, requires even more investments just to keep up with these countries. He added that China’s investment efficiency is, in aggregate, well within the normal range.

2 – A housing bubble is building

Kroeber has a different view on the current housing situation in China, though he does not deny that it’s a problem, especially in the more urbanised parts of the country. Kroeber feels that there is a shortage of homes, despite what many believe as a housing bubble. Out of China’s urban population of 225 million, only about 150 million are properly housed and instead of constructing more low cost houses to address the issue, China is opting to erect more high-end accommodations in its place.

3 – China has too much debt

Kroeber feels that Beijing’s debt is still at a manageable level, even after the recent introduction of a stimulus package. Although the average local government’s debt increased significantly from 17% of GDP in 2008 to 36% in 2010, it has not produce any significant adverse effects on the economy due to the dramatic shrinking of the contingent liability from bank NPLs. In addition, unlike the US and Europe, most of the debts incurred by China are used to finance the setting up of infrastructures to further boost its economy.

4 – Consumer purchase rates are falling

Kroeber pointed out that critics have been too fixated on the fall of the private consumption portion of China’s GDP and overlooked the accelerated growth in real per capita consumption during the same period of time. China’s fall in consumption ratio is no different to that of other Asian countries after undergoing rapid industrialisation.

5 – China is at risk of falling into the middle income trap

Kroeber justified the opposite by citing examples from a few North-East Asian countries where the typical catch-up growth slows down at 55-60% of US GDP. With China only at 20% of US GDP, it will take another decade or two before its period of fast catch-up growth ceased. Plus, there are no convincing evidences to suggest that China is falling into the middle income trap.

However, Kroeber also highlighted some challenges that China might face in its pursuit of economic superiority. A rather major one would be the deteriorating size of its population. Apart from that, China can no longer just leverage on the boom of global economies like they did in the past because of the increasingly bleak world financial conditions.  Kroeber suggests that China should continue its efforts to improve productivity, and that Beijing will need to introduce policy reforms in China’s housing and financial sectors.

So, the question remains – will China live up to its expectations of being the next big thing? Or will it fizzle out in the face of competition? At this point in time, the answer could very well be determined with a simple coin toss. But one thing’s for sure, if China’s government fail to make the necessary changes, its explosive growth will slow down and ultimately come to a halt.

The light turned green and I humbly scoot-ed away, wondering when was the last time I exercised.

Video Link : Morning Exercise outside 北京同仁堂