I just concluded attending the 13th meeting of the Boao Forum in beautiful Hainan Island in China. The forum attracts political leaders, government officials, business leaders, and scholars to discuss issues related to Asian development. The opening plenary was attended by heads of state from China, Brunei, Kazakhstan, Myanmar, Peru, Zambia, Finland, Mexico, Cambodia, Australia, and various other high-level officials from Mongolia and Algeria. Modeled after Davos, the discussions that followed were far-ranging, dealing with issues of trade, debt, investment, “going abroad” strategies, property and property rights, social enterprise, and a special session with Bill Gates on Investment for the Poor–all supporting the overall theme of Asia Seeking Development for All: Restructuring, Responsibility and Cooperation.
There were about 2,000 people in attendance and it was a very high-quality crowd. The attendance was definitely enhanced by the presence of President Xi Jinping of China. This was his first public meeting with business leaders, and there was a lot of curiosity about how he would deal with the rising concerns from foreign multinationals in China. The businesses attending were not disappointed. While his opening remarks were pretty standard, he did something very rare for a Chinese leader: He agreed to a meeting on the “sidelines” of the event with 32 foreign and domestic business leaders where he pledged to provide a level playing field and a more open domestic market for foreign companies. There was a lot of respect both for his words and the fact that he agreed to this meeting, and he seemed very comfortable in the exchange. This is a break with the past, and was a welcomed signal for those doing business in China that the concerns about backsliding in reform and fair treatment might be truly different under his administration.
The Boao Forum also provided a chance to hear from some of the leading thinkers in the region on topics of interest to business, but as most forums of this kind, the real action was in the bilaterals that took place on the sidelines. The spirit throughout was one of cooperation and good will.
While the forum was established over a decade ago as a regional forum to facilitate trade among the markets of Asia, the meeting itself was China-centric. Perhaps it is because of its size or the location, but some of the larger markets in the region were not really in the mix. Little was said about and there was little participation from Korea, Japan, Malaysia, Indonesia, the Philippines, India, and other high-potential markets.
As if to underscore the point, I shared a car to the airport with a delegate from Nepal who had been at every forum since the first. I asked him what he thought of the event. He was pleased to be there, but disappointed that there was little opportunity to hear from the smaller countries in the region. It was almost as if they did not exist, especially since the theme of the conference promised "seeking development for all."
Another observation, which I have noticed more and more at these international forums, is that discussion about the United States seems to be more and more irrelevant. The growth of the region, the increased influence of China and the absence of senior U.S. officials all focused the discussion on creating a more dominant trading block for the region to better compete with the markets of the West.
My panel, which focused on mergers and acquisitions, was dominated by Chinese banks and funds all encouraging companies to look abroad. While there was some discussion of the United States, there was a much bigger focus on Australia and Europe as destinations of choice. Even though the results of a recent APCO/China Daily USA study, “Experiences of Chinese Enterprises in the United States,” demonstrated that most Chinese companies have a good experience in the United States, there is still great concern that anti-Chinese sentiments in the United States makes it difficult to be successful.
A highlight of the forum was the women's breakfast. While women were clearly underrepresented at the forum, there was a meeting of the senior women in attendance, sponsored by Cartier. It was impressive to talk to these women who are so accomplished, running investment funds and family businesses or who have started their own businesses. I have participated in more and more of these kinds of events in various parts of the world, and it is great to celebrate the successes of women who have taken off, defied convention, and achieved great things.
It is always sobering to be in another part of the world and reflect on the United States. It is almost hard to watch how our influence and respect continues to decline as we struggle with our own domestic problems. We have so much to offer, and yet we find ourselves in a situation where we cannot make decisions, reach consensus, and take bold steps forward. Being in Asia is a reminder of how fast the world is changing, how dynamic these markets are, and where the opportunities lie for the future. All eyes are on Asia, and the Boao Forum was an interesting glimpse into the next decade of opportunities and challenges of a growing China.
Margery Kraus is the Founder and CEO of APCO Worldwide.
Photo courtesy of APCO Worldwide.
a global affairs media network
The Boao Forum: Impressions from China
April 15, 2013
I just concluded attending the 13th meeting of the Boao Forum in beautiful Hainan Island in China. The forum attracts political leaders, government officials, business leaders, and scholars to discuss issues related to Asian development. The opening plenary was attended by heads of state from China, Brunei, Kazakhstan, Myanmar, Peru, Zambia, Finland, Mexico, Cambodia, Australia, and various other high-level officials from Mongolia and Algeria. Modeled after Davos, the discussions that followed were far-ranging, dealing with issues of trade, debt, investment, “going abroad” strategies, property and property rights, social enterprise, and a special session with Bill Gates on Investment for the Poor–all supporting the overall theme of Asia Seeking Development for All: Restructuring, Responsibility and Cooperation.
There were about 2,000 people in attendance and it was a very high-quality crowd. The attendance was definitely enhanced by the presence of President Xi Jinping of China. This was his first public meeting with business leaders, and there was a lot of curiosity about how he would deal with the rising concerns from foreign multinationals in China. The businesses attending were not disappointed. While his opening remarks were pretty standard, he did something very rare for a Chinese leader: He agreed to a meeting on the “sidelines” of the event with 32 foreign and domestic business leaders where he pledged to provide a level playing field and a more open domestic market for foreign companies. There was a lot of respect both for his words and the fact that he agreed to this meeting, and he seemed very comfortable in the exchange. This is a break with the past, and was a welcomed signal for those doing business in China that the concerns about backsliding in reform and fair treatment might be truly different under his administration.
The Boao Forum also provided a chance to hear from some of the leading thinkers in the region on topics of interest to business, but as most forums of this kind, the real action was in the bilaterals that took place on the sidelines. The spirit throughout was one of cooperation and good will.
While the forum was established over a decade ago as a regional forum to facilitate trade among the markets of Asia, the meeting itself was China-centric. Perhaps it is because of its size or the location, but some of the larger markets in the region were not really in the mix. Little was said about and there was little participation from Korea, Japan, Malaysia, Indonesia, the Philippines, India, and other high-potential markets.
As if to underscore the point, I shared a car to the airport with a delegate from Nepal who had been at every forum since the first. I asked him what he thought of the event. He was pleased to be there, but disappointed that there was little opportunity to hear from the smaller countries in the region. It was almost as if they did not exist, especially since the theme of the conference promised "seeking development for all."
Another observation, which I have noticed more and more at these international forums, is that discussion about the United States seems to be more and more irrelevant. The growth of the region, the increased influence of China and the absence of senior U.S. officials all focused the discussion on creating a more dominant trading block for the region to better compete with the markets of the West.
My panel, which focused on mergers and acquisitions, was dominated by Chinese banks and funds all encouraging companies to look abroad. While there was some discussion of the United States, there was a much bigger focus on Australia and Europe as destinations of choice. Even though the results of a recent APCO/China Daily USA study, “Experiences of Chinese Enterprises in the United States,” demonstrated that most Chinese companies have a good experience in the United States, there is still great concern that anti-Chinese sentiments in the United States makes it difficult to be successful.
A highlight of the forum was the women's breakfast. While women were clearly underrepresented at the forum, there was a meeting of the senior women in attendance, sponsored by Cartier. It was impressive to talk to these women who are so accomplished, running investment funds and family businesses or who have started their own businesses. I have participated in more and more of these kinds of events in various parts of the world, and it is great to celebrate the successes of women who have taken off, defied convention, and achieved great things.
It is always sobering to be in another part of the world and reflect on the United States. It is almost hard to watch how our influence and respect continues to decline as we struggle with our own domestic problems. We have so much to offer, and yet we find ourselves in a situation where we cannot make decisions, reach consensus, and take bold steps forward. Being in Asia is a reminder of how fast the world is changing, how dynamic these markets are, and where the opportunities lie for the future. All eyes are on Asia, and the Boao Forum was an interesting glimpse into the next decade of opportunities and challenges of a growing China.
Margery Kraus is the Founder and CEO of APCO Worldwide.
Photo courtesy of APCO Worldwide.
