A bit about marketing in China

I’ve organized my very own KIP (Kelley International Perspectives) trip in Shanghai. Last year I went on KIP Israel with other Kelley students where we toured the country and visited businesses along the way. Using my personal network, I’ve been meeting with people who work in business in China or are developing strategies for the Asia market. I had the fortune of spending most of yesterday visiting a multi-national corporation to learn about marketing in China. I am not able to share a lot about what I have learned. However, I do want to demonstrate how marketing is different in China than in the US.

Based on my own shopping experience, Carrefour reminds me of a giant Big Lots, and it happens to be one of the top three retailers in the country. Compared to mega stores in the US, it’s crowded and seems unorganized. The other two major retailers in China are Walmart and Auchan. I’ve heard that the Walmart in Shanghai has the same atmosphere, so it may be the same everywhere. The retailers here do not restock their shelves. If manufacturers want their shelves stocked and orderly, someone has to be in the store. As a result, manufacturers place people in the stores. These employees play a dual role because they also promote the brand/product. They may demonstrate a product or let consumers know about special deals. They help educate consumers about the products and help build brand awareness.

The advantage of this approach is that these manufacturers know exactly what consumers are looking for at the shelf. They know which features are important and what grabs consumers’ attention. They even know which words work best. Basically, they are the voice of the customer to the manufacturer. If there is a problem with sales figures at a store, it’s a matter of talking to the promoter to diagnose the problem. Of course, this approach results in a completely different shopping experience than at Walmart or Target in the US.

Emotional intelligence and leadership

I am currently taking a class on emotional intelligence. I’m sure some people would laugh at the idea of a class about emotions, thinking it's too "soft". If you are data-driven, then think of emotions as data about people. Positive emotions allow us to be more creative and think outside the box. (Google understand this – consider their culture and work environment.) Negative emotions, on the other hand, help us to focus on the details.

It can be difficult to ignore your emotions or the emotions around you. When people are fired, emotions play a role. Fear impacts organizational change. Anger may help you get more out of a negotiation, but it won’t increase the size of the pie. Therefore, it’s not about taking emotions out of the equation. It’s about identifying emotions, understanding the implications of those emotions and them managing them so that you and the people you work with are more effective.

In general, Asians do not feel comfortable revealing their emotions. (In our study abroad orientation we were taught that, “We will look into it” means “Forget about your inquiry” and “basically, no problem” means BIG problem.) The limited display of emotion may come across as fake, but emotions play the role of a social lubricant in this society.

Westerners generally like to share emotions with others. Yet many of us have been taught that emotions do not belong in the workplace. How can you balance this contradiction? It's surprising that more business school students are not taught how to actually manage emotions effectively.

We spent one entire class discussing the challenges of terminating an employee, where you not only have to consider the legal implications but also the range of emotions that could impact behavior.

Here is an example: Let’s say I have to fire an employee. Prior to sharing the news, I may feel nervous about how the other person will respond, upset because I have no control over the situation, angry for being put in the situation, and/or frustrated that there is no other solutions. My instinct will be to make the situation into a positive one and make the other person feel better. I’ll want to say things about how great the person is or how they will make this into a great career move. Walking into the meeting the other person already has a negative mindset and are likely to become defensive and easily irritated. They may freeze and then either want to get the meeting over as fast as possible so they can leave (flight). In this case, they may be silent. On the other hand, they may become aggressive and try to change the decision (fight). They may cry or yell. Knowing this, being overly positive in this situation will not help either party. I may feel even guiltier and the other person may interpret my intentions incorrectly. They may think I’m not sure about the decision and give them false hope. They may try even harder to make me change my decision. After they hear the bad news, they are scared because they feel helpless. Because they are in a negative mood, they will be focused on the details. As a result, they are inclined to ask a lot of questions. This may also be their way to get control in a situation where they feel helpless. Considering this information, I need to recognize that the interview will not be easy, but practice will make it easier. During the interview I must stay calm and identify the other person’s emotions as I reveal the news. I need to practice beforehand many types of responses so that I am not caught off guard. The negative response of the other person is a natural one, so it should not take me by surprise. In order to give the person the feeling of control, I need to be clear about next steps.

As you can probably tell, I am so glad that I am taking this class. I wish Kelley offered it in the Core!

Studying business in China

MBA programs are relatively new to China. However, Chinese businesses have learned to appreciate the value of an MBA. As a result, the number of MBA programs in the country is growing rapidly. If you’re interested in knowing more, you may want to read this article.

I’m guessing that many of you are not familiar with CEIBS (China Europe International Business School). The business school was created out of a partnership between the Chinese government and the European Union in 1994. It has been ranked within the Top 25 by the Financial Times' annual global business school survey for 8 consecutive years (2002-2010) and the Top Three in Asia for 6 years (2004-2010). All of the classes are taught in English, but full-time students are required to learn Mandarin. It seems that most companies that recruit on campus only want students who speak both Mandarin and English. Many students from outside Asia come here with the intention of working in China after graduation. They are attracted to the booming economy, and they can get their foot in the door by going to school here.

XXL is too small for me

When I left the US, I thought I could lose a couple pounds, but I didn’t think of myself as extremely large. However, after going shopping around here, I have begun to describe myself as “big boned”. It’s a combination of being taller than the average Chinese woman and having a wider frame. As a result, I can’t even fit into their XXL sizes, assuming that the store even carries that size. I’ve seen some very cute shoes here, though there is no point in me trying to find some for myself. Though a few expats have told me where I can find “normal” sizes. Thankfully I can get tailor to make suits and coats to fit me perfectly. Fashion here is very interesting. I’ve seen women in boots, brightly colored leggings, shorts and a winter coat. It’s also not uncommon to see someone walking on the street in pajamas.

It’s also interesting to see how common dogs are wearing clothes. Laura said she saw one in a suit. I’ve seen them in clothes that look like jeans with a shirt and a sweat suit. Carlo heard that they dress up their dogs because their pet is like another child to them, since they can only have one child.

I packed perfectly for my trips to Nepal/Manila/Hong Kong, and I fit it all into one suitcase. I now wish that I packed another suitcase with warm winter clothes. When I was packing, the temperature here was in the 40s. It feels so much colder! I'm not alone in thinking it's cold. One theory I heard is that it’s related to the humidity.

Even though I’m big boned, I’m in good shape here. I probably have actually lost weight. I walk everyday to the metro station and take the stairs instead of the packed escalators. There is no such thing as personal space here. In the metro station, people will stand in line for marked entrance to the train. As soon as the train arrives to the platform, the lines disappear and everyone pushes to get on the train. Pushing is also common behavior. I’ve made the mistake of traveling on the metro during rush hour. People will literally push as hard as they against everyone else to get on an already packed train. They will also push to get out of the train. Imagine twenty people wanting to be first to get off the train and you’re in the middle. Laura mentioned that she had an experience where she was trying to get out of an elevator, but people wouldn't let her off. As a result, she had to go back up in order to get back down. I've learned to be aggressive.

Experimenting with food

My first meal outside of our apartment was quite memorable. Laura’s sister was in town, and the three of us went to a restaurant around the corner from our place. We sat down, and we quickly realized that no one there spoke a word of English, and we forgot our phrasebooks at home. The menu had photos, and the waiter kept pointing to one particular photo. We looked at each other. We nodded, and decided to give it a shot. We quickly figure out that they served us frog legs along with some potato and vegetables that we couldn’t discern. I was excited to try something new, but quickly realized that it was way too spicy for me. I attempted to communicate to the waiter using gestures that it was too spicy thinking that I would order something else from the menu. Instead, he brought me a container of hot water. He then used gestured to indicate that the water was to wash off the spice. This approach was unsuccessful. Since this was my introduction to Chinese cuisine, I became very concerned that I would starve for the rest of the trip.

Fortunately, I have since found many restaurants that serve tasty food, and I am still open to trying new things (up to a point). For example, I’ve enjoyed Hot Pot, Dim Sum, Peking Duck, and Shabu-Shabu. Carlo, Laura and I are also big fans of bubble tea. I recently learned that there are 8 styles of cuisine: Chuan, Yue, Lu, Huai Yang, Zhe, Ming, Xiang, Hui. By the way, the dumplings here are AMAZING. Shanghai is known for dumplings that are made with soup inside them. You bite a small hole at the top to let out the steam, carefully drink the soup that's inside, and eat the dumpling. My chopsticks skills have improved greatly in a short amount of time since I usually have no other choice for a utensil.

I had the fortune of having dinner with a journalist who works for Time Out magazine in Shanghai. She is responsible for the food section, and she explained that most people my age in China do not know how to cook because their parents considered cooking a distraction. People are also not into cooking because there are so many restaurants and because a good meal can cost about the same as if you cooked at home. Despite this, Laura and I are looking into taking a cooking class while we are here.

Figuring out the basics

I am living in Mainland China where the national language is Mandarin. Because my exposure to the language is quite limited and this is my first time in this part of the world, the first week is a time of experimentation within the apartment. Living abroad requires innovative thinking, patience and a sense of humor. Fortunately my roommates and I possess these qualities.

Honestly it’s the little things that make us pause and laugh like doing laundry. We are relived that we have a washing machine and dryer in our apartment. The challenge is that all of the instructions on the detergent and most of the instructions on the machines is in Mandarin and there are no images. We get to interpret Chinese characters. Laura was brave enough to attempt the first load. We examined the buttons carefully, pushed a couple so they were all set on medium (we think) and then pressed start on the washing machine. We randomly measured an amount of detergent and poured it in. We also had to make some guesses when using the dryer. (It may be a good thing that we don’t have a dishwasher or an oven.) Thankfully everything worked out the first time, and we have clean clothes now.

One of the first mornings Laura wanted to make toast, but we don't have a toaster. Fortunately for her we have a gas stove. Problem solved.

Whoever designed this kitchen was not thinking about electric appliances. There is one usable outlet in our entire kitchen and the refrigerator is currently using it. We also have a microwave. In order to use it, we need to unplug the refrigerator. We have to remember to plug the refrigerator back in when we are done. We thought about getting a power strip, but it would be sitting right next to the sink. Not the best place to put one of those, so we are back to just one outlet. When we purchased our rice cooker, we had to put it in the dinning area because there was no point having it in our kitchen. It all works out in the end. We’ve already cooked a couple of very tasty meals!

Then there is the matter of taking a shower. Our first attempts were miserable because we only had cold water. We then tried turning on the sink first and wait until the temperature is hot, then turn on the shower. This helped. However, when you turn on the shower, it's best if it's not at the highest pressure. With these tricks, we are able to have hot showers.

We laugh, and life goes on.

Hanging out with “locals”

January 4

I spent my last day in Hong Kong with Rosalia and Sal, and they both grew up in Hong Kong up to the end of high school. Rosalia and I met in Minneapolis over the summer when she was an intern at General Mills and I was at 3M. They took me to Stanley Market (http://www.hk-stanley-market.com/) where we had lunch and did a bit of shopping. On the bus we drove past a building built with a hole in it. Sal explained that it has to do with feng shui because the negative energy that rolls down the mountains can flow through the building and into the water. We also went to Victoria Peak (http://en.wikipedia.org/wiki/Victoria_Peak) to check out the amazing view of the city before and after the sunset. This gave me a view from the opposite of the river from where I watched the light show. We then took the tram down to and rode on part of the Central-Mid-level escalators (http://en.wikipedia.org/wiki/Central-Mid-Levels_escalators) in the trendy SoHo area. We met up with Rosalia’s friends for dinner. My hotel was about 40 minutes by metro, but Rosalia and her friends made it sound like it was unbelievably far. There is a perception that the New Territories area is so far that it’s basically considered another country. The restaurant gave us our doggie bag in a cloth bag. That is the norm. When I went to the grocery store, every person had their own cloth bags. Unfortunately, in the United States we can’t part with our plastic and paper bags. Thank you Rosalia and Sal for a great day!

My first trip around different countries in Asia is ending, and it's been absolutely spectacular! I'm excited to get to the Mainland and start the next chapter of my Asian adventure. I'll find out what it's like to live in Shanghai.

Back in Hong Kong

For the first time on my journey, I am alone in a foreign city… at least for the moment. Of all the cities that I’ve been to recently, I’m glad that it’s Hong Kong. They have a wonderful public transportation system that gets you anywhere you want to go, and everything is translated into English. I generally don’t enjoy traveling alone because you aren’t able to share the experience. When I asked the hotel staff if it was safe to walk around at night, the man said yes because there are lots of people. Perhaps that’s a benefit of living in a city with very large population! I spent the first day back to Hong Kong in the hotel room sleeping. I also caved and ate KFC, McDonalds (which delivers), and Subway until I felt better. It was the best way to get over whether made me sick on the trip back from Nepal. The next day I felt adventurous again. I decided to make my way to Lantau Island to see the Big Buddha (http://en.wikipedia.org/wiki/Tian_Tan_Buddha). Initially, I was nervous walking around the city on my own, but that’s what makes travel exciting. I enjoy pushing myself to do things that aren’t comfortable. The reward is worth it! After taking the cable car up the island, I walked up the stairs and around the platform of the Buddha. I then walked over and explored Po Lin Monastery (http://en.wikipedia.org/wiki/Po_Lin_Monastery). The weather wasn’t the best with the fog, but it definitely created a perfect mystical atmosphere. In the evening I went to see the Symphony of Lights (http://en.wikipedia.org/wiki/A_Symphony_of_Lights) which is a free light show along the Hong Kong skyline. I observed the show from the Avenue of the Stars (modeled after the Hollywood Walk of Fame) where I saw the stars for Bruce Lee, Jet Lee, Jackie Chan. However, I didn’t know most of the names.

Interesting people

When I was in the airport in Dehli, on my way to Nepal, I was getting frustrated because our flight was delayed a couple of hours. There was another woman sitting there that looked like a nice person. We started talking and she in medical school at the University of Minnesota, and she is doing her residency rotation in Asia. By this point, she had already worked in Thailand and visited Vietnam for fun. She was now visiting Nepal for about 16 days before going to India for her next rotation. She said that she had set it all up on her own.

On the flight from Nepal to Dehli, I spoke to a woman sitting a seat away from me who also asked for the non-spicy meal option. She was from New York and she said she was traveling alone because she left her friend back in Nepal. She and her friend spent 5 days in Nepal, and during that time the friend met a guy from Australia. He went away for a day to go on a different trek, but he came back early. He told the girl, “I knew in my heart that I was going in the wrong direction.” They then both changed their travel plans and are trying to find a way to be together. It's the kinds of story that you read in books or see in movies.

When I was in the Dehli airport, I got sick. I was looking around for someone that I could sit with just so that someone could keep an eye on me. I noticed an older woman sitting on her own who was on my flight from Nepal. She was very friendly and kind, even though I am a complete stranger. She said that she hopes there will be someone out there helping her son when he is in need. It turns out that her 25-year-old son was teaching in Nepal for the past 6 months. He also plays the guitar and has already found places to perform in Kathmandu. That would be something fun to put on a resume.

Finally, thank you to Miton and his family for such a wonderful trip! I was there for about 5 days, and I wish I could have spent ten more days exploring the country.

I've added a few photos from the short flight from Pokhara to Kathmandu on Yeti Airlines to give you another view of Nepal. For fun I also included a couple photos of kids that I saw in Pokhara. One is of a kid at a temple holding caged birds that he will let fly as an offering to the gods. The other photo is of boys joking with each other on the sidewalk. Do you see the horns?

Happy New Year!

December 31

Nepal celebrates the New Year in April because they follow the Nepali calendar of Bikram Sambat. Their celebration is called Navavarsha. However, the areas geared for tourists and families with exchange students do celebrate NYE. I was so excited when I called my mom for her birthday using Gchat. I love technology! It's amazing that we can be in different parts of the world and see each other in real time. I then spent the evening with Miton, his parents, aunts, uncles, and cousins. We were eating, talking and laughing that night. Later in the evening, the women in the house thought it would be fun to put me in a saari. (I clearly need to get some sun.) They selected one that best matched the brown sweater I was wearing that evening, and they had me put on a bindi on my forehead, some red lipstick, and eyeliner to look the part. Miton’s female cousins then showed me some great dance moves. Families are very important in Nepal, so they live very near to each other. They also take good care of their elderly. Because young adults live with their family, there isn’t a lot of dating, though I’m guessing they find a way.

Happy New Year!

Problems and solutions

While admiring the breath-taking scenery in a developing country, I pondered what could be done to make life better here for the people. I spoke to Miton’s aunt who has lived in Nepal all her life and has traveled to many parts of the world. When I asked her what she would fix, her answer was the electricity issue. They live 13 hours a day without electricity. If this happened in the United States, there would be an outcry. Here, life simply goes on. What’s unfortunate is that they have the resources to create the necessary hydroelectric power. She said that communities would benefit greatly from micro-hydroelectric plants. They get a loan from the bank, build the plant, and pay back the bank with the money they earn. Sounds easy, right? Unfortunately communities who have made the investment in the past have had challenges due to changes in laws that make it much more difficult. Other communities see this and are not motivated to make the same type of investment. I also asked Miton what he would fix if he had the ability and necessary funding. He explained that the country’s competitive advantage is its beauty, but the people have not taken full advantage of it. Therefore, he would fix the roads and clean up the litter everywhere. I joked that the country would then need a marketing strategy. The Kathmandu airport had very little marketing geared toward travelers even though many foreigners visit the country to go trekking. In general, I noticed that advertising here has no call to action, so it’s seems to be used to create awareness. I didn’t expect to see a website address. However, most of the population owns a cell phone, so I’m surprised that companies haven’t utilized this mode of communication. Miton’s friend worked for Coca-Cola and currently teaches marketing in Nepal. He explained that they teach a lot of the same theory that we learn in the US, but the tools that marketers can use to reach consumers in Nepal is much more limited. They have to focus on distribution and point-of-purchase marketing.

I heart Pokhara (Part 2)

The boat then took us to the other side of the lake, and we hiked up to the Peace Pagoda where there was a view of Annapurna range and Pokhara city. Miton and I became competitive by this point in terms of who could take the better photo. Thankfully we are sharing them all, so everyone wins. The Peace Pagoda was amazing to see since Buddha was born in Nepal. At this point we had done quite a bit of hiking, but we wanted more. We hiked down the other side of the “hill” to see Davis Falls. The water levels were quite low at this point, so it wasn’t that exciting. We had a choice at this point. We could either take the bus back home or hike all the way back up to the Peace Pagoda and down to our boat waiting at the bottom. We selected the hike. It felt so good to push myself to do all this hiking in one day. I never felt so alive! The boat took us around for about an hour, and then we went out for a traditional Nepali dinner to unwind. Miton and I took about 600 photos combined by the end of the trip to Pokhara, and most of the photos were taken this day.

P.S. According to Miton's calculations, we hiked a total of over 2000 ft uphill and 2000 ft downhill in one day.

I heart Pokhara (Part 1)

Miton took me on a little trip to Pokhara (http://en.wikipedia.org/wiki/Pokhara) for a couple of days. It’s very much a tourist destination, and there are many Europeans walking around. Many come here to go trekking, hang-gliding, white water rafting, and kayaking because it is a place for adventure. What surprised us was how many parents brought little children with them. There was one mother who looked like she went hiking with her kid on her back. We were looking for adventure, but we didn’t have time to do anything too crazy. To say that the scenery is breath-taking is an understatement. We got up extra early in the morning to hike up to Sarangkot for the sunrise. The mountains looked so incredibly perfect. It seemed that if you could reach out you hand just enough, you could touch them. I kept thinking of Bob Ross and his paintings. As the sun rose, the light reflected off the mountains with a reddish glow. After we hiked back down, we thought we had done enough hiking for the day, and we decided would take it easy in the afternoon. (Little did we know how much our plans would change.) After breakfast we went to the lake, Fewa Tal, and took a boat to the nearby island that had a little temple.

Me = tourist attraction

It started out at the Monkey Temple. I noticed that some Indian women were getting really close to me and taking photos. I tried to get out of their way. One of them asked me if they could take a photo with me. I turned around to find a group of women eager for a photo. After a few photos, they encouraged their male friends to join the group shots. Many of the women tried to get a photo of me shaking their hand. They were very nice about the whole thing, but it still felt odd to me. They tried to include Miton, but he didn't want the attention. You can see from these photos that this kind of experience happened many more times in Nepal. At one point, a few of them wanted me to hold their kid. Miton and I were joking that my face is going to be all over Facebook, but there will be no way to tag me.

More to see in Kathmandu

I’ve included photos from our visit to the Monkey Temple called Swayambhunath ( http://en.wikipedia.org/wiki/Swayambhunath ). There are actual monkeys living here, eating the gifts like oranges that people bring to the gods. The colorful flags have prayers written on them and are supposed to blow in the wind in order for the words to easily reach the gods. There are also photos of a Hindu temple and cremation site called Pashupati (http://en.wikipedia.org/wiki/Pashupati). I didn’t take very many photos because it seemed disrespectful. In the past the son of the deceased would wear white for 13 days and could not enter the home. Now if you are abroad or unable to do this service, you can pay a priest to go through the ritual for you. It’s currently winter here, but I don’t mind. I’m glad that I’m not traveling during monsoon season. The best time to travel in Nepal is in October and November, but I think December is nice too. If you do plan a trip, make sure you don’t book anything in June or July, during the rainy season. Pouring rain and mudslides won’t add anything to the experience. The streets are very dusty now, and I’m guessing it’s not much fun to walk in the mud. I can’t believe I lucked out on the weather given my limited planning! Check out the clear blue sky in the photo.

Kathmandu Valley - ancient cities

Religion (a mix of Buddhism and Hinduism) and history is everywhere in Kathmandu, the City of Temples. When you explore this city, you can easily find a temple. Miton and I explored three ancient cities called Kantipur, Bhaktapur, and Patan Dubar. Originally the three brothers were kings ruled these cities, and they were competitive in developing the city squares. It’s interesting to walk around and see the different items being sold on the streets including hand-made pottery, fabrics, Thanka paintings (http://en.wikipedia.org/wiki/Thangka), and traditional kukri knives (http://en.wikipedia.org/wiki/Kukri).