Dr. Robin Porter, ELCAMEDIA’s senior consultant on China, spoke on Wednesday at the Responsible Business Summit in London. He shared the stage with Jose Arguedas, the European head of CSR for GAP. The well-attended session provided a clear analysis of the increased emphasis that the Chinese government is placing on social responsibility issues, such as the environment, health and safety, and labour laws. Dr. Porter gave some general tips, gleaned from an extensive understanding of the Chinese government’s 12th 5-year program, for companies interested in doing business in China.
Dr. Porter’s conclusion, in a nutshell, was: do not underestimate or trivialize China’s commitment to social responsibility issues. Although these policies are relatively new, and will not percolate down to SMEs immediately, they are ambitious and will be pursued by the government. Particular attention will be paid to large, international companies and their compliance with the policies.
Dr. Porter recommended that any company looking to promote itself in China speak to a consulting company, like ELCAMEDIA, to get specific advice on their opportunities and challenges in this rapidly growing market. The complexity of Chinese governmental requirements means that many companies, even those who think they understand the market, fail. ELCAMEDIA is offering a free booklet on doing business with China that gives some basic tips for companies that are interested in looking at China as a potential market for their products or services. This booklet can be viewed here.
How can foreign businesses respond positively and profitably to the challenges of sustainable development in China?
The latest Five Year Plan for the Chinese economy, the 12th FYP from 2011 to 2015, has references throughout to the need henceforth for sustainable development in China, and outlines policies which, it is hoped, will help to achieve this; the policy followed until fairly recently, of development at any price, is now over.
China’s intentions on sustainable development are especially the focus of chapters 21 to 26 of the plan.
There are specific policies and actions outlined in these chapters, which relate to energy efficiency and alternative energy sources, China’s low-carbon development strategy, energy security, climate change, the creation of a ‘green economy’, and a whole range of matters concerned with other aspects of environmental practice.
The point here, for foreign companies, is that there are a great many tasks which the Chinese Government and China’s enterprises are going to have to undertake, where foreign experience, technology and equipment can have a role to play.
ELCAMEDIA can make available a list of these policies and projects; however, specific advice on how to promote engagement with China on any of these areas would have to be provided to companies individually, as circumstances and approaches will differ across different sectors.
Dr. Porter is ELCAMEDIA’s senior consultant for China and Britain’s former Counsellor for Science and Innovation at the British Embassy in Beijing. Dr. Porter wrote the sections on environment and sustainability, among others, in a recent report for the European Commission. His latest book (2011) entitled “From Mao to Market: China Reconfigured”, published by Columbia University Press (USA) and Hurst (UK) provides a nuanced introduction to China, offering an overview of its society, politics & economics. He can be reached at ELCAMEDIA via porter@elcamedia.com.
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