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September, 2004
From picturesque rural landscapes to soaring cityscapes, China is a massive, diverse country of cultural and geographic signifigance. Home of the Silk Road, Great Wall, and Forbidden City…historical cradle of language, philosophy, art, politics, and commerce. Population one billion, three hundred million—home to one in five of the entire world's people. Literacy, 82%. China is Asia's driving force.
In early September, Roger Barnett made his first official visit to China on behalf of Shaklee Corporation. During his stay, Roger met with key government officials and successful business executives to begin paving the way for the company's entry into China. Accompanying him were Shaklee executives Senior Executive Vice President of Operations, Gerry Holly; Senior Vice President of International Business Development, Michelle Yeh; and Director of New Product Research, Dr. Peter Zhang.
The following is Michelle Yeh's account of this extraordinary trip.
Arriving in Beijing
In 1988 when China “opened up to the outside world,” Roger visited there. He quickly realized the country's potential, and left with a strong desire to do business in China one day. Sixteen years later, he is realizing that dream.
A visit with Professor Wang Lin Xu
In Beijing, a bustling city of 13 million people, bicycles used to own the streets. Today it's Toyotas, Audis, and Buicks. I had the privilege of joining Roger, Gerry Holly, and Peter Zhang in Beijing. The appointment schedule was heavy…the traffic was also heavy. It takes at least an hour to go from place to place.
We visited Professor Wang Lin Xu, a member of the legislative body in China that is most similar to our U.S. Congress. Professor Wang, a world-famous artist, creates signatory paintings for foreign guest leaders. His work has been presented to many world leaders, including former Presidents Bill Clinton and Richard Nixon, as well as Nelson Mandela.
Professor Wang presented Roger with a collection of signed paintings. In China, gift-giving is a common courtesy with many specific customs. It is traditional to bring a gift when you visit someone. Respect is shown in certain, gracious ways; for example, both hands are used to give and accept business cards.
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Roger receives a signed painting collection from Professor Wang. |
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We also had the opportunity to meet with Dr. Ren De Quan, Vice Commissioner of the China FDA. Dr. Ren shared many invaluable ideas with Roger about the expansion of Shaklee into China. During the one-hour meeting, Roger and Dr. Ren developed a new friendship—and an English teacher/ English student relationship as well. Roger promised to call Dr. Ren frequently to help him practice his English.
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Left to right: Dr. Peter Zhang, Director of New Product Research for Shaklee; Mr. Roger Barnett, Chairman and CEO of Shaklee; Dr. Ren De Quan, Vice Commissioner of the China FDA; and Prof. Luo Guo An, Tsing-hua University. |
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Roger speaks at the World Economic Forum
During our visit, Roger also attended the World Economic Forum as a Global Leader for Tomorrow. He was one of the speakers on the panel for Health, Nutrition and Challenges of Prosperity. Roger spoke about China moving from malnutrition problems to the new challenge of bad nutrition, and how the country faces rapidly rising healthcare costs like other developed countries. These problems can be avoided or mitigated, he suggested, if China adopts educational, nutritional, and preventive programs.
Shaklee is in a perfect position to address this concern. China's ancient healing practices are based upon natural ingredients and sound nutrition. And with the best natural nutritional products in the world— some of which are based on traditional Chinese herbs, Shaklee is “a natural,” and can help China develop and prosper.
Business Possibilities in Beijing
Most companies that conduct business in China manufacture their products locally, for cost reasons and government requirements. With thoughts of selecting a site for Shaklee's future China product supply, we visited the Beijing Economic-Technical Development Area.
Founded in 1994, this development zone has attracted over 1000 first-rate enterprise investors over the past ten years. Ten percent of Fortune magazine's top 500 companies in the world have made investments here. They include AT&T, Coca-Cola, IBM, Mercedes-Benz, and Nokia. Sixty percent of the world's Nokia phones are made here. One of the reasons we visited this zone was to conduct a preliminary evaluation as a potential manufacturing site for Shaklee China.
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Roger and Michelle Yeh evaluate a miniature model of the Beijing Development Area. Could this be a future manufacturing site for Shaklee China? |
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Meeting Captain Wei Jiafu
Roger was introduced to Captain Wei Jiafu, President and CEO of the largest shipping company in China. In addition to this position, Captain Wei is also a well-respected diplomat and a leader in international relations. He often receives ambassadors from foreign countries on behalf of the Chinese government.
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Captain Wei presents Roger with a gift of welcome—a ship model. |
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Another Great Meeting
One of our most important meetings was with the Chairman of a Chinese organization with 68 million members. Roger and the Chairman are close in age and enjoyed a tremendous rapport. Their meeting, scheduled for an hour, lasted well over two. Think about the amazing potential for Shaklee—68 million members in China!
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An excellent talk about working together to improve US-China relations. |
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An Official Meeting with Deputy Mayor of Beijing, Mr. Luo Hao
The Deputy Mayor of Beijing, Mr. Luo Hao, held an official meeting with Roger in the municipal office. Mayor Hao, at age 35, is the youngest mayor in China's history. Like Roger, he is a man of great vision and ambition. Mayor Luo told of Beijing's progress—15.4% GDP growth the first half of the year, with a 19% increase in retail sales alone.
The meeting began in a formal way, like every other official government meeting. But in less than twenty minutes, it had lightened up considerably, thanks to Roger's engaging style and humor. Mayor Luo and his staff were laughing and enjoying themselves. Since we were leaving for the airport that afternoon, we regrettably could spend only 45 minutes with the Mayor. When it was time to go, Mayor Luo said he wished he could have spent more time with Roger because they had so many ideas to share! Roger promised to visit him again in the near future.
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Roger and the Deputy Mayor of Beijing, Luo Hao. This looks like the beginning of a long friendship. |
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Roger and Mayor Luo, both young and ambitious, hit it off. They promised to stay in touch. |
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Coming Home
After the meeting with the Deputy Mayor, we were on our way to the Beijing airport, heading towards Taiwan. From the moment we left the Mayor's office until the moment we took our seats on the plane, we received special treatment: expedited service, security, and a VIP waiting room at the airport—all privileges normally reserved for foreign guest leaders. We extend heartfelt thanks to our friends in the Beijing government for these special arrangements.
There was true joy in making this trip: The people we met, the friendships we established, and the foundation we laid for the future of Shaklee made this visit one of the most memorable experiences in each of our lives.
Michelle Yeh
Senior Vice President, International Business Development |
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