by Becky DeStigter

The American Presidential election must be this week because China bashing once again has become a national pastime for both leading political parties. And what an easy target China makes; it is a growing competitor to the U.S. both politically and economically. The Chinese government is still at least technically Communist, which reminds American voters over age 45 of Cold War threats of decades past. China is halfway across the world and so less likely to directly confront offenses laid at their feet. And most importantly, diverting blame to the Chinese helps Americans to avoid confronting hard truths about our own state of economic and political affairs that we'd rather not face. But for those of us earning our livelihood from international business, we know that the Chinese are well aware of this folly, and it hurts our business relations right along with the political banter as it crosses the Pacific.

 

Here is why China bashing by American political candidates, the media and companies is so harmful. First, Chinese government, company leaders and consumer base hear the China bashing and it is taking a very negative tone against American goods and services. And since the Chinese culture focuses on long-term outcomes over short-term, this bashing will be remembered and incorporated into the U.S. Country-of-Origin Effect for years to come.

 

Second, China is the leading growth market for many of these same goods and services. As American and European markets stagnate, there are still plenty of opportunities in high growth markets like China's. And third, China is the main buyer of treasury bonds a.k.a. any new American national debt. Should China decide to take their investment RMB/Yuan elsewhere, the American government and economy would be big trouble.

 

For those of us in international business, we have no control over what political candidates or the media do, but we can work to manage the fall out of these actions and its effects on our ability to do business in and around China and other political minefields. Here are my suggestions:

 

Neutralizing China Negativity

 

The best antidote to politically charged negativity is to be positive and trustworthy in your professional relationships and dealings with your Chinese suppliers, partners and customers. Show your contacts through your words and actions that your company supports them and appreciates many positive aspects of the Chinese business culture. This politically charged period might require an extra trip to visit Chinese contacts in order to give reassurances that you indeed want a strong business relationship. If the topic of bashing comes up, you can give a fairly positive statement about something inherent to Chinese culture that you like and then quickly change the subject. Your words and actions help to offset negativity that is more distant and vague.

 

Avoiding Other Political Hot Buttons

 

Generally speaking, it is best to avoid all political hot buttons. A few to evade at all costs include:

The Israeli-Palestinian Conflict

Gypsies in Europe

Russia's role in any former Soviet country

Japan-China relations

Taiwan-China relations

India-Pakistan relations

There are other political hot buttons to avoid talking about with potential or current partners and clients, but this list should keep you out of some of the worst conversations.