Merging itself with the locality

1. Chinese enterprises are operating by the laws and in conformity to market rules. As a result, the amount of money that Chinese enterprises paid to foreign patents owners soared, and those enterprises without self-developed intellectual property have come under great financial and technological pressure to survive.

2. technological standards have been in the approval process of the International Organization for Standardization and are expected to be erected as global international standards to be followed by video item producers worldwide.

3. Japan's leading newspaper Yomiuri Shimbun wrote of China's own 3G technology that Chinese enterprises have felt a strong sense of threat that lacking self-developed technologies will only benefitoverseas enterprises. China has finished adapting its laws in accordance with WTO rules as part of its WTO entry commitments.

4. Statistics show that Chinese enterprises as a whole have spent over 10 billion yuan (1.2 billion US dollars) in purchasing and using foreign patents in production. For DVD production alone, Chinese enterprises had to give 4.5 US dollars in patent fee for each DVD machine they produced to the union of six DVD technology developers that include Hitachi, Panasonic and Toshiba.

5. After suffering from lack of patents and benefiting from inventing own technologies, Chinese enterprises have known that ' copying' will lead to a ruin of creativity, and to develop their own intellectual property is a safe way to stand in the long run

6. it was stressed to develop new technologies and foster Chinese enterprises' ability of creating own brands.

7. Haier has taken up a niche on the US household electrical appliances market undergoing fierce competition. At present, the American Haier Industrial Park's first project-refrigerators factory is gaining a good development momentum, in the future the American Haier Industrial Park will be developed into a comprehensive white household appliances production base. the United States is a country with a very mature market economy, to engage in frontal competition with its local opponents.

8. The American colleagues, influenced by Haier personnel stationed locally, have gradually become adapted to Haier's working environment and cultural atmosphere, both sides have harmonious exchanges, the difference of cultural background, instead of causing estrangement between the Chinese and American workers in their work, has increased their interest in mutual understanding.

9. Construction of the factory started in South Carolina, USA in April 1999 at a cost of US$30 million, which formally went into production in March Currently, although it is still in its initial stage, when the correspondent saw the colossal factory buildings, the dust-free workshops, the busy working employees and sets of brand-new refrigerators, he deeply felt the Haier people are really doing something great in a solid way. This kind of successful cooperation has benefited both China and the United States.

10. Merging itself with the locality • "Merging itself with the locality" is a link to which the American Haier Factory attaches great importance. Zhang Jinmin said, "Our factory has created considerable job opportunities for South Carolina."

11. With a world market share of 5.3 percent, China's Haier Group Corporation has ranked second in the global refrigerator production industry, according to a survey by the world-renowned info company Euromonitor. In the survey listing of the top ten name brands of refrigerators, Haier's market share is only one percentage point less than that of Whirlpool, which is in first place. Electrolux, Kenmore and GE rank in the third, fourth and fifth places.

12. The achievement marks the initial success of Haier's international business strategies. Haier started production of electrical household appliances 17 years ago, and has now surpassed many transnational companies. In the, Haier's rapid progress has been applauded by local economic experts. Many large US discount stores, including the retail giant Wal- Mart, now sell Haier refrigerators. Wal-Mart spokesman Rob Phillips said the sales volume of Haier products advanced steadily in the second half of last year.

13. A group of backbone enterprises, including the China National Petroleum Corp., China Petrochemical Corp., China Worldbest Group Co. Ltd. and the Haier Group, have profited by implementing the “going-out” strategy. The Wanxiang Group, Broad Air Conditioning, New Hope Group and many other private enterprises have entered the international market. The

14. China State Construction Engineering Corp., Shanghai Construction Engineering Co. Ltd. and other construction enterprises engaged in overseas project contracting have increasingly played their role as backbone forces and continuously improved their operational levels.

15. ole in providing information, legal service, financing, intellectual property rights protection and authentication for Chinese funded enterprises. They guided enterprises toward the proper use of special funds, export loans and credit insurance, and have devised a number of policy measures concerning finance, insurance, taxation, foreign exchange, foreign trade and economic cooperation, customs, inspection and quarantine, with an eye to enhancing the international competitiveness of Chinese enterprises.

16. To guarantee the legitimate interests of individuals and enterprises making investment abroad, efforts have been made to set up security systems and complete legislations on overseas investment, project contracting and labor cooperation.

17. Vice Minister of MOFTEC Long Yongtu said • Departments in charge of foreign trade and economic cooperation have intensified cooperation with relevant departments and established a sound coordination mechanism to jointly support Chinese enterprises to make their way into the international market.

18. Internationalized Strategy Bears Rich Fruit s • Setting up a factory in the United States is the need of Haier Group's implementation of an internationalized strategy. Haier's mode of overseas development is three-in-one "nativitization", i.e., designing, manufacturing and marketing are being carried out locally to realize the goal of creating local name brand through the raising of funds, the introduction of intellectual resources and the integration of culture.

19. Chinese business organizations overseas have strengthened their guidance, service, management and coordination with Chinese enterprises making investment abroad. To meet international standards, enterprises engaged in transnational operation and those that plan to do so have intensified reform and established efficient decision-making, management and operational mechanisms.

20. China is taking measures to maintain steady and relatively fast economic growth and prevent major ups and downs in development

21. China prudential in reforming RMB exchange rates mechanism • Wen Jiabao said that China should be prudential on the method and timetable of there form on Renminbi (RMB) exchange rates mechanism, noting that China has not given up the reform. • Two directions will be followed in the reform, keeping the RMB exchange rates basically stable at a balanced, reasonable level and exploring a market-based exchange rates mechanism. • The reform will be based on the situations of the macro-economy and the banking system, he said, noting that some unexpected results might otherwise be possible. • China will listen to suggestions and advice from various sources on this "complex" issue, so as to guarantee the stability of the regional and world economy, said the premier.

22. The reform will be based on the situations of the macro-economy and the banking system, he said, noting that some unexpected results might otherwise be possible. • China will listen to suggestions and advice from various sources on this "complex" issue, so as to guarantee the stability of the regional and world economy, said the premier.

23. RMB exchange rate has never been frozen," said Wen in response to Linnebank's remark that RMB exchange rates were believed to be frozen by some people. • China follows a market-based, single and managed floating exchange rate system since 1994, Wen said. RMB appreciated 38 percent against US dollars between 1994 to 1997. • When the Asian financial crisis struck in 1997, China insisted that its currency not devalue and kept the RMB exchange rate stable in a responsible manner, and narrowed the floating scope of the RMB exchange rate since then, Wen said.

24. Chinese government will take forceful and effective measures to address the existing problems in the economy, such as excessive growth in fixed asset investment, bank credits and money supply and growing inflationary pressure. • Wen said the government's macro-economic control will be resolute and decisive, as well as timely and appropriate, dealing with different issues in different ways.

25. He noted that the Chinese economy as a whole is in good shape, with fast growth, growing profits, improving agricultural production, expanding foreign trade, surging fiscal revenue and constantly rising incomes for residents.

26. In order to curb excessive fixed asset investment that drove up prices for capital goods and strained supply of coal, electricity, oil and transportation, the government will tighten the supply of money and land, step up control of construction projects and exercise economy in resources consumption. • Wen said China has twice raised the reserve requirement for banks. It will also issue new regulations on tightening land management and raise capital fund ratio in fixed asset investment for certain industries.

27. "We believe all these measures will take effect in a period of time, and that the economy will maintain stable, relatively fast growth without major ups and downs," Wen said. • He said China will unswervingly push forward reform of the investment system and the financial sector so as to uproot of the structural and institutional causes of the existing problems.

28. "We believe all these measures will take effect in a period of time, and that the economy will maintain stable, relatively fast growth without major ups and downs," Wen said. • He said China will unswervingly push forward reform of the investment system and the financial sector so as to uproot of the structural and institutional causes of the existing problems.

49. At present foreign employees in TCL account for 18% of its total population, within 3~5 years in the future, TCL will speed up its pace in localized value innovation to further improve the proportion of localized personnel within the global range." According to TCL's statistics, among the globally recruited personnel medium and senior positions account for about 40%, R & D personnel account for some 70% and personnel required for the TCLThomson project and mobile telecommunication account for 60%.