Swedish chamber of commerce taking a long view

As the Swedish Chamber of Commerce in China prepares to celebrate its 10th anniversary this year, Mats Harborn, chamber chairman, talks with China Daily about the organization's past, present and future.

Steady development

Harborn first notes that the Swedish chamber is very active, helping its members better understand China by providing a forum to share experiences and providing information on new business regulations. It also promotes the image of Sweden and participates in bilateral trade discussions.

He recalls that the chamber developed step by step over the past 10 years to create stable foundation. Chapters in Beijing and Shanghai are now firmly established, he says, providing regular activities to members, including seminars on IT, business development, building projects and other sectors.

The chamber will mark its 10-year anniversary by publishing an article in an influential Swedish business newspaper summarizing member experiences in China over the past decade. It will also host its annual general meeting, when it will invite special guest speakers and confer awards honoring important contributions to Sino-Swedish trade and commerce. Two gala dinners will also be part of the anniversary celebration.

For the future, the chamber will continue to provide a platform to its members for communication and exchange of experiences. Harborn hopes that another chapter in south China will be established soon.

Long-term relations

The chamber has members from a wide range of sectors and many different companies. Harborn says one of the biggest challenges is that many Swedish companies do not just sell products, but create long-term system solutions.

The chamber chairman says he hopes to see more transparency from the Chinese government and institutions, noting Swedish companies would like to contribute advice in drafting and implementing new rules and regulations governing business.

Because of vastly different backgrounds, Swedish and Chinese companies sometimes have diverse understandings about the same work, Harborn says. He advises members to spend a long time talking with potential partners to ensure that both sides truly share the same goals.

"You have to do your homework first. If you do your homework right, cooperation will be very successful," Harborn says.

Communication and an understanding of each other's background are crucial to cross-cultural business relations, he says.

Harborn thinks Swedish companies are doing well because their home nation has strong basic values, while China now follows much of its traditional Confucian heritage - there are shared values in the cultural roots of both countries. "You cannot say one set of values is better than another. A corporation needs to base its own corporate culture on the values in society where it comes from," Harborn says.

A standing theme of the chamber is now "Exploring Swedish Management in China".The chamber is also very active in the field of corporate social responsibility where Swedish companies are willing to share their experiences.

Further cooperation

"We see closer commercial cooperation, especially in infrastructure, communications and environment.."

He thinks selling a product is just the beginning of a long-term relationship, so commitment to customers is very important. He adds that it is crucial for Chinese and Swedish companies to trust one another. "Trust is the most important. If we trust each other, we have a long-term operation. Trust also takes time to build. "

Harborn notes that Sweden is an open country allowing free trade. He is happy that Chinese companies are investing in Sweden and looks to more in the future.

The country can also serve as a beachhead into Europe. "Chinese companies should use Sweden as a test market before they enter the rest of the European market," he says. "If you manage to succeed in Sweden, you will succeed in many other countries."

Harborn notes that the Chinese business environment is improving, with increasing numbers of more-competitive domestic firms. "Competition is what drives the world economy in development, innovation and sustainable business from both the economic and environmental point of view. "

"I am very proud of the relations between the two countries," Harborn says. "From the beginning, back in the 18th century, our businesses have been based on fairness. Through the years, we have not had major conflicts between Swedish and Chinese companies, showing they are going along well together."

(China Daily 04/14/2008 page14)