China: Competitive in the Olympic arena and beyond

To Michael Barbalas, president of American Chamber of Commerce in China (AmCham-China), the strides China has made in economic development parallel those the country has taken in international sports competition since 1984.

"China's emergence as a force on the world sports scene mirrors its progress economically," Barbalas said.

Just as China's athletes have come a long way since the country re-joined the Olympics in 1984, so too has its industry reached elite status since moves toward WTO membership began in the mid-1980s.

"As I watch the Olympics this August, I will also be thinking about the competition our member firms face here in the Chinese market. As we watch the Beijing Games, we should appreciate just how far international competition has propelled China forward both in sports and economics."

And years after joining the WTO, China has clearly been strengthened by the increased competition, he said.

"Competing with the best brings out the best in everyone," Barbalas added.

AmCham-China is a non-profit organization representing US companies and individuals doing business in China.

Its membership comprises nearly 2,700 individuals from over 1,100 companies.

AmCham members range from International Olympic Committee (IOC) top sponsors such as Visa and Coca-Cola to those supporting the Beijing Games such as United Airlines, Helios Partners China and Ogilvy PR.

As the Olympic torch makes its way around the country, at least five AmCham-China members, including four board governors, are torchbearers.

AmCham-China Chairman James Zimmerman emphasized the sense of community that exists between the chamber and the Chinese community.

AmCham-China board member John Holden, chairman of Shaklee (China) Ltd, had the honor of carrying the torch in June.

"I believe deeply in the power of international exchanges such as the Olympics to promote understanding and peace," Holden said.

"The 2008 Beijing Olympics will play a hugely important role in teaching people around the world about China and the warmth and hospitality of the Chinese people," he added.

Range of forums

AmCham-China has more than 40 industry and issue-specific forums and committees, offers services such as the business visa program, holds a wide range of networking events and meets with US and Chinese officials to discuss challenges and opportunities facing US firms doing business in China.

There will be 600 American athletes participating in the Beijing Olympics led by the US Olympic Committee.

While many members are directly involved in the Games, others are supportive and trying to secure tickets to the most sought-after events.

Adam Steinberg, co-chair of AmCham-China's Olympics Forum, said members are hoping to be there in person as Michael Phelps, Liu Xiang, Laura Wilkinson, Yao Ming and many others trying to make history.

"Many experts are optimistically predicting that China will win the most medals, and the trend in recent years suggests this is a strong possibility," Michael Barbalas said.

The forum organized a one-year countdown celebration on August 8, 2007 and held panel discussions to inform members about Olympics tickets and hospitality issues.

"Athleticism brings out the best in people and does help to broaden and deepen mutual understanding," said Steinberg, who is also the director of Communications at ASC Fine Wines.

The famous ping pong diplomacy of 1971 comes to mind as an important ice breaker during an important moment in history. China later sent its first Olympic team in modern times to the 1984 Olympic Games in Los Angeles.

"AmCham-China is a positive force that helps to encourage and foster understanding between American businesses and China."

Involved members

Many member firms have Olympic plans and will be highly involved in this summer's festivities.

Coca-Cola is the longest continuous sponsor of the Olympics, dating back 80 years to the 1928 Summer Olympics in Amsterdam.

In addition to sponsoring the Beijing Games, it is the only company sponsoring all of China's global events, including the 2007 Special Olympics, the Beijing 2008 Olympic Torch Relay, the Beijing 2008 Paralympics and the 2010 World Expo in Shanghai.

The beverage giant created a multi-year campaign around the concept of shuang - a Chinese word that describes intense physical and emotional refreshment.

Havi Logistics Services has been contracted by worldwide Olympics sponsor McDonald's and official caterer Aramark. In the upcoming months, Havi will be responsible for food distribution to the four McDonald's Olympics restaurants and numerous venues serviced by Aramark.

In 2007, Aramark won the contract to cater the Athletic Village, as well as all media centers for the 2008 Olympic Games.

The selection as an Olympic logistics provider puts Havi Logistic Services in a unique position because the Olympic Games will be operating under the highest security and food safety standards ever in China.

Thermo Fisher Scientific will provide doping control instruments and services for the Games.

In order to support unprecedented levels of drug testing and handling the huge volume of testing samples, Thermo Fisher will provide technical services 24 hours a day throughout the Games to ensure instruments meet standards and are used correctly.

More than sport

Before China joined the WTO in 2002, there was wide discussion about the increased competition Chinese firms would face.

Barbalas said China is both an extremely important and challenging market for US companies. "When we survey our member companies each year, they tell us that China is an excellent place to do business, and that opening up to international competition has played a critical role in the country's economic development," he said.

"Despite the intense competition and other challenges in China, AmCham member companies are overall profitable, growing and succeeding in this market."

Li Li Leung, managing director of Helios Partners China, said the Games will serve as a springboard for the future of the sports industry in China.

"Once the world sees that China has the ability to host an Olympics, it will be even more interested in further investing in this economy."

This comes while the NBA, NFL, Major League Baseball, top-flight soccer and world class boxing are all making a push into the Chinese market, Leung added. "2008 is just the beginning for sports in China."

(China Daily 07/04/2008 page24)