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Danone Throws in The Towel… I mean, Gives Wahaha One Last Chance 2007-12-21 08:59:27 When zong first threw the Trademark Arbitration in Hangzhou curveball I realized that we were in for an intereting process…. and then when Zong won in Hangzhou last week, I asked the question what the impact of the Hangzhou ruling would be on the rest of the lawsuits on my previous post OMG. Wahaha Won Round #1 of Hangzhou Arbitration and on Stan Abrams China Hearsay post Danone-Wahaha: No Sympathy. and it appears we have our answer According to the WSJ article Danone Willing to Drop Wahaha Suits, Danone: said it has suspended certain lawsuits against its estranged business partner in China and is willing to drop other legal action in an effort to encourage him to work toward reconciliation. Now, I am no lawyer, but I would say that we have our answer. ShareThis Source: All Roads Lead To China ...

Taikang Lu 2007-12-15 03:10:17 Well this is both frustrating and fantastic. There’s a street called Taikang Lu which I’d heard mentioned a few times in passing and thought I’d actually been to once or twice. In fact I hadn’t, and I would remember, because it’s the nicest area I’ve seen in Shanghai. The reason I went in the first place was to visit a cafe called Kommune, popular comment monkey “dingle” sent me a greasy fingered text on Sunday: “They’ve got proper bacon here- I’m practically <edited for decency> enjoying it very much indeed</edited>” So off we went, Emma, Dan and I. Tucked down a lane, around a corner, up an alleyway is this Kommune place. They keep their cakes in a wooden birdcage, serve 3-THREE-eggs (mushrooms, proper bacon, toast, tomato) with breakfast, and dish out coffee in cups you could drown a toddler in. Full, and caffeined-up we started looking around the shops in the area. It’s all small business ...

Beijing 2007-12-15 03:10:04 I almost went to Beijing this weekend, almost in the sense that Emma said “Let’s go to Beijing” and I said “OK!“, but then my boss said “Let’s work on Saturday” and I said “OK!“. So now I’m not going. Forgive me father, it has been 11 months since I came to Shanghai and I still haven’t visited anywhere in China except Suzhou. Perhaps if they moved Beijing closer, or had trains that left from outside the Eager Beaver at 4am. Shanghai is very pretty though, especially in the clear autumn sun. Here’s a photo of a blimp edging past the JinMao tower and the Gilded Palace Of Shimmering Prestige (or whatever the hell that building is called). Why the blazes did this never take off as a method of public transport? Source: ISpyShanghai ...

Amusement Park II - (the amusement this time, coming at their expense) 2007-12-15 03:09:56 During that whole Cultural revolution / “Isn’t being Communist the best!” phase that China went through in the olden times, I bet they had statues of Mao everywhere. I’ll bet it was a statue-fest, a totem carnival, an icon-if-u-likem, a Mao-a-rama. These days though, no-one cares much for plaster busts of slightly dubious historical figures, so what do you do with the left-over statues? Mao lives on Meh- just stick a sheet over it, and use it in an Amusement Park’s Ghosthouse. Unsurpisingly, JinJiang Park is a rich vein of badly translated English- it doesn’t bother me, and the meaning is pretty much clear what they need, but if Disney opens a theme park here, they should maybe get someone to do the signs that beard knows what they’re talking about: “And no bloody wine empresses neither!“: Source: ISpyShanghai ...

China Products Liability Conference: Washington DC, December 10 and 11 2007-12-11 01:18:14 I am scheduled to speak on Monday in Washington DC regarding what companies outsourcing their product manufacturing must do to protect themselves from bad/dangerous China product. The conference is being put on by Lexis/Nexis and based on the people speaking (present company excluded, of course), I am confident it will be a great conference. The website lists the following benefits, among others, from attending: • Learn how to write arbitration clauses that stand up in China and other foreign countries • Get the inside story on the current products recalled—who is being sued and who is at risk • Receive a briefing on how to properly handle a product recall from the media to suppliers • Examine recent foreign arbitration awards and how to get them enforced • Find out how lead exposure affects children from a leading toxicologist • Listen in on a roundtable by counsel doing business in foreign jurisdictions • Discover how arbitration works in the Internatio ...

Judging Yahoo On China 2007-12-11 01:18:02 I have written almost nothing on Yahoo’s China issues because for me to add any real insight I would need to read reams and reams of stories on it and I am not prepared to do so. But, when someone as knowledgeable on China’s media/internet as Will Moss writes on the Yahoo issue, I feel I should at least pass it on. Here’s Will’s post on Yahoo from his blog ImageThief. The post comes from Will’s column in the China Economic Review, here. Source: China Law Blog ... Yahoo

On China’s Imminent Stock Crash 2007-12-11 01:17:56 I take no position one way or the other on any Chinese stock market crash, but I am certainly impressed by the analysis in this Asia Times article written by Martin Hutchinson of the Prudent Bear (h/t to the China Economics Blog). The article is entitled, “The Coming China Crash” and it claims a crash is “imminent” due in large measure to China’s “lack of a rational system of capital allocation.” China Matters also has a very thoughtful gloom and doom post entitled, “We Interrupt This Blog To Announce the End of the World.” The post is based on this Roubini post asserting that China is not decoupled from the US economy. Of course, not everyone agrees. I was one class short of an economics major, which means I studied just enough to know that economist’s predictions are correct about half the time. On a somewhat less gloomy note: An economist, a physicist and a chemist are stranded on an island with one unopened can of food ...

36 Hours In Beijing 2007-12-11 01:17:53 My friend, software guru Buzz Bruggeman, founder of and driving force behind Activewords (endorsed by James Fallows, I kid you not. Click on the Activewords website for proof of this), sent me an article from today’s New York Times mapping out what to do in Beijing if you are there for 36 hours. The New York Times article is entitled “36 Hours in Beijing” and it makes for a fun and interesting read. Source: China Law Blog ...

The Technical Side Of China Trademark Law: Forget You Ever Read This 2007-12-11 01:17:50 China Business Law Blog has an excellent post up, entitled, “China Trademark Update: Has Your Distributor (Representative, Manufacturer) in China Registered your Mark?” stressing the importance of foreign companies registering their trademarks in China soonest. Beyond that, the post does an excellent job analyzing a Chinese Supreme Court case holding that agents who register the trademarks of those for whom they are agents cannot hold on to the trademark. What this means in real life is that if you are a foreign company manufacturing your product in China, the company you use to find your manufacturer and the company you use for your actual manufacturing cannot file your foreign trademark in China. So if you have a United States trademark and you make the huge mistake of not registering your trademark in China when you first go over there, there are about 1.3 billion people in China who can register “your” U.S. trademark in China and “take” it fr ...

CultureFish: Your China Adwords (Baidu) Friend 2007-12-11 01:17:45 There are certain businesses I always have trouble understanding. I remember many years ago my firm was representing a Korean internet company in its U.S. venture capital deals. Money was flowing in to this company from the Korea, the United States and Japan and everyone was telling me I was crazy to allow them to pay us by the hour, rather than requiring they give us an equity stake. “Equity stake,” I would tell people, I still do not understand what their product does or how it will ever make any money. The dot.com bubble burst and this company very quickly ran through its millions and is no more. My friend Lonnie Hodges (you all know Lonnie, he’s the guy behind the late great China Bandwidth blog) had been telling me for months about his China internet business, CultureFish, and I just was not getting it. Then when he told me of one huge American technology company that had retained Culture and how another was on the verge of doing so, I decided I had to kn ...

China Manufacturing: That’s The Way I Like It 2007-12-11 01:17:26 Interesting post up at the brand new Smart Cube blog, entitled, “Survey: Global Manufacturers Staying Put in China,” on how Mattel’s problems have had almost no effect on foreign manufacturing in China. The post is based on a survey finding that the recent recalls of tainted and toxic China-made products has not caused foreign companies to rethink their sourcing strategies and quality control processes, nor has it caused them to rethink their continued presence in China. According to the survey, nearly 80% “of respondents (all of whom were manufacturers who currently manufactured their products in China) reported that they felt no need to review their supply chain activities in the wake of the well-publicized toy and toothpaste recalls.” Seems these manufacturers believe the recent recalls are “aberrations and not symptomatic of some more fundamental issue inherent within Chinese manufacturing.” The post goes on to say that though the &ldqu ...

Silk Road International Blog: Great China Substance. 2007-12-11 01:17:23 David Dayton over at the Silk Road Blog has for quite some time been churning out really good posts focused on China sourcing. The only reason I have not put this blog on our blogroll is because it is so difficult to navigate, due in large part (I suspect) to it being part of the company website. A few weeks ago, I told David (with whom my firm has worked on a number of projects) that if he would just make his site easier to navigate I would put it on our blogroll. He assured me he eventually would. Then I blinked. I went to the Silk Road Blog today and realized there is simply too much good stuff there to put form over substance, so on it goes. I just love his post, “Random thoughts from 5 non-stop days in 7 factories in three provinces in China.” The post is nine thoughts, with the following three being my favorites: 1. “Factory owner and millionaire, 35 years old, tells me that the road out in front of his factory he built with his own hands when he was in h ...

Looking Out Airplane Windows In China Is For Grizzled Old China Hands ONLY 2007-12-11 01:16:53 I did a post the other day, entitled, “Planes, Trains And Automobiles: The China Way,” extolling a James Fallows piece comparing “the Chinese way” with “the Japanese way.” Yesterday, I got a call from my friend and fellow Grinnell College alum, Paul Midler, who wanted to let me know he would be doing a post on his blog, The China Game, taking issue with Fallows. Midler’s post, entitled, “James Fallows Turns On His Television Set,” is now up and I am writing this post to take issue with it. Real writers observe things others do not. Real writers see the same thing we all see and tell us about it in a way that makes us “see” it more clearly. Real writers tell us things we already knew but could not express. James Fallows is a real writer, yet despite this, or actually more likely because of this, Paul Midler does not like him writing about China. Writers say things I am thinking but have yet to crystallize or am inc ...

How To Stay Ahead Of China Counterfeiters 2007-12-11 01:16:48 Interesting post on IP Dragon, entitled “What Global Players Could Learn From Wii versus Vii.” It is on how Nintendo is beating back a (legal/illegal?) Chinese rival making a game called Vii that mimics and even seeks to improve upon the Wii. IP Dragon puts forth the following fine tips on staying ahead of counterfeiters: • Launch your product in every country on the same date; • If you build up a hype you have to be able to supply demand afterwards, to suck out the air for counterfeiters; • Listen to the market needs and keep improving and differentiating your product all the time; • Register trademarks, design rights and patents in countries where you can expect infringements (including China) and enforce infringements fiercely (including China). An excellent Chinese lawyer with whom we frequently work is of the view that the most effective protection against counterfeiters by far is to trademark your brand and then constantly update it. He believes doing thi ...

China’s Changing Economy Is Changing Everything 2007-12-11 01:16:45 Despite my inability to find anything on it through Google, I am convinced there was a TV show (or maybe a movie) with a character who, I believe, after getting completely dumped on would rise up and fight back, but not before first saying “Now that changes everything.” What show, what movie, what character? I thought of that guy today while reading an interesting post on Danwei, entitled, “Finance and Family Values or, How I Learned to Stop Worrying and Love My Kid.” The post/article was written by Jonathan Rechtman, a freelance writer based in Dalian, whose “writings on China, language, life, and philosophy can be found at The Art of Living.” The thesis of the post is that economic stability is changing China’s family values and, in particular, the parent-child relationship. As the parent of two kids, I could not help but think how obvious this should be, while also thinking it had never occurred to me to apply it to China. Seems that ...