Category Archives: Business


Request for Information about NeoColonialism

Reader NTUNGWA KHUMALO  sent in this question and I thought I would reply in public as it may be of general interest.
Can you send me more information about neo-colonialism?
from NTUNGWA KHUMALO at mosimane@webmail.co.za
Reply Added by Keith Rutledge
I don’t have any specific set of information about neo-colonialism. In general, the term as used in the media […]

Filing Income Tax in China: History in the Making

I just did my tax filing here in China.  This is the first year that anyone can say that, since this is the first ever income tax filing in modern China.  It’s a big deal, obviously, but it doesn’t seem to be raising much stir here.
Certainly, from the historical record, it seems to have been different […]

Labor Shock in China

I just spent a couple of days with some folks from a large US retailer.  They’ve made an acquisition here in China and are figuring out what’s what and what’s not.
One very interesting thing to see was their reaction to the labor — meaning the large amount of labor in place in their acquisition.  For an illustrative […]

What is the right price for outsourcing?

I’ve been musing on this lately … it’s part of my job and it’s interesting.    What is the “right” price for outsourcing?  That is, what is the price where it’s clearly in a company’s best interest to outsource a business function and it’s in a supplier’s best interest to provide the outsourcing?
In principle, it’s […]

M2 and Income Disparity

Referring to the previous post, there is another issue buried under the money supply here in China. Who has the money is really important, to state something that is “intuitively obvious to even a casual observer.”
In China, the rural poor clearly don’t have the money, so even a cursory per capita money supply analysis by group will show […]

Business and Ethical Implications of Outsourcing to China

I was recently asked to speak at a conference in Europe on outsourcing.  They wanted me to speak on the “business and ethical” implications of outsourcing to China.  I couldn’t go because of calendar issues, but it set me to thinking.
It seems to me to be a peculiar point of view.  The point of view […]

Statistics on China

It can be difficult to find reliable statistics on China. 
One source you should know about is the National Bureau of Statistics of China.  This site has the official data. You’ll find it at http://www.stats.gov.cn/english/index.htm
There is news, monthly updates, comprehensive statistics on most every topic, and more.  It’s a useful site.  Get the data yourself and impress […]

Perspective on GDP

U.S. Federal government spending in 2006 will be larger than the entire economy of China. 
Brian Wesbury (Chief Economist at First Trust Advisors in Lisle, Illinois) wrote yesterday (17 October) on the opinion page of the Wall Street Journal (US Edition: http://www.wsj.com) that the US Government spending for 2006 will be about 2.7 trillion dollars.  That’s larger than the GDP […]

Bravado and Business: The Effect of the DPRK Nuclear Test on China’s Business Climate

I’m in the US this week, doing a series of client visits.  The question everyone keeps asking is “What does China think about the North Korean nuclear tests?” I’m usually verbose, even prolific, about such issues.  Mostly, there’s no issue that I can’t muster an opinion and likely some bombast on.  But, I find my replies […]

Electronic Payments (or Not)

I went to pay my credit card bill a few days ago.
It sounds strange, doesn’t it, to western ears. We are so accustomed to other payment vehicles that we don’t think of “going” to pay a bill. But, I tried three times to electronically transfer the money from my bank to the credit cards bank […]