var count function init(initCount){ count = initCount; if(document.getElementById){ for(var i=0; i < count; i++){ if(i==0){ document.getElementById(“bss” + (i+1)).style.visibility=“visible”; document.getElementById(“bss” + (i+1)).style.display=“block”; } else{ document.getElementById(“bss” + (i+1)).style.visibility=“hidden”; document.getElementById(“bss” + (i+1)).style.display=“none”; } } } } function show(index){ if(document.getElementById){ for(var i=0; i < count; i++){ if(i==(index - 1)){ document.getElementById(“bss” + (i+1)).style.visibility=“visible”; document.getElementById(“bss” + (i+1)).style.display=“block”; } else{ document.getElementById(“bss” + (i+1)).style.visibility=“hidden”; document.getElementById(“bss” + (i+1)).style.display=“none”; } } } } China_1I was reviewing on some of the thoughts on the book by Oded Shenker titled " The Chinese Century : The Rising Chinese Economy and Its Impact on the Global Economy, the Balance of Power, and Your Job "

All along there has been a talk on the rise of china and how it is going to restore the economic power status back to China . But now it is happening for real and it has taken some 20 to 30 years to see a trend. If one traces back the history of china, the economic development went through terrible times mainly because of communistic policies and policies of Mao who believed that there need not be any investment in education for sciences and innovation for economic prowess.This became a death knell for china. Pre-1978, there was a period where Chinese imitated the product manufacturing lines of various products and churned out products with a higher quality.

However after 1978 , there was an increasing realization there is only a certain amt of economic growth on the basis of imitation. Hence the investment of govt in the universities, participating in WTO, Joint ventures with MNC while keeping out the foreign players in the production of steel and other basic industries have made China a dominant force in the world.

USA produces Phds at a rate of 4000 doctors per year whereas China produces 20000 per year. This alone talks about the commitment of the Chinese people to restore the pride. There is another psychological component which will probably explain the Chinese power. If one looks at the history of the Chinese people, they were the major power in the before 18th century . However they have been consistently humiliated by USA, western countries, and Japan. In a way, they want to restore their pride rather than capture the power like some countries seem to focusing on

The FDI flowing in the country is also worth looking at. Usually whenever there is a talk of china, its neighbor India enters the conversation. However, a simple fact that for every dollar flowing in to India, 10 dollars goes to China. The book goes on to predict that in the coming 20 to 25 years, China is going to dominate the world economy

and What abt India ? The author is surprised that the democratic form of govt, which generally has a good correlation with the advancement of the nation, has become the stumbling block. Also, the weak infrastructure of India is causing quite a consternation in the FDI Sector and causing the MNCs are using the acquisition route to get in to India. The recent news of GE acquiring a stake in banks is one indicator of firms willing to enter the Indian sector though not thr wholly owned subsidiary route.

Ok, let me get back to china story . Another reason to watch out for china’s potential is the great entrepreneurial nature of chinese. Since the country were in a phase where people were willing to try out something on their own with out technical education, they are in a better position to try out new things with a good technical skillset resources and good infrastructure..

FINALLY . ONE STATISTIC which will hit anyone..

THE 26 MINUTE BIRTHRATE - For every 26 minutes, there is a new factory that’s opened up in China. There’s no doubt that China has become the factory of the world. With the tech prowess also, the predictions made in the book might come true.