Ｓｈａｒｐ Ｅｙｅｓ ｆｏｒ Ｂｏｎａｎｚａ ｏｆ Ｗｅａｌｔｈ

ＬＩＵ　ＱＩＯＮＧ

LIKE any reporter headed to places like Wenzhou today, this writer was prepared for conversations dominated by doom and gloom – how the world financial crisis had martyred the citys small and medium-sized private enterprises. I was surprised to find confidence and optimism prevailing.

Anyone I talked to, whether private entrepreneurs, spokespeople for local trade associations, or government officials, all stressed the positive side of the crisis. Every industry, it seemed, had found a silver lining in the cloud. Zheng Chenai, chairman of the Wenzhou Fashion Association, pointed out the financial crisis has directed the governments attention to small and medium-sized enterprises, prompting an increase in export tax rebates and loan supports to the sector, thus allowing them a respite to regain their feet. Fan Chongguo, secretary for the Board of Directors, Zhejiang Quartz Crystal Optoelectronic Technology Co., Ltd., remarks that the financial crisis has brought down asset prices, providing his enterprise more opportunities for acquisition and expansion.

These are Wenzhou people and Wenzhou spirit, and those like them have been celebrated in literature. The writer Ye Yonglie uses a metaphor to underpin his essay “Wenzhouness in Europe.” The story tells of a Wenzhou ship seeking to deliver a cargo of local crabs to the Netherlands. The Dutch customs ban these imports, so the Wenzhou merchant dumped them into the sea nearby. The stubborn creatures, bent on survival, swam ashore.They settled and thrived where they landed, and a few years later Chinese crabs were found everywhere in the Netherlands.It is remarked that these crabs represent the Wenzhou people.

Another popular tale concerns an old lady who was never able to read or speak Putonghua (standard Chinese), but nevertheless managed, in the early 1980s, to amass a fortune of tens of thousands when the annual income of the average Chinese was merely a few hundreds. She trudged across a greater part of the country purchasing rabbit hair door to door.The problem of her illiteracy was addressed by two slips of paper. The one in her left pocket read, “Im from Wenzhous Pingyang County, please help me buy a train/bus ticket.” The one in her right pocket read, “Im buying rabbit hair. How much is a kilo?”

There are many such stories in Wenzhou, though the precise secret of business success varies from case to case. But one thing they all have in common is that the Wenzhou “clan” member has grasped firmly and resolutely the chances that have come his or her way.

Resourcefulness, resolution and solidarity characterize a Wenzhou business operator. When the financial crisis hit the export-oriented coastal economy, the first legion of more than 20 Wenzhou shoemakers and garment manufacturers turned to cities less profoundly affected, entering Tianjins Maigo Shopping Mall as a holistic entity named “Wenzhou Famous Brands Shopping Center.” Other Wenzhou brands are expected to follow soon. Their aim is to form alliances and focus on penetrating the domestic markets of 100 big and medium-sized Chinese cities.

Far from being ruthless however, Wenzhou people are also known for their generosity and team spirit. News of a business opportunity will quickly spread from home to home and village to village, often mobilizing whole towns into clusters of specialized scale production. Today Wenzhou has 33 such national production bases.

The people of Wenzhou are braving the economic slowdown. They dont need our pity, but deserve our admiration instead – for their sharp eyes and minds, their business savvy and determination. Saying good-bye to them I realized that what the world lacks is not fortune, but the eyes to discover it.

Link: Milestones

The first legal private business: On December 11, 1980, twenty-something Zhang Huamei received the first business license ever issued nationwide to “an individual business household” from Wenzhous Gulou District Industrial and Commercial Administration Office. By 1983, privately owned businesses in Wenzhou made up one-tenth of the countrys total. By 2002, according to a report by the State Administration for Industry and Commerce, privately owned businesses in Wenzhou led the nation in GDP, total sales volume, foreign exchange earnings and trademark registrations.

One of the first cities to open up: In the spring of 1984 Wenzhou was selected one of the first 14 coastal cities authorized by the State Council to open to the outside world.

A legion of migrant merchants: From February 29 to March 6, 1986, renowned sociologist Fei Xiaotong visited Wenzhou and published an article in Outlook Weekly (Liaowang magazine) on the fast changes in Wenzhou, writing: “Among its 220,000 migrant workers, 100,000 are engaged in commerce and form the basic structure of Wenzhous business model: small commodities targeting a huge market.”

Shoddy shoes on the other foot: On August 8, 1987, more than 5,000 pairs of substandard leather shoes made in Wenzhou were set on fire in Hangzhou, a conflagration which “ignited” Wenzhou peoples awareness of quality, ushering in the second phase of Wenzhous development. Interestingly, 12 years later, Wenzhou merchants in Hangzhou set 2,000 pairs of fake Wenzhou brand shoes alight.

The first private guild: In August 1995, the first WenzhouChamber of Commerce was founded in Kunming, Yunnan, acclaimed by well-known economist Wu Jinglian as a “genuine non-governmental commercial body.” Before long, more Wenzhou chambers of commerce appeared across the country.

The first joint-venture railway: On June 11, 1998, the Jinhua-Wenzhou Railway was completed. The project began on December 18, 1992 and was initiated by Nan Huaijin, a Wenzhou native and renowned scholar of traditional culture who raised US $45.68 million for the construction. Admirably, after the railway was completed, Nan Huaijin gave his shares to the Zhejiang provincial government and the Ministry of Railways to honor his “ownership back to people” promise. This rail link ended southwestern Zhejiangs history of being off the beaten track.

A global gathering of Wenzhou people: In 2003 the “World Wenzhounese Conference” was held, attended by 1,488 celebrities from 60 countries and regions. The conference was aimed at pooling strength to boost the towns progress. This was a gathering of historical significance, perfectly illustrating Wenzhou peoples courage, enterprising nature and can-do attitude.