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Traders Pursue Win-Win in Expanding Business Overseas

A delegation of entrepreneurs from Wenzhou, in east China's Zhejiang Province, were organized in July to visit Elche, a city in the southeastern Spain with a sole aim to improve understanding between shoe makers in both countries.

In September last year, shoe warehouses in Elche, with financing from business people of Wenzhou, who used tactics such as prolonged business hours and monopolized the production chain -- from shoe production in China, exports to Spain, imports in Spain, as well as marketing in Spain -- in order to realize exorbitant profits, were set on fire by angry demonstrators.

Xie Rongfang, secretary-general of the Footwear and Leatherware Association of Lucheng District, Wenzhou City, said, "The fire in Elche a year ago has awakened us to be aware of the importance of achieving a win-win deal for all partners concerned. The benefit-sharing mindset is conducive to removing barriers in international trade."

In that trip, the business people of Wenzhou were informed of Spanish folkways and culture, as well as the ethics of doing business in Spain. Their Spanish counterparts were briefed on the market operation of Chinese private businesses.

Also during the trip, the Chinese business mission voiced its readiness to help Spanish shoe-making firms expand the Chinese market by supporting them in starting up new workshops in Wenzhou, and making famous Spanish shoe brands complementary to China's rich resources for production.

Liu Guangzhong, head of the association of shoe makers of Chinese origin in Spain, said many Chinese investors in Spanish enterprises had adjusted their ways of doing business, including hiring locals to work with Chinese businesses and eliminating competition using lowered prices or prolonged business hours.

The sincerity the Wenzhou delegation made a good impression on the Spanish shoe-making entrepreneurs.

Last month, a Spanish shoe-making delegation attended an international footwear, leatherware and equipment exposition held in Wenzhou.

Rafael Calvo Rodriguez, chairman of both European Union Shoe-Making Confederation and Spanish Shoe and Leather Association, suggested a coordinative committee be formed between the Chinese and Spanish in order to solve all problems cropping up because of different social and cultural backgrounds.

Chen Mei, chairman of the board with Zhejiang Saina Corporation, said a win-win awareness came from mutual trust.

Saina Corporation, a leading producer of working footwear in China, which is listed by the European Union as one of the Chinese firms cited for anti-dumping action, is prepared to refute the dumping charges of the EU.

"We welcome the EU to carry probes in China which might help Europeans be acquainted with the work style of private Chinese companies," said Chen, who also hoped more shoe making firms from the EU could share profits with his company by way of building ventures in China via investments or a pledge of technologies.

(Xinhua News Agency October 10, 2005)

Spanish Arson a Warning to 'Made in China'
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