However, it also highlighted the different ways in which people of color in the USA are suppressed through political representation and voter suppression. Half of the representatives in Congress are millionaires with their median net worth reported to be more than a million. ProEssays website, please click below to request its removal: Liked this essay sample but need an original one? China's Transition from Socialism? After observing how other nations are doing well under democracy in the international market, countries with command systems are now doing all they can to change this even if it means giving up some of their traditions. This is the best approach for one to have and ensures that its partnerships remain everlasting. In 2020, a year of severe difficulties all over the world, there was no significant increase in Chinese corporate defaults. This is a natural outcome of the decline in U.S. strength. Political credibility and economic development. Its just not liberal reform. HBR Learnings online leadership training helps you hone your skills with courses like Global Collaboration. Some have expressed optimism that Chinas need for control will lessen after theyve proved their worth as partners. By the 1980s she was in the first generation to go back to university, and even took part in the Tiananmen Square demonstration. As a result, economic growth came in tandem with social progress (through, for example, legislation protecting individual choice and minority rights), which made it easy to imagine that they were two sides of a coin. However, as the world is constantly moving towards a market-based system, the country had to switch to this system that allowed it to increase economic and still maintain its communist status. Economic and Political Differences: China VS. United States. China has also defied predictions that its authoritarianism would inhibit its capacity to innovate. The economic nationalism model that ultimately serves U.S. economic interests. It often compares itself to brands with which Westerners are familiar. Political credibility and economic development. It is also the duty of the representative republic to inform its citizens of their rights, and the candidacy for the elections needs to be transparent since city council members to local judges to mayors, and state legislators are all appointed through voting in the United States. The difference between the US and China is that the US is on the North American continent, whereas China lies in Asia. No personal data is being tracked. And the party has always believed in and emphasized the importance of Chinese history and of Marxist-Leninist thought, with all they imply. The Chinese premier less so. Shan: Despite initial blunders, China has handled the coronavirus pandemic well through strict lockdowns and mass testing. However, it is important to compare and contrast countries to see which policies are working in the best way and what can be changed. Between 1990 and 2009, investment from China to all of Latin America was about $7 billion. : Statist Legacies and Market Reforms, 1980-90: Statist Legacies and Market Reforms, 1980-90. In China, the legal system "is based on civil laws" (Nolan, 2012). The closing meeting of the fifth session of the 12th National People's Congress is held at the Great Hall of the People in Beijing . Today the differences are arguably a lot smaller, and there are many areas in which the two can benefit from cooperation. China has stolen American jobs, the thinking goes, so we oppose China. . Hence, we need to understand, compare, and learn from leading values in China's political culture. Sorry, but it's not possible to copy the text due to security reasons. Routledge. Eighty percent of the Senate and House of Representatives are male, while only 20 percent are either women or people of color. For liberals (in China and elsewhere), this is an appalling prospect; but for many ordinary people in China, its a perfectly reasonable part of the social contract between the individual and the state. And only the U.S. can threaten Americas economic supremacyby underinvesting in its own infrastructure and by limiting trade. She was a Red Guard as a teenager, screaming adoration for Chairman Mao while her parents were being re-educated for being educated. Nevertheless, these changes do not seem to stand any chance of influencing its foreign policymakers, who remain convinced of their system's superiority relative to all others. Seventy years on, many Chinese believe that their political system is now actually more legitimate and effective than the Wests. It is, therefore, against nature itself and arguably a violation of international human and legal rights for anyone to attempt to get rid of diversity, which is exactly what the U.S. is trying to do all across the world through its messianic zeal in imposing its political system onto all others. But surely gun shops being essential service during a huge medical virus shutdown is the height of insanity at this moment on this planet. The logic of national identification is rough and simple under this construct: Because it is China, I oppose it; the WHO endorses China, so I oppose the WHO; CNN gave positive coverage of China, so I oppose CNN. Springer. The CPC runs the country while the other non communist parties play the role of participatory. The founding fathers of USA forecasted their nation to be one that respects and follow basic human rights and Biblical ideas as guidance. Thus many Chinese consumers prefer the short-term gains of the stock market to locking their money away in long-term savings vehicles. The executive branch of the government holds the highest position of head of state and the cabinet as well, which is appointed by the National Peoples Congress. Today he is the CEO of PAG, a $40 billion private equity firm based in Hong Kong. Hence the public debt as a percentage of GDP is higher for the U.S. relative to China and the. This approach is counterproductive and has generated immense resentment against the U.S. across the world. These are valid points and deserve to be expanded upon in order to enlighten others further. A candid observer of Asian society and business, Shan is the author of Out of the Gobi: My Story of China and America and the newly published Money Games: The Inside Story of How American Dealmakers Saved Koreas Most Iconic Bank. China is more corporatism, which is the organization of society by corporate groups such as military and agriculture, which can even be seen through its different selective assemblies and congresses. However, there are usually lawful ways to get around that. Obviously, as an economy develops and new problems emerge, all social systems need certain reforms. New York: McGraw Hill/Irwin. Some of these challenges are brought about by differences in legal, political and economic systems of different countries. Our own experiences on the ground in China confirm this. The legal system of a country plays a key role in terms of its marketing and investment opportunities. A democratic state is supposed to be free and fair, and the President of the country is also chosen by the citizens to lead them through the crisis and to provide them with basic necessities and human rights. This plays out every time a Western company negotiates access to the Chinese market. This package reveals much that may surprise them. The complete Spotlight package is available in a single reprint. Investors anywhere should invest in a socially responsible way to advance human rights, adhering to a high standard for labor practices, gender equality, investment in human capital, and charitable contributions. However, the beliefs and positions of political parties change over time, so . The United States has a democratic system, but in countries . In the China-U.S. ideological competition during the pandemic, what the U.S. seeks is not all about U.S. leadership in the international community nor U.S. economic benefits but rather coping with its identity crisis. The task, in both China and the West, is to reduce the gap between the ideal of basic human rights and the reality. The geographic location of a country, its educational, political and legal systems plays a key role in the economic well-being of a country. 55-64). When Nixon first visited China, in 1972, the differences between the two countries were vast, in political and economic systems and of course in ideology. However, the country does have branches of government that also include the executive, legislative and judicial branches of government. From the depth of their hearts, Americans confront the reality that the beacon of freedom has to learn from the authoritarian government of communist China in some respects. Not blaming China means indirectly acknowledging U.S. shortcomings, which could be explosive in U.S. partisan politics. It seems that the only country that can stifle Chinas growth is China itselfif it makes major policy mistakes. (2012). Entry to the CCP and to a university involves compulsory courses in Marxist-Leninist thought, which has also become part of popular culture, as evidenced by the 2018 TV talk show Marx Got It Right. For instance, a business that wants to invest in China from the US, it must be prepared for more restrictions and should not expect Chines courts to consider the condition that leads to a certain situation since their law does not permit this. First, the similarities among both countries institutions would be the hierarchical construction of their judicial system; the separation of three branches of . Access more than 40 courses trusted by Fortune 500 companies. Where can it move its production if the target market is China? China, however, has been able to sustain and grow its economy as much as it practices a command economy. As market research consistently tells us, the majority of individual Chinese investors behave more like traders. Such ideas may appear very different from the outward-facing, Confucian concepts of benevolence and harmony that China presents to its international, English-speaking audience. It will take years if not decades for China to catch up in some areas, at great cost. (b) The national average SP of CO2 is 266.8 US dollars per ton, which is much higher than the carbon price in the emission trading system. Regardless of who wins, it is unlikely that one of the . Western systems are . Accept that economic development in China will not inevitably lead to democracy; acknowledge that the Chinese regard their government as both legitimate and effective; and recognize that while Chinese consumers have short-term horizons, their rulers are focused on the countrys long-term security. for only $16.05 $11/page. Political discourse in China remains anchored in Marxist-Leninist ideas of struggle (douzheng) and contradiction (maodun)both seen as attributes that force a necessary and even healthy confrontation that can help achieve a victorious outcome. Collectivism means that the needs of an individual are not emphasized as compared to those of the society and not until recently, most rights of Chinese citizens were not realized. The point is that a China-based supply chain has proved a blessing, not a curse, in this pandemic. The ideological debate that followed was perhaps inevitable. Eligible voters are chosen through a register for rural and urban voters to make the process easier, and smaller elections have a number of 200 to 300 voters while the larger level can have up to 1000 voters. Decisionsby both individuals and the stateabout how to invest all serve one purpose: to provide security and stability in an unpredictable world. Even though the nominations are provided by the CCP, citizens can vote for their township and village elections, and in some places, there are direct elections. Its monetary policy is reasonably tight, with the yield on government bonds about 3.5 times that on U.S. Treasuries. The basic structures of both legal system are extremely similar. PAG invested about $100 million in a digital music business in China a few years back which subsequently merged with a similar business and changed its name to Tencent Music Entertainment. A Marxist system is concerned primarily with economic outcomes. As Western attention focused on the deepening ties between China and Russia and the potential transfer of Chinese military aid to Moscow, Belarusian ruler Alyaksandr Lukashenka embarked on a three . Does the U.S. even have the power to hurt China economically? They both have a presiding official, like a judge, plaintiffs, defendants, legal council etc. Weijian Shan was born in China and had his life upended by the Cultural Revolution. Even though both countries are different in every way, they are still recognized as each others competition in the International Arena. One reason that many people misread Chinas trajectory may be thatparticularly in the English-language promotional materials the Chinese use overseasthe country tends to portray itself as a variation on a liberal state, and therefore more trustworthy. American companies will do so only if U.S. tariffs become more penalizing than moving would be. From the U.S. perspective, upholding the banner of freedom and democracy no longer matters. Why do leaders in the West persist in getting China so wrong? However, the long-term effects cannot be fully accessed at the moment. Even though China has a one-party state, it, however, has eight independent political parties that are controlled by the CCP (CIA, 2020). The top 10 American semiconductor chip makers sell about three times as much in China as in the United States. A cleaner in Chongqing now owns several apartments because the CCP reformed property laws. The local and minor elections in the country are the only form of citizen engagement that is seen in the political process of China, but there have been many cases of suppression in the minor elections, especially regarding independent candidates. As the United States is considered a representative republic, citizen engagement is all the more important and starts with providing the citizens of the country, regardless of gender and over the age of 18, the right to vote for their communities in the form of local elections that can elect congresses that represent their towns and constituencies as well in the Presidential election for the various arms of the executive branch. Avoid editing or writing from scratch! They dont know how capitalist China is. At 22,000 miles, it is twice as long as the rest of the worlds combined. References Borner, S., Brunetti, A., & Weder, B. For example, a 2015 survey found that 81% of them trade at least once a month, even though frequent trading is invariably a way to destroy rather than create long-term fund value. Learn how to overcome barriers when working globally. Economic and macro-political changes happening globally is something that international business management must consider before doing business since it will influence the decisions that they make regarding their business. The Communist Party of China (CPC) harbors no supremacist beliefs and doesn't plan to export its governing model abroad. But at every point since 1949 the Chinese Communist Partycentral to the institutions, society, and daily experiences that shape all Chinese peoplehas stressed the importance of Chinese history and of Marxist-Leninist doctrine. If you are the original author of this essay and no longer wish to have it published on the Sometimes, in fact, it must sacrifice economic benefits for political or military ones. Hire a professional with VAST experience! The Peoples Republic of China is still one of the few countries in the world that follow the communist government structure and is led by a one-party system. Shanghainese are up-to-date on the newest trends, whereas Beijingers prefer Qing Dynasty fashion. The difference in efficiency between the central and local groups is significant. China now has better highways, rail systems, bridges, and airports than the United States does. Disclaimer: ProEssays.net is a custom writing service that provides online on-demand writing work for assistance purposes. Chinas is the only major economy that requires no special approval for foreign direct investments, although some sectors, such as Lived Change media and the internet, are on a negative list that restricts them. China and the global economy. As to the orientation of a new era, however, the Trump administration has yet to offer any answers or insights. Solve your problem differently! Eager for experience, she took a job as an investment analyst with a Shanghai-based foreign asset manager, but despite a long-term career plan mapped out by her employer, she left that company for a small short-term pay raise from a competitor. This, of course, mirrors the role of U.S. defense and intelligence spending in the development of Silicon Valley. Looking into the future, the path for China-U.S. cooperation will become more tortuous owing to the nationalist ideological struggle triggered by the coronavirus. They dont know how socialist it is, with its Social Security system and its policies to tax the rich by collecting capital gains taxes. The CPC runs the country while the other non communist parties play the role of participatory. The legislative branch is not only responsible for making laws but is also responsible for the hiring of important figures in central agencies such as the FBI, and it even has the authority to declare war. We have both sat in meetings where business executives, particularly in the technology and pharmaceutical sectors, expressed surprise at Chinas insistence that they transfer ownership of their IP to a Chinese company. The United States and China are different in almost every way in their social norms, administrative policies, economic reforms, and the vastest difference in their political ideology. Therefore, a country's political system can be assessed effectively by using aspects such as collectivism or individualism and totalitarianism or democracy. In the early 2010s she started moderating her previously outspoken political comments on Weibo as censorship tightened up. Solinger, D. J. They still blame foreign interference for many of their misfortunes, even if it occurred more than a century ago. But the state-owned sector remains too big and inefficient. Westerners failure to appreciate this explains why many still expect China to reduce its role as investor, regulator, and, especially, intellectual property owner when that role is in fact seen as essential by the Chinese government. The Chinese political system is dominated by multiparty cooperation as well as political constitution under the direction of the Communist party of China (CPC), but the USA is governed by the western style of multiparty system. In much Western analysis the verb most commonly attached to Chinas reforms is stalled. The truth is that political reform in China hasnt stalled. But its also conspicuously different: The concept of U.S. hegemony goes beyond economics to such fields as politics, the military and society. In conclusion, it is not possible to have a unanimous decision on which political and economic practice is best for the entire universe. Citizen engagement is a necessary facet of not just American politics but also a democratic state. That figure is higher than in all Western countries (for example, only 53% of U.S. individual investors trade this frequently); its also even higher than in neighboring Hong Konganother Han Chinese society with a predilection for gambling and a similar, capital-gains-tax-free regime. Many in the West accept the version of China that it has presented to the world: The period of reform and opening begun in 1978 by Deng Xiaoping, which stressed the need to avoid the radical and often violent politics of the Cultural Revolution, means that ideology in China no longer matters. In Vietnam, there are three different people. Dictatorship, Gun Control: Legal, Psychology and Political Viewpoint, Difference Between Criminal and Civil Court System. Doing business in emerging markets. Bidens proposals have been criticized as new wine in old bottles, and a kind of tinkering; Trump is regarded by Henry Kissinger as marking the end of an old era. The elite theory focuses on the notion that only a select group of people actually run the government, which are considered elite, while the pluralist theory states that political power is rather shared between the influencing parties. In the legislative branch of the government, the members of the Congress are elected through municipal and regional congresses, which can only have members of the Chinese Communist party which are responsible for the creation of policies and laws that affect the livelihood of the citizens of China which the judicial branch oversees and upholds. The space for the two sides to compromise and collaborate has narrowed extremely rapidly. The country itself remains so diverse that some minority groups even have their own autonomous administrative divisions which include regions, prefectures and counties. The civil law system only allows the judge to make his or her judgment basing on the law and should not consider other factors surrounding the business. You cant become a senior leader in China without having proved your worth as a manager. The Chinese political system is dominated by multiparty cooperation as well as political constitution under the direction of the Communist party of China (CPC), but the USA is governed by the western style of multiparty system. In terms of political system, China is unique to all other countries in the world since up to date it is still run by a Communist party (Nolan, 2012). China is among the most open markets in the world: It is the largest trading nation and also the largest recipient of foreign direct investment, surpassing the United States in 2020. Federal and state governments wrangled and blamed each other over the pandemic response, exposing public discontent with the efficacy and legitimacy of the government, as well as the internal strife in society. Born in 1955, she experienced as a child the terrible Great Leap Forward famine in which 20 million Chinese starved to death. This clear disconnect is attributable to the so-called "culture war" that's spiraled out of control over the past year and has led to profound changes in American society since then. In our work we have come to see that people in both business and politics often cling to three widely shared but essentially false assumptions about modern China. The differences in the political orders of China and the United States are "irreconcilable", making it difficult to keep relations between the two countries on a stable track, a leading. Does that create new investment opportunities? Unfortunately, you cant copy samples. Any shift in supply chains will be gradual and partial, because its very costly to move from the most efficient supplier to the second or third best. Sage. Most significantly, the British have a democratic parliamentary government, headed by a monarch and prime minister. Recognizing that the authoritarian Marxist-Leninist system is accepted in China as not only legitimate but also effective is crucially important if Westerners are to make more-realistic long-term decisions about how to deal with or invest in the country. Much of Donald Trumps rhetoric and his actions on China were meant to deflect attention from his leadership failures at home, such as neglecting his duty to protect the public from the coronavirus. Additionally, the paper will also give examples of economic and macro-political changes and show why market-based systems are being adopted by transition economies. Not completely and not without very high costs. Chinas Good War: How World War II Is Shaping a New Nationalism. Is it that Chinas development doesnt conform with the values of freedom and democracy, or that Chinas growing strength is a threat to U.S. hegemony? In this system, the courts depend on the set legal codes by which the juries are only allowed to make their judgment basing on these codes. But this argument overlooks some fundamental differences between China and the United States, Japan, Britain, Germany, and France. That leaves much room for growth and many opportunities for investors, particularly in businesses that cater to consumers. Are you seeing a significant shift in supply chains out of China? The White Houses China-bashing is more about a fight for self-identification than about exonerating the Trump administration. China has been shifting away from an investment-driven growth model to one led by private consumption. Majority of China's production companies are owned and managed by the government. China's lead over the U.S. is especially clear in Germany, the Netherlands, the Czech Republic and France, where people are at least 10 percentage points more likely to see China as the leading economy. Nolan, P. (2012). If a business is successful, its usually open to taking outside capital so that it can quickly expand nationwide. The U.S. continues to vilify China, and China does itself no favors with its poor policy on human rights. Although many in the West may believe that China sees only opportunity in its 21st-century global plans, its motivation is very different. If China were concerned only with economic outcomes, it would welcome foreign businesses and investors and, provided they helped deliver economic growth, would treat them as equal partners, agnostic as to who owned the IP or the majority stake in a joint venture. 13 Cultural Differences Between the U.S. and China Social Structure Confrontation/Conflict Self Face/Reputation Business Relations Morals Recognition of the Dead Humility Time Sensitivity Respect Multiculturalism Lack of Personal Space Respect for Elders 1. HBR: Chinas economy seems to be the healthiest in the world at the moment. 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