I am delighted to announce that The Chinese Dream 2nd edition, with Foreword by Lord Wei, will be out soon. The 2nd edition has new materials, updated data and more stories.

Below is the new Foreword by Lord Wei:

Foreword

Helen Wang’s book represents a powerful contribution to a timely debate about China’s role in the world and how changes wrought by her rising middle class will affect us all. In the past the Chinese Dream spoke of centuries of innovation that have given us gunpowder, beautiful ceramics, and gigantic monuments that speak of the Middle Kingdom’s civilization, inventiveness and its ability to organize its affairs over a vast land mass and population covering many millions.

The Chinese Dream today as portrayed in Helen’s book speaks of a changing China that is discovering consumerism, that is increasingly globalised, and also at a crossroads. Will her path in years to come continue to be one that resembles that of Western countries with all the benefits of further urbanization, wealth, and industrialization, but at the same time challenges in managing scarce resources, population migration, and the social problems that affluence can bring, elsewhere called ‘Affluenza’? Or will the Chinese people themselves inside and outside China create a new sustainable Chinese Dream, based on their ancient values of respect for culture, family, and nature, harnessing technology and creativity?

Only time will tell, but Helen’s book gives insights into how middle class Chinese consumers are thinking, what they are buying, and the lifestyle pressures they are facing which hints at the possible paths ahead. Over time the symbols of the Chinese Dream will emerge, just as red pillar boxes and the English countryside did for the British Dream in the 19th century and white picket fences and jeans have for the American Dream in the 20th century. The enduring symbols of the Chinese Dream are being invented at this very moment in time.

Above all, and whichever Dream emerges, Helen’s book is a reminder of how China’s destiny and that of the rest of the world are now inextricably linked, in a Oneness, that can no longer be ignored. To act in ignorance of this interdependence could tear the world apart; embracing it on the other hand may provide a way out of the many challenges we face in the early 21^st century. If Chinese and non-Chinese can build on their mutual strengths and come up with innovative solutions that bring together the best of the East and the West then we will all increasingly benefit from the Chinese Dream.

Lord Wei of Shoreditch

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In this three minute vedio, Stephen Roach, a professor at Yale University and former nonexecutive chairman of Morgan Stanley Asia, summarized one of the key points of my book The Chinese Dream:

China is well on its way to “create a consumption dynamic that will outstrip the growth of any consumer market in the world,” how the U. S. should embrace the opportunity, and why improving the China–US bilateral relationship is so critical for the economic future of both countries.

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Recently, I participated in an International Speech Contest at a Toastmasters Club. Although I didn’t win the contest, it was a great experience. Below is a video of the speech:

Please post your comments and feedback in the comment area below. All are welcome!

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I will be speaking at Bay Area Council in San Francisco on March 22, at their luncheon series “How to Do Business in China.” See the details below:

The Bay Area Council is a business-sponsored, public policy advocacy organization for San Francisco Bay Area. Founded in 1945, the Bay Area Council has more than 275 of the largest employers in the region and is widely respected by elected officials, policy makers and other civic leaders as the regional voice of business in the Bay Area.

Please join me:

When: 12:00pm – 1:00pm, March 22, 2012

Where: Nixon Peabody LLP, One Embarcadero, 18th Floor, San Francisco, CA

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Happy New Year, everyone! May 2012 bring you much happiness, success, and prosperity!

As an upbeat note of the new year, I will be speaking at the Authors’ Luncheon at Los Gatos – Saratoga branch of American Association of University Women (AAUW) on January 25. See below a flyer for the event:

When: January 25 at 11:30 am – 2:30 pm

Where: La Rinconada Country Club, 14595 Clearview Drive, Los Gatos, CA 95032

For over 130 years, AAUW has advocated a fair chance for women and girls by breaking through their educational and economical barriers. What a honor to speak at such a wonderful organization! Click here to see the registration details.

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On December 6th, I was on BBC World News to discuss eurozone debt crisis and how the Chinese middle class can help re-balance the West’s economy.

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On December 5th, I spoke with Lord Wei at Asia House in London on the impact of China’s middle class to the West and the meaning of a new Chinese Dream. Sir John Boyd, chairman of Asia House, introduced Lord Wei and me at the event. Below is the speech I gave at the event.

Thank you, Sir John Boyd, for your kind introduction.

First, I’d like to thank Lord Wei and Asia House for hosting my book launch here. It’s such an honor for me. Thank you very much!

This is my second time in London. London is a special place for me because, as a native Chinese, my first exposure to the Western world was through Dickens’ novels and Shakespeare’s plays. I remember the first time I visited London in 1993, I made a point to visit the Dickens House and Shakespeare’s home.

Today, I come to London at a very different time. The West’s economy is faltering. The eurozone debt crisis is looming large. Yet, I believe the biggest story of our time is not Italy’s default, or occupying London. Although these events are very significant, there is another story that has far-reaching implications – the rise of China’s middle class.

Do you know that the Chinese middle class is already five times the size of the UK population? In fifteen years, the Chinese middle class will reach 800 million. It will change the dynamics of the world we live in, and have huge impact on everything – our life, our jobs, our economy, and the world.

Today, I’d like to talk about three things: First, I will tell you a little bit about myself – who I am, and why I wanted to write this book. Second, I will tell a story about people I interviewed in China to give you an idea what it is like to be middle class in China. Third, I will discuss briefly the main thesis of the book: “the Oneness of the World.”

During the speech, please excuse my references to my adopted country across the pond, because it’s part of my experience. I hope I would not offend you by that.

Well, I am originally from China and grew up in a city called Hangzhou. How many of you have been to China? or Hangzhou? For those of you who have been to China, you would know that Hangzhou is known for a beautiful lake called West Lake.

I grew up hearing people say that Hangzhou is a paradise on earth. But I was oblivious to its charm. The stillness of the water seemed lifeless to me, and I was desperate to leave the country.

Twenty years ago, China was a very different place. We had very little information about the outside world. I was studying in college at that time. By chance, I came across class reading materials that included Abraham Lincoln’s “Gettysburg Address” and Martin Luther King’s “I Have a Dream” speech. It was an epiphany for me. I may not have fully understood the significance of these speeches, but something in them touched me profoundly – all I knew was that I wanted to go to that great country!

In 1989, I went to the United States to pursue my graduate study. To me, it was a dream coming true. A couple of weeks after I arrived in the States, I went to Washington DC for a conference. I was very excited to visit the White House, national museums, and memorial parks. As I stood at the Lincoln Memorial and read the Gettysburg Address, the reality that I was really in a free country finally hit me. I found myself at a loss for words.

Later that afternoon, I took a walk on the National Mall. Along the way, I bought a sandwich, and was about to sit down on a bench to eat my lunch. I was thrilled to see birds flying so closely around me. Suddenly, a bird dove toward me. Before I realized, it grabbed a big chunk of my sandwich and flew away. I was shocked, and thought to myself: “This is indeed a country of freedom. Even a bird can pick on me.”

In China, this would be totally impossible. All the birds are afraid of people. They would never dare to be near any person, not to mention to rob food from a human’s hand. Otherwise, they would likely end up on someone’s dinner table.

I remember, when I was a child, I saw a young boy who caught a bird, wrapped it in wet mud, and choked it to death. Then he threw it on a hot coal stove and cooked it for his dinner. We were all excited, screaming and jumping around while we watched the boy roast the bird. It didn’t occur to any of us that this was inhumane, cruel, or perhaps even a violation of animal rights.

In a country where food was rationed, some people were starving, and eating meat was considered a luxury, the concept of protecting animals did not even exist back then.

Twenty years later, China has changed to a very different country. Each time I go back to China, I see amazing changes. It struck me that when I left China 20 years ago, there was no Chinese dream. I had to leave my country and go to America to pursue my dreams of a better future. But today, many young people in China can start their own businesses and have a lot more opportunities.

At the same time, however, I found increasing fears in the West about China’s spectacular growth. While some fears might be legitimate, most fears are unrealistic or due to misunderstanding. But these fears can be a self-fulfilling prophecy, and they are a source of global instability.

As a Chinese native and an American citizen, I feel compelled to bridge the difference in understanding between China and the West, because I believe the world’s stability and prosperity will depend on how well China and the West understand each other , trust each other, and learn from each other.

So, The Chinese Dream, taking its title from the American Dream, shows that many of these fears are misplaced. It deconstructs many myths about China, and offers an alternative view that the rise of the Chinese middle class provides a balancing force for the world economy and is a catalyst for us to realize our global oneness.

In writing this book, I traveled all over China and spoke to more than 100 people. The book features interviews of Chinese entrepreneurs, rural migrants, office workers, managers at state-owned companies, executives at foreign-owned firms, Communist party members, and government officials. In order to gain a clear view of China today, I also provide a careful analysis of social and political forces at work in Chinese society, as I take you on a journey to many places that reflect my own life-changing experiences.

Now, I’d like to tell you a story about Chinese consumers.

On a trip to China, after passing through the security check at San Francisco International Airport, I went into the first duty free store I saw on the concourse – Gucci. I saw two Chinese women trying on different pairs of shoes. Because they spoke my native tongue – Mandarin, I knew they were from China.

One of the women brought a pair of shoes that cost $475 without any hesitation. After they left, I chatted with the saleslady at the store. She told me that many Chinese had bought luxury goods in recent years. The day before, she sold a purse for $1,200 to a Chinese woman. The woman bought the purse for her daughter, who was studying in college in the States. She wanted her to impress their neighbors when they returned home.

After I boarded the airplane, I settled into my seat in economy class. Then I saw the woman who bought the Gucci shoes walk down the aisle, carrying many fancy boxes from Gucci, Versace, and Fendi. I thought to myself, if I could afford a pair of shoes for $475, I would be sitting in first class.

I was curious. So, I started a conversation with her. I learned that she worked in a government agency in Beijing. She and her friend were in a tourist group that toured eight U.S. cities in 12 days. She said many luxury products she bought were for her friends – they gave her a shopping list before she came.

I knew people who worked in government in Beijing making about 5,000 yuan a month, which was about $800. How could people with that income afford luxury goods that cost thousands of dollars?

Here are three truths about Chinese consumers:

First, Chinese have more money than you think. Chinese households hide “grey income” that is never reported. For example, many state companies give big bonuses that are not accounted for as official salary.

Second, Chinese are status conscious people. They would pay premium prices for products and services that can enhance their “status.” But for products and services that their neighbors and friends cannot see, they would be very price conscious. For example, the woman who bought Gucci shoes would not spend more money on first class airfare.

Third, the next big opportunity is in smaller cities. Recently, I visited a second tier city in Western China, called Chengdu, with about 5 million population. At Chengdu’s downtown, you can see big signs for “Cartier,” “Louis Vuitton.” Chengdu’s retail was booming. And China has hundreds of cities like that.

A recent Credit Suisse report indicates that Chinese consumption will reach $16 trillion by 2020, and China will become the largest consumer market in the world. This shows how big the opportunity is in China. That’s why I said the rise of China’s middle class is the biggest story of our time.

Now, I’d like to spend a few minutes to discuss the main thesis of my book: The Oneness of the World.

Because I am a Chinese native and American citizen, I have straddled two cultures and lived at the crossroads of the East and West. My personal experience tells me that the differences between the East and West are more complementary rather than contradictory.

For example, for years, the Chinese economy has been heavily dependent on investment and exports. Many Chinese save a big chunk of their incomes for a raining day. On the other hand, people in the West have been spending beyond their means for decades.

We know that the West’s economy is imbalanced with excessive borrowing. The Chinese economy is also imbalanced – but with the opposite problem, such as over-saving.

Both the Western and Chinese economies need to rebalance, and this process has already begun. The Chinese middle class is creating enormous opportunities for Western companies selling into China. As this process unfolds, the Chinese economy will rebalance from over-saving, and the West’s economy will, hopefully, rebalance from over-spending.

When major economies, such as the UK and China, with opposite strengths and weaknesses can rectify and fortify each other, the world will be able to thrive on a virtuous cycle of globalization. This is what I mean by “the Oneness of the world.”

To summarize what I said, the rise of China’s middle class is the biggest story of our time. It will inevitably disrupt the world, as the dynamics of the global economy, environment, politics and culture will be altered. But The Chinese Dream offers a hope. It calls for the recognition of “unity in diversity’, and shows the incredible opportunities that await the world, if a spirit of oneness and understanding can be brought to bear on relationships between China and the West.

In closing, I would like to leave you with a final thought, which goes back to the reason I wrote my book The Chinese Dream.

I love China, because China is the country where I was born and grew up, the country where I have blood connections, and the country that has made me who I am.

But whenever I am in China, I find I love America more than ever, because America is the country where I have found my dreams, the country that gives me a new spirit, and the country that has made me more than who I am.

I believe that the world is becoming increasingly interconnected and interdependent. As I said earlier, the world’s stability and prosperity will depend on how well China and the West understand each other, trust each other, and learn from each other.

So, I invite each one of you, and encourage you, in whatever endeavor and capacity, to make a difference by becoming a bridge between China and the West, because the world’s stability and prosperity depend on it.

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Upon the invitation of Lord Wei, a member of the House of Lords in the UK, I will be speaking at Asia House in London on December 5th. I am very honored that Lord Wei will share the stage with me and have a conversation about the Chinese Dream. Please see the invitation below:

Lord Wei is the youngest member of the House of Lords and a former adviser with the UK Government on the Big Society project. Due to his extraordinary work as a community leader, he was appointed a life peer at age thirty-three by Prime Minister David Cameron.

Register at:  http://thechinesedream.eventbrite.com

I will also be attending the House of Lords to discuss with Lord Wei the future of the Chinese dream, and how overseas Chinese can help bridge China and the West to create a more balanced and sustainable world.

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I will be speaking at San Jose State University on November 8th, 2011. The topic of my presentation is “The Biggest Story of Our Time: The Rise of China’s Middle Class.” I will give an overview of the demographics of the emerging Chinese middle class and discuss what the rise of China’s middle class mean for entrepreneurs.

The event is hosted by International Business Association, a student-run organization. Please see the event details below:

When: Nov. 8, 2011, 6:00 pm

Where: Science Building 164 (SCI 164), San José State University, San José, CA 95192

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