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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum -- Ignore unavailable to you. Want to Upgrade?

To: TobagoJack who wrote (71691)	3/8/2011 9:32:23 AM
From: elmatador	Read Replies (1) \| Respond to of 217541

China's Achiles Heel is government-to-government deals. Remember "Yankee go Home"? Yes, that what LATAM use to tell the US when it acted government-to-goverment. The risks for the Chinese doing business in China skyrocketed. It is going to become more and more expensive to do business in Africa for China. People in countries China invests, ressent this government-to-government deals because populaces see their government as not legitimate to negotiate such deals. Chinese deals become not legitimate by association. It is just a matter of time to backfire. In China, the internal deals brokered by goverment officials are seen as benefitting the Chinese people and companies associated with government. In China, government has legitimacy and what goverment does is seen by the general Chinese populaces as beneficial for the overall common good. This should not be seen as permanent condition though. Time will come when the populaces will not be so weakened and poor and they will come after the government ofiicials - the system as a whole- as new generations who had not seen communism passed to them by their parents grow up and become assertive. But today China naively think that poor and weak people are the same all over the world. Out of China there is no single country who blindly trust goverment as the best to conduct business. And they are right on that. The situation we are seen today in Africa can be distilled to ilegitimate governments are on their way out. As such, the Chinese preferred partners are not there or soon not be.