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Thursday, October 12, 2006

Comparing Apples to Apples (or Starbucks to Starbucks, for that matter

From Beijing to Chengdu: (Part 2)

Metropolitan areas, especially large Chinese cities, are difficult to comparatively quantify but finding a modus for comparison between the Western Chinese city of Chengdu and the capitol of the PRC, Beijing, is even more slippery. On paper, Chengdu lags far behind the metropolitan political and economic powerhouse of Beijing, but for residents, it’s a simple matter of feeling and pace that separates these two cities the most. This second part of a series comparing Beijing and Chengdu will try to do a little of both, using quantifiable modes of comparison combined with the experiences of the co-authors of this series.

First, the numbers:


Beijing
Chengdu
GDP (2005)
$84.02 billion
$35.4 billion
Population
15 million
10.44 million
Metro Size
16,808 km2
12,300 km2
Pop. Density
888 per/km2
848 per/km2
Number of:

McDonalds
92 11
Starbucks 20 5
KFC 135 25
Carrefour 6 5
Wal-mart 1
1
Chengdu:

Chengdu, left out of a large part of the economic development prior to this decade, is now starting to boom. Its large natural resource base and economic incentives for FDI have already attracted some big players (Intel, Toyota, and Motorola have all set up in the High-Tech Development Zone). The city is one of the key players in the “Go-West” economic development doctrine promoted by the central government hoping to spur Central and Western Chinese development.

However, the city runs at a different pace than many Chinese cities. The weather in Chengdu is ubiquitously cloudy and when the sun breaks through it’s not an uncommon practice for many to take the day off from work. Not surprisingly, residents work a 9-5 hour day emphasized with long lunches. Teahouses abound (4,000), the residents are famous for their extremely long tea drinking sessions paired with playing mahjong. The culture is relaxed here and business in the conference room is just as likely to continue at the local tea house. As well, Chengdu’s abundant nightlife has been epitomized by the ever famous Babi Club, whereas Chivas Regal claims that more of its whiskey is consumed per square foot than any another mainland establishment; mixed with non other than GREEN TEA. It’s truly fascinating that the populous here have maintained their joy for life while achieving such rapid economic growth.

Beijing:

Beijing hardly needs any introduction on an international setting, and its exposure will continue to grow as the city draws nearer to the 2008 Olympics. The city continues to expand, with prospering technology zones and an extremely hot real estate market. The vast expansion of the city has led to ridiculous logistical problems (horrible traffic, pollution, and general congestion), and carved the city into several very large, distinct districts. The high tech area to the north continues to expand with most large international and domestic technology firms setting up offices near the Zhong Guan Cun Technology area adjacent to the country’s leading universities (Microsoft, AMD, Intel, Google, Lenovo etc.). A Beijing office has become commonplace for many multinational corporations, and at times, a necessity.

Within some of the old districts in Beijing, people can still find old style Beijing with hutongs and street markets, immediately surrounded by high-rises and malls. However, there is a sense that this city is slowly loosing its roots as it becomes an international hub (there is a Starbucks in the Forbidden City, for example). Restrictions are being put in place minimizing the skyline from excessive banners and corporate advertisements (including a great many McDonalds’ Golden Arches). The city is in a type of identity crises as it continues its face lift before the Olympics, but at the same time, maintaining its perception as an ancient hallmark of Chinese culture.

Bates: Although Chengdu’s lag behind Beijing is quantifiable, it’s interesting to note that even as this blog was written a new Wal-Mart had just opened in Chengdu within the last week. There’s no denying Chengdu’s huge potential for economic growth but the sustainable leisurely attitude is truly inspiring. The time spent enjoying life in Chengdu creates an undeniable force in relation to economic growth. Perhaps, more can be accomplished in a developing city when taking pleasure from life.

Dietz: The fervor of development here in Beijing can be felt on every walk down a busy street (figuratively and literally as one has to be careful not to be hit by bikes, cars, or falling construction materials). The city is humming with international influence, a cultural mixing pot, and an extremely strong sense of adventure spinning the city into Olympic proportioned capacity. However, people are coming to realize the sacrifices of this burden, as the city has become virtually impassible during most times of the day. Commuting, smog, and road rage frustration are commonplace on the streets even before they get backed up at 7am. This place is extremely enjoyable, everyone is just to busy to do so.

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