Discussion Brief for the Export Strategy-Maker

China country paper  - Improving trade support services: What? How? And Who?
A short case study of CCPIT

Support that SMEs say they need to become more internationally competitive

According to a survey conducted recently, what Chinese business expect the most from TPOs are: 

• introducing overseas buyers(80.3%) 
• credit investigation(68.7%) 
• foreign trade knowledge(47.5%) 
• translation, transport, settlement, customs clearance, quality inspection (each 20%). 

We think this is a one-sided view. In fact, we need to shift from export promotion to exporter promotion. We believe that to enable these SMEs to become more internationally competitive, involves painstaking and long-term work in forging an export-oriented culture. 

Services we provide to enable Chinese exporters to initiate or expand exports

As the largest nationwide international trade promotion organization founded in 1952, CCPIT has been dedicated in promoting the export of Chinese businesses and strengthening international exchanges between China and the world. It carries out its mission via four major traditional means: incoming and outgoing exhibitions, trade missions, and legal information services. 

Since 1992, CCPIT Head Office together with its Sub-councils have organized or participated in 1,812 trade fairs in 50 countries, directly contributed to exports worth some US$ 12 billion. It has hosted nearly 1,000 trade shows and exhibitions in China, which has led to internal and international trade amounting to nearly US$ 9 billion. From 1992 to the end of 2000, we have hosted over 7,000 international trade missions at home and organized over 3,000 outgoing trade missions to more than 50 economies around the world, indirectly promoted export business in the amount of over US$ 10 billion. 

With regard to legal services, since 1992 we have handled over 30,000 patent applications, over 70,000 trademark registrations, and over 300 patent/trademark infringement cases. We have also heard 3,292 international trade disputes and handled 2,793 cases. Last year, the Information Department and all representative offices provided 6,000 trade and business consulting services via telephone and email. We have organized over 30 business meetings and workshops. 

One of the most successful events has been "E-China Forum" which we have been consecutively hosted in 5 cities during the last 2 years. It has provided precious information and education on e-commerce to Chinese businesses. In addition, we publish and update on yearly basis two very useful books: China Business Guide (English & Chinese versions) and China Exhibition and Trade show Directory (English and Chinese version), in addition to China Foreign Trade( English bimonthly), International Market Herald(Chinese biweekly) and China Trade Promotion(English biweekly). 

Speaking of information services, here is a brief introduction to our "service package" 

• CCPIT Trade Opportunity Network:

   

Sources: our overseas representative offices, letters, faxes and emails from overseas buyers, trade missions, counterpart organizations, trade fairs and resident foreign business agencies. 

Contents: name, address, contacts, tel, fax & email, product required and demand type. 

Categories: agri-food, consumer products, machinery and equipment, electrical and electronic instruments, textiles, minerals, medical stuff and chemical products. Also classified as Class A and B opportunities by the information sources and the quality of the opportunity. 

• International Market Herald (biweekly)

   

Jointly compiled and published by the Economic Information Department of CCPIT, Foreign Economic Coordination Division and Trade/Market Division of State Economic and Trade Commission and ICC China Secretariat, it is a professional international market periodical. Major columns include: a special report, international trade and economic dynamics, trends, industry news, market survey, international policies and regulations, international economic and trade practices, international trade news and trade fair updates. 

• International Market Research Report

   

Covering major industries and 200 products of over 100 countries and regions around the world, it now includes almost 10,000 items. Major components include: market overview, competitive analysis, market access, product marketing channels, business practice, end-user analysis, product market outlook and sales forecasts as well as important addresses (importers, exporters and chambers of commerce). 

• Overseas companies and clients search

   

We can provide search services about overseas buyers, manufacturers or exporters of relevant products. 

• International seminars and workshops

   

Programmes for 2001: 

• New market investment seminars – Latin America, East Europe 
• Tourist Resources Development and Site Planning Seminar 
• Industrial Park Development and Management Seminar 
• Natural Foodstuff and Functional Foodstuff Seminar 

Programmes for 2000

• European and North American Motorcycle Market Seminar – Chongqing 
• American Trade Laws and Anti-dumping Laws Seminar – Beijing 
• European Anti-dumping Seminar – Beijing 

Programmes for 1999

• European and American organic food export seminar – Beijing 
• American Business Visa Issues Seminar – Beijing 
• European Textile Products Environmental Trade Seminar – Hangzhou 
• Euro and its future Seminar – Beijing, Shanghai 

Bilateral cooperation with counterparts:

• Jetro AC Programme 
• CBI Programme 
• GTZ Programme 



Does work well? A brief self-evaluation of our trade support services

Yes and No. Yes in the sense that all the required services are available here in our system and they are either provided for free on cost recovery basis, which means it is totally affordable. No in the sense that these services are not very user friendly, not very easy to access and not very customized yet. They need to be further integrated, systemized and delivered in a timely and user-friendly fashion. 

Suggested new support services

From our exporter promotion point of view, new support services to be made available are as follows: 

Human resources:

• training, consulting and head hunting 
• total solution on enterprise wise human resources management if possible 



Corporate Management

• Diagnosis, consulting, project management, e-commerce consulting, digitization consulting, e-commerce platform construction and management, relevant software development 



Marketing

• Consulting, planning, media purchasing, copywriting, business event service, PR, promotion activities, conference and trade shows, legal consulting and translation, trademark and patent application, brand name management, CI designing 



Business intelligence

• Market analysis, competitive intelligence research, product survey, overseas offices establishing, international trade consulting, certification, agency, and trade opportunities funneling, credit investigation, trade risk management, trade financing consulting 



Strategic Planning

• Policy consulting, technology commercialization consulting, business incubation, financial consulting, investment and financing consulting, corporate restructuring, acquisition consulting 



A cohesive network in the making

CCPIT has very good working relationship with China's governmental departments and foreign trade promotion authorities at all levels. We enjoy close working relationship with the Ministry of Foreign Trade and Economic Cooperation as well as the State Economic and Trade Commission. Jointly we have hosted a series of seminars on E-commerce on national level, and publish the International Market Herald and distribute it among Chinese export oriented SMEs. Still, this relationship needs to be further consolidated with a more consistent working mechanism. It is a matter of time. 

We have also been spearheading another major web enhanced programme called China project investment and financing, with the website address at: www.chinainvest-link.com . We are closely working with the regional industrial parks, development zones and all levels of economic and trade commissions throughout the country. The purpose of this project is to promote different regions feasible industrial projects and secure funds for them. 

In the meantime, we are working on our next generation network information system, with the purpose of wiring up all branches of CCPIT in China and realize the CCPIT wise ERP system. By means of this new tool, the whole CCPIT family will work more cohesively under the trade promotion banner. 

A glimpse of the current trade development network in China

Currently, industrial associations and other trade promotion organizations are fruits of the economic reform and the offspring of this transitional period. As a result, there are lots of faults in their course of development. Human resources may not be up to standard, unable to fulfil their duties. Organizations may be more government-oriented than business-oriented, some of them are even what we call "second hand government", so they do not really reflect the demands and concerns of the businesses. 

Our work should be carried out in a market-oriented fashion. We have to do more to understand the needs of all kinds of businesses and provide our assistance in a targeted fashion. Special attention should be given to SMEs in promoting their export trade and economic collaboration. Also, more efforts should be made in serving as a bridge between business and the government authorities, both in transmitting the information on new policies to them and providing feedback to the government and defending their legitimate interests. Existing services should be expanded and improved. New services should be provided in a user-friendly fashion. 

CCPIT has 49 regional sub-councils, over 600 branches and local chambers of commerce in China, and 18 industrial sub-councils with nearly 70,000 membership enterprises across the country. 

For instance, in recent years, various industrial and regional sub-councils have realized the significance of networking to the development of their business and they have successively set up their own websites. However, because of the limited resources they can mobilize and because of insufficient promotion work, most of these websites failed to increase business. This proves that instead of working separately, integration of our working system would yield better results. The purpose of setting up a nation-wide CCPIT system information architecture is to bring into full play the advantage of CCPIT’s scale and to build up a complete CCPIT network. 

 Top of page  

Posted 18 August 2010