China reaches out.

While trade associations and professional societies learn how to approach and work with the emerging economic giant (see "Engaging China" on page 62), China is taking steps of its own to identify association partners in the West. The China Federation of Industrial Economics sponsored its first-ever World Industrial and Commercial Organizations (WICO) Summit in Beijing in September, signaling a significant turning point in China's rapid development.

The association industry was represented by Terrance Barkan, CEO, Association Global Services, Brussels, who gave a keynote address on reaching associations in the European Union and the United States to an audience of more than 400 people. Participants included representatives from major trade and industrial associations, governments, and chambers of commerce. Barkan's message focused on how Chinese business executives could identify association partners in the West, initiate a dialogue, and develop strategies for effective representation of Chinese business organizations abroad.

Mutually beneficial moves

In his remarks, Barkan also encouraged Chinese executives to identify their internal objectives before making contact with potential partners--and then to start slowly, with a specific project or proposal around which to develop a relationship. In citing areas in which associations and Chinese organizations might find rich opportunities for collaboration, Barkan highlighted standards development, accreditation, and professional development and training.

Dynamic developments

Summit participants came away with news regarding China's evolving positions and policies relative to international relationships.

* To comply with its World Trade Organization obligations, China is making significant changes in its laws and practices and has determined that business and trade associations are key players in this process.

* Official Chinese government policy is to actively support the creation of an independent association sector. Consequently, it is pushing its national trade and business associations to become independent from the government and to be more engaged internationally. Changes regarding the registration of associations in China are being considered, but nothing is firm at this time.

* China is actively seeking training and education for its trade and business associations as a way to not only professionalize them but also to establish platforms for dialogue and for the arbitration of trade issues with international partners.

* Chinese officials wish to provide networking opportunities among the heads of trade and professional associations and business leaders to encourage continued growth of a true market economy in China.

Clearly, these are good signs for Western associations. As Barkan concluded at the summit: "Associations are the key to building and strengthening relationships across continents as business executives seek to expand their operations globally." He also notes that a generational change is taking place in China, resulting in a more outward-looking country. "This presents great opportunities for associations to start developing their entry into China now to satisfy the pent-up demand for information, networking, and education." At the same time, he reminds, "As in other parts of the world, but especially in China, it is critical to have local representatives and contacts in order to understand domestic dynamics and to have your association's interests protected."

For more information about the WICO Summit, contact Barkan by e-mail: [e-mail].

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