westchestergov.com
2006 Trade Delegation to China
 
Introduction
Beijing IT Companies
Beijing 101 School
Lenovo Discussion
Ministry of Science and Technology
Ministry of Commerce
More IT Companies
Beijing Jiayu English Center
Ministry of Information Industry
Jianping High School Pudong
Pudong New Area Government
CB Richard Ellis
Chinese University E-MBA Program
Final Wrap Up

Past China Missions
2005
2002

1998

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Beijing - Monday, March 20, 2006
Lenovo Discussion

While the Briarcliff contingent stayed at the school, the County contingent went to meet up with Mr. Jerome Ma, Vice President for Government Relations (a much more important position in a country like China than it might be here).  He is well connected at high levels in the Chinese government and was responsible for arranging our visits with the Science/Technology Ministry, the Commerce Ministry, the Information Ministry (IT), and, later in the week, the Pudong District of Shanghai.  Clearly, no matter what the location of Lenovo, the company was quite willing to be helpful to us.

Nevertheless, we had a frank discussion about Lenovo’s announcement.  Mr. Ma said the decision to move around a dozen or two executive positions was driven by the short-term need for management to have more direct oversight and to consolidate operations that IBM had placed in North Carolina.  Lenovo will continue to maintain its Westchester presence for sales and marketing, including a sizable staff. 

Mr. Ma said the company understands Westchester’s competitive advantage as the ideal staging point for financial, marketing and public relations activities and, after its current consolidation, as it grows and reconsiders its needs, Lenovo will certainly keep Westchester in mind. 

He also said that the company will continue to work with us and be helpful in our efforts to develop trade with China, as evidenced by the meetings he had set up for us this week.

We learned later that the city of Raleigh, North Carolina provided $11 million in incentives to Lenovo for a net increase of 50 jobs (from around the US).  That’s not economically justifiable by Westchester’s more prudent standards, but it does demonstrate how fiercely competitive the global economy – even the American economy – has become.

Yes, it’s disappointing when your team is thrown out running to home plate, but you just don’t decide to quit the game at that point.  Clearly no one who participates in this game is going to win 100% of the time, but not playing at all is a 100% guarantee of failure and a diminished economic future. 


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March 2006 Report
by Norm Jacknis, Westchester County Chief Information Officer