The trend for globalization of high-tech industries has gained momentum during the last few years. In particular, the Asia Pacific region has become an increasingly important market for U.S. high tech companies. What investors, both the public market and VCs, look for now are companies with revenue growth and a clear path to profit. The challenge for technology companies and investors is to define the roadmap to weather through the current downturn and build strength to grow when the market returns. The companies that will succeed are the ones that are close to the market, with the ability to produce their products at a reduced cost.

China, with its mass population, is undeniably an enormous market. It not only presents a broad customer base for the high-tech industry, but also an attractive low-cost manufacturing center. There is no doubt that Greater China is a lucrative region to ride the next wave of high-tech industry growth. We all want to capture this golden opportunity. How do we address this huge consumer market? How do we fully utilize the emerging labor support to lower production costs? For venture capitalists, how do we find legitimate ways to get return on our investments?

Taiwan is now China's leading trade partner and investor. Over 25 percent of Taiwan's exports are headed to China, according to the latest official statistics. With its geographic proximity, a well-established technology and business support infrastructure, as well as a common language and similar culture background, Taiwan is well positioned as a gateway to the China. In addition, Taiwan has built a well-recognized capital market in the past three decades. This highly liquid capital market is the best support for the high-tech industry as well as VC players.

In this session, Katherine Jen, a veteran venture capitalist, will lead the audience through her strategy in the quest for the next wave of high-tech industry growth and identify the key success factors.

About the Speaker

Katherine Jen is the managing partner of AsiaTech Management, LLC, a venture capital firm investing in the Silicon Valley and Asia. Katherine's successful venture capital career began in the early eighties. During her two decades in the Ministry of Finance in Taiwan, Katherine ran a $3 billion government investment fund, instrumental in the founding of successful high-tech companies such as TSMC and Moses-Vitelic. She also served on the TSMC board of directors from 1989-1993.

Katherine was one of the pioneers in Taiwan's VC industry. She led many key initiatives in venture capital legislations, including the adoption of the first Venture Capital Act in Taiwan. She helped establish the first group of venture capital funds in Taiwan, including Hotung Ventures, H&Q Asia and Walden International Taiwan (IVCIC). In addition, she founded the venture capital firm Genesis Venture in Taiwan and successfully raised its first fund. As a leader in the Taiwan financial industry, she served on the board of International Commercial Bank of China (ICBC), the largest commercial bank in Taiwan.

Based on the belief that Silicon Valley technologies can find much broader markets if they are combined with the efficient manufacturing industry in Asia, she founded AsiaTech and raised its first fund in 1997. Today, with operations in the Silicon Valley and Taiwan, AsiaTech manages three funds with strong backing from Asian-based manufacturing companies, commercial and investment banks, and government.

Educational achievement in Malaysia is racially skewed across its three main cultural groups: The Malay-Muslim majority lags behind the country's Chinese and Indian minorities. This poses a dilemma. Should the state give the majority preferential access to education in the name of group equality? Or permit such access to be decided by merit alone, in the name of fairness among individuals? Malaysia has chosen to expand opportunities for schooling while maintaining a strict policy of affirmative action for Malays, all within a centrally controlled and standardized system of national education that relies on the Malay language and includes emphasis religion and morality. After showing how this pattern evolved from the secular, English-language format adopted by the British when they ruled Malaysia, Dr. Bakri Musa will assess the costs and benefits of affirmative educational action in the country today. Bakri Musa has written extensively on Malaysia. His latest book, An Education System Worthy of Malaysia (2003), has been described as "a severe critique" and "a comprehensive proposal for reform." Earlier titles include Malaysia in the Era of Globalization (2002), and The Malay Dilemma Revisited (1999). Shorter commentaries have appeared in Asiaweek, Education Quarterly, The Far Eastern Economic Review, and The International Herald Tribune, among other print media, and been aired by National Public Radio on its program, "Marketplace." A surgeon in private practice in Silicon Valley, Dr. Musa earned his medical and graduate degrees at the University of Alberta in Canada.

Lunch will be served to those who respond to Okky Choi by Wednesday, May 7 by 12:00 noon. You can reach Okky at 650-724-8271 or via email at okkychoi@stanford.edu.

Following the success of the first conference held in January 2002, the Asia/Pacific Research Center and the US Army War College plan to hold a second conference in January 2003. Its theme is "The Prospects for Peace in South Asia." The participants will address several topics: the role of religion in the politics of the region (primarily in Kashmir, but also in Indian and Pakistani politics), the political role of the Pakistani army, and the new challenges that nuclear weapons and the global war on terrorism have introduced. Possible lessons for the United States in trying to prevent war in South Asia as well as furthering its aims in the war on terrorism will be discussed. The conference speakers will provide an understanding of Kashmir, the role of religion in South Asian politics, local culture and attitudes, US military perspectives on South Asia and the situations and politics in India and Pakistan.

When Shorenstein APARC's 2002 South Asia conference was being planned at Shorenstein APARC, the events of September 11, 2001 had not taken place. To Americans, September 11 is mostly associated with the war against terrorism. However, the impact of 9-11 on longstanding political relations between India and Pakistan is less understood. Without such an understanding, it is difficult to explain why India and Pakistan have twice almost gone to war in the past months due to acts of terrorism linked to September 11.

Kashmir is the main locus of the two countries' dispute. There is much history on why disagreements over Kashmir have created political problems: they began with the handing over of Kashmir to India in 1947 and have continued with rigged elections, poor governance, military occupation, and indigenous and Pakistani-supported militancy, up to the present day.

The risk of nuclear war between India and Pakistan arising from the Kashmir dispute remains high. Local elections in both Pakistan and Kashmir over the next few months might prevent war till then, while affecting the dynamics of the future. The United States is keenly concerned with the possibility of war and has been actively engaged in diplomacy, with more senior American officials visiting South Asia in 2002 than at any time in the past.

Indian and Pakistani politics have also taken new turns. In India, the ruling NDA is dominated by the BJP, a party with past links to militant Hinduism. India is constitutionally secular and Muslims have played an important political role, though more as a vote-bank (comprising 14 percent of the population) and less, particularly in recent times, as influential decision-makers. This influence may be set to decline further. Economic uncertainties and the polarization of religious communities in some areas (after sectarian riots) have led the BJP to believe that a return to its aggressive roots might be politically successful. This leads to a need for understanding of how India's future will be affected by its great religions, Hinduism and Islam.

In Pakistan, recent political developments have concentrated power almost entirely in the hands of President Musharraf, a situation that may persist after its upcoming elections. This lack of institutionalization of political processes and power poses new risks to the security environment in the subcontinent.

This presentation analyzes the factors influencing South Asian entrepreneurial expansion in the UK and the validity of conventional wisdom, which attributes South Asian business success to cultural factors. It suggests that entrepreneurial growth depends on human capital factors like education and prior experience, the investment of personal savings at start-up and breaking away from a management strategy bound by immigrant culture. At the same time, strengthening links with one's country of origin has a positive impact on growth. The findings have implications for aspiring entrepreneurs and for policy makers and agencies that aim to encourage the growth of South Asian and more generally, immigrant ethnic minority entrepreneurship. Dr. Basu has a background in economics, international finance and management. She holds a doctorate in economics from the University of Cambridge. Dr. Basu's research interests include migration and ethnic entrepreneurship, small firm growth, decision-making and economic adjustment of enterprises. Her current research interests focus on immigrant entrepreneurship and the role of the family in immigrant business development. She has published papers in several leading international refereed journals.

Japanese pop culture has gained a global following in recent years, with recognition that now extends far beyond the stereotypes of oriental exotica. With the reach of pop culture comes tremendous economic potential. Nakamura, whose varied experiences in rock, art, and multimedia have been applied to policymaking and education, gives a preview of a new research project he is coordinating on the impact of pop culture on politics, society, and the economy. Japan's economic troubles have taken center stage during the last decade. But has Japan's "lost decade" really been a "glorious decade"?

Lin Shu-ya will discuss the Taiwanese government's reserved land policy that is aimed at aiding indigenous people to be self-sufficient and integrate into mainstream society. This policy has been the main government policy for 50 years even though Ms. Lin argues that collective management might be a better option for the indegenous communities, allowing them to collectively manage their traditional territory. Varamon Ramangkura will discuss te impact of recent WTO free-trade versus the environment disputes on industry in Thailand. Ms Ramangkura will show that pressure from the WTO on the Thai government is forcing the closure of local shrimp farms and reducing the sustainability of this industry in Thailand. Shimamura Kazuyuki will analyze the problems of the land use system in Japan. Even after recent reforms in land use, the municipalities enact undemocratic, informal and opaque local ordinances for land use. Mr. Shimamura argues that the reforms must be adopted by the local governments and made fiscally transparent, be based on the needs of the citizens and that there is a necessity to create a legal foundation for broader delegation, particularly regarding the comprehensive planning system at the municipality level.