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Thomas Crampton, who oversees social media strategy in the Asia-Pacific region for the marketing and communications company Ogilvy and Mather, spoke to a standing room only audience at a seminar hosted by SPRIE about how controls imposed by the Chinese government have created a vibrant and unique social media domestic ecosystem.

Daniel C. Sneider, associate director for research at Shorenstein Asian-Pacific Research Center, also shared his views on the issue of the role of the internet and social media in social and political change.

Much has been written of late about the PRC government's efforts to control and censor the internet. The government's censorship of websites is an important issue, but it is not the top priority of the country's 420 million internet users or netizens. Their top priority is to connect with other Chinese online. The internet has opened access to information for ordinary Chinese citizens in ways that were unimaginable just a few years ago. Coming from a world where information was pre-filtered by editors at state-run media, China's internet is freewheeling by comparison.

"China's government officials are the most savvy in understanding the power of social media and actively trying to shape its use," Crampton noted at the talk. Rather than eliminate social media, restrictions on foreign websites and social media have resulted in a flourishing home-grown, state-approved ecosystem in which Chinese-owned properties thrive. YouTube, Facebook, and Twitter have faced blockage in China, but their Chinese equivalents are expanding. According to the official statistics from the China Internet Network Information Center (CNNIC) , the number of Chinese netizens reached 420 million at the end of June 2010. But their patterns of use vary from those in other countries. Quoting a 2008 MTV Music Matters survey, Crampton showed a graph that young people across Asia have made a similar number of friends online and offline. Only in China, however, young people actually have more friends online than offline. This points to a convergence of the offline and online worlds, where it is less important to distinguish between what happens online from the "real world." In China, more than in many countries, social media has become deeply integrated into people's lives.

China's government officials are the most savvy in understanding the power of social media and actively trying to shape its use.

- Thomas Crampton, Ogilvy and Mather
In China, as elsewhere in Asia, local variations of internet usage are driven by language, culture, levels of economic development, and the underlying digital ecosystem. For example, rather than short videos popular on YouTube, China's Youku and Tudou are filled with longer form of content, up to 70 percent of which is professionally produced, though individual Chinese users produce and post videos too. Users in China spend up to an hour per day on these sites, compared with less than 15 minutes spent by Americans on YouTube. In the way they present programs, the Chinese sites seem more like online television stations or a replacement for digital video recorders.

Twitter vs. Sina Weibo

Crampton cited another difference between Chinese and foreign social media that is rooted in language. At first glance, Sina Weibo is a latecomer to the microblog phenomenon. Launched in 2009, just about three years after Twitter, it is by far the most popular microblogging platform in China.

Similar to Twitter, Sina Weibo allows users to post 140-character messages, and users can follow friends and find interesting comments posted by others. Small but important differences in the platform have made some say it is a Twitter clone, but better. For example, unlike Twitter, Sina Weibo allows users to post videos and photos, comment on other people's updates, and easily add comments when re-posting a friend's message.

Though mobile phones are used to send less than 20 percent of Twitter updates in the United States, nearly half of Sina Weibo's updates are sent via mobile phone. This phenomenon points to the growth of China's mobile internet, one of the biggest trends in China and Asia.

Perhaps the most striking difference between Chinese and foreign social media, however, is the length of communications expressed via microblogs in Chinese versus English. One measure is to look at what Dell Inc., a company skilled at social media, can communicate on microblogs in Chinese compared to English. Twitter holds messages to 140 characters, which is quite short in English, especially if users want to include a URL. Dell often uses its Twitter feed, @delloutlet, to promote special offers, such as this posting: "Today's Deal: Get FREE Eco-Lite Sleeve with the purchase of any Dell Outlet Insprion Mini 10 or 10v Netbook! http://bit.ly/77fUFG." This message came in at 136 characters, almost the maximum length.

Since each character in Chinese is a word, @delldirect, Dell's Chinese-language feed, can write much more using the Chinese-language Zuosa microblogging platform. As translated by Ogilvy's Beijing team, a similar message reads: "Dell's National Day Sale runs from Sept. 11 to Oct. 8. To celebrate the 60th anniversary with the motherland, Dell Home Computers is offering 6 cool gifts and deals on 10 computer models. These exciting offers will run non-stop for 4 weeks. Also, get a free upgrade to color casing and a 512MB independent graphics card, as well as other service upgrades. All offers are on a first-come, first-served basis. What are you waiting for? Act now!" Even with a message of this length-114 characters in Chinese-there is still enough space to put in a webpage link. In other words, 114 characters in Chinese translates into 434 characters in English, well beyond the text limit of a "tweet" in English. This language efficiency turns microblogging in China into a more blog-like platform.

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Thomas Crampton at the SPRIE seminar on March 16, 2011
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As the United States struggles to emerge from recession, India and China's continued robust growth is the subject of much interest and concern. Council on Foreign Relations (CFR) Senior Fellow Adam Segal will talk about his new book Advantage: How American Innovation Can Overcome the Asian Challenge, analyzing Asia's technological rise, questioning assumptions about the United States inevitable decline, and explaining how America can preserve and improve its position in the global economy by optimizing its strength of moving ideas from the lab to the marketplace.

In his book, Segal argues that the emergence of India and China does not mean the end of American economic and technological power. Instead, the United States should now leverage its many advantages.

Through his research, Segal concludes the United States has an advantage over Asia in the realm of the software of innovation. “In America, your ideas can make you rich. Intellectual property is protected, and individual scientists are able to exploit their breakthroughs for commercial gains,” he writes. “It is time to realize that software in its most expansive sense offers the most opportunities for the United States to ensure its competitive place in the world.” The challenge is “to recover a culture of innovation that was driven underground, overshadowed by sexy credit default swaps and easy spending.”

Speaker

Adam Segal is the Ira A. Lipman senior fellow for counterterrorism and national security studies at the Council on Foreign Relations (CFR). An expert on security issues, technology development, and Chinese domestic and foreign policy, Dr. Segal currently leads study groups on cybersecurity and cyber conflict as well as Asian innovation and technological entrepreneurship. His new book Advantage: How American Innovation Can Overcome the Asian Challenge (W.W. Norton, 2011) looks at the technological rise of Asia. Dr. Segal is a research associate of the National Asia Research Program and was the project director for a CFR-sponsored independent task force on Chinese military modernization.

Before coming to CFR, Dr. Segal was an arms control analyst for the China Project at the Union of Concerned Scientists. There, he wrote about missile defense, nuclear weapons, and Asian security issues. Dr. Segal has been a visiting scholar at the Massachusetts Institute of Technology’s Center for International Studies, Shanghai Academy of Social Sciences, and Tsinghua University in Beijing. He has taught at Vassar College and Columbia University. Dr. Segal is the author of Digital Dragon: High-Technology Enterprises in China (Cornell University Press, 2003), as well as several articles and book chapters on Chinese technology policy. His work has recently appeared in the International Herald Tribune, Financial Times, Washington Quarterly, Los Angeles Times, and Foreign Affairs. Dr. Segal currently writes for the CFR blog, “Asia Unbound".

Dr. Segal has a BA and PhD in government from Cornell University, and an MA in international relations from the Fletcher School of Law and Diplomacy, Tufts University. He reads and speaks Chinese.

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Adam Segal Ira A. Lipman Senior Fellow for Counterterrorism and National Security Studies Speaker Council on Foreign Relations
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Koji Murata received his M.Phil in Political Science from the George Washington University, where he studied as a Fulbright student, and his Ph.D. in Political Science from Kobe University, Kobe, Japan.

Dr. Murata's specialties include US foreign policy in East Asia, Japans foreign and
defense policy, and the history of U.S.-Japan alliance. Dr. Murata was a visiting fellow of the Henry L. Stimson Center and the Mike Mansfield Foundation in DC.

Dr. Murata is an author of many books, chapters and articles both in Japanese and English. He has testified in Japanese National Diet many times, and is a frequent commentator on Japanese TVs and newspapers. Professor Murata will assume the deanship of School of Law, Doshisha University beginning in April, 2011.

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Koji Murata Professor of International Politics Speaker Doshisha University
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A group of leading American and Japanese venture capitalists, entrepreneurs, academic experts, government officials, and leaders in business and related fields joined the "U.S. - Japan Dialogue to Promote Innovation, Entrepreneurship and Job Creation" symposium, organized by the Stanford Project on Japanese Entrepreneurship (STAJE), the largest U.S.-Japan event held at Stanford in many years, on February 23, 2011.

Representatives from both governments opened the event by underscoring the economic and strategic reasons for closer U.S.-Japan cooperation in promoting innovation and entrepreneurship. U.S. Ambassador to Japan John V. Roos emphasized how an economically vibrant Japan is critical to the security of the United States, and how it creates opportunities for U.S. trade, investment, and job creation. Moreover, innovation and collaboration are vital to addressing critical global issues, such as climate change. Under Secretary of State Robert D. Hormats noted how innovation and entrepreneurship, often involving young firms bringing new technology to market, are fundamental to ensuring sustainable growth and inclusive prosperity, both at home and across the globe. For Japan, Teruhiko Mashiko, a Ranking Member of the Diet's Committee on Economy and Industry and a former Senior Vice Minister of Economy, Trade, and Industry, highlighted the potential for greater employment, development of green technology, and the circulation of human and other resources through innovation and entrepreneurship.

Several speakers pointed to ways government and the private sector can foster the creation of entrepreneurial ventures with a global outlook. Professor William F. Miller, co-director of the Stanford Program on Regions of Innovation and Entrepreneurship (SPRIE), focused attention on the need to support the full entrepreneurial habitat—including an active angel investor and venture community, entrepreneurial education, passionate entrepreneurs, and business services (legal, consulting, financial) that understand the needs of start-up companies. Additionally, several speakers suggested that mid-career hiring by large Japanese firms and greater willingness on their part to grow by acquisition would increase labor mobility and expand opportunities for entrepreneurial ventures. They expressed concern that, at present, a public offering of shares is practically the only option for startup firms to exit the venture stage in Japan. Others highlighted how greater English-language proficiency and changes in immigration law could expand the linkages between Japan and the global community of entrepreneurs and venture capitalists.

Larry W. Sonsini, Chairman of Wilson Sonsini Goodrich & Rosati, reflected on the waves of innovation that Silicon Valley has generated, both in terms of new technologies coming to market as well as the maturing of technology already out. Defining Silicon Valley as a culture rather than a place, he outlined the ingredients in the recipe for its success: an entrepreneurial culture, with such features as mobility of talent, diversity, and acceptance of failure as a type of learning; ready access to capital; sources of technology and technologists, particularly from universities and large forward-looking corporations; government support; developed laws and accounting systems; availability of exit options for ventures; and an infrastructure of lawyers, accountants, bankers, and consultants. He also offered his thoughts on key trends that will influence the position and direction of emerging technology companies, including: globalization, regulatory changes, development of capital markets, education, and the rule of law.

In the closing remarks of the day-long symposium, Robert Eberhart, a SPRIE researcher and the leader of the SPRIE-STAJE project, summarized the three potential roles for governments to play in promoting innovation and entrepreneurship: to establish rules to ensure fair dealing and access to the market; to rewrite (i.e., reform) the rules of a market thereby ensuring firms will address it in new ways; and to stimulate demand for advanced technology by purchasing it for its own reasons, thereby creating new opportunities for entrepreneurial technology ventures.

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William F. Miller, SPRIE faculty co-director
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Much has been written lately about the Chinese government's efforts to control and censor the Internet. Internet censorship is an important issue, but it is not the top priority of the country's 420 million Internet users. Their top priority? Connecting with other Chinese online. The Internet has opened access to information for ordinary Chinese citizens in ways that were unimaginable just a few years ago. Coming from a world where information was pre-filtered by editors at state-run media, China's Internet is freewheeling by comparison. Rather than kill social media, controls imposed by the government have created a vibrant and unique social media domestic ecosystem.

Speaker

Thomas Crampton, who oversees social media strategy in the Asia-Pacific region for the marketing and communications company Ogilvy and Mather, will speak about what social media means to China and Asia. A former foreign correspondent for the New York Times and the International Herald Tribune, he previously looked at the region in terms of political, economic, and social issues. In his current role, he has been a participant of change as social media is affecting Asia's economics, politics, and society.

Commentator

Daniel Sneider is the associate director for research at the Walter H. Shorenstein Asia-Pacific Research Center at Stanford University. Sneider was the former foreign affairs columnist of the San Jose Mercury News and had a long career as a foreign correspondent.


Media X is the partner of this seminar.

 

 


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Thomas Crampton Asia-Pacific Director Keynote Speaker Digital Influence, Ogilvy Public Relations Worldwide
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"North Korea is at a crossroad," said Myung Hwan Yu, a former South Korean minister of foreign affairs and trade and a visiting scholar with Stanford's Korean Studies Program (KSP), during the keynote address at the annual Koret Conference, DPRK 2012, held on February 24. The conference, organized by KSP, brought together an international panel of Korea scholars and former government officials to discuss the future global and domestic implications of North Korea's current political situation and social conditions.
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North Korea's Ryugyong Hotel, under construction since 1987, is expected to be completed some time in 2012 or later.
Chris Price
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Over the past decade, the ownership and control of China's corporate sector has finally begun to depart fundamentally from patterns typical in the socialist past. Students of corporate governance have watched these changes with an intense curiosity about their impact on firm performance. Students of comparative economic institutions have examined them for hints of a new variety of Asian capitalism and have sought to anticipate China's international competitiveness and impact. But these changes potentially will create a new corporate elite with greater compensation, personal wealth, and independence from government agencies than ever before. This transformation of China's political economy may eventually alter the Chinese state itself, although the extent and nature of this change are still far from clear. The key questions of interest are the social origins of the new elite, the scale of the economic assets they control, and especially their continuing relationships with party and government agencies. The answers will vary decisively by sector, four of which are described here: a state-owned sector, a privatized sector, a transactional sector, and an entrepreneurial sector. The evolving mix of these sectors will determine the future contours of the Chinese corporate economy.

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Management and Organization Review
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Andrew G. Walder
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