Posts tagged ‘China’


The end of US ’net neutrality: another step toward the corporate internet

11.06.2018

That’s it for ’net neutrality in the US. The FCC has changed the rules, so their ISPs can throttle certain sites’ traffic. They can conceivably charge more for Americans visiting certain websites, too. It’s not a most pessimistic scenario: ISPs have attempted this behaviour before.
   It’s another step in the corporations controlling the internet there. We already have Google biasing itself toward corporate players when it comes to news: never mind that you’re a plucky independent who broke the story, Google News will send that traffic to corporate media.
   The changes in the US will allow ISPs to act like cable providers. I reckon it could give them licence to monitor Americans’ traffic as well, including websites that they mightn’t want others to know they’re watching.
   As Sir Tim Berners-Lee, the inventor of the web, puts it: ‘We’re talking about it being just a human right that my ability to communicate with people on the web, to go to websites I want without being spied on is really, really crucial.’
   Of course I have a vested interest in a fair and open internet. But everyone should. Without ’net neutrality, innovators will find it harder to get their creations into the public eye. Small businesses, in particular, will be hurt, because we can’t pay to be in the “fast lane” that ISPs will inevitably create for their favoured corporate partners. In the States, minority and rural communities will likely be hurt.
   And while some might delight that certain websites pushing political viewpoints at odds with their own could be throttled, they also have to remember that this can happen to websites that share their own views. If it’s an independent site, it’s likely that it will face limits.
   The companies that can afford to be in that “fast lane” have benefited from ’net neutrality themselves, but are now pulling the ladder up so others can’t climb it.
   It’s worth remembering that 80 per cent of Americans support ’net neutrality—they are, like us, a largely fair-minded people. However, the FCC is comprised of unelected officials. Their “representatives” in the House and Senate are unlikely, according to articles I’ve read, to support their citizens’ will.
   Here’s more on the subject, at Vox.
   Since China censors its internet, we now have two of the biggest countries online giving their residents a limited form of access to online resources.
   However, China might censor based on politics but its “Great Wall” won’t be as quick to block new websites that do some good in the world. Who knew? China might be better for small businesses trying to get a leg up than the United States.
   This means that real innovation, creations that can gain some prominence online, could take place outside the US where, hopefully, we won’t be subjected to similar corporate agenda. (Nevertheless, our own history, where left and right backed the controversial s. 92A of the Copyright Act, suggests our lawmakers can be malleable when money talks.)
   These innovations mightn’t catch the public’s imagination in quite the same way—the US has historically been important for getting them out there. Today, it got harder for those wonderful start-ups that I got to know over the years. Mix that with the US’s determination to put up trade barriers based on false beliefs about trade balances, we’re in for a less progressive (and I mean that in the vernacular, and not the political sense) ride. “The rest of the world” needs to pull together in this new reality and ensure their subjects still have a fair crack at doing well, breaking through certain parties’ desire to stunt human progress.
   Let Sir Tim have the last word, as he makes the case far more succinctly than I did above: ‘When I invented the web, I didn’t have to ask anyone for permission, and neither did America’s successful internet entrepreneurs when they started their businesses. To reach its full potential, the internet must remain a permissionless space for creativity, innovation and free expression. In today’s world, companies can’t operate without internet, and access to it is controlled by just a few providers. The FCC’s announcements today [in April 2017] suggest they want to step back and allow concentrated market players to pick winners and losers online. Their talk is all about getting more people connected, but what is the point if your ISP only lets you watch the movies they choose, just like the old days of cable?’

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Posted in business, China, internet, New Zealand, politics, publishing, technology, USA | No Comments »


We’ve been here before: foreign-owned media run another piece supporting an asset sale

04.05.2018


Clilly4/Creative Commons

I see there’s an opinion piece in Stuff from the Chamber of Commerce saying the Wellington City Council should sell its stake in Wellington Airport, because it doesn’t bring in that much (NZ$12 million per annum), and because Auckland’s selling theirs.
   It’s not too dissimilar to calls for the Council to sell the Municipal Electricity Department a few decades ago, or any other post-Muldoon call about privatization.
   Without making too much of a judgement, since I haven’t inquired deeply into the figures, it’s interesting that the line often peddled by certain business groups, when they want governments to sell assets, is: ‘They should run things like households, and have little debt.’
   This never applies to themselves. When it comes to their own expansion, they say, ‘We don’t need to run things like households, we can finance this through debt.’
   The same groups say that governments should be run more like businesses.
   However, their advice is always for governments to be run like households.
   Has it escaped them that they are different beasts?
   I wouldn’t mind seeing government entities run like businesses, making money for their stakeholders, and said so when I campaigned for mayor.
   Doing this needs abandoning a culture of mediocrity at some of those entities. Some believe this is impossible within government, and there are credible examples, usually under former command economies. But then there are also decent examples of state-owned enterprises doing rather well, like Absolut, before they were sold off by the Swedish government. If you want something current, the Shanghai Automotive Industry Corp. is one of the most profitable car makers on the planet.
   The difference lies in the approach toward the asset.
   But what do I know? I come from Hong Kong where the civil service inherited from the British is enviably efficient, something many occidentals seem to believe is impossible—yet I live in a country where I can apply for, and get, a new passport in four hours. Nevertheless, that belief in inefficiency holds.
   Change your mindset: things are possible with the right people. Don’t be a Luddite.
   And therein lies why Stuff and I are on different planets.

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Posted in business, China, culture, globalization, leadership, media, New Zealand, politics, Sweden, Wellington | No Comments »


Ford to stop selling passenger cars in the US and Canada, save for Mustang and Focus Active

26.04.2018


The Ford Focus Active: by the turn of the decade, this will be the only four-door passenger car Ford will sell in the US and Canada

In a surprise move, Ford has announced that it will cease selling passenger cars in the US and Canada by the early 2020s, excepting the Mustang and the Focus Active.
   The announcement was actually for ‘North America’ but as Ford of México does a reasonable trade on Figos and Fiestas, it’s hard to see the policy be uniform right across the continent.
   It’s a cost-cutting exercise, designed to save $25,500 million in five years, and trucks and SUVs simply make more money for them. Small cars mean small profits. In fact, car sales lag those of the F-series, Escape and Explorer in the US. Shares have risen on the news.
   That means Americans and Canadians will say goodbye to the Fiesta, Fusion (the four-door sedan counterpart to the Mondeo) and Taurus, the last of which is already superseded in China. If you liked the cooking RS and STs, then too bad. Lincolns are losing money for Ford, too, so maybe the Continental will vanish—given the Fusion is history, the MKZ will follow. That doesn’t leave much in the Lincoln line-up.
   My initial reaction was that the economies of scale would worsen: if you’re not developing for a global market, will development costs be successfully amortized in the same period? We have, however, seen the Japanese do reasonably well with products strictly for the North American market, e.g. certain Acuras and Hondas that are sold only in their neck of the woods. We also know most of the costs of the car are in the platform and architecture, and Ford has shown decent adaptability, particularly with the C519 Focus (the recently released Mk IV).
   Ford says the cuts will come from sales and marketing, engineering and product development, as well as material costs, manufacturing and IT, in that order, according to Automotive News.
   The fact that product development and engineering rank so highly there is worrying to me.
   They’re bandying the word efficiency about a lot, and that always has me worried. That’s the word you used to hear from corporate raiders like Slater Walker. Things can look efficient while they’re being weakened.
   CEO Jim Hackett says he’s feeding the healthy parts of the business, ‘and deal decisively with the parts that destroy value.’
   While it’s true that the crossover, SUV and truck markets are strong, as they are in many parts of the world, I can’t help but think that Ford isn’t preparing itself for tougher future scenarios.
   Energy crises can come unpredictably, for one. Ford was late to the downsizing game in the 1970s because it saw the dollar signs with big cars. By 1977, GM had stolen a real march on Ford. By the turn of the decade, Chrysler was back from the brink with fuel-efficient cars while Ford sailed into the red.
   Chrysler found itself too truck- and SUV-heavy with the recession of the late 2000s, and its entry-level nameplate Plymouth had already vanished, thanks to mismanagement by Daimler earlier in the century.
   While there’s not always a need for a full line—AMC taught us that extending yourself too far isn’t always wise—I wonder if Ford is leaving itself vulnerable.
   Crossovers like the Escape, which might outsell the Fusion, are being beaten in the market-place by the likes of the Toyota RAV4, so it’s not as though Ford is that strong in all the markets it wishes to remain in.
   GM, having pulled out of Europe and Russia, might be in better shape because of its position in China. Ford trails GM when it comes to its Chinese footprint, although it will remain in Europe.
   Ford’s Jim Farley says the company is looking at new types of vehicles that are spacious, versatile and economical, which hopefully will fill the gap should economic surprises surface. Because you need something cheap to hook buyers and get them to the brand. That’s not going to happen if Focus Active is the smallest car in the line-up.
   Ford is likely to have these on global platforms. But that signals to me a real need to remain strong in R&D. Failing that, Ford is looking to partner up with someone, and it may already have an idea who that is.
   I am speculating here, since I don’t have any figures outlining what proportion of revenue is devoted to that area.
   Nevertheless, this sounds like an appeasement of Wall Street.
   That leaves one concern over nameplates. Ford has successfully introduced nameplates over the years because the product was right: Cortina, Mustang, Escort, Capri, Fiesta and Focus among them. But it has also failed by killing nameplates and replacing them with ones that had no real goodwill, such as Five Hundred and Freestyle.
   Whatever Ford has in mind, I hope for their sake that the new product is compelling, as much as the Mustang and Fiesta were when they appeared on the market. Both emerged in the wake of economic recessions, with Ford innovating because it had to.
   In this century, Alan Mulally’s time at Ford had a measured, sensible approach, where you could understand the future. There are question marks over what Hackett has planned, and usually we have some clue what these new products will be four years out. All I know of is that the Ranger will make it to the US again, boosting truck sales, but that’s hardly an innovation. That’s just filling a market niche with familiar product.
   Will Ford do Brasil come up with something that can be sold in both North and South America? Perhaps the next-generation Ecosport?
   There are lessons in history that shouldn’t be ignored, and Ford has one of the most interesting pasts of any car maker. There is, however, a feeling from the announcement that this heralds a time of retrenchment, as its profits fall globally, and net income in the US rising for the first quarter in part due to a lower tax rate.
   Remember, Isuzu also once thought it was a good idea to stop selling passenger cars and focus on SUVs and trucks. And they’re no longer around in North America.

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Posted in business, cars, China, globalization, marketing, USA | 1 Comment »


Happy birthday: Autocade turns 10

07.03.2018


Above: Autocade can be hard work—and sometimes you have to put up less exciting vehicles, like the 2001–7 Chrysler Town & Country, for it to be a useful resource.

March 8, 2018 marks 10 years of Autocade.
   I’ve told the story before on this blog and elsewhere, about how the site came to be—annoyed by the inaccuracies and fictions of Wikipedia (who said the masses would be smart enough to get rid of the mistakes?), I took a leaf out of the late Michael Sedgwick’s book and created a wiki that had brief summaries of each model, the same way Sedgwick had structured his guides. I received an emailed threat from a well known British publisher (I’m looking at you, Haymarket, and as predicted in my reply, your thoughts proved to be totally baseless) when we started, and 12½ million page views later, we’re on 3,628 models (I think we finished the first day on 12), with our page on the Ford Fiesta Mk VII leading the count (other than the home page).
   Autocade began as a wiki but with so many bots trying to sign up, I closed off those registrations. There have really been about six contributors to the site, all told: myself and Keith Adams for the entries, Peter Jobes and Nigel Dunn for the tech, and two members of the public who offered copy; one fed it in directly back in the day when we were still allowing wiki modifications. I thank everyone for their contributions.
   A few years ago, I began running into people online who used Autocade but didn’t know I was behind it; it was very pleasing to see that it had become helpful to others. It also pleased me tremendously to see it referenced in Wikipedia, not always 100 per cent correctly, but as Autocade is the more accurate site on cars, this is the right way round.
   When a New Zealand magazine reviewed us, the editor noted that there were omissions, including his own car, a Mitsubishi Galant. Back then we were probably on 1,000 models, maybe fewer. All the Galants are now up, but Autocade remains a work in progress. The pace of adding pages has declined as life gets busier—each one takes, on average, 20 minutes to research and write. You wouldn’t think so from the brevity, but I want it to be accurate. I’m not perfect, which is why the pages get changed and updated: the stats say we’re running on 3·1 edits per page.
   But it looks like we’re covering enough for Autocade to be a reasonably useful resource for the internet public, especially some of the more obscure side notes in motoring history. China has proved a challenge because of the need to translate a lot of texts, and don’t think that my ethnicity is a great help. The US, believe it or not, has been difficult, because of the need to calculate cubic capacities accurately in metric (I opted to get it right to the cubic centimetre, not litres). However, it is an exciting time to be charting the course of automotive history, and because there are still so many gaps from the past that need to be filled, I have the chance to compare old and new and see how things have moved on even in my four-and-a-half decades on Earth.
   Since Sedgwick had done guides up to 1970, and paper references have been excellent taking us through the modern motor car’s history, I arbitrarily decided that Autocade would focus on 1970 and on. There are some exceptions, especially when model lines go back before 1970 and it would be a disservice to omit the earlier marks. But I wanted it to coincide roughly with my lifetime, so I could at least provide some commentary about how the vehicle was perceived at the time of launch. And the ’70s were a fascinating time to be watching the motor industry: those nations that were confident through most of the 20th century with the largest players (the US and UK) found themselves struggling, wondering how the Japanese, making scooters and motorcycles just decades before, were beating them with better quality and reliability. That decade’s Japanese cars are fascinating to study, and in Japan itself there is plenty of nostalgia for them now; you can see their evolution into more internationally styled product, rather than pastiches of others’, come the 1980s and on. The rise of Korea, Spain, China, India, Turkey, México and other countries as car-exporting nations has also been fascinating to watch. When Autocade started, Australia still had a domestic mass-produced car industry, Chrysler was still owned by Americans, and GM still had a portfolio of brands that included Pontiac and Saturn.
   I even used to go to one of the image galleries and, as many cars are listed by year, let the mouse scroll down the page. You can see periods grouped by certain colours, a sign of how cars both follow and establish fashion. There are stylistic trends: the garishness of smog-era US cars and the more logical efficiency of European ones at the same time; smoother designs of the 1980s and 1990s; a creeping fussiness and a concentration on showing the brand’s identity in the 2000s and 2010s. As some of the most noticeable consumer goods on the planet, cars make up a big part of the marketing profession.
   The site is large enough that I wouldn’t mind seeing an academic look at industry using the data gathered there; and I always thought it could be a useful book as well, bearing in mind that the images would need to be replaced with much higher-resolution fare.
   For now, I’m going to keep on plodding as we commence Autocade’s second decade. The Salon de Genève has brought forth some exciting débutantes, but then I should get more of the Chrysler Town & Country vans up …

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Posted in cars, China, culture, design, globalization, India, internet, marketing, media, New Zealand, publishing, technology, UK, USA, Wellington | No Comments »


Upgrading from Flyme 6.2 on a rooted Meizu M2 Note

25.02.2018

Since Flyme 6.2 for the Meizu M2 Note, Meizu has ceased providing automatic updates of its OS to rooted phones. There are a lot of pages and YouTube videos about unrooting, and after finding that none were relevant, I’d like to add to the din with what worked for me.
   Meizu’s own instruction to go to the Flyme website is right. Head there, grab the relevant update.zip from their downloads (in my case, it was the simplified Chinese one), and put it into the root directory of your internal storage.
   However, clicking on the update file from the default file manager brings up a dialogue, saying you can only update if you tick the box permitting the process to delete all your data. Don’t do it.
   Even though Meizu has a section in the security settings to let you root the phone, there’s no equivalent page to unroot it. Once rooted, the original page giving you the warning about warranties, etc. doesn’t show up again. All you see is a page telling you what programs have root access. And there’s really no point getting SudoSU or other packages if you’re unsure of what to do.
   The solution is so deceptively simple that I’m surprised it can’t be easily found online. I can’t even see it on the Meizu forums. Here’s the low-down so you don’t have to spend hours trying to locate it.
   1. Switch off your phone.
   2. Switch it back on pressing both the power and volume buttons, then let go when the Meizu logotype appears. (I had to do this twice but I got there.) This puts the phone into recovery mode.
   3. You’re then given two options: one to clear your data and the other to upgrade. Since you’ve already got update.zip in the root directory, select the upgrade option. Don’t wipe your data.
   That’s it. No unrooting, no extra downloads.
   I’m now running Flyme 6.3 for the Chinese edition of my phone.
   I have to hand it to Meizu for making the process work pretty well. Unlike some other companies, these OS updates actually work out of the box. It’s just a shame there are more hoops to jump compared with Flyme 5 or even 6.1.

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Stefan Engeseth’s Sharkonomics out in China with a new edition

11.12.2017

My good friend Stefan Engeseth’s Sharkonomics hit China a year ago, and it’s been so successful that the second edition is now out. It looks smarter, too, with its red cover, and I’m sure Chinese readers will get a decent taste of Stefan’s writing style, humour and thinking.
   I even hope this will pave the way for translations of his earlier works, especially Detective Marketing and One: a Consumer Revolution for Business (the latter still remains my favourite of his marketing titles).
   I’ve written a brief quote for Sharkonomics and the publisher (with some nudging from Stefan) has taken the time to make sure my Chinese name is accurately recorded, rather than a phonetic translation of my Anglo transliteration, which, of course, then wouldn’t be my name.
   Stefan’s inventive and innovative thinking might seem left-field sometimes, till some years pass and people realize he was right all along. Take, for example, Google wanting to build a high-tech neighbourhood in downtown Toronto, announced in October. Notwithstanding the hassles Google has created on its own turf in Silicon Valley, it’s the sort of project we might expect from the giant now. But would we have expected it in 2007? Probably not, except Stefan did.
   In 2007 (though he actually first floated the idea a year earlier), Stefan blogged about his idea for Google Downtown—why not make real what Google Earth does virtually? Why not shop at places that already know all your personal preferences, if that’s where things are heading? The town would have free wifi and you’d be paying for it with ‘your self’ (the space, I’m sure, was intentional). In 2008, 500 people heard his plans at a conference and laughed. The following year, he met Eric Schmidt and mentioned it to him. Eric paused and didn’t laugh—and maybe the idea sunk in.
   It’s not the first time Stefan has hatched an idea and it gained legs, from Coca-Cola delivering its product through taps to Ikea making flat-pack fashion—both have wound up being done, though the latter not quite in the way Stefan envisaged.

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Posted in business, China, marketing, Sweden | 1 Comment »


Secret “Asian” man (with apologies to Tak Toyoshima)

11.10.2017


Matt Clark

Above: Driving a silver Aston Martin. I’m citing the Official Secrets Act when I say I may or may not be on the tail of Auric Goldfinger.

Oh dear, I’ve been outed. I’m a spy. Actually, Walter Matthau and I prefer ‘agent’.
   You can read between the lines in this New York Times piece about Dr Jian Yang, MP.
   I’ve already gone into what I think of the Yang situation on Twitter but if you scroll down, you’ll see Raymond Huo, MP is tarred with the same brush.
   It’s the sort of reporting that makes me wonder, especially since people like me contribute to Duncan Garner’s ‘nightmarish glimpse’ of Aotearoa.

[Prof Anne-Marie Brady of the University of Canterbury] said the Chinese-language media in New Zealand was subject to extreme censorship, and accused both Mr. Yang and Raymond Huo, an ethnic Chinese lawmaker from the center-left Labour Party, of being subject to influence by the Chinese Embassy and community organizations it used as front groups to push the country’s agenda.
   Mr. Huo strongly denied any “insinuations against his character,” saying his connections with Chinese groups and appearances at their events were just part of being an effective lawmaker.

And:

Despite the criticism, Mr. Yang has continued to appear alongside Wang Lutong, China’s ambassador to New Zealand, at public events, including for China’s National Day celebrations this week, when he posed for photos with the ambassador and a Chinese military attaché.

   I wound up at three events where the Chinese ambassador, HE Wang Lutong, was also invited. This makes me a spy, I mean, agent.
   I even shook hands with him. This means my loyalty to New Zealand should be questioned.
   I ran for mayor twice, which must be a sure sign that Beijing is making a power-play at the local level.
   You all should have seen it coming.
   My Omega watch, the ease with which I can test-drive Aston Martins, and the fact I know how to tie a bow tie to match my dinner suit.
   The faux Edinburgh accent that I can bring out at any time with the words, ‘There can be only one,’ and ‘We shail into hishtory!’
   Helming a fashion magazine and printing on Matt paper, that’s another clue. We had a stylist whose name was Illya K. I don’t always work Solo. Sometimes I call on Ms Gale or Ms Purdy.
   Jian Yang and I have the same initials, which should really ring alarm bells.
   Clearly this all makes me a spy. I mean, agent.
   Never mind I grew up in a household where my paternal grandfather served under General Chiang Kai-shek and he and my Dad were Kuomintang members. Dad was ready to 反工 and fight back the communists if called up.
   Never mind that I was extremely critical when New Zealanders were roughed up by our cops when a Chinese bigwig came out from Beijing in the 1990s.
   Never mind that I have been schooled here, contributed to New Zealand society, and flown our flag high in the industries I’ve worked in.
   All Chinese New Zealanders, it seems, are still subject to suspicion and fears of the yellow peril in 2017, no matter how much you put in to the country you love.
   We might think, ‘That’s not as bad as the White Australia policy,’ and it isn’t. We don’t risk deportation. But we do read these stories where there’s plenty of nudge-nudge wink-wink going on and you wonder if there’s the same underlying motive.
   All you need to do is have a particular skin colour and support your community, risking that the host has invited Communist Party bigwigs.
   Those of us who are here now don’t really bear grudges against what happened in the 1940s. We have our views, but that doesn’t stop us from getting on with life. And that means we will be seen with people whose political opinions differ from ours.
   Sound familiar? That’s no different to anyone else here. It’s not exactly difficult to be in the same room as a German New Zealander or a Japanese New Zealander in 2017. A leftie won’t find it hard to be in the same room as a rightie.
   So I’ll keep turning up to community events, thank you, without that casting any shadow over my character or my loyalty.
   A person in this country is innocent till proved guilty. We should hold all New Zealanders to the same standard, regardless of ethnicity. This is part of what being a Kiwi is about, and this is ideal is one of the many reasons I love this country. If the outcry in the wake of Garner’s Fairfax Press opinion is any indication, most of us adhere to this, and exhibit it.
   Therefore, I don’t have a problem with Prof Brady or anyone interviewed for the piece—it’s the way their quotes were used to make me question where race relations in our neck of the woods is heading.
   But until he’s proved guilty, I’m going to reserve making any judgement of Dr Yang. The New York Times and any foreign media reporting on or operating here should know better, too.

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Posted in China, culture, humour, media, New Zealand, politics, publishing | 2 Comments »


Twenty years on, the Hong Kong handover reminds us how impotent Britain proved to be

01.07.2017


Hong Kong’s skyline in 2008, photographed by Scrolllock.

Has it been 20 years since Dad and I sat in front of the telly to watch both Britannia sail out of the harbour and China set off a magnificent fireworks’ display to celebrate getting Hong Kong becoming one of her possessions again?
   Following some of the 20th anniversary commemorations through the media, notably the BBC World Service which followed them keenly, I had very mixed feelings.
   Having been born British in the then-colony (whilst cheering the All Blacks today, natch) I have some nostalgia for the Hong Kong of old. If it weren’t for some aspects of colonialism, my mother wouldn’t have secured a decent job at Wellington Hospital (viz. an English and Welsh qualification) and I probably would never have learned English before the age of three. It all helped.
   It was the spectre of 1997, specifically the fear of what the Communists would do after July 1, 1997, that prompted my parents to make plans to emigrate as early as the 1970s.
   Of course, history as shown that largely those fears have not come to pass, although the Umbrella Revolution highlights that universal suffrage is not a reality in the city.
   In a post-Brexit (or at least a post-Brexit vote) era, these past two decades also highlight that British nationalism is meaningless and little more than a tool for politicians to yield for propaganda.
   You can fairly argue that that is what nationalism always has been. It could also equally be argued that nationalism is founded on some rose-coloured-glasses past, painting a picture that actually never existed.
   American nostalgia looks back at a 1950s’ economic boom while ignoring segregation while British nostalgia shows a child pushing his bike up a hill to Dvořák’s New World Symphony.
   Brexiters, rightly or wrongly, want to reassert a British self-determination founded on a British national character.
   Most Britons I talked to, regardless of their politics, agree that if you are Hong Kong British, then you are British. That should be some solace to the families of those HKers who lost their lives fighting under the Crown in both World War II and the Falklands.
   Yet there is no reality to this claim when it comes to government. Fearful of an influx of Hong Kong British emigrating to the UK, the British National (Overseas) category was invented in 1985, to replace our previous status as Citizens of the United Kingdom and Colonies. It didn’t do the wealthy any harm, mind: a lot went to Canada and Australia and took their money there. Others stayed and invested in China, and helped fuel the growth of Shenzhen as a technological powerhouse. The Hong Kong Chinese person is generally industrious, many having descended from refugees from China in 1949 who decided to make the most of the freedoms in the colony. That work ethic was certainly nothing any Briton in the UK needed to fear, yet somehow we were classed as Johnny Foreigner.
   When I went to the UK in 2001 with that BN(O) passport, I had terrible trouble at immigration, denied entry when queued up with other British subjects. I wound up at the back of the queue with some white South Africans, who were less than impressed and said, ‘But that’s apartheid.’ Correspondence to the High Commission, Foreign Secretary, and Shadow Foreign Secretary went unanswered, though I did get a response from the PM.
   In other words, the fears within Enoch Powell’s ‘Rivers of Blood’ speech held more sway in Blair’s Britain than any sacrifice in the Falklands (even if, I should point out, Powell was not addressing immigration per se). Today, I wonder if they still do.
   The Tiber was greater than the Atlantic.
   Labour were quick to point out how wrong the Tories were with BN(O) back in the 1980s, but in 2001, Labour wasn’t working.
   Robin Cook, the Foreign Secretary, said at the time of the handover in 1997 that Britain would ‘walk with you’, that Britain had won assurances that elections in Hong Kong would be free and fair, and that if China ever failed to live up to this pledge, Britain would take the matter to the United Nations under the Sino-British Joint Declaration.
   In 20 years, Britain has not lifted a finger.
   We might get lucky like the Gurkhas one of these days if Joanna Lumley wants to come to our aid. But we certainly can’t rely on any politician.
   Being British (I retained my nationality and applied before the deadline to be a BN(O)), you can see how the pro-Brexit position was hard to stomach to me. The likes of Nigel Farage and the “other” New York-born politician with funny hair, Boris Johnson, seemed to revel in some idea of British unity, but anyone from Hong Kong will tell you that in politics, that is an empty concept.
   Only one of my friends who was pro-Brexit voted based on the idea of an independent Britain being more efficient when freed from the whims of Brussels, and I respect him for it; most of what I saw was aimed against immigration. The current PM’s belief in safeguarding the interests of British subjects should be cold comfort to those affected: if they couldn’t defend our interests, will others fare any better, especially with a minority government in a Conservative Party that actually remains as divided as ever?
   Not that I am championing the People’s Republic of China for its handling of relations between mainlanders and Hong Kongers; it has equally been exclusive of us and our unique culture. I have already gone into the Umbrella Revolution elsewhere (even if the TV One website omitted my televised comments about Wikileaks’ reporting of US State Department interference as this goes against the western narrative), and this doesn’t need exploring again. The disappearance of publishers critical of Beijing should sound alarm bells—I note that one of them was a British subject, but the best the UK could muster was an expression of concern. I cannot help but wonder if this is the fate that awaits Britons on the Continent should something happen to them.
   Some negatives aside, I am happy that when I visited a “Chinese” Hong Kong in 2006, I found a city whose character was intact, and I remarked at how unchanged that was. In subsequent visits in 2008, 2010 and 2012, that core remained. Given all the paranoia before 1997, ‘One country, two systems’ has certainly not been as bad as many of us—including those of us who moved our entire lives abroad because of those fears—predicted. I wish all HKers well on this 20th anniversary.

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Selling Opel: what’s good for China is good for General Motors

15.02.2017


Above: The Opel Astra K: on the roster.

I’m not so sure that GM going into talks to sell Opel and Vauxhall to PSA (Peugeot–Citroën) is that big a surprise.
   We obviously hold a lot of nostalgia for these brands, and it’s only right that we perceive GM as selling its family jewels. Opel has made some great cars over the years, and Buick in China and the US, Vauxhall in the UK, and Holden in Australia rely on this division to provide it with product.
   But it wasn’t long ago that I said I foresaw the next Holden Commodore being a four-door booted model based on a Chinese Buick Regal that’s on the same platform. While I’ve been proved wrong with scoop photos and inside information from journalists in the immediate term, longer-term this doesn’t look so far-fetched, in a future where Peugeot owns Opel–Vauxhall and GM has no choice but to consider Chinese sourcing seriously.
   Therefore, GM isn’t thinking that it’s selling off the family jewels, at least the GM where Chinese partner SAIC is overwhelmingly calling the shots.
   What they are thinking is this: ‘We should be able to develop the whole lot in China.’ They weren’t nostalgic over Holden, and they won’t be thrilled with the losses at Opel. It’s willing to sacrifice it to make its own position stronger. We’ve already seen that SAIC has called it quits when it comes to British assembly at Longbridge—that’s now all done back in China.
   There’s been such a massive technology transfer from the US to China over the last few years that Europe is seen as surplus by the folks in Shanghai. They have all the platforms on which they can make products globally. They may even, rightly or wrongly, think that the remaining brands can get them into Europe, even if GM had pulled its Korean-made Chevrolets out of there.
   Holden can be used to westernize the product and the Australians have shown they can do it well.
   I’m not saying I agree with this, as a long-time Opel fan. I was looking forward to the new Commodores coming out of Rüsselsheim. The car looks the business, it’s roughly the size of the recently deleted Ford Falcon (therefore, I’m not sure why people are so upset about its size), and the majority of buyers don’t even know which set of wheels the power’s going to. I’ve got an Astra K coming in a few months at Lucire.
   What you’re going to see is GM basically being a Shanghai-run firm with China supplying global markets and the US operations kept going for their brand cachet.
   In the meantime, a hypothetical PSA-run Opel will continue with the existing plans till the end of these models’ life cycles, then China will become the manufacturing hub for numerous markets.
   SAIC already makes a load of Cadillacs, Buicks and Chevrolets for the domestic market, and they’ll want to pump them out more widely.
   They’ve also shown that they can take new GM platforms and turn them into Roewes—or old GM platforms and turn them into Baojuns.
   PSA, meanwhile, with 14 per cent controlled by Chinese firm Dongfeng, will pursue a strategy of streamlining platforms and be focused more on Europe. It could pay off as cross-town rival Renault has done well with Nissan, Mitsubishi, Samsung, Dacia and AvtoVAZ, but it won’t nearly be as secure. The two French groups have been obsessed with one another for as long as I can remember, for years spending more time rivalling each other than actually coming up with what customers wanted.
   Dongfeng may have to cough up more lolly and it could become a larger shareholder than the Peugeot family or the French government. But will it have the sort of geographical coverage that Renault has?
   That’ll be what PSA will be asking itself, knowing that it’s reasonably strong in China—but also realizing that it hasn’t been clever at creating models that can be sold globally (the current Citroën C6, DS 5LS and the DS 6 among them, sold exclusively in China). Nevertheless, there are savings to be had, though the most obvious fear is that Opel and Vauxhall will go the way of Panhard and Talbot, brands that fell into either Peugeot or Citroën’s hands over the years and become defunct at the expense of the parent companies’. Is there a desire to extend the group’s brand portfolio beyond Peugeot, Citroën, DS, the various Dongfeng lines, and the ex-Hindustan Ambassador?
   The official statement is non-committal enough and gives nothing away: ‘PSA Group and General Motors confirm they are exploring numerous strategic initiatives aiming at improving profitability and operational efficiency, including a potential acquisition of Opel Vauxhall by PSA.
   ‘There can be no assurance that an agreement will be reached.’
   In any case, we always said that SAIC was playing a long game. MG was a toe in the water. GM is the real deal.
   Controlling GM means they can do as they please, and what’s good for China is good for General Motors.

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Online publishing: how the players we dealt with changed in 2016

12.01.2017


Above: Brave Bison’s predecessor, Rightster, left much to be desired in how it dealt with publishers, while investment commentators had concerns, too.

Twenty-sixteen had some strange developments on the publishing front.
   First, we noticed Alexa rankings for a lot of sites changed. Facebook itself went from second to third, where it has stayed. Our own sites dropped as well, across the board, even though our own stats showed that traffic was pretty much where it was. In Autocade’s case, it was rising quickly.
   We checked, and Alexa had announced that it had increased its panel again in 2016. There was an announcement about this in 2014, but things improved even more greatly during the last Gregorian calendar year, specifically in April. (April 2016, it seems, was a huge month of change: read on.) This means Alexa began sampling more people to get a more accurate picture. Given that Facebook fell as well as us, then we drew the conclusion that the new panel must include audiences in China and other non-Anglophone places. It makes sense: Alexa is a global service and should take global data points. Never mind that we’ve suffered as a result, we actually agree with this approach. And we’re taking steps in 2017 to look at capturing extra traffic with our content.
   Alexa, when we approached them, said it could not comment about the origins of the panellists. Again, fair enough. We’ve made an educated guess and will work accordingly.
   Secondly, there were two ad networks whose advertising disappeared off our sites. The first, Gorilla Nation, started dropping off long before 2016. In 2015, we asked why and were asked to fill out some form relating to Google ads. Anyone who’s followed this blog will know why that was unpalatable to us—and we want to make sure our readers don’t fall victim to Google’s snooping, either. I’m not saying that Google ads don’t appear at all—it’s the largest advertising network in the world, and its tentacles are everywhere—but if I can avoid opening our properties up to Google willingly, then I’ll do so.
   It’s a shame because we’ve worked exceedingly well with Gorilla Nation and found them very professional.
   We have, sadly, entered an era where—as found by my friend and colleague Bill Shepherd—online advertising is controlled by a duopoly. In The New York Times, April 18, 2016 (italics added): ‘Advertisers adjusted spending accordingly. In the first quarter of 2016, 85 cents of every new dollar spent in online advertising will go to Google or Facebook, said Brian Nowak, a Morgan Stanley analyst.’ I don’t think this is fair, as they’re not the ones generating the content. Google has also managed to game services like Adblock Plus: they’ve paid for their ads not to be blocked. (Better has more information on why certain ad blockers are ineffective.) It’s not difficult to see why native advertising has increased, and this is generally more favourable to the publisher. In 2017, it’s time to build up the advertising side again: two years ago we already saw quarters where online overtook print in terms of ad revenue.
   Burst Media’s ads also disappeared, and we had been working with them since 1998. Now called Rhythm One, they responded, ‘We recently migrated to a new platform and your account was flagged by an automated process as part of that. All that being said—we can absolutely get you live again.’ That was April. I added one of their team to Skype, as requested, but we never connected—the helpful staff member wasn’t around when I called in. Again, a bit of a shame. As I wrote this blog post, I sent another message just to see if we could deal with the matter via email rather than real-time on Skype.
   At least this wasn’t a unilateral cessation of a business arrangement, which Rightster sprung on us without notice in April. Rightster’s Christos Constantinou wrote, ‘It is with regret that we inform you that from yesterday we ceased providing video content services to your account.’ This wasn’t the first change Rightster sprung on us—its code had changed in the past, leaving big gaps in our online layouts—and soon after, everyone there clammed up, despite an initial email from another Rightster staffer that feigned surprise at what had happened. Mr Constantinou never picked up phone calls made since that point, and we couldn’t get an answer out of them. No breaches of their terms and conditions were ever made by us.
   We were only interested in a small handful of their video sources anyway, all of whom exist on other platforms, so one would have thought that it was to Rightster’s advantage to continue working with a well respected brand (Lucire). A bit of digging discovered that the firm was not in good shape: a pre-tax loss in the first half of 2015 of £11·5 million, with shares trading in October of that year at 10·50p per share, down from its float price of 60p. That year, it was forecast by Share Prophets that things would only get worse for the firm, and they were proved right within months. Not long after ceasing to work with us (and presumably others), Rightster became Brave Bison Group, restructured, and became a ‘social video broadcaster’, but it was still burning cash (to the tune of £1·3 million, according to the same website in July 2016).
   Gorilla Nation and Burst’s slots have largely been replaced by other networks as well as ads secured in-house, while Rightster effectively did us a favour, though its opaqueness didn’t help. In fact, when they didn’t answer questions, it was only natural to surf online to investigate what was going on. Initially, there was some negative stuff about Burst, though my concerns were put to rest when they emailed me back. With Rightster, there was no such solace: finding all the news about the firm being a lemon confirmed to me that we were actually very lucky to have them farewell us.
   We revived an old player that we used, through Springboard, itself linked to Gorilla Nation, so we’re still serving advertising from them, just in a different form. Video content has not vanished from the Lucire sites, for those who are interested in it.
   How a company behaves can be linked to how well it ultimately performs, and what it’s worth. Given our treatment by Rightster, it wasn’t that surprising to learn that something was rotten in Denmark (or London). Maybe that first staff member was genuinely surprised, with employees not being told about their company running out of money. And unless things have truly changed within, it could well continue to function dysfunctionally, which will give those AIM columnists more ammunition.

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