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Business becoming easier in forward looking China
HONG KONG, Nov 29 : For China trader Marty Merz the meals that are an essential part of making deals are often the least palatable aspect of his business, reports Reuter.
The 34-year-old Australian has chewed, slurped and burped his way through dog stew, snake soup, maggot quiche, deep fried bluddcr and bleached sand worms during his five years of trading.
"For a time almost every meal was pangolin (a scaly ant eater) and that's an endangered species. Dog crackling is one of the most unpleasant things 1 have ever Las led".
"Factory managers use you as an excuse for a spread. They ask you whal you like then order whal they want., Il can become a point of friction," said the bearded, bespectacled Merz.
Stomach-churning meals apart, Merz reckons dong business has become a lot easier since he made the first of hundreds of visits to China five years ago to arrange the manufacture of shoes destined for American feel.
'Of the factory in south China where he struck his first deal he said : "It has taken off and is now a going concern. 1 have been there a lot of the time, pushing, pushing, pushing and I think 1 have made some contribution to their point of view.
"When I first went there the ■ management structure seemed designed to discourage productivity and so was the equipment.
"I persuaded the workshop to have a production line and start piece rates. People were doubling and tripling their
wages. Productivity went up astronomically from 50 pairs a day to thousands of pairs." he said.
NJB-Mcrz Ltd the company in which he is a partner with American Bruce Grill, 37, also docs regular business with 27 other shoe-making factories.
The company — with a staff of six. Including three secretaries — provides United Stales clients with cheap casual shoes selling for three lo 15 US dollars.
Hong Kong based Merz is fluent in Mandarin Chinese, which he learned at Melbourne University and In Taiwan. _
As pari of economic reforms Introduced by Chinese leader Deng Xiaoping in 1979 three special economic zones were set up in southern China's Guangdong province
offering concessions to foreign investors.
Hong Kong businessmen moved labour Intensive operations cn masse from the cramped British colony to take advantage of China’s much lower wages and land prices.
Taiwan entrepreneurs appeared on the scene later after relations between their government and Beijing thawed enough to allow official business contacts.
As a result of the infusion of foreign capital Guangdong has seen astonishing economic growth over the past decade.
Merz said : "I l was purely by accident I got into this business. I had a friend in Taiwan who already hud a trading company and he felt something was happening In China. He didn't hove tin- lime, so I went over lo Guangdong
province for a look."
He made 47 other visits to China that year and 28 lo Taiwan. He still visits China almost every week and used up his latest 48-page passport in seven months.
Of China's notoriously un-comforlablc CAAC domestic airline he said : "If they had a mileage plus programme I could take al) my friends around the world First Class.
"I think they are quite safe, but 1 once waited for a flight for (thrce days und I know other people who have waited for seven. It makes planning a' tight Itinerary very difficult."
Merz was In China In the days leading up lo the crushing of the pro-democracy movement in Beijing on June 4. 1989. He was trying to catch a train from the southern town of I'inkiang and the first in kllng he had that something
was wrong was when 1t didn't arrive.
Tlie station master merely told him lo check Into a hotel.
"I phoned my partner In New York lo tell him about the delay und he told me what was happening. All our clients were frantic, thinking the whole country was in flame's. They demanded that wc ship all order# in hand within the next 10 days," he said.
Merz says lie is generally optimistic about the future of China, or more particularly the booming south.
TIkic Is an awful tot wrong und the- wasU- of human and material resources is heartbreaking sometimes, but overall things are getting bet-
T am possibly more opll-mlslic Ilian a lol of Chinese people," the trader said.