Back from vacation. As an American, i feel poor.

[Coronita]

Well, I'm back from my trip from China. The good news is that my house didn't burn down while I was away. Also, apparently despite how terrible the air quality usually is in Beijing, it felt better than the few days here in S.D. I hope everyone here is recovering from the fires, and that everyone is ok…

That said. Something that really struck me when i was in China this time around… I really feel poor. In the past when I went, I felt the good old Greenback went along way. It still does. But major cities in china has changed. A couple of things that stood out while in Beijing

1) Real estate in Beijing was nearly as expensive as real estate in san diego.

2) Cars in Beijing are much more expensive than here in the states, minus a few exceptions

3) Designer/high end clothes and retail is more expensive than what you would find in places like South Coast Plaza.

4) It appears that the "average" joe chinese that many of us think is dirt poor from stereotypes isn't necessarily true anymore. On the streets, roads, tourist areas, boutique shops, I saw plenty of consumption. And it's not the charge now pay later type of consumption, because CC's aren't quite that popular yet. I really can't explain this, but compared to my trip a few years ago, it sees like overnight average joe became wealthier.

5) As the dollar continues to decline, a lot of these upper average joe's in china will have a better cost of living than average joe here.

All this really got my wife and I thinking

a)Man, we really feel poor, relatively speaking. We pay up the noses in taxes. Average upper middle class in china pays very little taxes.

b)It would be foolish for the U.S. government to not relax the tourist visa requirements for China. These folks easily spend on tourism. Paying $3-4k USD to europe and other parts of the world where there is no restrictions is not uncommon.

c) There's got to be a way to tap in to the consumer market in china.

d) The's got to be a way to bridge the U.S real estate to mainland chinese investors. As the dollar continues to decline and the average chinese purchasing power rises, I'm convinced there will be interest from folks purchasing homes here, as I have seen similar trends back in the 90'ies with folks from Taiwan and Korea. Although I doubt the numbers will be significant to save any real estate market, it smells there some opportunity to be made here.

 

If you haven't yet visited Beijing, I would actually recommend going now. Especially that right now, the locals treat foreigners much nicer than folks that look chinese. My only regret is that when I was a child, I didn't take learning my second language more seriously.

 

[patientrenter]

flu, your comments echo what I heard from a friend just back from a visit a month ago. High living standards for many Chinese now.

Patient renter in OC

[patientrenter]

flu, your comments echo what I heard from a friend just back from a visit a month ago. High living standards for many Chinese now.

Patient renter in OC

[patientrenter]

flu, your comments echo what I heard from a friend just back from a visit a month ago. High living standards for many Chinese now.

Patient renter in OC

[nostradamus]

Yes for a communist country they do take to capitalistic ways like fish to water.

I recently took my 4th trip there. My first trips were to the big cities and my impressions were the same as yours: consumerism is on the rise; however, now I’ve started visiting outlying areas and much of the country still lives without many of the things we take for granted. It would be interesting to see the wealth and income gap between the rich and the poor.

Recently I went to the Guanxi region in the southwest, bordering Vietnam. Although there are major tourist areas (Guilin being the biggest tourist attraction to Chinese) most of the areas are dirt poor.

Didn’t you find that, even though the price tags were high, the cost of everything is negotiable?

Of course they were nicer to you: you’ve got beaucoup tourist bucks! The most important phrase I learned was: bu yao la! (I don’t want it) used to fend off the peddlers of kitschy trinkets and crap.

[nostradamus]

Yes for a communist country they do take to capitalistic ways like fish to water.

I recently took my 4th trip there. My first trips were to the big cities and my impressions were the same as yours: consumerism is on the rise; however, now I’ve started visiting outlying areas and much of the country still lives without many of the things we take for granted. It would be interesting to see the wealth and income gap between the rich and the poor.

Recently I went to the Guanxi region in the southwest, bordering Vietnam. Although there are major tourist areas (Guilin being the biggest tourist attraction to Chinese) most of the areas are dirt poor.

Didn’t you find that, even though the price tags were high, the cost of everything is negotiable?

Of course they were nicer to you: you’ve got beaucoup tourist bucks! The most important phrase I learned was: bu yao la! (I don’t want it) used to fend off the peddlers of kitschy trinkets and crap.

[nostradamus]

Yes for a communist country they do take to capitalistic ways like fish to water.

I recently took my 4th trip there. My first trips were to the big cities and my impressions were the same as yours: consumerism is on the rise; however, now I’ve started visiting outlying areas and much of the country still lives without many of the things we take for granted. It would be interesting to see the wealth and income gap between the rich and the poor.

Recently I went to the Guanxi region in the southwest, bordering Vietnam. Although there are major tourist areas (Guilin being the biggest tourist attraction to Chinese) most of the areas are dirt poor.

Didn’t you find that, even though the price tags were high, the cost of everything is negotiable?

Of course they were nicer to you: you’ve got beaucoup tourist bucks! The most important phrase I learned was: bu yao la! (I don’t want it) used to fend off the peddlers of kitschy trinkets and crap.

[patientlywaiting]

Very true. I go to Asia once a year (going for new year). Hotels there are more expensive than in LA. Shanghai and Beijing are changing fast. The Shanghai Urban Planning Museum is simply amazing. Public transport is great. The Mag Lev train is awesome! China is a lot more dynamic than America as everyone is running around looking to make money.

Sure, China is still poor but out of the total population, you have at least 200 million middle and upper income earners. Think of how America was to Europe in the late 1800s.

My good friends who are Chinese and retired sold their home and moved to Beijing to be near their two sons who work there. The sons say that LA is too laid back and when they lived in LA, they didn’t feel driven. BTW, they sold their LA house at the peak and moved all their money to Hong Kong. If they tire of China they’ll be able to move back and buy at 1/2 price. But I doubt they’ll ever come back.

Americans and Europeans are everywhere looking for business opportunities in China.

Read Tom Friedman and be very worried. As America is bogged down in Iraq, China is extending it’s business tentacles around the globe. If you want a good future for your children, make sure they learn Chinese and go on exchange programs in China.

[patientlywaiting]

Very true. I go to Asia once a year (going for new year). Hotels there are more expensive than in LA. Shanghai and Beijing are changing fast. The Shanghai Urban Planning Museum is simply amazing. Public transport is great. The Mag Lev train is awesome! China is a lot more dynamic than America as everyone is running around looking to make money.

Sure, China is still poor but out of the total population, you have at least 200 million middle and upper income earners. Think of how America was to Europe in the late 1800s.

My good friends who are Chinese and retired sold their home and moved to Beijing to be near their two sons who work there. The sons say that LA is too laid back and when they lived in LA, they didn’t feel driven. BTW, they sold their LA house at the peak and moved all their money to Hong Kong. If they tire of China they’ll be able to move back and buy at 1/2 price. But I doubt they’ll ever come back.

Americans and Europeans are everywhere looking for business opportunities in China.

Read Tom Friedman and be very worried. As America is bogged down in Iraq, China is extending it’s business tentacles around the globe. If you want a good future for your children, make sure they learn Chinese and go on exchange programs in China.

[patientlywaiting]

Very true. I go to Asia once a year (going for new year). Hotels there are more expensive than in LA. Shanghai and Beijing are changing fast. The Shanghai Urban Planning Museum is simply amazing. Public transport is great. The Mag Lev train is awesome! China is a lot more dynamic than America as everyone is running around looking to make money.

Sure, China is still poor but out of the total population, you have at least 200 million middle and upper income earners. Think of how America was to Europe in the late 1800s.

My good friends who are Chinese and retired sold their home and moved to Beijing to be near their two sons who work there. The sons say that LA is too laid back and when they lived in LA, they didn’t feel driven. BTW, they sold their LA house at the peak and moved all their money to Hong Kong. If they tire of China they’ll be able to move back and buy at 1/2 price. But I doubt they’ll ever come back.

Americans and Europeans are everywhere looking for business opportunities in China.

Read Tom Friedman and be very worried. As America is bogged down in Iraq, China is extending it’s business tentacles around the globe. If you want a good future for your children, make sure they learn Chinese and go on exchange programs in China.

[patientlywaiting]

Notradamus, have you been to Vietnam? I want to go check it out. Here’s an interesting article in BW.

http://www.businessweek.com/magazine/content/07_43/b4055060.htm?chan=search

[patientlywaiting]

Notradamus, have you been to Vietnam? I want to go check it out. Here’s an interesting article in BW.

http://www.businessweek.com/magazine/content/07_43/b4055060.htm?chan=search

[patientlywaiting]

Notradamus, have you been to Vietnam? I want to go check it out. Here’s an interesting article in BW.

http://www.businessweek.com/magazine/content/07_43/b4055060.htm?chan=search

[Arty]

I am a Chinese American, pro-China, and I just got back from Shanghai last weekend. Yes, there are growing middle class – I have never seen so many VW in my life. However, majority of China’s wealth is still in the control of its government (land tenure for example). Average joel make less than 10,000 US dollars even in Shanghai, and that’s consider good pay (there is a saying in Shanghai that an ideal husband should make 7000 rmb a month). The stock market is so over-priced especially after last week’s run on HK stock exchange. And don’t forget the constant gray-haze air pollution in Shanghai; plus the 2nd hand smokes in-door. I think we have our troubles and China has its. Who will come up on top? I think US still will because we are in a far better position from the beginning. Of course, we maybe at the beginning of the end of the American Empire.

These been said. I did enjoy my trip to China. The services and goods were cheap if you knew your way. The hotel room you could get at least 25% off. I brought most of my gifts there for a minimum of 50% off, and I still felt that I was getting ripped off. I like the massage places (I went to the top one), and I got an hour massage for less than 10 US dollars. The food is about half of US price at a good restaruant. However, there are also very expansive places, I ate at a Japanese buffet place that cost 288 rmb (~35 dollars), and I went to a night club that cost way too much (but an eye opening experience). China is growthing fast but I will suggest it take its time to solve its problems first before they blow up in its face.

[Arty]

I am a Chinese American, pro-China, and I just got back from Shanghai last weekend. Yes, there are growing middle class – I have never seen so many VW in my life. However, majority of China’s wealth is still in the control of its government (land tenure for example). Average joel make less than 10,000 US dollars even in Shanghai, and that’s consider good pay (there is a saying in Shanghai that an ideal husband should make 7000 rmb a month). The stock market is so over-priced especially after last week’s run on HK stock exchange. And don’t forget the constant gray-haze air pollution in Shanghai; plus the 2nd hand smokes in-door. I think we have our troubles and China has its. Who will come up on top? I think US still will because we are in a far better position from the beginning. Of course, we maybe at the beginning of the end of the American Empire.

These been said. I did enjoy my trip to China. The services and goods were cheap if you knew your way. The hotel room you could get at least 25% off. I brought most of my gifts there for a minimum of 50% off, and I still felt that I was getting ripped off. I like the massage places (I went to the top one), and I got an hour massage for less than 10 US dollars. The food is about half of US price at a good restaruant. However, there are also very expansive places, I ate at a Japanese buffet place that cost 288 rmb (~35 dollars), and I went to a night club that cost way too much (but an eye opening experience). China is growthing fast but I will suggest it take its time to solve its problems first before they blow up in its face.

[Author]

Posts