Introducing Jun Sun Partner, China - US Business Development Corp.
Can you describe your work, and why you decided to set up an office in Foshan?
I am the China based partner in our company, CUBD and for 10 years, we have assisted small and mid-sized companies in capturing opportunities in China through advising them on issues of licenses, market entry strategy, sourcing, financing and selling to China. We focus on this smaller market who may lack the human and capital resources. I have spent the last 10 years in Shenzhen and chose Foshan because the cost of Shenzhen has risen so dramatically we believe it has stopped foreign companies willing to try the market. Also, Shenzhen is filled with foreign companies or foreigners, and Foshan as a tier II city is very modern but balanced with local culture and foreign company. Rents and real estate property prices are significantly lower in Foshan and it’s also the perfect place to discover new things and explore the unique culture.
What makes Foshan attractive to American/Foreign companies?
First of all, Foshan is a large tier II city to an American company, it’s a ‘Suburb’ of Guangzhou less than 30 KM away which means that there are plenty of job and/or business opportunities but less competition. Compare this to New York or Los Angeles it’s still a sizable city by comparison. In terms of land size, Foshan is almost 5 times the size of New York City. Another surprising statistic, Foshan is ranked the 4th richest city in China in a report from 2015. With the rising wages and cost of living in Guangzhou and Shenzhen, I believe that there will be major moves by companies to relocate their production bases and china offices into the cities close to Guangzhou and Shenzhen with lower costs and easier access to the Pearl River Delta markets. American companies can start with smaller investment and even can retain employees at lower salaries. The initial support from local government can be very important. That’s very attractive for foreign companies.
How do you see the city developing in the next 10 years, and how will you help your clients to take advantage of that?
Ironically, I was born in Foshan. In the last 10 years, Foshan has changed so dramatically I hardly recognized it. As my business partner Jeff Holtmeier mentioned: “If I knew Foshan was like this, I would have agreed to set up an office in Foshan years ago”. When I have the chance to come back to Foshan and set up an office here, I was impressed that the Foshan government is moving forward with foreign representatives in order to develop their international image. I think that the city will continue grow in the next 10 years. It is a good time for foreign companies and our clients to consider a beautiful and affordable city like Foshan.