Investment Dilemma: China – How hard do we look?
As China, willingly or unwillingly, opens its doors to the west and in particular the scrutiny of western media there are more questions than answers emerging.
In the lead up to the Olympics and with a recent visit from the Australian Prime Minister the awareness and interest in China grows. Unfortunately it’s not images of cuddly panda bears and feats of ancient engineering that are sticking in peoples minds.
Being exposed at a mainstream level are the concerns over human rights, freedom of speech, environmental issues and a style of governance that is at odds with western style democracy and liberty.
As an investor that wants to make ethically and morally wise investments, China is starting to present a challenge on many fronts.
Whilst the west may want to help lead China forward in relation to human rights and civil liberties, the response is the measure.
And the response is not good. While leaders and groups across the world voice concerns and ask for simple expectations of greater transparency the great wall gets higher and we are returned with responses which many report as either stage managed or manufactured.
If it is true that China is dispersing propaganda within its own borders and across our own in response to these concerns it adds to the questions we need to ask:
Should our investment decisions be weighted by concerns over human rights issues, or should we turn a blind eye and agree that it is an ‘internal affair’ of that country?
Is it be possible to have or build trust in Chinas governance, and is there surety in investing into companies that trade with or operate in China?
Should exports be linked to improvements in human rights, as was pledged with the awarding of the Olympics?
What are we buying, and supporting, when we buy goods made in China?
Should unions be working with trading partners to ensure an equalisation of workers rights?
How concerned should we be about sovereign funds buying local infrastructure and assets, does China have an end game?
I’m sure there are many more questions, so, over to you – please post your thoughts and views…….
East meets West = Train Wreck..
“Should exports be linked to improvements in human rights” yes they should. Although Australia seems far too concerned with it’s ‘prosperity’ than to care or take an interest in such matters. Which is not a fault of the Australian people, more of politics.