Stabilizing foreign investment defines Shanghai's business landscape of 2023

If there's one resounding phrase that defines Shanghai's business landscape of 2023, it is undoubtedly "stabilizing foreign investment."

In the past six months, a momentous surge of global chief executives and leaders from multinational companies (MNCs) has graced the city, meeting with city officials. Together, they have taken part in an array of internal and external engagements, forging profound connections with government bodies, academia and industry partners alike.

The pursuit of foreign investment has been a two-way passion. District leaders embarked on trips overseas, touching down in Europe, Southeast Asia and South America. Through their efforts, they have unlocked a trove of global investment intentions, laying the groundwork for a mechanism of financial inflow.

As information flow accelerates, China's interactions with foreign businesses grow stronger, with media frequently reporting on their activities. In the latter half of this year, we can expect an upsurge in events such as the 6th China International Import Expo and the International Business Leaders' Advisory Council (IBLAC) meeting.

Notably, Shanghai Vice Mayor Hua Yuan emphasized at an April press conference the city's focus on enhancing three mechanisms: "government-enterprise communication, problem coordination and solution, and precise information push" to optimize services for foreign-funded enterprises. The significance of "precise information push" stood out again.

In my interactions with foreign-funded enterprises in China, and even their headquarters, I observed that they highly prioritize "precise information push."

For instance, an executive of an MNC China headquarters shared how they invest significant effort in keeping their headquarters informed about the real situation in Shanghai. They also conduct regular sharing sessions to update colleagues in other markets about the Chinese market, even when facing confusion and doubts from global colleagues.

Similarly, an Asia-Pacific communications head of another MNC revealed that their global CEO is well-versed in China, having worked there for years. However, he still encounters various incomprehensible voices at the global level.

Questions arise about why resources should be allocated to China, why investments are made in China, and what the Chinese market is like. Addressing these queries requires robust answers, often beyond the capabilities of the company's communication or business department in China.

At this level, we must address a crucial challenge: How can we achieve more accurate and fact-based communication to pinpoint the source of problems? To answer this, we must first recognize the significant changes in the international communication landscape. Global economic challenges and geopolitical issues complicate the landscape, while the notion of "telling China stories well" has grown more diverse.

Mainstream media in China play a vital role, and communication forms and products continue to diversify. Local governments also have their own communication platforms, and innovative platforms like City News Service and IP SHANGHAI have emerged rapidly, expanding China's international communication channels.

However, we must acknowledge the increasing need for multi-layered dissemination channels. It should include not only mainstream media but also professional business information providers, global PR services providers, and university-based research institutions collaborating to ensure "precise information push" becomes a reality.

Simultaneously, leveraging the influence of key influencers in the local business sphere, many of whom possess expertise in China, can expedite the promotion of "precise information push" in their respective fields.

How do we define "precise information push?" Let's explore two aspects. The first revolves around the question we've been addressing for a long time: How can we convey our story in a way that the world comprehends?

Specifically, do we possess the ability to communicate policy, business, livelihood, and service information to foreign-funded enterprises' global headquarters in a manner they readily understand? For instance, can we present core messages using concise bullet points on a single page or utilize a Q&A format to provide succinct answers, creating a briefing book familiar to foreign executives?

Efficiently summarizing, organizing, and digitizing this information serves two purposes. Firstly, it streamlines the dissemination process. Secondly, it offers a valuable reference for foreign-funded enterprises in China, helping them grasp their operational environment and facilitating seamless communication with their headquarters.

The second aspect involves breaking down barriers between various government departments and establishing an open, efficient, and real-time updated "business information library."

In this domain, close cooperation with diverse government departments is crucial to conduct research, address inquiries, and establish effective communication mechanisms.

Additionally, forming a professional cross-disciplinary team that leverages the expertise from academia, industry, and other fields is essential. The team should focus on studying how to build this information library and develop world-oriented information products based on it. Undoubtedly, achieving these goals will demand conceptual innovation, creative thinking, and technological advancements.

Recently, in collaboration with the School of Journalism and Communication, Shanghai International Studies University, our team has undertaken a research activity focused on foreign-funded enterprises in Shanghai. Our research objective is to explore the challenges and potential solutions for enhancing the transmission of information from Shanghai to the MNC headquarters. We have already uncovered some intriguing findings and aim to unveil more results during this year's CIIE.

Presently, we keenly recognize that global communication is no longer a mere add-on for the city; rather, it has evolved into a critical link in both attracting and stabilizing foreign investment. The municipal government has rightly emphasized that accelerating the precise dissemination of information and fortifying communication between the government and enterprises are vital steps in effectively addressing and resolving issues. In essence, foreign-funded enterprises come to China seeking business opportunities and sustainable growth, making it closely intertwined with the vitality of our entire city.

(The author is an adjunct research fellow at the Research Center for Global Public Opinion of China, Shanghai International Studies University, and founding partner of 3am Consulting, a consultancy that specializes in global communications.)