Summary:
California has been too complacent in its relationship with Asia, and businesses here should look more aggressively at opportunities throughout the Pacific Rim, panelists agreed.
Marshall Toplansky said California should take advantage of its entrepreneurial tradition to create a cultural base that will bring California and Asia closer together — especially in Japan, which is ripe for investment, he said.
Yukuo Takenaka focused on the recession/depression that has plagued Japan for the past 10 years. Japanese companies are now trying to restructure to survive, he said, and one way to do this is through foreign investment, especially from the U.S.
"U.S. companies bring new thought and new ideas into Japan," he said, creating "immediate improvement" in the companies they invest in. Because the Japanese culture does not tolerate mistakes, they avoid an essential learning process. U.S. companies can teach them much about innovation and rewarding success, he said.
Toplansky also pointed to dramatic changes in China. With China becoming the world's biggest supplier of technology, media and agriculture — long California's strong suits — it is creating wealth and will soon become the world's biggest consumer, he said. If we don't do something, California will struggle to remain relevant, he added.
Perry Wong predicted good days ahead for the state. We have room to improve, he said, but California's assets, such as its ports, entrepreneurial culture and the oft-ignored San Joaquin Valley, will see it through.
Peter Wong discussed the opportunities and difficulties of doing business with Greater China, which includes Taiwan, China and Hong Kong. He suggested that California companies look to Hong Kong for partners to take advantage of the Closer Economic Partnership Arrangement between Hong Kong and the mainland. We must encourage small firms to find intermediaries who will help them develop new business in Asia that will create jobs on both sides of the Pacific, he said.
All of the panelists agreed that California must be more proactive in developing new opportunities in Asia.
"California has a fantastic opportunity to reposition itself," Toplansky said.
