The Negotiation

Topics Discussed and Key Points:●      How Tod's Japan developed from 2001 to 2007●      The importance of brick and mortar retail in the early-to-mid-2000s●      The Japanese perception of European luxury brands in the late 1990s●      The footwear and leather goods market in Japan●      How the Japanese outdoor industry evolved throughout the 2010s●      How COVID influenced the move toward more online sales●      Building professional relationships in the Asia-Pacific●      Upcoming trends in Japan Episode Summary:Today on The Negotiation, we speak with Massimo Lazzari, President and Representative Director at Columbia Sportswear Japan, where he has lived and worked for over 30 years.Massimo discusses the changes he has seen firsthand in the Japanese retail clothing market since his time as a sales manager for Ferragamo in 1995. Following his time there, he served as the Managing Director for Tod’s from 2001 to 2007, when the brand was only a startup.Massimo explains that foreign brands need to embrace consistency when establishing their companies in Japan. He talks about developing “the ability to build a tangible aura around the product”.He then speaks about his almost 12-year career at Columbia. He shares how he has seen the outdoor industry develop over that time, as well as how the pandemic accelerated the already ongoing trend of consumers moving away from offline and toward online commerce.Finally, Massimo explains why fighting for market share is considerably more vital in Japan relative to other countries, and what foreign companies need to keep in mind when establishing their brand among an aging population. Key Quotes:“The importance of the craftsmen who add value to their work is something that you can’t see in the product that you have in front of you in the store.” “The nature of the Japanese consumer when they go shopping is less transactional and more about the value that they get, not only from the product but what’s around it.” “COVID was more of a short-term trend that built upon an already existing long-term move from offline to online.”

Topics Discussed and Key Points:·       Ricky’s experience working with the Japanese market.·       Adapting to the new normal.·       The benefits of working with local distributors.·       What it takes to have a successful omnichannel approach.·       How the approach to being successful in the Indonesian market has changed.·       How consumer behaviour has changed. Episode Summary:Today on The Negotiation, we continue our conversation with Ricky Samuel, E-Commerce Lead at Mindshare, a global media agency, where he helps clients in understanding their e-commerce-related challenges to drive success.Over the past 10 years, Ricky has served in roles at large corporations, including Bose, ASUS, and HP. In 2019, Ricky moved to Schneider Electric, and in 2021, he joined Mindshare Indonesia as E-Commerce Lead.Regarding his move to Schneider Electric, Ricky says “I want to understand the regional point of view.”Ricky also talks about Schneider’s E-Commerce partners, lessons from the Japanese market, adapting to the new normal of Covid, what it takes to have a successful omnichannel approach, changing consumer behaviour, and Ricky looks at the next 5 years. Key Quotes:“Price has now become less important.” “You don’t need to have the same product in each marketplace.” “Engagement to your customer is the key.”

Topics Discussed and Key Points:●      How Bose approached omnichannel sales in Southeast Asia in the early 2010s●      Bose’s commitment to consistency across resellers●      How much control Microsoft had over ASUS’s local marketing strategy and pricing●      Localizing messaging and marketing for Indonesian consumers●      Driving preferential product placement on search platforms●      How customer feedback impacts HP’s product roadmap in Indonesia Episode Summary:Today on The Negotiation, we speak with Ricky Samuel, E-Commerce Lead at Mindshare, a global media agency, where he helps clients in understanding their e-commerce-related challenges to drive success.Ricky speaks on the digital landscape in Southeast Asia as well as the development of broader digital transformation strategies for the region since his entry into the marketing world in the early 2010s.Ricky worked as Bose Indonesia’s Brand Marketing Manager from 2013 to 2015. Looking back at this experience, he offers some insight into the evolution of the company's omnichannel sales strategies during a time when digital commerce was rapidly gaining prominence. He talks about Bose’s focus on “customer excitement” to maximize the in-store experience, as well as Bose’s commitment to consistency in quality, service, and experience across their resellers.As the Product Marketing Lead for ASUS from 2015 to 2016, Ricky discusses the unique challenges of localizing the brand in Indonesia. He then does a deep dive into HP’s omnichannel operations during his time with the company from 2018 to 2019, emphasizing the importance of partnering with Key Opinion Leaders and top e-commerce platforms to drive brand equity. Key Quotes:“We need to ensure that experience and engagement is at the same level every time a new customer walks into our store.” “On the local level, showcasing and using the products is more powerful than communicating to the customer who we are. So, we had better engage with Key Opinion Leaders about our products for more powerful messaging.” “We need to understand the needs of the population itself. We need to understand their behavior: how they spend their money and how they use our products in their daily lives.

Topics Discussed and Key Points:·       Covid and its effects on Direct-to-Consumer.·       Online consumer strategies in APAC versus in North America.·       How to measure success in retail.·       How consumer feedback is applied·       The importance of a good D-to-C strategy.·       The future of D-to-C in the APAC region. Episode Summary:Today, I talk to Bill Tung, Managing Partner at Peaks Consulting, a global brand, retail, and management consultancy.Since its founding in 2015, Peaks Consulting has built an internationally recognized consultancy based on trust and relationships before business. Peaks currently serves consumers in 20 countries and counting.Bill has also served as the VP of Europe and Asia-Pacific at Rockport, VP of International Sales a Columbia Sportswear, Executive VP of International Sales at New Balance, Managing Director of Fanatics Inc, and Asia-Pacific General Manager of Clarks.Regarding Covid’s effect on Direct-to-Consumer, Bill says “brands learned that you could still conduct business without travel.” “Is that the right way to do things? No. That’s for established businesses.”Bill also talks about online consumer strategies, applying consumer feedback, the importance of having a good D-to-C strategy, and the future of D-to-C. Key Quotes:“Brands learned that you could still conduct business without travel.” “If shopping was an Olympic sport, Asians would win Gold, Silver, and Bronze year after year.” “It’s not good enough just to be on the site. It’s not good enough just to have inventory nearby. You need to do the proper marketing.” 

Topics Discussed and Key Points:●      Helping Rockport and The Body Shop grow across the APAC region in the 1990s and early 2000s●      Marketing to a demographic that you are not a part of●      Marketing outdoor apparel and equipment in APAC●      Localizing well-known Western brands in different APAC countries●      Common mistakes brands make when expanding in APAC●      Optimizing your organizational structure to thrive in foreign markets●      Preparing for complaints and returns in overseas markets Episode Summary:Today on The Negotiation, we speak with Bill Tung, Managing Director at Peaks Consulting. Bill reflects on his time establishing Rockport and The Body Shop’s sales operations across the APAC region.It was from those experiences that Bill learned the value of knowing thy customer, becoming aware of your home country's biases, and ignoring consumer differences at your peril—especially important considerations for Western brands looking to successfully expand into Asian markets.Bill also discusses the unique challenges of growing Columbia—a sports and outdoor apparel brand—in China while he served as VP of International Sales from 2003 to 2016.Finally, Bill talks about the common mistakes that brands make when attempting to expand into foreign markets, and why it is so important to optimize a company’s organizational structure, which includes everything from operations, customer service, and marketing, to merchandising, HR, and finance.“These really need to be part and parcel of a global mindset,” says Bill. “Otherwise you’re just exporting.” Key Quotes:“When you fail to understand the consumers that you’re trying to sell to, that gets a lot of companies into trouble.” “Retail is detail.”

Topics Discussed and Key Points:●      All about the highest-rated nationally syndicated show, Laowai Kandian●      What is Peking Opera●      The world of philanthropy in China●      Being a board member of the China Pacific Construction Group●      The eating and drinking culture of doing business in China Episode Summary:Today on The Negotiation, we continue our conversation with Elyse Ribbons, CEO and Founder at GeiLi Giving, which has built a WeChat app connecting charities to Chinese netizens through engaging challenges to encourage giving.She is also the Founder of Cheeky Monkey Theater and host of the nationally syndicated news-talk show Laowai Kandian, the success of which she goes into in today’s conversation.The show invites people of different nationalities to come together and speak candidly about difficult topics—a practice that Elyse notes may just be that elusive key to achieving world peace.“At the end of those conversations,” she says, “you can always find that human element. Even if you agree to disagree about little details, you can always agree on the important basics.”Elyse then describes her experience in the Peking opera scene, describing the art form as “the crystallization of so many Chinese values: aesthetic, artistic, moral”. She also speaks on an interesting connection between the classic 14th century historical novel Romance of the Three Kingdoms by Luo Guanzhong, and the culture of business in China.Finally, Elyse describes the world of philanthropy in China as well as the nature of business unique to the country, drawing from her own experience as a former board member of the China Pacific Construction Group. Key Quotes:“[Peking Opera] is the crystallization of so many Chinese values: aesthetic, artistic, moral.” “When you have a passion for something, you study it, you learn it, and you hold it much more dearly than people who just sort of passively have to accept it. They didn’t choose to learn Chinese; they had to. I choose, on a daily basis, to continue learning Chinese.”

Topics Discussed and Key Points:●      What it takes to become truly fluent in another language●      All about Cheeky Monkey Theater and Star Theatre●      Chinese versus Western cinema●      The speed of Chinese business as both a blessing and a curse Episode Summary:Today on The Negotiation, we talk with Elyse Ribbons, a startup founder, radio show host, actor, and writer in China, who is also incredibly fluent in Mandarin. She is the Founder of Cheeky Monkey Theater and host of the nationally syndicated news-talk show Laowai Kandian. She kicks off the conversation by talking about what drew her to China all the way back in 2001 and how she was able to achieve an impressive level of fluency in Mandarin. Aside from her work in theatre, Elyse has also been cast in a number of Chinese films. All of this gives her a unique perspective on the local entertainment industry that most foreigners never get a chance to see.She speaks on her various opportunities to work in the Chinese movie industry and along the way touches on how the culture of speed in China’s business world influences even the entertainment sphere. Key Quotes:“There are so few people, especially in China, who do business and art—especially theatre art. Broadway is a business. Broadway is not pure art; so, you have to be able to understand business to do good shows.” “This culture of going by the seat of your pants is a benefit and a curse. It’s one of the reasons Chinese startups actually can do so well with the changing environment around them—because there are no plans. So, you’re pivoting constantly, because you’re dealing with whatever is directly in front of you.”

Topics Discussed and Key Points:●      Liam’s work in Public Affairs and Communications at WPIC●      Becoming involved with the Olympics●      Looking back at the Beijing Olympics●      The level of interest of the Chinese population in the Olympic games●      The stars of the Olympics●      The state of Chinese hockey post-Olympics●      Lesser-known notable news stories in China that did not make the headlines●      The lasting impact of the Olympics on winter sports in China Episode Summary:Today on The Negotiation, we talk with Liam Mather, Head of Public Affairs and Communications at WPIC Marketing + Technologies. Reporting to the Chief Marketing Officer, Liam helps guide WPIC's public and government affairs, strategic communications, media engagement, corporate branding, and sales enablement.Liam previously worked in BCW's Corporate and Public Affairs practice in Beijing, where he helped clients manage reputations, respond to crises, and navigate policy issues.He was a 2020 Fellow of the American Chamber of Commerce in China’s Leadership Development Program. He has a Bachelor's degree in Honours History from McGill University, where he focused on international Cold War history and served as Chair of Debates for the debating union.Liam’s work at WPIC is focused on telling “the story of the enormous opportunity that exists in China for foreign brands,” and educating these brands on how working with WPIC is the best way for them to tap into this opportunity.Following his recent role as a spotter for the hockey program at the 2022 Beijing Olympics, Liam left with a very positive impression of the planning and execution of the whole event. Calling it “an enormously impressive organizational feat,” Liam highlights the management’s success at keeping COVID at bay, particularly via the massive quarantine bubble that was able to hold 70,000 people, including 5000 athletes, at the peak of the event.Hockey—and winter sports in general—has a bright future in China. The numbers of ice rinks and players have exploded in the last five years: from 200 to 900 rinks, and from 1000 to 13,000 players, both since 2015. Those numbers will only continue to climb, especially in the aftermath of the Olympics. Key Quotes:“I’m trying to tell the story of the enormous opportunity that exists in China for foreign brands. Part of that story is how working with WPIC is the best way for brands to tap into this opportunity.” “In terms of the state of hockey in China, before the Olympics, we saw very significant growth in hockey participation and hockey infrastructure. In 2015, the year Beijing won the game’s bid, there were 200 ice hockey rinks. Now there are 900, which is a pretty massive increase. That actually makes China one of the top countries in the world for the number of ice rinks. Just five years ago, there were about 1000 players in China, according to the IIHF; but, now there are 13,000.” “I think we’re going to see China in the future as being a strong winter sports nation just like it’s been such a strong country in the summer games.”

Topics Discussed and Key Points:●      Tmall’s International Women's Day●      The most sought-after products among women in 2022●      Trends in the food & beverage space●      Why there is more demand for sleep supplements●      Health and wellness trends in the West that might make it to China very soon●      UK and Nordic products that have captured the attention of Chinese consumers●      What Gen-Z female consumers look for compared with their older counterparts●      Differences between consumers across different geographies in China Episode Summary:Today on The Negotiation, we talk with Zarina Kanji. Based in London, she is the Head of Business Development for Health & Wellness and Food & Beverage Brands at Alibaba. She previously served as VP of Global Fashion Brand Partnerships at Lazada in Singapore.Zarina speaks with us about Tmall’s upcoming International Women’s Day—a key event tied to the company’s Super Brand Day—on March 8, 2022. It has proven in previous years to be the third-largest shopping festival in the nation, behind 11.11 and 6.18, and is a unique opportunity for brands to engage with women across China.From influencer parties to limited edition product launches, International Women’s Day, or “Queen Day” as it is sometimes called, is a celebration of all things female.The five major trends predicted for this International Women’s Day are inner beauty, beauty tech, probiotics (gut health), sleep supplementation (which include the phenomenon of 朋克养生 or pengke yangsheng, also known as “punk health”), and sportswear.With regards to food & beverage, Zarina notes that China is rapidly becoming the world’s largest market for healthy eating, and especially healthy snacking. This trend, adopted primarily by millennials and Gen-Z, was largely spurred on by the COVID-19 pandemic. More than 30 million consumers purchased healthy food on Tmall global alone in 2020, a 30% rise from the previous year. Alibaba saw a 56% rise in healthy on-the-go foods, which include sesame balls, goji berry beverages, and meal replacement shakes. Zarina sees plant-based consumables as an upcoming trend in the near future.She also says that there is a  growing demand for health and wellness products in the UK and Nordic countries thanks to the quality of ingredients typically used in these items.Finally, Zarina discusses the importance of catering to the demands of younger female consumers as a Chinese brand. With Tmall Global alone, around 70% of consumers are female. 85% are 39, and 59% of those consumers are under 30. Key Quotes:“The health and wellness industry is estimated to grow by 19% from 2020 to 2025—up to $145 billion. Much of this will cater towards China’s 685 million women.” “In China, what you put in and on your body absolutely matters.” “China is rapidly becoming the world’s largest market for healthy eating, and notably healthy snacking is what we talk about a lot.” “It’s really important that brands are looking towards the demands of Gen-Z, millennial, female consumers in China. If we take Tmall Global alone, around 70% of our consumers are female. 85% of our consumers are under 39, and 59% of those consumers are under 30.”

Topics Discussed and Key Points:●      The Shanghai/Beijing rivalry●      Companies that are finding success in China●      The nature of legal risk in China versus North America●      How Chinese law develop into its current framework●      Data privacy considerations●      China’s corporate laws●      Common mistakes foreign companies make in negotiating and drafting contracts with Chinese companies Episode Summary:Today on The Negotiation, we talk with Art Dicker, Director at R&P China Lawyers, a boutique PRC law firm that supports international business in China. He is also Director at Acclime China, which offers a complete suite of premium accounting & tax compliance services in China.Art has spent the last 14 years working in China to advise technology, manufacturing, and consumer companies on structuring their investments and managing legal risk in their operations. He has a deep understanding of the practical difficulties and cultural gaps faced by international headquarters in managing their legal risk in China, having served as Asia Pacific General Counsel at Cadence Design Systems for 6 years prior to R&P.Art speaks with us about the differences he has encountered between working in Shanghai and working in Beijing. He refers to Beijing as “the real China” while Shanghai is more of a global city, akin to New York. Shanghai is also the location of choice that many multinationals choose to establish their base in, which means more opportunity.China has a reputation of being a very difficult country to penetrate as a foreign tech company, particularly due to its complex legal environment. Art talks about the types of businesses that succeed in the country. LinkedIn, for one, has become a mainstay in the China tech ecosystem. He also mentions that foreign enterprise SaaS companies, while often flying under the radar, have been an extremely successful category of business in China simply because they are providing products and services that are not yet widely available locally.He also explains why foreign companies do not need to fear the complex and often nebulous framework that makes up China’s corporate laws. He says that there is no need to have the “perfect” contract ready upon entering the country to do business with Chinese partners.In fact, Art says that “in China, the contract is not worth more than the paper it’s written on.” Further, a contract means nothing if the foreign company has no legal representatives or local operators on the ground. Key Quotes:“At the end of the day, you have to take risks, and you have to take them eyes wide open. It’s a big market. If you try to cover every risk, you can’t do business—here or anywhere—for that matter. There is more risk here, but you just have to accept it and cover your bases as best as you can.” “What we’re trying to give clients is a story. Nobody can perfectly comply with these laws because they’re so vague. So, what you’re trying to do is to come up with a story where you have done, as best as possible, to comply with the law, as it’s written, and as you understand it.”