China’s capital masterfully transformed into a futuristic showpiece of invention, a city consumed by modernity. Enveloped by the port hub of Tianjin and coal-rich Hebei Province and surrounded by the impressive Xishan and Yanshan mountain ranges, Beijing occupies a strategic location on the northern tip of the North China Plain.
Since the days of Kublai Khan, the fearless Mongol leader who conquered China and made Beijing a capital when he established the Yuan Dynasty, the city has almost continuously served as the national capital. The biggest legacy from the great Chinese imperial dynasties remains the legendary Great Wall of China, which skirts the city’s outer limits.
These days, Beijing’s population of 21.1 million people represents China’s 56 ethnic groups, with a Han majority. The recent population explosion challenges city planners, architects, urban developers and residents to face the massive changes associated with urbanization.
The Hong Kong Trade Development Council reported in 2013 Beijing boasted 673,000 private enterprises, compared to 151,000 in 2002. The city’s gross domestic product, one of the most prosperous in the country, makes up roughly 3.43 percent of the country’s total GDP. Meanwhile, the national economy tripled in size between 2004 and 2012, and the World Bank reports the GDP grew at an annual rate of 7.7 percent in 2013.
HKTDC research indicates the city’s top sectors in 2013 included the service sector (76.9 percent), financial (14.5 percent), wholesale trade and retail trade (12.2 percent) and information technology (9 percent). The scientific studies and technical services sector remains the fastest growing, accounting for 7.4 percent of the GDP in 2013, compared to 4.5 percent in 2004.
There’s a common phrase: “When doing business in China, remember nothing is impossible, but everything is difficult.” Environmental concerns prompted new developments in renewable energy and conservation. Recently, the Chinese government passed an air pollution prevention and control law making multiple industries accountable in the prevention, reduction and remediation of pollution. The China National Tourist Office further reports Beijing will close 6,900 urban wells to protect groundwater and improve overall water quality. “These efforts are in addition to the recent closures of factories in Beijing to reduce smog and increase air pollution reform throughout China,” reports the CNTO newsletter.
Beijing, with the help of the World Bank, plans to build solar rooftop panels in 800 schools under the project “Sunshine Schools.” The spin-offs include helping to educate the next generation on renewable energy, creating clean energy for schools, serving as an environmentally friendly model and contributing to the country’s efforts to address climate change.
Yanqing County, which is a low-carbon economic zone in the city’s northwest area, invested heavily in new energy enterprises such as a wind-solar hybrid power plant and preserving natural areas through reforestation and the restoration of carbon-absorbing wetlands. The municipality and the China Bicycle Association now hold an annual Climate Race to raise awareness of green transportation and environmental protection. Meanwhile, Yanqing County aspires to become China’s No. 1 cycling county with its wide bike lanes and scenic vistas near the Great Wall.
Many Beijing-based foreign companies offer employees flexible working hours in order to help reduce city congestion and combat air pollution. A survey from the U.S.-China Business Council reports some U.S. firms instituted flexible work schedules for its middle and upper management employees.
On the financial front, Beijing and the International Monetary Fund agree that slowing down China’s economic growth is positive and healthy as the country seeks to find a balance between expansion and structural reforms. For easier access to financial and economic data for companies wishing to conduct business in China, the central government announced it will subscribe to the IMF’s Special Data Dissemination Standard.
A network of six economic zones produces 43.3 percent of the city’s gross domestic product. Among them is Zhongguancun, which is revered as China’s Silicon Valley in the Haidian District. The financial publisher China Knowledge reports 14,929 hightech companies established businesses by the end of 2012 in Zhongguancun, employing more than 1 million workers. These companies account for about 40 percent of China’s desktop PC market and 25 percent of the notebook PC market.
A strong research and development center, Zhongguancun serves as a high-tech incubator. Home to 39 universities — including Peking University and Tsinghua University, commonly dubbed China’s Harvard and MIT — this district attracts a rich talent pool with strong R&D capabilities. Xiaomi Inc. founder and CEO Lei Jun created the company’s smartphone in Zhongguancun with his friends in 2010. Xiaomi, China’s largest smartphone maker and valued at $45 billion, sold 61.12 million smartphones last year. Lei Jun told China Daily sales surged by 227 percent from the previous year.
Tourism remains a huge industry. China Business Review reports 200 million tourists visit the capital annually, and many international companies wish to tap into this potential. For example, in October, Universal Studios announced after nearly 14 years of negotiations it plans to open a 300-acre theme park in Beijing in 2019, costing an estimated $3.3 billion.
The courier business is revving its engines, too, as Federal Express and United Parcel Service — after nearly five years of negotiations — announced plans to operate in Beijing and other cities across China. According to Reuters, the companies required licenses to allow independent operations without entering joint ventures with Chinese firms. “They also allow the companies to operate on a business-to-consumer platform, delivering packages directly from businesses to Chinese consumers where they hold licenses,” reported Reuters.
Beijing has deftly albeit cunningly created a roadmap to reinvention. Now only time will tell the results.
Things to Do in Beijing
China’s capital fascinates. Nowhere else can you hang out in an ancient emperor’s private residence; traipse across ancient walls that have withstood the test of time; or marvel at the remains of Peking Man, dating back 500,000 years, in the village of Zhoukoudian.
Stop by Tiananmen Square. The enormous plaza houses the iconic Tiananmen Tower, once the front door of the Forbidden City that now bears the colossal poster of the founding father of the People’s Republic of China, Mao Zedong. Hundreds of Mao well-wishers line up at the memorial hall on the square’s south side to pay their respects to the chairman, who lies in state in a crystal coffin.
Continue to the Meridian Gate of the Forbidden City. Pass the security entrance and put on your walking shoes to see the world’s largest palace with more than 8,700 rooms. Surrounded by a looming wall, the city is extraordinary. Home to 24 emperors who reigned from the Ming and Qing dynasties until 1912 when the last emperor, Puyi, abdicated, visitors can view the outer court devoted to business and the inner court dedicated as the emperor’s private residence.
The nearby Temple of Heaven, surrounded by a park, is a lively social hub with a great atmosphere where Beijingers come to unwind. Watch different groups engage in card playing, dancing, exercising and minding grandchildren amid fabulous green space. The temple is worth a visit. Revered for its construction, the place of worship was visited twice a year by the emperor to pray for good harvests.
No trip to Beijing is complete until you visit the Great Wall of China. The world’s longest wall which was built over centuries remains an engineering marvel and a huge tourist draw. One may peruse this ancient wonder from several sections, but one of the popular launch pads for sightseeing is the Badaling Great Wall in the north. Arrive to a renovated enclave of shops and restaurants and enter at the bottom by the Tenth Tower. Visitors can veer left or right. The left route offers less traffic, but be prepared for some steep, slippery stone steps.
CHECKING IN WITH MICHAEL HENSSLER
President, China, Kempinski Hotels
What’s going on in Beijing, and what are the current hot topics?
Beijing is certainly a city permanently on the move and developing extremely fast. It provides a stage for big global events now, like the G20 and the Asia-Pacific Economic Cooperation summits, and is also a candidate city to host the 2022 Winter Olympics. Change, the adaption to change and the implementation of new processes to assure sustainable development and growth are a few remarkable topics under discussion.
What does Beijing offer business travelers?
Beijing offers an infrastructure to support conventions and events from the smallest to the biggest. The airports, the hotels — really, it has everything. Not only does Beijing offer great infrastructure and meeting spaces, but there are also an unlimited number of leisure activities to complement business travel and conventions. Yanqi Lake is a great place to visit on break from a prestigious convention, or you could visit a historical site or have dinner at the Summer Palace. If you are working within a budget, there are also many great value offerings in the city; there is always something magnificent just around the corner.
What’s new on the hotel scene?
NUO, the Chinese luxury hotel brand, is being developed. A lot of people talk about having something Chinese because everyone understands it is important, but so far, I don’t think anyone has created something with real Chinese DNA. NUO is going to change that. The first flagship NUO Hotel Beijing is set to open in early 2015, which will be a defining moment.
What do you recommend seeing and doing while in Beijing?
Make sure to take enough time when you come here, not only because you are going to get stuck in traffic, but because there are so many things in Beijing! Start with Beijing duck, then head out to see some historical sites and museums and finish up with a beer in the local pubs in Sanlitun, which is a really fun area, offering great street food as well.
How has Beijing changed in the time you have known it?
I have never stayed in one city as long as I have in Beijing because I was always on the move. I must say that after almost five years, I am still a fan of Beijing because there are so many things happening. It’s a modern city in flux, on the move and forever morphing into the future.
Beijing: Just the Facts
Time Zone: GMT + 8
Phone Code: Country code: 86 City code: 10
Currency: Renminbi yuan
Entry/Exit Requirements: U.S. citizens must have a passport valid for six months and must obtain a visa to enter China. Purchase one-month tourist or business visas (each $140) in your country of residence.
Official Language: Mandarin Key Industries: Automobiles, chemicals, electronics, finance, household appliances, machinery, real estate, retail, tourism
Beijing Info to Go
Beijing Capital International Airport lies about 18 miles north of downtown Beijing. A taxi to the center of the city costs about $16 and takes 40 minutes to an hour, depending on traffic. Look for the clearly marked taxi line just outside the terminal and insist the driver use the meter. If you’re traveling light, opt for the new Capital Airport Subway Line, which travels from the airport to Dongzhimen Station in central Beijing in 20 minutes and costs $4.
Where to Stay in Beijing
East, Beijing Located 15 minutes from the airport, this 25-story business-style hotel offers retail, a cinema and fine dining. Guestrooms include an iPod touch; complimentary wireless Internet is available throughout the hotel. 22 Jiuxianqiao Road, Chaoyang District $$$
Four Seasons Beijing This 313-room luxury hotel near the Third Embassy Precinct in the Central Business District exudes opulence with a skylit atrium in the center and guestrooms furnished in contemporary and traditional themes. 48 Liang Ma Qiao Road, Chaoyang District $$$–$$$$
Sunrise Kempinski Hotel, Beijing Visually stunning with its sublime sun shape, this new 21-floor luxury hotel on an island overlooking Yanqi Lake embodies the ultimate in service and design. 18 Jia Yanshui Road, Yanqi Lake, Huairou District $$$–$$$$
Restaurants in Beijing
Brasserie Flo Beijing The Art Deco-style French brasserie prepares à la carte and three- or four-course fixed menus. Courteous wait staff speak some English. 18 Xiaoyun Road, Chaoyang District $$–$$$
Najia Xiaoguan Munch on succulent pork belly renditions and feel like a Chinese emperor in this ornate setting situated inside a gorgeously preserved courtyard once belonging to a Qing Dynasty emperor’s doctor. 10 Yonganli, Jianguomenwai Dajie, Chaoyang District $$$
Wangfujing Roast Duck Shop A collection of Chinoiserie paintings and a “serenity now” fountain add charm to this eatery. Diners can watch chefs roast hundreds of ducks in the sealed glass kitchen. 45 Wangfujing St., Dongcheng District $$$
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