THE ALIBABA EMPIRE

Alibaba is more than something that exists solely in the confines of Aladdin. Alibaba had the biggest IPO in the United States when it went public in 2014 on NASDAQ. What started as an e-commerce company founded by Jack Ma in 1999 eventually grew to become a monster business with a suite of services in electronic payments, online shopping, cloud computing, and more. Welcome to the Baba Dynasty.

image

The Expat’s Experience

The strong connection between the developed economies of China and America has given rise to extended travel between the two countries. Expatriates, or expats, are people who live outside their native country—here’s an expat’s guide to the differences between the US and China.

Freedom. Information in China is much harder to access than in the United States. The Great Firewall of China rains flaming arrows on anything deemed by the Chinese government to be unfit for web consumption, blocking everything from Gmail to Bloomberg, resembling the parental controls you encountered when first attempting to watch explicit videos at home. VPNs, or virtual private networks, will help you circumvent these restrictions.

Competition. Competition is fierce in both countries, but in China it is particularly stiff. Copycat websites are more socially acceptable, meaning the moment your brilliant “Tinder for wireless routers” app is created, it will be stolen, stripped bare, put in Google translate, and no one will know which came first.

Résumé. In China, having US startup experience can be good, but be wary of swaggering in and acting like you know everything better—it’s a different world in China, and all your valuable knowledge and accumulated network need updating. In the US, having China startup experience can open up many job opportunities, but can also pigeonhole you as the “China guy/gal.” Not only will job offers be geared toward that expertise, but coworkers will now demand you to tell them whether or not Panda Express is authentic, though some of us are enjoying the “ignorance is bliss” of the honey walnut shrimp.

CHINA’S OTHER POWERHOUSES

HANGZHOU POP. 6,532,000

Renowned for its natural beauty, Hangzhou has tourists aplenty, but has also been lauded as a very business-friendly city. Home to Alibaba.

VENTURE ACTIVITY Q4’15 - Q3’16

VC FUNDING: $6.1B DEALS: 27: EXITS: 4

5 YEAR YoY FUNDING GROWTH: 224.7%

5 YEAR YoY DEAL GROWTH: 31.0%

Source: CB Insights

SHENZHEN POP. 12,337,000

Shenzhen is home to the headquarters of numerous tech companies (like Tencent) and its own stock exchange, while also serving as a manufacturing hub with a focus on more advanced electronics.

VENTURE ACTIVITY Q4’15 - Q3’16

VC FUNDING: $1.3B DEALS: 42: EXITS: 5

5 YEAR YoY FUNDING GROWTH: 230.9%

5 YEAR YoY DEAL GROWTH: 47.6%

Source: CB Insights