China and the Olympics: A cause for celebration or protest?

The upcoming Olympics have propelled China into the international spotlight, but China is not receiving the purely positive publicity the government might have hoped for. Protesters have used the occasion to draw attention to the issue of Tibetan independence and to highlight China’s poor human rights record. Although protestors are undoubtedly pursuing their agendas with the best of intentions in mind, they may actually be doing more harm than good. History has shown that China’s relationship with the international community has been complicated by years of humiliation at the hands of Western powers. By launching direct frontal assaults on the Chinese government’s policies, protestors may be alienating the very citizens they are trying to help. In a recent poll by the Ogilvy Group, 72% of Chinese people are proud of the fact that China is hosting the Olympics and protestors should be aware of such nationalism and fear a backlash if their criticisms become too harsh. Granted, unjust behavior should not be allowed to continue unchecked, but protestors should make their case with more sensitivity to the notion of cultural “face” which permeates Chinese society. In fact, the Olympics should be a time to showcase how far China has come since Deng Xiaoping began to open up the country in 1978. As China’s economic and political power continues to grow, Western political leaders should enact a policy of engagement with China instead of isolating China by boycotting the opening ceremony as some leaders have planned.

MNCs are not immune to the political rumblings caused by China’s role as host of the Olympics. The Chinese government is very sensitive to any criticism leveled against it by the international community and it is keeping a close eye on which MNCs remain loyal in terms of Olympic sponsorship. Placed in a difficult situation, most MNCs appear to be staying to be staying out of the political debate in order to avoid angering the Chinese government and risking their access to the growing Chinese market. Although a MNC may experience a boycott from some non-Chinese customers over the short term, maintaining a neutral stance towards Chinese government policy and continuing to sponsor the Olympic makes both economic and political sense over the long term. As the Chinese economy continues to open up, it citizens will begin to demand more and more freedoms and change will be enacted from within. MNCs are in a prime position to help this change come about and there is therefore no reason to risk their long term presence in China or their future profitability by refusing to sponsor the Olympics.

The managed transition of the Chinese economy from a centrally planned system to “socialism with Chinese characteristics” has prevented the country from plunging into chaos. Although the Chinese government may not be perfect, it has improved the lives of it citizens and China remains one of the fastest growing economies in the world. We have seen how the rules of the economic game have gradually evolved since 1978 to the benefit of Chinese companies, Chinese consumers and MNCs alike. As China becomes ever more influential in determining things such as the cost of raw materials to the amount of pollution in the atmosphere, it is in the international community’s best interest to maintain a direct dialog with the Chinese government. If China continues on its present path, market forces will open the country up to democratic change from within. Therefore, protestor should voice their opinions with a more cultural sensitivity and allow the Olympics in China to be a celebration of the accomplishments of the past and of the expected transformations in the future.