TSINGHUA SEM NEWSLETTER

School of Economics and Management, Tsinghua University Fall 2008 (No. 4)

Contents 2008 SEM Freshmen Class: 23 Top in Province, Nearly One Half in Top Ten

Second Degree in Economics Program Graduates Dean’s Message 2 First Class

SEM Highlights 3 Tsinghua SEM Advisory Board Holds Annual Meeting on August 8 in Tsinghua

Programs 5 Core MBA Curriculum Reform Launched

Research 11 2008 Tsinghua Management Global Forum Held Cooperation and Development 13

Forum 15

News: 2008-06-01 through 2008-12-31

 DEAN’S MESSAGE

December 31, 2008

2008 marked the centennial of MBA education. In September, following a yearlong review and discussion process, the Tsinghua University School of Economics and Management made headlines with the launch of its new MBA curriculum. Tsinghua SEM offered China’s first MBA degree in 1991; this year, we honored one hundred years of MBA education by continuing the reforms that have kept us at the forefront of our field.

Tsinghua SEM’s Second Degree in Economics Program graduated its first class this July. Since its inception in 2006, the program has drawn outstanding undergraduate students from throughout the university. Diplomas were awarded at a special graduation ceremony this summer, and we welcomed its graduates into the Tsinghua SEM alumni network.

On August 8, China captivated the world with the opening of the Beijing Olympic Games. That morning, the Tsinghua SEM Advisory Board held its annual meeting in the university’s Main Building; board members attended the Olympic opening ceremony that evening. This year’s meeting saw a record number of overseas attendees, attesting to the Advisory Board’s extensive influence.

2008 was truly an unforgettable year. Having experienced the Sichuan earthquake and the Olympic Games, we are now facing the challenges of a global financial crisis and economic downturn. This year’s Tsinghua Management Global Forum focused on how Chinese businesses should weather the financial storm. With 2009 fast approaching, we hope to see the Chinese and global economies emerge from the crisis; we also look forward to a new year for Tsinghua SEM.

QIAN Yingyi Dean

 SEM HIGHLIGHTS

Attendees at 9th Tsinghua SEM Advisory Board Meeting, August 8

Tsinghua SEM Welcomes 2008’s New Second Degree in Economics Program Tsinghua SEM Advisory Board Holds Undergraduates: 23 Top in Province Graduates First Class Annual Meeting on August 8

Tsinghua SEM welcomed 200 new undergraduates Tsinghua SEM’s Second Degree in Economics On August 8, 2008, the Tsinghua SEM (188 from mainland China) at the beginning of the Program graduated its first class on July 4, Advisory Board held its annual meeting at the 2008 fall semester. The school continues to attract 2008. 61 students were awarded a second university’s Main Building. Dean Qian Yingyi the nation’s best minds: among this year’s new degree in economics upon completing program reported on SEM’s significant progress in the students from mainland China, 23 earned the top requirements; another five undergraduates areas of students, faculty, and internationalization score for their province or region on the university received minor certificates. Diplomas were during the past year; board members also discussed entrance exams, while nearly 100 placed in the top presented by Tsinghua SEM Dean Qian Yingyi the school’s future. Vice-Premier Wang Qishan ten. Dean Qian Yingyi said the school would make and Department Chair Bai Chong-en. spoke with international board members prior to every effort to create a positive environment and the meeting, which was also attended by Minister Launched in 2006, the program has an annual expand opportunities for development, allowing of Education Zhou Ji. The date of this year’s enrollment of around 150 students majoring in subjects all students to achieve their full potential during annual meeting, the board’s ninth, coincided with other than economics or management in Tsinghua their time at Tsinghua SEM. Individualized the opening of the Beijing Olympic Games— University. Students who complete all program personal and academic guidance is also available an occasion for China to play host to the world. requirements receive a second bachelor’s degree upon to help students map their futures. Board members attended the evening’s festivities graduation; those who have not met all requirements at the National Stadium. The 2008 meeting saw the have the option of receiving a minor certificate or highest attendance since the establishment of the continuing to pursue an economics degree after Advisory Board in October 2000. graduation. Enrollment is highly selective: students have excellent academic records in their original departments, most with a GPA above 85.

Commencement for Second Degree in Economics Program, July 4

9th Tsinghua SEM Advisory Board Meeting, Reception Hall, the Main Building, Tsinghua University, August 8

 SEM HIGHLIGHTS

Core MBA Curriculum Reform Dr. Yan Peng Honored in 2008 Top 2008 Tsinghua Management Global Launched 100 Doctoral Dissertations Forum Held

2008 marks the worldwide centennial of MBA The Ministry of Education and the Degree The 2008 Tsinghua Management Global Forum education, and on September 24 Tsinghua SEM Committee of the State Council recently released was held at Tsinghua University on November announced reforms to the core curriculum of its their list of China’s top 100 dissertations. Among 14, 2008. This year’s forum focused on “how MBA program. The updated program is designed the honorees was Tsinghua SEM’s Yan Peng, for Chinese businesses should weather the global to cultivate future leaders with wide-ranging his dissertation titled Attribute Domain-Based financial storm.” Recognized as Tsinghua’s management skills. Association Rules Extensions. This was the first- top annual management conference, the event ever doctoral dissertation in management to win brought together more than 500 participants from In the 2008 fall semester, several new courses such an honor. Yan Peng, who earned his doctorate the government, academic and business sectors were introduced on a trial basis into the first- from the Department of Management Science and to discuss strategies for minimizing the impact year curriculum; MBA students enrolling in 2009 Engineering in 2006, had papers published in a of the financial crisis on China’s economy and will study a fully redesigned curriculum. During number of international journals during his time businesses. Keynote speeches were delivered their first eight weeks at Tsinghua SEM, students at Tsinghua SEM. Yan earned top honors in the by Jiang Jianqing, Chairman of the Industrial will attend “soft courses” such as Management Outstanding Doctoral Dissertation Awards and has and Commercial Bank of China, and Shen Communications, Leaders and Teams, Career been named an Outstanding Doctoral Graduate of Liantao, chief consultant with the China Banking Development Planning, and Introduction to Tsinghua University. Regulatory Commission and an adjunct professor Management Science. The redesigned curriculum at Tsinghua SEM. Subsequent panel discussions puts particular emphasis on cultivating practical “Principles of Economics” Course focused on “revising Chinese micro-economic skills and a global perspective. “Integrated policy in the context of a global financial crisis” Practice Courses” required during the fourth Recognized by Ministry of Education and “challenges and solutions for Chinese module provide students with hands-on A list unveiled this October named ten Tsinghua businesses facing a global financial crisis.” experience operating real programs. Students University courses among the nation’s “Outstanding are also encouraged to gain international Classes of 2008”. Among the honorees was experience through overseas summer internships, Principles of Economics, taught by Tsinghua SEM international exchange programs and short-term Dean Qian Yingyi. Launched in 2002, the course study-abroad programs. In another change to the targets first-year undergraduates majoring in program, students will be required to submit a Economics and Management. It is also offered as case analysis report rather than a graduation paper an elective for students pursuing a second degree in or graduation report. economics.

2008 Tsinghua Management Global Forum, November 14

Dean Qian Yingyi teaches Principles of Economics to first-year undergraduates

 PROGRAMS

TEACHING ACHIEVEMENTS

SEM Honored for Teaching Excellence

Tsinghua University announced the recipients of its Award for Teaching Excellence 2008 on June 27. Among the honorees were three programs offered by Tsinghua SEM. Top honors went to “Patterns of Internationalization in Tsinghua SEM’s Undergraduate Program,” created by Zhu Yujie, Li Daokui, Bai Chong-en, Guo Xunhua, and Zhou Guang, along with the “Entrepreneurship Series for Postgraduates,” run by Gao Jian, Zhang Wei, Mei Meng, Luo Jianbei, and Lu Xiangqian in partnership with Tsinghua Science Park. Xue Lei, Xu Zhong, Li Hua and Li Danchen were also recognized for their program “Innovations and Practices for Cultivating Talent in Sports Management.”

Tsinghua SEM Honored for Accounting Major

23 majors offered by Tsinghua University have been recognized as “Distinctive Major Programs” by the Beijing Education Committee, including Tsinghua SEM’s Accounting program. Set up in 1994, the program has graduated 580 students, with 99 currently enrolled. According to the university’s Academic Affairs Committee, Tsinghua SEM’s accounting major will contribute to better undergraduate education at Tsinghua and will help reform and develop the major nationwide.

Professor Song Fengming among Beijing’s Outstanding Teachers

Professor Song Fengming was honored at the Fourth Awards for Beijing Higher Education Teachers, one of 11 Tsinghua faculty members recognized this year.

Professor Song, who joined the Tsinghua SEM faculty in 1988, teaches Finance Engineering and Commercial Bank Management. Finance Engineering received both citywide and nationwide honors as an “Outstanding Course” in 2006. Past recognition includes first prize in the Beijing Awards for Excellence in Philosophy and Social Science Research (2001), Outstanding Faculty Member of Tsinghua University (2000), the university’s “Good Teacher, Helpful Friend” award (2001), and the Baosteel Award for Excellent Teachers (2007). A survey of SEM graduates named his classes among the school’s most valuable.

The Award for Beijing Higher Education Teachers is conferred on faculty members at Beijing’s colleges and universities with outstanding academic and teaching records. Recipients are announced annually by the Beijing Education Committee.

Professor Li Daokui and students in class

Assistant Professor Luo Ting teaches Intermediate Financial Accounting  UNDERGRADUATE PROGRAM

International undergraduates

Tsinghua SEM Undergraduate Welcome Dean Qian Yingyi visits student Olympic volunteers at the International Session, August 29 Broadcast Center, August 13

72 SEM Undergraduates as part of a summer research program on China’s rural Tsinghua SEM Undergraduate Participate in Study-Abroad areas. Divided into 12 teams supervised by 12 faculty Ruan Lufei Wins Team Gold at Programs members and 16 graduate students, participants World Mind Sports Games devoted eight days to field work on the topic of rural 205 SEM students were recommended to study finance, reporting on their research after returning to The Chinese women’s team won a gold medal in rapid abroad as exchange students during 2008. This Beijing. chess at the World Mind Sports Games on October year’s exchange student enrollment reached 205, 17, 2008. Team member Ruan Lufei, currently a third- Hands-on experience is a top priority for Tsinghua an 18% increase over 174 last year. This includes year undergraduate at Tsinghua SEM, took part in 11 SEM. In 2005, the School organized a rural research 72 undergraduates. games during 13 events in the preliminaries, semi- program involving the entire sophomore class along finals and finals, with a record of 7 wins, 3 draws and Tsinghua SEM now has exchange agreements with 190 faculty members. Participants spent ten days in place with 73 international business schools, in Gansu Province studying local agriculture, animal 1 loss. Ruan was also on China’s silver-winning team 16 more than last year. Partner schools, located husbandry, and the local economy. With its focus on in the previous day’s Team Blitz competition. in North America, Europe and the Asia-Pacific financial development in rural China, the program has An accounting major, Ruan was admitted to Tsinghua region, include the Stanford Graduate School become an annual tradition thanks to financial support SEM in 2005. She earned the Woman Grandmaster of Business, the Sloan School of Management from HSBC in 2006. Over the past three years, more (WGM) title in 2007 and has won gold medals at the at MIT, Duke University’s Fuqua School of than 500 faculty members and students have visited World Chess Championship (women’s team), Asia Business, the Stern School of Business at New 77 cities and counties in 13 provinces and regions Chess Championship (women’s individual) and Asia York University, the Yale School of Management, nationwide. Indoor Games. Meanwhile, the SEM junior maintains Cornell University, the University of North an excellent academic record: she is in the top 5% of Carolina, Queen’s University (Canada), HEC- 145 SEM Students Serve as Olympic her major with a third-year GPA of 90.6. Paris, the University of Koeln (Germany), the Volunteers National University of Singapore, Nanyang Technological University (Singapore), the Chinese 145 students from Tsinghua SEM served as SEM Faculty Member Guo Xunhua University of Hong Kong, and the Hong Kong volunteers during the Beijing Olympic Games Honored University of Science & Technology. Credits are and Paralympic Games. Students worked at Tsinghua SEM faculty member Guo Xunhua has transferable between Tsinghua SEM and partner the National Aquatics Center (more commonly been honored as one of “Beijing’s Outstanding institutions. known as the “Water Cube”), the International University Instructors.” The Beijing Education Media Center and designated locations throughout Committee presented the award to 336 staff Tsinghua SEM 2008 Undergraduate Beijing. Major responsibilities included making members at institutions of higher education Summer Field Trip access cards, protecting retailer rights, and finance-related tasks. First-year master’s student throughout the city, including 13 from Tsinghua 158 Tsinghua SEM sophomores traveled to Luo Hang was honored as a “volunteer star” University. Guo has previously been named Shaanxi, Shandong, Liaoning and Inner Mongolia and “outstanding Olympics and Paralympics a “Tsinghua University Academic Star” and volunteer.” “Excellent Doctoral Graduate.”

 MASTER’S AND DOCTORAL PROGRAM

Tsinghua SEM Student Hu Kai Makes Historical Breakthrough for Chinese Team

On August 21, the Chinese team gained a place in the Men’s 4x100 Relay final with a time of 39.13 seconds, becoming the nation’s first team to reach the finals for this event. Tsinghua SEM postgraduate Hu Kai made the record-setting dash across the finish line. Nicknamed “the bespectacled flyer”, Hu had made another historical breakthrough on August 15 by qualifying for the second round of the Men’s 100 Meter Sprint. With a time of 10.40 seconds, he was the first Chinese runner to advance beyond the first round. 1st National Graduate Technological Entrepreneurship Business Plan Contest Concludes

Results of the First National Graduate Technological Entrepreneurship Business Plan Contest were announced on October 26, 2008. Team A1 from Xiamen University took first place, winning a business start-up fund of RMB 60,000 sponsored by GSR Ventures. The award was presented by Zhu Lilan, Council Chair of the China Association of Inventions and former Minister of Science and Technology, and Professor Zhen Yangkang, Vice-Chair of the University Council.

The event was co-organized by Tsinghua University’s Graduate School, School of Economics and Management, and Research Center for Technological Innovation. Open to all post-graduate students across the country, the contest is designed to encourage innovative thinkers, transform technological innovation into technological entrepreneurship, and translate scientific and technological research into greater productivity. Launched May 25, the preliminary round drew 110 teams from 26 colleges and universities nationwide, six of which reached the finals. Tsinghua SEM Wins 1st Tsinghua University Graduate Sports Meet

The first Tsinghua University Graduate Sports Meet concluded on November 1, with Tsinghua SEM taking the team champion title, women’s team champion title, and men’s runner-up for Group A. Events in which Tsinghua SEM placed first included Men’s and Women’s 100 Meter, 400 Meter, 4x100m Relay and 20x60m Relay. 7th Tsinghua SEM Doctoral Academic Forum Held

81 doctoral candidates attended the seventh Tsinghua SEM Doctoral Academic Forum, held November 1-2, 2008. Also invited were 12 graduate and 10 undergraduate students, who participated in relevant academic discussions. Doctoral candidates submitted 117 papers for the occasion, out of which 116 were accepted and 47 were presented at the forum. The presentation portion was divided into eight panels covering topics in economics, finance, management science, technological economics and corporate management.

SEM postgraduate Hu Kai leads Chinese team to historic breakthrough at Beijing Olympics

1st National Graduate Technological Entrepreneurship Business Plan Contest

7th Tsinghua SEM Doctoral Academic Forum

 MBA PROGRAM

New Program to Promote Faculty Development at MBA Schools in West-Central China

The China National MBA Education Supervisory Committee (CNMESC) has teamed up with the Temasek Foundation to launch a program designed to strengthen business schools at universities in west-central China. The foundation will provide US $2.5 million (RMB 12.6 million) in funding to support the program. This announcement came at the launch ceremony for the “West-Central China MBA Schools Faculty Development and MBA Capacity Building Program” at Tsinghua SEM in Beijing on June 25, 2008. The program, which will train 135 participants from regional universities, is divided into three key components: the MBA Dean Leadership Development Program, the Business Faculty Development Program, and the Administrative Leadership and Management Program.

Tsinghua SEM Once Again Tops List of China’s Best MBA Programs

For the third time, Tsinghua SEM has topped the list of China’s best MBA programs issued by Manager magazine. Second place went to the China Europe International Business School, with Peking University’s Guanghua School of Management ranking third. 2008 MBA Orientation

Manager has conducted surveys on Chinese business schools and ranked the nation’s top MBA programs since 2004. In accordance with international practices, rankings are based on a market-oriented evaluation rather than focusing on educational authority. They cover three aspects: Yiguang, Strategy Director of Ogilvy Digital; and Senior Adviser Yang Lei business schools, MBA graduates and employers. Tsinghua SEM and human resources expert Gary Hopwood from Northern Light Venture previously won the top ranking in 2004 and 2006. Capital. The weeklong-orientation includes outdoor expansion, role-playing, simulations, case studies and other hands-on training activities. This provides 2008 Tsinghua MBA Orientation & Leadership Forum students with a systematic introduction to the basic skills required of a The 2008 Tsinghua MBA Orientation kicked off on September 5, 2008. professional manager and to the Tsinghua MBA culture, as well as promoting Held at Weilun Building, the opening ceremony was attended by more team spirit, communication skills and commercial awareness. than 400 new MBA students. This year’s incoming class includes 50 international students from 13 countries. The ceremony was followed by a Tsinghua SEM Partners with MIT Sloan in Dual-Degree forum with the theme of “leadership,” hosted by Professor Lu Xiangqian MBA Program of Tsinghua SEM’s Department of Innovation and Entrepreneurship. The MIT Sloan School of Management has announced the launch of a new Attendees included Luo Jianfan, CEO of PacLantic Co., Ltd.; Guo MBA program in cooperation with four renowned business schools in Asia and Europe, including Tsinghua SEM. The program will offer highly talented management students a chance to supplement their learning－and to earn a degree from MIT.

Beginning in the 2009-2010 academic year, the program will initially enroll 15 international students, eventually expanding to 50. The new post- experience degree will enable MBA candidates at any of the four European or Asian schools to obtain an additional degree from MIT. Other participating schools are Fudan University in Shanghai, HEC Paris, and the SKK Graduate School of Business at Korea’s Sungkyunkwan University.

West-Central China MBA Schools Faculty Development and MBA Capacity Building Program launched, June 25

 EMBA PROGRAM

Class debate, Tsinghua- INSEAD Dual-Degree Program

SEM EMBA delegation at MIT Sloan, June 2008

Tsinghua-INSEAD Dual-Degree received a warm welcome from MIT Sloan during on June 7 and in Hubei on October 10. EMBA EMBA Program Opens Second Class their stay in the U.S. Students also visited the alumnus Zuo Yihe, currently a deputy director- Skadden law firm and John F. Kennedy Library general at the Department of Agriculture of The Tsinghua-INSEAD EMBA Program opened and Museum. Shandong Province, was elected to chair the its second class on June 6, 2008. This year’s Shanxi Alumni Association. The Hubei Alumni program attracted a group of 35 business elites 6th Tsinghua EMBA Graduation Association is chaired by Sun Jianhua, a general from 12 nations, including China, the United Forum Held manger at South China Airlines. The new States, France, Australia, Canada, Singapore, associations are the 21st and 22nd branches of Germany, the Netherlands, India, Mongolia, 192 EMBA students completed their course the Tsinghua EMBA Alumni Association. Malaysia, and South Korea. The class has 26 requirements and received Executive Master of Business Administration (EMBA) degrees students from abroad, making up 78% of the total. Tsinghua’s EMBA Mobile Campus Participants have an average age of 38 and 14 from Tsinghua University on July 5, 2008. This Comes to Taiyuan, Wuhan and years of business experience. was also the date of the sixth Tsinghua EMBA Graduation Forum. Xiamen Launched in 2006, the Tsinghua-INSEAD Dual Tsinghua’s EMBA Mobile Campus set up Degree Executive MBA Program is the first of its Divided into three sessions, the Saturday forum shop in Taiyuan in June 2008, moving on to kind in China, combining international business covered the topics of “sustainable growth for Wuhan in October and Xiamen in November. education with a focus on Asia. Upon successful large-scale enterprises”, “challenges in enterprise In Taiyuan, a four-day Marketing Management completion of the program, participants will development－a strategic perspective,” and course drew top executives from over a hundred be awarded two prestigious degrees: an EMBA “transformation and innovation in marketing”. companies across China, who also found time degree from Tsinghua University and an MBA 2006 EMBA graduates from Classes E, D and to attend lectures, visit businesses and see the for Executives degree from INSEAD. Graduates F announced a donation of RMB 500,000 to local sights. The Xiamen program featured two become alumni of both schools. launch the Tsinghua EMBA-06 EDF Scholarship courses, Corporate Mergers and Marketing program. Managed by the Tsinghua Alumni Management, along with a forum on “The EMBA Students Visit MIT Association, the fund will assist disadvantaged Financial Crisis and Its Impact on China.” undergraduates from Sichuan at Tsinghua. In late June of 2008, nearly 50 EMBA students Participants also toured Xiamen’s corporate spent a week in the United States at MIT’s Sloan giants, including TAECO, Dell, Hualian Tsinghua EMBA Alumni Association School of Management. This was Tsinghua Electronics and Yinlu Foods. The first program Founds Local Branches in Shanxi and EMBA’s fifth visit to MIT since the program’s of its kind in China, the mobile campus is an inception in 2004. Most of the students were from Hubei integral part of EMBA education at Tsinghua, the Class of ’06 and ’07. The Tsinghua EMBA This year, the Tsinghua EMBA Alumni combining classroom instruction with hands-on delegation, headed by Associate Dean Liao Li, Association founded local branches in Shanxi experience. Each class convenes annually.

 EXECUTIVE DEVELOPMENT PROGRAM

Tsinghua SEM Joins Goldman Sachs’ 10,000 Women King from Harvard Business School. All 54 participants were employees at Initiative the decision-making level of their companies.

The Tsinghua University School of Economics and Management Tsinghua SEM Launches 2008 Undergrad-EDP Career announced its partnership with the Goldman Sachs 10,000 Women initiative on September 15. The 10,000 Women program supports Guidance Program partnerships with universities and development organizations to provide Tsinghua SEM launched its 2008 Undergrad-EDP Career Guidance Program a generation of women in under-served areas around the world with a on October 29. Designed as a platform for communication between EDP business and management education. On the scholars and undergraduates, the program encourages Tsinghua SEM students day, Tsinghua SEM partnered with HEC Paris already in mid-career to offer undergraduate classmates the benefit of their to create the 10,000 Women Entrepreneurship personal and professional advice. EDP scholars have responded positively. For Track Program for China’s under-served female entrepreneurs. The program will train Chinese these executives from China’s top corporations, the program is an opportunity women who operate their own businesses or to share their life stories and professional experience—and to discover the aspire to do so. Over a five-year period, the Tsinghua spirit through their discussions with undergraduates. Scheduled to certificate program will provide 450 women with continue through the end of December, the program includes large-scale group an integrated entrepreneurial and managerial education. The first class is activities as well as one-on-one interaction. scheduled to begin on the Tsinghua campus in 2009.

On December 11, Goldman Sachs Chairman and CEO Lloyd C. Blankfein China Mobile CEO Wang Jianzhou Attends Forum on announced that the Tsinghua University School of Economics and Best Practices for Chinese Corporate Management Management (SEM) would expand its role in the Goldman Sachs 10,000 On the evening of October 30, 2008, the seventh in a series of lectures Women initiative by launching an innovative new partnership with the Yale connected with the Forum on Best Practices for Chinese Management was University School of Public Health. Together, Yale and Tsinghua will offer held in the auditorium of the Weilun Building. The forum is co-sponsored by a training program in business and management education for mid-level Tsinghua SEM’s Executive Development Program (EDP) and the Tsinghua and senior managers in health care. The curriculum will cover scientific University Research Center for Contemporary Management and Technological issues including health care organizations, quality management and Innovation. evaluation, HR management, financial management, crisis management and leadership. Scheduled to begin in 2009, it will ultimately train 500 The evening’s guest of honor was Wang Jianzhou, chairman and CEO of managers in the healthcare sector over the next five years. China Mobile, who spoke on the topic “In Search of a Business Approach for Telecom Corporations”. Mr. Wang used his speech to explain management Private Equity and Venture Capital China Opens First practices at China Mobile, citing the company’s efforts in the areas of service Class coverage, quality, reliability, creativity, rural market development, social responsibility and developing an international perspective. Also in attendance A joint effort by Tsinghua SEM and Harvard Business School, the Private were Tsinghua University Dean Qian Yingyi; Professor Zhao Chunjun, chair Equity and Venture Capital China program opened its first class October of the forum’s organizing committee and director of the Research Centers for 15-18, 2008. 54 financial and investment professionals from the Asia- Contemporary Management and Technological Innovation and for Innovation Pacific region attended. Courses were taught by Professor Liao Li, in Philosophy and the Social Sciences; and Professor Yang Bin, secretary of Associate Dean of Tsinghua SEM, and by Professors Josh Lerner and Lee the University Party Committee and of the forum organizing committee.

Goldman Sachs Chairman and CEO Lloyd C. Blankfein discusses the China Mobile CEO Wang Jianzhou speaks at Tsinghua SEM Goldman Sachs 10,000 Women Initiative at Tsinghua SEM

10 RESEARCH

2 SEM Studies Honored for Excellence in Philosophy and Social Sciences Research

Recipients of the Tenth Beijing Awards for Excellence in Philosophy and Social Sciences Research were announced in the second half of 2008. Tsinghua SEM research garnered two awards, with the top honor going to Professor Gao Jian of the Department of Technical Economics and Management for his study “The Global Entrepreneurship Monitor (GEM) 2006 China Report”. Professor Wu Guisheng, who teaches in the same department, was also recognized for his study “On Regional Science and Technology”.

SEM Project Judged “Outstanding” by NSFC panel

During the second half of 2008, an expert panel convened by the Department of Management Sciences under the National Natural Science Laura D’Andrea Tyson (center), a UC Berkeley professor and economic advisor to US Foundation Committee reviewed a key project President-elect Barack Obama, presents the inaugural McKinsey China Economics Award overseen by Tsinghua SEM professor Chen to Chi Wei (right) and Li Bo (left). Guoqing. The panel was highly impressed with the findings and direction of the project, titled “Studies only key project of its kind to be accepted by the Behavior and Assistant Professor Li Bo from on Internet-Based Management Information Department of Management Sciences in over a the Department of Management Science and Systems”. Noting that the research had surpassed decade. Many Tsinghua SEM faculty contributed to Engineering were honored for their paper on the its goals in terms of both quality and quantity, the research. gender pay gap in China’s urban labor market. they gave it a final evaluation of “Outstanding.” Presented by the McKinsey China Council of Tsinghua SEM faculty also had the good fortune Business Economists (MCCBE), the award to win two key NSFC projects: “Study on the recognizes young Chinese economists under the 2007 China Entrepreneurship Methodology Basis of Econometric Models”, age of 40 for their work in the field of Chinese Monitor Report Issued funded by National Foundation of Philosophy and economics. The Tsinghua University National Social Science, China., a project for the National Entrepreneurship Research Center issued its Social Sciences Foundation overseen by Professor Professor Bai Chong-en Wins First 2007 China Entrepreneurship Monitor Report Li Zinai, and “Information Systems Adoption, Pushan-BOC Award for Outstanding on July 16, 2008. According to the report, China Diffusion, Development, and Business Value” Papers in World Economics has entered the “Opportunity Entrepreneurship” for the National Natural Sciences Foundation, phase. This is the Center’s sixth such report since overseen by Professor Huang Jinghua. In both The first Pushan-BOC Awards for Outstanding the program’s inception in 2002. cases, the research team includes a large number Papers in World Economics were announced of Tsinghua SEM faculty. The school also won on November 13, 2008. The top prize went to Great Strides in Applications for Key a number of general and youth projects for the a paper titled Size of Government, Rule of Law and the Development of the Service Sector by NSFC Projects National Natural Sciences Foundation and the National Social Sciences Foundation. Professor Bai Chong-en, Chair of Economics at An announcement on research approval for 2008 Tsinghua SEM, his post-doctoral student Wang indicates that Tsinghua SEM has made great strides Tsinghua SEM Faculty Members Dehua, and his doctoral student Zhang Zaijin. in applying for NSFC projects. A key NSFC project Receive Inaugural McKinsey China Top honors were awarded to two papers chosen overseen by Professor Chen Guoqing, “Research from among 54 submissions. The six-month Economics Award on Major Fundamental and Technological Issues in selection process included three rounds of Emerging E-Business” received approval following The McKinsey China Council of Business voting by the Executive Council Members of the an intensely competitive selection process. Economists recently announced recipients of the China Society of World Economics, the Pushan- Submitted jointly by the NSFC Departments of Inaugural McKinsey China Economics Award. BOC Awards Expert Selection Panel, and the Management Sciences, Information Sciences, and Associate Professor Chi Wei from the Department Pushan-BOC Awards Selection Committee. Mathematical & Physical Sciences, this was the of Human Resources and Organizational

11 RESEARCH COOPERATION AND DEVELOPMENT

2008 Annual Retail Forum Held The 2008 Annual Retail Forum, hosted by Tsinghua SEM’s China Retail Research Center, was held on December 3, 2008. This year’s theme was “The Chinese Retail Industry over Three Decades: Enhancing Customer Satisfaction.” The Center presented its latest study, “Research on Satisfaction in China’s Retail Industry,” and scholars and industry professionals exchanged insights and cutting-edge ideas on the future of retail. This was the third meeting of the annual forum, which has become one of the retail industry’s most influential gatherings.

1st China Service Innovation Workshop Held The first China Service Innovation Workshop, held at Tsinghua SEM on Chinese Business Strategy and Development Forum, June 10, 2008 December 9-10, 2008, attracted scholars from more than 10 domestic universities and academic institutions, along with representatives from the government, China Business Strategy and Development Forum Held business and media sectors. Speeches and discussions focused on four topics: “Service Innovation and Service Economy”, “Innovation in China’s Typical On June 10, 2008, the China Business Strategy and Development Forum Service Industries”, “Knowledge-Intensive Business Service”, and “Corporate was held at Tsinghua SEM, commemorating the 30th anniversary of Service Innovation”. The field of service innovation studies has a twenty-year China’s “reform and opening” policy. The event was organized by the history internationally, but Chinese research in this area began only in 2002. This Department of Business Strategy and Policy. Government officials from conference, the first of its kind in China, promotes communication by bringing the National Development and Reform Commission (NDRC) and the together experts in service innovation. It is designed to consolidate current Development Research Center of the State Council joined Tsinghua research in the field, strengthen ties and build an academic community. SEM professors to discuss China’s current macro-economic situation and business strategy reform. The forum drew an audience of more than International Green Leap Initiative Workshop Held 150, including SEM faculty members, students, media representatives The International Green Leap Initiative Workshop, and top professionals from the business community. In their discussion, held on December 8th at Tsinghua SEM, was a participants noted China’s achievements over the past three decades joint effort by Tsinghua University’s Research in such areas as economic development, system reform, enterprise Center for Technological Innovation, the University growth and business strategy management theory; meanwhile, they of Michigan’s William Davidson Institute, and also expressed their concerns over the future of China’s economy and Cornell University’s Johnson School of Management. Over 40 representatives the growth of its enterprises, proposing strategies for addressing the from the government, academic and NGO communities attended. Professor Stuart L. Hart, a Distinguished Fellow at the William Davidson Institute, challenges facing the nation. and Dr. Mark Milstein, director of Cornell’s Center for Sustainable Global 2008 China International Conference in Finance Held Enterprise delivered speeches at the Conference. Professor Hart’s “Green Leap” program has been investigated and developed through business models The 2008 China International Conference in Finance (CICF2008) was held in India and other developing countries. December’s workshop marked the in Dalian, Liaoning Province on July 2-5, 2008. Co-organized by Tsinghua launch of the project in China. University’s China Center for Financial Research and MIT’s Sloan School of Management, the conference drew an audience of over 400 from China Seminar for E-Business Development and Chinese and abroad. 742 papers (524 in English) were submitted to the conference, Corporate Practices Held with 240 accepted, including 65 papers in Chinese and 175 in English. Topics covered 39 areas including corporate finance, investment and risk The Seminar for E-Business Development Chinese Corporate Practices took place management, and asset pricing. at Tsinghua SEM on December 5-6, 2008. Focusing on the latest developments in e-commerce and the practices of Chinese corporations, the seminar also 12th International Congress on Insurance: Mathematics covered important theoretical and practical issues affecting e-businesses in and Economics Held in Dalian China. Participants also discussed key programs presided over by Professor Chen Guoqing, Executize Associate Dean of Tsinghua SEM. The seminar drew an The 12th International Congress on Insurance: Mathematics and Economics audience of more than 80 from the academic and business communities. took place in the northeastern Chinese city of Dalian on July 16-18, 2008. Co- organized by Tsinghua SEM and the School of Finance at Dongbei University of Finance and Economics, IME 2008 was the first IME conference hosted in Asia. The conference comprised 28 sessions and 157 academic talks. Discussions covered a range of topics including Finance, Risk Theory, Nonlife Insurance, Economics of Insurance, Pension Mathematics, Life Insurance, Insurance Market and Empirical Study.

Insurance: Mathematics and Economics(IME) is a world-leading academic journal in the field of insurance and actuarial science. Over the past nine years, the IME Congress has gained a reputation as one of the leading actuarial conferences worldwide, offering researchers—both actuaries and non- actuaries—an opportunity to present their latest work in the field of actuarial science. Seminar for E-Business Development and Chinese Corporate Practices, December 5, 2008 12 COOPERATION AND DEVELOPMENT

President Gu Binglin (third from right) and CDB Governor Chen Yuan (third from left) inaugurate the CDB Lecture Hall, November 13.

Tsinghua SEM Expands Partnership economic and regional backgrounds, investigating financial knowledge, services and education as well as with INSEAD personal investment behavior. Survey results will be released in a series of studies and papers. Citibank China CEO Ou Zhaolun said he was delighted to see Citigroup and Tsinghua partnering on a program Dean of INSEAD Frank Brown visited Tsinghua of this magnitude. Ou hopes the program will contribute to research on Chinese consumers’ financial SEM and met with Dean Qian Yingyi on behavior, as well as raising consumer, media and academic awareness of the importance of financial September 23, 2008. The deans discussed the education. expansion of the schools’ partnership in a new educational environment. A memorandum of understanding signed at the meeting reaffirmed the schools’ commitment to stronger cooperation Tsinghua University Partners with China Development Bank through the Tsinghua-INSEAD dual degree Tsinghua University and China Development Bank program. Brown and Qian also agreed to expand (CDB) have announced the establishment of the faculty exchanges and cooperation in leadership- Tsinghua–CDB Research Institute, following a skills development. general cooperative agreement signed on November 13. China Development Bank Governor Chen Yuan Tsinghua SEM Partners with and Tsinghua University President Gu Binglin Citigroup in Financial Education Hub attended the signing ceremony. Chen noted CDB’s Tsinghua University and China The Citibank Group has donated US $1.2 million contributions to reforming China’s investment and Development Bank (CDB) announce plans to Tsinghua SEM to set up the Tsinghua-Citi financing systems, adding that he looked forward for Tsinghua–CDB Research Institute Financial Education Hub. The three-year program to a partnership combining Tsinghua’s abundant will focus on researching the financial behavior academic resources with CDB’s extensive practical experience. The Research Institute will of Chinese consumers along with related financial function as a platform for the further development of China’s economy, he said. Chen also trends and issues. expressed his hope to see the Research Institute become one of the most influential think tanks in China and in the world. Following the launch ceremony, Professor Liao Li, Associate Dean of Tsinghua SEM, presented President Gu said that Tsinghua was partnering with CDB to strengthen research on strategic the program to the media. According to Professor planning and the financial situation. He noted plans for related professorships and scholarship Liao, the Tsinghua-Citi Program will promote programs to designed to develop the full potential of faculty and students. The partnership offers consumer-oriented financial education with a focus Tsinghua an opportunity to expand its role in training professionals for the financial industry, Gu on the Chinese financial system. It will conduct said, as well as to promote the sustainable development of Chinese society. annual consumer surveys, host annual seminars, The ceremony was attended by Qian Yingyi, Dean of Tsinghua SEM, along with faculty and hold training sessions for finance reporters and student representatives. instructors, and offer on-line lectures.

The Annual Tsinghua-Citi Consumer Survey will select 2000 families from a variety of ethnic,

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Chinese Government Honors Tsinghua SEM Guest Gates, historian Niall Ferguson and economist Lawrence Summers. In 2007 Professor John Thornton Qian was invited to serve on the HBS Board of Dean’s Advisors, with a term extending to 2010. He is the board’s only member from mainland China. The 2008 Friendship Awards were announced on September 27, 2008 at the Great Hall of the People, with 50 foreigners receiving the honor. Among the Top Chilean Government Officials Visit Tsinghua SEM winners was John L. Thornton, a guest professor at the Tsinghua University School of Economics and Management and Fellow of the American Academy A group of Chilean officials visited Tsinghua SEM on December 4, 2008, of Arts and Sciences. Chinese Premier Wen Jiabao and Vice-Premier Zhang attending a seminar with the theme of “challenges facing 21st century Dejiang met with the recipients. society.” The delegation was headed by Luis Díaz Silva, director-general of the Social Division under Chile’s Ministry of Planning, and Fernando Reyes The Friendship Award is the highest honor conferred by the Chinese Matta, the Chilean ambassador to China. government on foreign experts working in China. In November, Professor Thornton was honored as one of the “most influential overseas experts in The visitors joined SEM professors to discuss sustainable development in China over the past three decades.” The list of 15 renowned international developing countries. Noting Chile’s recent efforts to promote economic authorities included Chinese-American architect Ieoh Ming Pei and Chinese- growth and build a harmonious society, Reyes Matta said he hoped the American Nobel physics laureates Yang Chen-ning and Lee Tsung-dao. two nations could learn from one another and achieve their shared goal of sustainable development. The December seminar was the second high-level Thornton, a former president and member of the Board of Directors at meeting of its kind since the signing of a partnership agreement between Goldman Sachs, has served on Tsinghua SEM’s Advisory Board since 2000. Tsinghua SEM and Pontificia Universidad Católica de Chile in November He has been a guest professor and director of the school’s Global Leadership 2006. Program since 2003. Tsinghua SEM Establishes Research Center for Health Dean Qian Yingyi Attends HBS Centennial Global Care Management Business Summit Tsinghua SEM launched its Research Center for Health Care Management on The Harvard Business School (HBS) Centennial December 16, 2008. Intended to promote the study of Chinese health care policy Global Business Summit took place on October and management, the Center will focus on research in these areas, as well as 12-14. Dean Qian Yingyi attended and spoke at a advancing the field of hospital management. It will also offer policy proposals panel discussion on the topic of “China in the World and consulting services for government-run hospitals and other organizations, Economy.” The Global Business Summit, which function as a platform for theoretical and applied research in health care, promote culminated HBS’ centennial celebrations, focused on the development of the industry, train health care professionals, and contribute three themes: leadership, globalization and the future to international communication in the field. The Center is sponsored by Jiangsu of the market economy. Keynote speakers included Microsoft founder Bill Chia-tai Tianqing Pharmaceutical Corporation Limited.

Luis Díaz Silva, director-general of the Social Division under Chile’s Ministry of Planning, speaks at Tsinghua SEM

Tsinghua SEM Guest Professor John L. Thornton 14 sem forum

Sung Joo Park, KAIST Business School, Korea Professor Josh Lerner, Harvard Business School Topic: What Happened in Samsung?－ An Asian Topic: The Private Equity and Venture Capital in the US: A Management Perspective Review Date: June 5, 2008 Date: October 19, 2008

XIA Bin, Director, Financial Research Institute, Charles Li, Chairman, JPMorgan China State Council Development Research Center Topic: Inside the Storm on Wall Street Topic: Current Economic Situation and Currency Policy Date: October 22, 2008 Date: June 14, 2008

DUAN Yongji, Founder, Sitong Corporation WANG Jianzhou, CEO, China Mobile Topic: Sitong Corporation and Lessons for Private Topic: Operation and Management of Telecom Enterprises Corporation Development in China Date: October 30, 2008 Date: June 16, 2008

Famous futurist John Naisbitt Pierre G. Mirabaud, Chairman, Swiss Bankers Association Topic: Megatrends China (SBA), Senior Partner, Mirabaud & Cie, Geneva Date: September 18, 2008 Topic: Swiss Banking after the Financial Crisis Date: November 12, 2008

XU Luode, President, China UnionPay Tony Hayward, Chief Executive Officer, BP Group Topic: The Chinese Bank Card Industry and Its Future: Topic: Delivering Energy for Sustainable Growth A Global Perspective Date: November 25, 2008 Date: September 22, 2008

Fredmund Malik, Leading European manager Lloyd C. Blankfein, Chairman and CEO, Goldman and educator Sachs Topic: Wholistic Management for Mastering Complexity Topic: Entrepreneurship and the Goldman Sachs 10,000 in Dramatic & Challenging Times Women Initiative Date: October 14, 2008 Date: December 11, 2008

15 TSINGHUA SEM NEWSLETTER

To be a world-class school of economics and management, contributing academic knowledge that fuels the revival of the Chinese economy and cultivating business leaders for China and the world.

School of Economics and Management Tsinghua University Beijing 100084, China Tel: (8610) 62785515 Fax: (8610) 62785876

www.sem.tsinghua.edu.cn

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