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Friday, October 28, 2011 A19 Born sinners John Gong says the Wal-Mart pork Creative escapes scandal in China is a reminder that corporations easily succumb to bad business practices without oversight Marjorie Yang says that innovation is the key to lifting people out of poverty, and women are al-Mart’s 13 stores in Chongqing have often best placed to find creative solutions reopened after being shut for two weeks for Wselling regular pork labelled, and priced, as to seemingly intractable economic problems organic. This scandal just adds to the fundamental belief that all corporations – if not supervised and regulated properly – are inherently evil and will do overty is debilitating. Because of whatever it takes to make an extra buck. Just witness women’s standing in many tradi- the current “Occupy Wall Street” protests for further tional communities, they are often evidence. the ones who bear the brunt of the Wal-Mart Stores is certainly no stranger to legal effects. This year’s Asia-Pacific wrangles. Throughout its 60-year history, the PEconomic Co-operation summit on women company has faced lawsuits in the US, mainly and the economy underscored the importance involving claims of labour and workplace violations, of women’s role in breaking out of poverty and sexual discrimination and product liability. improving economic realities for themselves Yet, I can’t find a single instance where the world’s and their communities. In the session “The largest retailer has intentionally cheated its American New Wave: Women and Innovation”, we customers. Nor do I think it would ever dare to. After discussed how innovation could meet these all, the US as a functioning democracy has a fair challenges. business environment and a legal system that comes Many companies struggle to find innovative down hard on unscrupulous business practices. solutions to one problem: how to be successful I am confident that if Wal-Mart were found to while being socially responsible in a sustainable have intentionally labelled non-organic food as way. At Esquel, a company in the traditional, organic in the US, the company would have been labour-intensive garment industry, we touch quickly shut down with its CEO summoned to the lives of the less privileged and are in a posi- Washington to answer senators’ questions in a tion to bring about positive change. Through Congressional hearing while also facing the the years, we have found that innovation holds possibility of a jail term. And, for sure, those who were the key for this to happen. directly involved would be put behind bars. There is a myth that the garment industry is But, in China, it is a different story. This is not the low-tech, and that innovation, often techno- first time Wal-Mart has cheated its customers here, logy-oriented, is an unaffordable luxury as nor was it an isolated or occasional aberration in an competition is centred on lowering costs. If the individual store that probably went unnoticed by its garment industry continues to base its compet- corporate management. itiveness on employing low-skilled, cheap Wal-Mart’s stores in Chongqing all reportedly labour, it will never make a significant social have a history of violations, including selling food that contribution by improving the lives of the less has passed its expiration date, overcharging privileged. In fact, technology-driven change is customers and using misleading advertising. Since the way forward. We have, over the years, the company opened its stores in that large inland adopted management systems that used industrial city, they have been caught red-handed 20 information technology to improve worker times, and fined by the regulatory bodies for various productivity, providing them with training that violations. expands their skills in the process. This could not have gone unnoticed by managers Yet innovation is not just about technology. at its mainland headquarters in Shenzhen. Yet, it It requires management vision and a nurturing appears that warnings from the State Administration corporate culture embraced by everyone. In of Industry and Commerce, plus fines, were not our experience, as workers absorb and share wouldn’t have had the opportunity on their from the Harvard Kennedy School of Govern- is key for innovative environments. Much is enough to wake management. our values and passion for social change, they own. Design teams from PolyU help these ment who wanted to start a social enterprise to done to foster creativity at college level, but this Just why would a company with apparent integrity become enthusiastic participants in our mis- women market their designs and crafts, allow- alleviate poverty in Tibet by using already will only have a limited effect if the effort is not in the US act this way in China? This is not just the sion. We have always encouraged and empow- ing them to earn an income, attain financial abundant resources in the region. They found- extended to education at secondary and even case for Wal-Mart. ered employees to propose and drive changes, independence and consequently improve their ed Shokay, making use of yak down with its primary levels. My theory is that companies are born sinners, and creating an environment for internally driven social standing. cashmere-like fibres. They have come a long Fortunately, bright innovative minds are there is no hope of salvation. Under a good system innovation and initiatives, rather than relying Skills that the indigenous women already way since 2006, when they began, with little working to address this problem. One project of with proper regulations, such as in the US, they tend on importing them from outside. possess are utilised to bring about meaningful knowledge of the textile industry; today, note is Scratch, computer software developed to behave. But as soon as the regulatory environment We try to enlist everyone, especially supervi- social change. One of the women I met even Shokay’s products can be found in more than by MIT Media Lab, that allows young children becomes lax and the business playing field becomes a sors and junior colleagues who are most in con- took up a leadership position within her com- 100 stores in 10 countries. Many Tibetan to create programs and multimedia content. It hotbed for corruption and shady practices, the ugly tact with our workers. It is important to get munity following her newly acquired status. It is families own a yak, resulting in a wide net of is now used by many schools worldwide. side of capitalism surfaces. them to understand our mission. Often, encouraging to see how rigid, deeply participants. This resource has been around for Education systems should seek to nurture and With less than 30 years of capitalism, China is an through constant questioning, observing and entrenched social structures can be influenced hundreds of years, but it took innovation to turn reward the creative, problem-solving mind. imperfect market that lacks many of the necessary experimenting, they are the ones who find new for the better through such projects. it into a force for change in economically under- Those who innovate hold the greatest regulatory mechanisms and government oversight solutions to old problems. By encouraging Another example is the story of two girls developed communities. potential to bridge societal gaps. In particular, necessary to keep businesses in check. After coming creative problem-solving at this level, we can be Such examples exemplify how women can women, who are the core on both domestic and to China, multinational companies learn local assured of their decision-making capabilities play a much more active role in incubating and professional fronts, are in a position to build a practices so fast that they often forget their Western once they reach senior management positions. promoting change. Women’s keen abilities in culture for innovation at home, work, and business values. Innovation is also about looking at old prob- observing, relating and questioning are impor- across society. Companies don’t deserve the benefit of the doubt. lems from new perspectives. As the council Women can play a tant skills for an innovator. Society needs to They should be presumed guilty, at least guilty in chairman of Hong Kong Polytechnic Univer- provide women with an empowering environ- Marjorie Yang is chairwoman of Esquel Group intent, until proven otherwise. sity, I have taken a keen interest in a joint project much more active ment with opportunities for exposure, net- and a non-official member of the Executive by PolyU and Yunnan University. PolyU creat- role in incubating working, taking risks and experimenting with Council. This article is part of a monthly series John Gong is associate professor at the Beijing-based ed an access to markets for ethnic minority new ideas and initiatives. on women and gender issues developed in University of International Business and Economics. women in Yunnan province who and promoting change In the long term, at a macro level, education collaboration with The Women’s Foundation johngong@ gmail.com A new Orwellian euphemism No strings attached? Building wealth long for stifling online dissent Pull the other one after the miners depart Lau Nai-keung says it’s disingenuous to claim that Helen Clark says being rich in natural resources David Eimer says ‘cultural security’ targets the messengers, not the issues Jimmy Lai’s contributions were purely altruistic doesn’t have to be a curse for developing nations ith the economy slowing, it ordinary people to events as they whether that can succeed in he revelation of media election plan. This was dressed up conference on managing ways of making the wealth might appear strange that happen and so offer the party deeply stemming the tidal wave of online mogul Jimmy Lai Chee- as democracy and freedom of extractive industries in Ulan generated by extractive industries Wculture rather than the sobering feedback into what their criticism is doubtful as enforcing it Tying’s secret contributions to speech.

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