A Comparative Study of Overseas Chinese and...
Transcript of A Comparative Study of Overseas Chinese and...
A Comparative
Study of Overseas
Chinese and
Jewish Diaspora
Family Owned
Businesses
Roger King, PhD
Adjunct Professor of Finance
Director of Center for Asian Family Business Studies
Director of Center for Business Case Studies
Winnie Peng, PhD
Assistant Adjunct Professor of Finance
Associate Director of Center for Asian Family Business Studies
Associate Director of Center for Business Case Studies
Our Research Objectives
Our research examines the similarities and differences
between the Overseas Chinese and Diaspora Jewish family
businesses.
Both face hostilities/prejudices within their host country or
are surrounded by hostile nations and yet each has been
able to thrive economically and politically.
Presently, 14 million Jews have a much greater influence
over global affairs than 40 million Overseas Chinese. The
issue is why?
Given an increasing economic and geopolitical presence of
the People’s Republic China in the coming decades, will the
Overseas Chinese and their family businesses have the
same or greater global influence as the current ethnic
Jews? 2
Our Research Objectives
(continued)
Our research is still in “work-in-progress”
state. Sadly, there is not much
research/information on Jewish family
businesses. Thus, our objectives of this trip
(my first trip to the Holy Land) is to a) find
more information on Jewish family
businesses and b) to seek potential
research collaborators
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Definitions
Jewish: a person who was born of a Jewish
mother or has become converted to Judaism and
who is not a member of another religion
Overseas Chinese: a person of Chinese birth or
descent who lives outside the People's Republic
of China and Taiwan
A family business is a company owned,
controlled, and operated by members of one or
several families
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Geographic distribution -
Jews
Source: Total population, data from world bank, 2010. Jewish population, data from the Pew Research Center's December 2012 report "The Global Religious Landscape". Figures
are estimates for 2010.
43%
43%
3%
2% 2%
2%
2%
1% 1% 1%
Jews Distribution
Israel
US
Canada
France
U.K.
Germany
There are about 14 million Jews around the world. Jews are concentrated primarily in North America (46%) and the Middle East (43%). Israel is the only country with a Jewish majority (73%). (The Global Religious Landscape, Pew Research Center, 2012)
IsraelUnited
StatesFrance Canada
United
Kingdo
m
Russian
Federati
on
ChileArgenti
na
German
y
Australi
aBrazil
South
AfricaUkraine
Core Jewish population 5.76 5.70 0.48 0.39 0.29 0.19 0.19 0.18 0.12 0.11 0.10 0.07 0.06
Total population 7.79 316.20 63.94 35.30 64.30 143.50 17.60 41.30 8.06 23.10 195.50 53.00 45.50
Jews % of total population 74.014% 1.803% 0.743% 1.092% 0.451% 0.130% 1.051% 0.439% 1.464% 0.487% 0.049% 0.132% 0.138%
0%
10%
20%
30%
40%
50%
60%
70%
80%
0
50
100
150
200
250
300
350
Population of Jews and their % of total population in host countries (Million)
Geographic distribution –
Overseas Chinese
There are around 41.78 million overseas Chinese worldwide. The Chinese American community is the largest overseas Chinese community outside of Asia. It is also the fourth largest in the Chinese diaspora, behind the Chinese communities in Indonesia , Thailand and Malaysia (Overseas Communities Council, Taiwan, 2013).
73%
19%
4% 3% 1%
Overseas Chinese Distribution
Asia 30.656
America 7.903
Europe 1.696
Oceania 1.129
Africa 0.401
Indones
ia
Thailan
d
Malaysi
aUS
Singap
oreCanada
Philippi
nes
Myanm
ar
Vietna
mPeru
Australi
aJapan Russia France UK Brazil Italy Korea
Lao
PDR
New
Zealand
Chinese 8.12 7.51 6.78 4.24 2.83 1.56 1.41 1.06 1 0.99 0.87 0.68 0.47 0.46 0.42 0.28 0.2 0.18 0.15 0.15
Total 253.6 67.01 29.72 316.1 5.399 35.158 98.394 5.326 89.709 30.376 23.13 127.339 143.5 66.028 64.097 200.362 59.831 50.219 6.77 4.47
% 3.20% 11.21% 22.81% 1.34% 52.42% 4.44% 1.43% 19.90% 1.11% 3.26% 3.76% 0.53% 0.33% 0.70% 0.66% 0.14% 0.33% 0.36% 2.22% 3.36%
0.00%
10.00%
20.00%
30.00%
40.00%
50.00%
60.00%
0
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Overseas Chinese and their % of total population in host countries (Million)
Top 10 Jewish billionaires (Forbes 2015)
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Name Age Net Worth
(US billion)
Country of
citizenship
Source Years in
Business
Position
Larry Ellison 70 54.3 US Oracle 38 CEO and co-founder
Michael Bloomberg 73 35.5 US Bloomberg 34 CEO and co-founder
Mark Zuckerberg 30 33.4 US Facebook 13 Chairman and CEO, co-
founder
Sheldon Adelson 81 31.4 US Las Vegas Sands 27 Chairman and CEO
Larry Page 42 29.7 US Google 17 CEO and co-founder
Sergey Brin 41 29.2 US Google 17 Director of Special
Projects and co-founder
George Soros 84 24.2 US
Soros Fund
Management LLC 45 Founder
Carl Icahn 79 23.5 US Icahn Capital
Management 30 Founder
Steve Ballmer 59 21.5 US Microsoft 34 CEO (not founder)
Michael Dell 50 19.2 US Dell 31 Chairman and CEO
Average Age:
60.9
Average wealth:
30.19 Average: 28.6
Top 10 ethnic Chinese billionaires ex. Hong Kong (Forbes 2015)
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Name Age Net Worth
(US billion)
Country of
citizenship
Source Years in
business
Position
Henry Sy 90 14.2 Philippines SM (Diversified) 57 Chairman and founder
Dhanin Chearavanont 75 13.6 Thailand CP Group(Food) 62 Chairman
(2nd generation)
Charoen
Sirivadhanabhakdi 70 13.2 Thailand TCC (beverages) 55 Chairman and founder
Patrick Soon-Shiong 63 12.2 US Pharmaceutical 18 Founder
Robert Kuok 91 11.3 Malaysia Diversified 68 2nd generation
Robert & Philip Ng 63 9.6 Singapore Sino (real estate) 45 Chairman
(2nd generation)
R. Budi Hartono 74 9 Indonesia banking, tobacco 52 2nd generation
Michael Hartono 75 8.7 Indonesia banking, tobacco 52 2nd generation
Goh Cheng Liang 88 6.8 Singapore Nipsea (Paints) 70 Founder
John Gokongwei, Jr. 87 5.8 Philippines JG (Diversified) 55 Founder
Average age:
77.6
Average wealth:
10.4
Average:
53.4
Top 10 ethnic Chinese billionaires (Forbes 2015)
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Name Age Net Worth
(US billion)
Country of
citizenship
Source Years in
business
Position
Li Ka-shing 86 33.3 Hong Kong CKH
(conglomerate) 75 Chairman and founder
Lee Shau Kee 87 24.8 Hong Kong
Henderson
(conglomerate) 57 Chairman and founder
Thomas&Raymond Kwok 63 15.9 Hong Kong SHK Properties 40 2nd generation
Cheng Yu-tung 89 144 Hong Kong conglomerate 45 Chairman and co-founder
Henry Sy 90 14.2 Philippines SM (Diversified) 57 Chairman and founder
Dhanin Chearavanont 75 13.6 Thailand CP Group(Food) 62 Chairman
(2nd generation)
Lui Che Woo 85 13.5 Hong Kong Casinos 65 Chairman and founder
Charoen Sirivadhanabhakdi 70 13.2 Thailand TCC (beverages) 55 Chairman and founder
Patrick Soon-Shiong 63 12.2 US Pharmaceutical 18 Founder
Robert Kuok 91 11.3 Malaysia Diversified 68 2nd generation
Average age:
81
Average wealth:
29.6
Average:
54.2
Overseas Chinese dominate the top 10 richest in
their respective host ASEAN countries
Indonesia – 7
Thailand – 8 (more difficult to identify due to near
total assimilation. Even the current royal family is
part ethnic Chinese)
Malaysia – 8
Philippines – 6
43% of the 30 richest in United States are Jewish
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Similarities:
Hard working (out of necessity for survival)
Frugal and thrifty
Importance of (higher) education for the benefit of
future
Notion of my “bag is packed” mentality – prefer
liquid assets ex US
Economic success in host countries
Hostility - disliked by host society
Importance of family unity and continuity
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Similarities (continued)
Clannish and resistance to assimilation
Male orientation in inheritance
Survival driven
Dependence of Diaspora network
Developed great economic power enabling
the use political influence/bribery to
protect their interests
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Differences:
Notion of homeland or sojourners (Chinese)
Dialectic bondage with kinship organizations 同鄉會 (Chinese)
Active/direct participation in local politics (Jewish
- especially in US)
Individualism (Jewish) vs. collectivism (Chinese)
Religion bondage (Judaism) vs. cultural bondage
(Confucianism)
Meritocracy (Jewish) vs. birth order (Chinese) in
inheritance practice
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Differences (continued):
Patriarchal (Chinese) vs. open dialog (Jewish) in
decision making
Developed (Jewish) vs. emerging or developing
(Chinese) economies
Control or dominate significant and important
industries in US – Financial Services, Technology,
Media and Real Estate (Jewish)
Global achievers: At least 193 (22%) Nobel Prize
winners are Jewish vs. 11 for ethnic Chinese
Cumulated wealth of Jewish billionaires vs. Overseas
Chinese billionaires US$30.2 vs. US$10.4 – also
younger 60.9 vs. 77.6 and tend to be founders
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Observations:
Today, why 14 million Jews have a much greater influence over global affairs than 40 million Overseas Chinese?
Western domination of the globe over the past 2 centuries
Notion of developed vs. emerging/developing economies
In US, most Overseas Chinese are late arrivals (1980’s) – early waves are mostly labors
Difficulties in assimilate in developed economies for Chinese – also notion of homeland
Limited involvement in politics and access to certain industries (personal experiences)
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Observations (continued):
Given the increasing economic and geopolitical presence of the People’s Republic China in the coming decades, will the Overseas Chinese and their family businesses have the same or greater global influence as the current ethnic Jews?
Notion of Asian Century – nation state vs. culture state (Martin Jacque)
Continual conflict between US and China (notion of containment and blue navy)
Territorial disputes especially in East and South China Sea
Not necessary positive for Overseas Chinese owned family business
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Thank you, תודה, 谢谢
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