IT Time Weekly
April 20, 2005

Chinese enterprises have been clamoring to go international for many years, but today there are still a few Chinese enterprises in the world market. What are the barriers to their entry into the international market? How should Chinese enterprises clear the mist in their march toward internationalization?

To go global, enterprises not only need to understand the disparities and consistency of different cultures, their PR teams needs to communicate their enterprise information consistently in different cultures and markets. This is precisely the reason why Chinese enterprises have been lingering outside the international market.

On April 6, 2005, Text 100 Public Relations President and CEO Aedhmar Hynes came to China. In the Text 100 office located in Beijing's CBD area, IT Time Weekly conducted an exclusive interview with Ms. Hynes. As we talked, I found her an elegant sober lady. Her eyes are genial and penetrating. She represents a very professional PR female, with an amicable and yet elegant impression. During conversations, she looks into your eyes in earnest, as if conducting exchange by heart. Her smile is like sunshine, instead of becoming professionalized from more than a decade's PR work. It is like the heartfelt smile that one has when being with people closest to him or her.

“What skills do Chinese enterprises need for successfully conducting public relations worldwide? How do PR firms understand and construe the nuance between different cultures?” When asked of these questions, Ms. Aedhmar Hynes was confident and calm. In the interview, she points out a path leading to the world market for Chinese enterprises.

The Growth of Enterprise Brand Needs Assistance from PR Firms

IT Time Weekly: Ms. Aedhmar Hynes, you have been with Text 100 for 12 years, and have achieved great successes in helping some enterprises. What is your view on Text 100?

Aedhmar Hynes: Text 100 is a professional technology PR firm. Its biggest advantage is global operations. Set up in 1982, Text 100 has been growing along with various kinds of high-tech IT companies for the past 23 years. It is dedicated to providing globally consistent PR consulting services. At the same time, by understanding local culture, we provide services for customers, and transform unknown enterprise brands into world-famous big names.

IT Time Weekly: Now, the wave of enterprise globalization is approaching. Such change poses higher requirements on PR firms' functions. In your view, for now and the future, what kind of changes should PR firms make to adapt to such a change?

Aedhmar Hynes: In the beginning, PR was only engaged in the control of information flow and helped enterprise distribute news release to the media. But today, in addition to providing information to the media, PR firms' functions include "understand market and industry trend and deposition competitor ". Now, as enterprises are going global, PR firms need to change. With cultural fluency at the core of global PR, they need to attain strong cultural fluency capability to help enterprises maintain brand consistency and communicate in different cultures and markets.

IT Time Weekly: In last several years, many large international enterprises complained that PR firms did not bring them much value. Many PR firms gradually disappeared amid fierce competition. What tips does Text 100 have to successful avoid the disaster?

Aedhmar Hynes: Text 100 has no tips. Its business model is the same worldwide. The company pursues the strategy of sustainable development to fulfill the vale of clients and employees. In China, we have experienced fast business expansion, but there are some risks, like lost customer. The main reason why we have been growing amid fierce competition is that we are not anxious for success, and investment in employees and clients has been included in our sustainable development plan.

Chinese Brands Should Stride forward the International Market Boldly

IT Time Weekly: During an interview, Ogilvy president noted, "Lenovo is not a famous brand, neither is Haier. China has no famous brand virtually." What is your opinion on this point?

Aedhmar Hynes: There are many famous brands in China. Before its re-branding, Lenovo was called "Legend". I had heard of Legend before I came to China. In technology industry and consumer products area, there are many famous brands in China.

IT Time Weekly: Since China has so many brands, why are there only a few Chinese enterprises in the international market? And what actions shall these Chinese enterprises take, in your opinion?

Aedhmar Hynes: Now more and more foreign brands are getting into the Chinese market. Chinese brands should move aggressively into international markets.

IT Time Weekly: Now, Chinese enterprises are starting an upsurge of M&A abroad. Weeks ago, Lenovo acquired IBM's PC unit. In the integration of the world economy, more Chinese enterprises need to go abroad and more international enterprises need to be localized in China market. What kind of impact does this trend have on PR firms' strategy?

Aedhmar Hynes: This era is a historical point of intersection. It is an exciting moment. Thanks to rapid economic development, there are many opportunities for Text 100, and the global PR industry as well. In localization and internationalization, enterprises need to pay great attention to cultural differences. Everyone pays attention to China's influence on the world. Lenovo's acquiring IBM PCD is a smart move. I believe Liu Chuanzhi and Yang Yuanqing have made a right decision.

Chinese Enterprises Need to Leverage Their Competitive Advantages on the Road of Internationalization

IT Time Weekly: Now, Chinese enterprises are getting internationalized at an accelerated pace. In your view, what issues should they pay attention to in the process of internationalization?

Aedhmar Hynes: First of all, they need to consider which countries to enter. For example, if they want to get into the American market, they need to survey the local market and business environment, recruit excellent talents, and identify stakeholders and those have influence on the brand.

IT Time Weekly: Chinese enterprises have an apparent weakness in internationalization. That is, many people have misconceptions about Chinese brands. They think products of Chinese brands are cheap and the quality is not good. How should enterprises address such misconceptions and prejudice?

Aedhmar Hynes: Such prejudice is fatal, and it also spreads. As long as one person thinks the brand is not good, it will affect the other stakeholders’ perception on Chinese brands. To get rid of the prejudice, Chinese enterprises should let opinion groups, namely media, government and employees, come to realize the mistake that they make, and let business' audiences feel Chinese brands offer not only low price but also high quality.

Profile of Text 100 Public Relations
Established in Britain in 1981;
Ranks among top 20 in the world;
Experienced technology PR experts;
25 branches worldwide;
Best PR firm for 2001 (European Technology Forum)
Best technology PR firm for 2001 (Holmes Report)
Most popular PR firm for employees for 2002 (Holmes Report)
List of Clients of Text 100 Public Relations
Clients	IBM
	Xerox
	Iomega
	American Power Conversion
	Intermap, an Internet route supplier
	Sagem Morpho, a biostatistical solution and service provider
	Meridian Telesis, an Internet operator and collaborative LBS provider

IT Time Weekly: What advice do you have for Chinese enterprises that want to get into the world market? Is Text 100's successful experience in helping clients tap foreign markets also good for Chinese enterprises?

Aedhmar Hynes: Text 100 has rich experience in helping clients enter foreign markets. We helped some European enterprises get into the North American and Indian markets, and also helped some American enterprises get into the European and India markets. There is something common for Chinese enterprises to penetrate to foreign markets: First of all, you need to understand the market you target, and the competitions. Then, you should tell audiences, who you are, and what strengths do you have, price, quality or brand influence? And why should consumers select you?

Ready to Serve Chinese Enterprises

IT Time Weekly: Now Text 100 came into the Chinese market. What kind of enterprises do you wish to cooperate with?

Aedhmar Hynes: We consider who are our clients, and what services we can offer them. We hope to cooperate with companies that seek sustainable development. Enterprises that only want to expand in a short time and then sell themselves out are not in our client list.

IT Time Weekly: Text 100 got into the China market obviously later than other PR firms. Why? Was it because the China market was not mature and changed too fast?

Aedhmar Hynes: No, mainly because Text 100 is very prudent about getting into a new market. In the 1980s, we gained a foothold in Europe, and expanded to the U.S. in the 1990s. When China joined the WTO late 1990s, Text 100 shifted its attention to the Chinese market. After thorough deliberation, we decided to set up a wholly foreign-owned PR agency in China, instead of acquiring a local player. With two years' experiences at Text 100, Chris Tang already had some understanding of the corporate culture. Therefore, we chose her to start the business when everything was ready.

IT Time Weekly: In the process of internationalization, Chinese enterprises seek opportunities to cooperate with large PR firms. Will Text 100 grab the market in the short period and work with Chinese enterprises?

Aedhmar Hynes: Of course we will. Text 100 has helped many enterprises penetrate new market and helped large enterprises establish presence in foreign markets, and helped unknown enterprises build brands. For instance, when entering the South African market in the 1980s, Microsoft encountered many difficulties due to the complicated political environment in the country. Text 100 helped Microsoft out with professional communications strategies, providing hand-in-hand services. Text 100 is wiling to serve international large enterprises. Similarly, we would also like to work with Chinese enterprises.

About Aedhmar Hynes

Aedhmar Hynes, Irish, is the CEO of Text 100 Public Relations. 1990-1996, she was an account manager of Text 100. In 1996, she became one of the board members at Text 100, responsible for customer services. In 1997, she became the general manager and founded of San Francisco office. From 1998-2000, she was President of Text 100 North America. She has been working with Text 100 for 12 years since she graduated from Galway University in Ireland, with bachelor's degree in economics and master's degree in marketing.

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