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Business
Print Edition> Business
UPDATED: December 30, 2013 NO. 1 JANUARY 2, 2014
Building Capacity
Chinese companies in Africa are improving infrastructure and benefiting local communities
By Ding Zhitao and Hou Weili
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PROMOTING DEVELOPMENT: Many African locals are proud to work for Huawei. The Chinese company has been expanding its business on the continent and enriching locals' lives (WANG NENGBIAO)

Socially responsible

Besides improving local livelihoods through business operations, Chinese companies can be found on site whenever there are disasters or emergencies.

When riots erupted in Nigeria at the end of 2012, the country's operating network was severely damaged. Technicians from Huawei Nigeria worked around the clock to help fix all equipment and maintain network operations. "We restored the whole network in just 10 days and provided a stable network for the recovery of people's normal life," said Gao.

In 2011, people in Oyo State, Nigeria, suffered from a deadly storm that left many locals homeless and in danger. CCECC Nig. Ltd. dispatched more than 30 staff members to help with rescue operations. The staff managed to repair the road and evacuate the locals after four days of tireless effort.

Chinese companies based in Africa have always put social responsibility at the forefront of their corporate culture and development strategy. They also help orphans, donate to schools, sponsor community activities, drill wells and try to contribute to the social fabric whenever possible.

Challenges

Despite what they have done in regards to corporate social responsibility (CSR), Chinese companies are frequently accused of stealing local jobs and business opportunities by some Western media.

"Among the more than 2,000 Chinese enterprises doing business in Africa, there are large state-owned ones, small private companies and self-employed entrepreneurs. Some of the latter two are not able to properly understand CSR and cause some conflicts with local people," said Zhang Zhongxiang, Deputy Director of the Department of West Asian and African Studies of the Shanghai Institute for International Studies.

China's Foreign Ministry spokeswoman Jiang Yu noted that Chinese enterprises have created nearly 350,000 jobs for Africans. "Reasons for questioning Sino-African cooperation include inaccurate and one-sided understandings of China's policy toward Africa, as well as overstating the wrongdoings of certain individual enterprises," she said, adding that China promotes economic and trade relations with African countries on the grounds of equality, common development and mutual benefit.

The Chinese Government is also busy improving regulation of Chinese business operations in Africa. As early as 2008, the State Council, China's cabinet, issued regulations requiring Chinese contractors to uphold business integrity, strictly follow local customs, laws and regulations, protect the local environment, and promote local economies when doing business abroad.

To better develop in Africa, Li suggested Chinese enterprises actively adapt to the local culture and maintain a good reputation in the community. "When you are small, nobody cares," he said. "When an enterprise grows big, more attention and even criticism will come. It's natural."

He Wenping, Director of African Studies at the Institute of Western Asian and African Studies with the Chinese Academy of Social Sciences, said Chinese people and enterprises are used to working quietly, seldom "blowing their own trumpets about their achievements." They don't have a sense of collecting facts and data on what they have done to the well-being of locals, and don't communicate that in an appropriate way. "When criticism comes, they don't even try to explain and defend themselves. This must be changed," said He.

Change takes time and major Chinese enterprises based in Africa are quickly learning the importance of CSR. Aweda is proud that her employer, Huawei Nigeria, has made such great strides in this regard.

Email us at: dingzhitao@bjreview.com

Huawei CSR in Nigeria 2010-12

Bridging the Digital Divide

- Upgrading the ICT industry;

- Supporting industry conference;

- Building the longest optical transmission network in Sub-Saharan Africa;

- Establishing the Huawei and Unilag Scholarship;

Contributing to the Local Community

- Helping orphans and the less privileged;

- Participating in local culture festivals;

- Donating Huawei school buses;

- Sponsoring the Nigeria National Hall in Shanghai World Expo 2010

Promoting Environmental Sustainability

- Providing green products and solutions

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