Thomas Pan

Thomas Pan is currently studying for his MBA at China’s Tsinghua University. We asked him about the program and what it’s like living in China.

Where are you from originally?

I was born in Hong Kong but I have paternal roots in Suzhou, just outside of Shanghai. At the age of one, I moved to the United Kingdom, where I spent most of my formative years. I also spent some time living in London, Hong Kong and Singapore before heading over to California for my undergrad degree.

Why did you choose Tsinghua University?

After graduating, I worked in London and Hong Kong before settling in New York City. I actually started my US applications in 2007 but was concerned about my future in the US as a non-American, not to mention it was still a good time to keep working back then. When the time came for me to reevaluate an MBA in 2008, I realized two things: firstly, that I needed to differentiate myself from the growing number of MBA graduates in the US and secondly, that anyone willing to do an MBA in the US is probably in a prime position to take a little risk in life. With this epiphany, I hopped on a plane to China and took a look around Beijing and Shanghai, then settled on investing my future with Tsinghua University.

It’s true that CEIBS is sitting pretty with its respectable FT ranking and Peking University arguably has a more established international name than Tsinghua. However, the experience that impresses me the most about Tsinghua is the power of its brand name within China. Upon hearing the words Tsinghua University, local Chinese almost invariably confer upon you a degree of admiration and respect I’ve seldom observed anywhere else in the world. This attitude is likely driven by Tsinghua’s mainstream representation in China’s economic development and political leadership. Next, take a look at Tsinghua’s advisory board and you’ll find a list of business leaders that’ll make your jaw drop. To me, this is allure. This is what tells me I’m looking at the right place. If you’re going to throw yourself voluntarily into the dragon’s den, you’d better take the sharpest blades in there with you.

Did you consider other schools in China as well?

I considered Peking University’s Guanghua Program as well as CEIBS in Shanghai, but decided that since neither complemented my agenda, I would not apply. Both are fantastic programs, but I felt that Beijing was a better platform from which to learn about China (try visiting Shanghai as an expat in your late 20’s and you’ll find an abundance of distractions) and that Tsinghua held a marginally better brand name in today’s China.

Are there a lot of international students in your classes?

My class in Tsinghua’s International MBA has just over 120 students, of which over 45% are internationals. International students represent 16 different countries, which I think is phenomenal for a single class in a Mainland Chinese MBA. The year above me of about 100 students stood at almost 55% international, representing 11 different countries. In total, there are 22 nationalities in our combined classes. Please excuse all the stats – perhaps I’m becoming more Chinese but it’s a habit I’ve picked up since moving out here: Chinese people love to hear the numbers!

I’m also happy to report that this year, we welcomed our first Finnish, Israeli, Indian, Romanian and Swiss students to the Tsinghua MBA family.

Are you planning on staying in China after graduation?

Absolutely! I have two main beliefs about coming to China at my age. Firstly, you have to keep your mind open to being here for the long-run. By that, I mean well beyond the two years of your Tsinghua MBA. Thinking on a two-year plan will only restrict your sense of exploration, adventure and perspective.
Secondly, being frank, I think most MBA candidates in China recognize that while a Chinese MBA degree may raise a few eyebrows or differentiate us back home, the brand names still have a hill to climb in the international arena. Nonetheless, we’re all here because we know that within China, our degrees open doors that no foreign degree can come close to opening, and that education in China is modernizing to international standards at an unprecedented pace. With the experience we gain here, we hope to be well-positioned for the mounting surge in Sino-global business. We’re first movers, we’ve invested in our advantage, and we’re here to stay.

Why do you think China has become such a hot destination for international students looking for MBAs?

There are a host of different reasons really, some shallower and some deeper. On the shallow end, Chinese MBAs remain relatively cheap compared to US or European degrees, and there’s a strong demand from universities for international students too. Moving deeper, I personally find that US MBAs are becoming increasingly commoditized and homogeneous. Global experience is an excellent way to differentiate oneself today, as is a willingness to swim upstream instead of going with the herd. What better way to demonstrate such qualities than to come to China, where the language is gibberish to non-Chinese speakers, foreigners still stick out like a sore thumb, and the pace of change is reminiscent of Michael Phelps’ Olympics record-breaking spree? MBA candidates are waking up to the fact that China’s ascendance is inevitable, and that in terms of positioning oneself for this growth, few things trump first-hand, on-site experience of the local culture and mentality.

Gary Biddle

Gary Biddle, dean of the Faculty of Business and Economics at Hong Kong University (HKU), discusses his school’s MBA and EMBA partnerships with London Business School and Columbia Business School, and the enduring importance of “Ny-Lon Kong.”

Is Hong Kong still a good gateway into Asia for executives?

Hong Kong has long been a bridge between East and West. Hong Kong knows the West, and it knows the East. For people coming out of China into the world or going into China from the rest of the world…when these people cross, sparks fly, because in our classes, people say, “let me tell you how things are done in Shanghai,” and another might chime in “let me tell you how things are done in Berlin or London or New York or New Delhi.” The instructors understand both, and we facilitate this exchange of insights.

Is fluency in Chinese essential for executives in Hong Kong and China? Are they coming to your program with these skills?

There’s no question that if one wants to pursue a career connected to China, you’d want to know the local language there. This is true in Germany and everywhere.

In our regular MBA program, we have a “China Track” designed specifically for people from outside of China to launch their careers in China. If they don’t know Mandarin, there’s an option that takes them to Beijing for an intensive language immursion experience. This is for someone from Europe, South Asia, or the Americas who doesn’t know Mandarin, but knows China is a big thing, and wants to have some conversational fluency in Mandarin. And then they continue during their MBA studies. There’s of course a natural limit to how much you can learn in a year and a half, but still, with this kind of structure, you can learn quite a bit.

How is the MBA and EMBA market looking in Asia generally? Is enrollment and interest up in view of the global recession?

I think what we are experiencing is similar to what other MBA programs are experiencing, and that is there’s in an increased interest in full-time programs, especially MBA programs. People have more time to do something they’ve always wanted to do. When business is slow, that’s really a perfect time.

Applications to company-sponsored programs are not up because companies are laying off employees. To sponsor training right now is viewed as somewhat of a luxury, and yet the far-sighted companies that know they are going to be around no matter what happens with this recession, they’ll continue to sponsor people.

What makes the HKU-LBS-CBS EMBA Global program unique from the other programs offered in Asia?

We are combining the top three business schools in the top-three business cities in the world: London, New York, and Hong Kong. You may remember this Time magazine cover story about “Ny-lon-kong” – the three cities that drive the global economy.

The program itself has unique and amazing features. The program combines the premier faculties of these three premier institutions, who are experts in their regions, and the participants become alumni of all three institutions, so they have an alumni network beyond their classmates wherever in the world their careers might take them.

The program offers electives in these three locations, allowing students to specialize, as well as whatever location in the world LBS, HKU, and Columbia are offering electives. For example, our participants can take their electives in Dubai, where LBS has an EMBA program, in Brazil, in India, in Germany, in Kiev, and so on.

Where do your students come from in Asia?

If you think about a four- or five-hour flight time from Hong Kong, which would be reasonable for a weekend program, that captures an amazing area for us. It’s all of China, it’s up to Korea, down to Singapore, all of Southeast Asia, and most of India. And, of course Australians are used to flying further (laughs). So this defines our catchment area for our participants.

Having said that, our participants will be a mixture of folks originally from Asia and folks from everyplace in the world who happen to be executives in Asia, and really “rising stars” in their organization who want global expertise, which is our target audience.

Photo Courtesy: Gary Biddle

Steve DeKrey

Is an MBA a good stepping stone into Asia? The founding director of the Kellogg-HKUST EMBA program shares some thoughts.

What should prospective MBA or EMBA students look for in an Asia-focused program?

There are definitely not enough Asia-related components in most US MBA programs. The need for that depends on an individual student’s career plan. My advice to prospective students is to be very open to global opportunity which will almost certainly require some time in Asia. Asia is such an important business destination for big and growing companies. An Asian component will be critical now more than ten years ago. Having an Asian base is also very important. This is where the growth is.

Prospective students need to make an assessment in terms of their skill path, career level and opportunity. This requires some research, from the websites, rankings, and publications. I encourage a candidate to find their match, not to “blanket” apply to ten schools. Students should look to find their dream school, 2-3 maximum, make sure that they are qualified and pursue that school. MBA forums can also be helpful. I recently attended forums in Hong Kong, London, and Dubai, and can report that the numbers are up and interest in Asia is also up.

A caution: Language skill is very critical especially in China, and without those language skills opportunities will be far less.

Is this program useful for students coming from an Asian cultural background? What sort of jobs would a graduate be competitive for?

We have a mixed background in our student population. There are 55-percent culturally non-Asian from birth, but it’s very difficult to categorize. Our students come from very global background, for example, someone born in the US working for a French company in China.

There has never been a dominant culture in the classroom. We have students from around 20 different countries in any given year. The highest percentage is usually Hong Kong, China or the US, at around 20 percent. Most EMBA programs are culturally dominant. The fact that we are based in Hong Kong, we’ve been finding candidates coming from the US, London, and Russia because they want to connect to Asia and see a future here. This trend is increasing.

How relevant is a program like yours for prospective students with the economic downturn in mind?

For me, education is defendable in any economic climate: getting further educated, better prepared, more qualified. It seems highly motivating when the economic climate is in a downturn. There are careers stalled, people losing jobs, the search for opportunities intensifies.

The demand for education is accelerating. I used to be an admissions dean in the 1980s. During the time when Black Friday occurred and Wall Street was in turmoil, applications went up about 30 percent. I think it’s reasonable to expect a considerable increase in this downturn.

Do we modify our curriculum to take the current context into account? Business schools organize and stay current automatically. The faculty stays on top of the market, focusing on the downturn, how to position one’s self. It’s a natural modification. For example, during Enron, we had a lot of Enron case studies, ethics-based studies.

How do you see the future of business in Asia in general?

The word on the street is that it will be a tough year, but that Asia will come out stronger than many other regions. There is optimism, but there’s still uncertainty about how Asia will end up. The average length of the recession in Asia is predicted at 1 to 1.5 years, which I think is a reasonable prediction.

Would a program like this have helped you through certain difficulties in Asia?

I’m an MBA graduate. I went to Northwestern in the 1980s. Leadership roles are difficult to prepare for. I came to Asia 13 years ago anticipating it being the new growth center. I came before the sovereignty change in Hong Kong, have seen ups and downs and have no intention on leaving. There are many challenges, but the growth, rewards and opportunities are huge.  Exposure to diverse cultures has helped me to stay open and flexible – both key leadership attributes.

Are there going to be more partnerships like the Kellogg-HKUST program?

I foresee more and more partnering and collaboration among institutions. There’s a branding war where the reputation of the degree is critical. There are short cuts one can take, but as growth expands in these types of programs, a candidate’s review should be more and more particular about reputation. There is a quality hub in Asia: new programs are operating, older programs are improving, and the need is huge.

Photo Courtesy: Steve DeKrey