Friends or Foes: Who Do You Lead With?

“What keeps you awake at night?”

“The number of children that go back to China without an Australian friend.”

This was the punch of an answer that came from the Chinese Consul General, in a brief exchange at the Australian Department of Foreign Affairs and Trade end of year drinks. It was before the pandemic and Trump’s trade war, Australia and China were the best of friends. Political and business leaders went to great lengths to solidify the trade, investment, and friendship ties between the two countries.

At the time, I was working for Australia’s largest investor in China and led the negotiations for the China Australia Free Trade Agreement. I was familiar with the China-Australia relationship. I expected the answer to my question, “What keeps you awake at night?” to be related to trade, tourism, or investment.

The response floored me.

Children, of primary-age, come to study in Australia, including those with no family in Australia, and they return without a local Aussie friend.

I apologised. I felt shame. I felt disappointment.

Most of all, I felt regret for the lost opportunity. The lost opportunity of friendship and connection at school, be it primary, secondary, or even university, to carry on into later life. The lost understanding. The lost chance to build bridges for walking upon in the future.

Given the current state of the world, I can’t help but wonder:

Do friendships that go unformed set a foundation for foes later in life?

Big Guns. Big Shots

This week, US President Joe Biden has to?impose?tariffs of 100% on electric vehicles (EVs) made in China. The consensus needed to support an open trading system is falling apart, accelerated by China's questionable practices and the rise of Donald Trump’s America-first vision.

Politicians in America from both parties advocate for higher tariffs on a wide range of goods. China provides substantial subsidies to its manufacturers, giving them a competitive edge in global markets. Additionally, they argue that the security risk posed by allowing Chinese EVs, which can be easily tracked and monitored, is too significant.

The Economist , reporting on this event, states: "Bad policy, worse leadership”. Further, “Mr Biden’s tariffs are a blunt tool for dealing with them and will bring underappreciated economic harms to America and the world.”

We are living in lose-lose times. There are no winners.

Let’s Meet for Coffee

Shortly after my exchange with the Chinese Consul General, I was lecturing international finance and economics at Liaoning University in Shenyang, China. My undergraduate-level Mandarin meant all lectures were delivered in English. The students were engaged, present, and challenged me with technical questions. And, before and after class, as well as during breaks, they had questions about studying in Australia.

I knew Australian universities, and those in other high-income nations, rolled out the red carpet for Chinese students as an important market in the international education sector.

My advice to the students: make Australian friends. In Melbourne, where I am from, we take the bold claim of the world’s best coffee outside of Italy. I suggested they ask one new person a week to meet for coffee. Build a network across business, organisations of interest, and especially with classmates who are from Australia or elsewhere.

Fellow students will be future competitors in the global economy. They may become friends, colleagues, or even co-founders. Or, they could be foes at the global leadership level.

I told them what I know is true: we shape the world through our interactions. As leaders, the success we create is influenced by the people we surround ourselves with. The greater the global network, the stronger the global results.

The Global View, Over Tea

With no end in sight to geopolitical tensions, wars, and rising nationalism, leaders who think and act in global interests are largely absent on the world stage. It seems as though relatively few leaders are meeting for coffee, or tea.

If you are a leader, established or emerging, who seeks to think and act globally, going beyond the news and dominant narrative, this may be of interest to you:

In October 2024, I will be taking a small international group of leaders to China. Unlike a typical business mission, this trip will focus less on in-country formalities and delegate bonding, and more on seeing what lies beyond the horizon. Taking a strategic focus, we will explore where investment and influence are being built today and discuss the possible worldwide impact tomorrow.

Leaders will leave with a strengthened understanding of the world, viewed through the lens of China. Connections will formed with Chinese business leaders and entrepreneurs.

In China, we will meet over tea. It won’t be about forced friendship. It will be a move away from defaulting to foe-informed leadership. Friendships may even happen and positively shape future business success.

If this interests you, please let me know by DM.

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