Chinese Internet companies are a driving force in the Chinese economy, say the experts assembled at SPRIE's "China 2.0: The Rise of a Digital Superpower" conference in Beijing. China's Xinhua news agency covered the event (in Chinese)

Speaking at SPRIE's "China 2.0: The Rise of a Digital Superpower" conference in Beijing, heads of California-based game studios Kabam and Zynga both pointed to China as the source of new game innovation and growth. Both studios have set up shops in China to harness this potential.

Beyond his childhood ties to Hawai'i and Indonesia and his self-styled designation as "America's first Pacific President," President Barack Obama has demonstrated significant and genuine interest in Asia and in developing trans-Pacific ties. He embarked on November 5 for the second presidential visit to Asia during his term, and while there he will visit India, Indonesia, South Korea to attend the summit of the Group of 20 (G20), and finally to Japan to attend the annual heads of state meeting of the Asia-Pacific Economic Cooperation (APEC) conference. Secretary of State Hillary Clinton will travel a week ahead of Obama to attend the Association of Southeast Asian Nations (ASEAN) gathering and the East Asia Summit (EAS) in Vietnam, followed by visits to Malaysia, Papua New Guinea, New Zealand and Australia. Her trip will include an added-in stop to China's Hainan Island. To address major issues surrounding the President's trip to Asia--including the "China question" and historic U.S. bilateral alliances--four scholars from the Walter H. Shorenstein Asia-Pacific Research Center (Shorenstein APARC) gathered for a public panel discussion on October 27.

Thomas Fingar, Oksenberg/Rohlen Distinguished Fellow of the Freeman Spogli Institute for International Studies, spoke about the symbolic aspects of Obama's visit, noting the importance of a presidential visit for showing a sense of real commitment to the region and an acknowledgement of the "rise" of countries like China and India. On a more pragmatic side, he also suggested that meeting in person with other leaders is crucial in order to "bring about deliverables." The omission of a visit to China should not be weighed too heavily, Fingar said, pointing out that the President visited China last year. The stops in Japan and South Korea are tied to important multilateral meetings, though they will also reaffirm longstanding ties with those allies, while the visit to India is an indication of growing relations between the two countries. Of particular importance is Obama's participation in the G20 Summit in South Korea and the APEC meeting in Japan because, Fingar stated, a major purpose of the visit is about the "United States having a role in building new multilateral institutions." Finally, while much of the success of the Asia trip rests on how well Obama conducts himself, Fingar expressed confidence that the President would skillfully manage the visit.

During his visit to Indonesia, Obama will meet with Indonesia's President Susilo Bambang Yudhoyono for a bilateral discussion of such issues as economics, security, and higher education. Donald K. Emmerson, director of the Southeast Asia Forum, said that the postponement of earlier-planned visits to Indonesia has lessened some of the enthusiasm for Obama's "homecoming" to Jakarta. China's omission on the trip agenda is noteworthy, he suggested, and Clinton's addition of a stop in Hainan is due, in part, to help alleviate recent tension between the United States and China regarding China's claim of sovereignty over the South China Sea. Clinton's involvement in the EAS is an "important multilateral engagement" for the United States because of the presence of its ally Japan and the fact that the United States and China both have a voice there, unlike the ASEAN Plus Three meetings that do not include the United States. While in recent months the U.S.-China relationship has become more strained, Emmerson asserted that the "United States is not going to get into a cold war with China."

Obama will travel from Indonesia to South Korea for the G20 Summit, another major multilateral engagement during his travels. David Straub, associate director of the Korean Studies Program, described several significant aspects of this time in South Korea. While not technically an organization, Straub said, the Summit is an important forum for the discussion of economic stability and growth. Similar to Fingar, Straub noted the efficacy and significance of in-person meetings. The Summit provides an opportunity for world leaders to have face-to-face discussions on non-economic issues, such as North Korea's political situation. Straub suggested that President Lee Myung-bak's investment in the Summit is based, in part, on raising South Korea's global prestige, which is tied also to increasing the status of the G20 to become the premiere global financial organization. Finally, Straub stated that alongside the G20 meeting, Obama and Lee are expected discuss bilateral relations, which are at an all-time high, including the stalled U.S.-South Korea free trade agreement (Korus FTA). The FTA, which would be the most significant free trade agreement for the United States since NAFTA, has faced opposition and mixed support on both sides.

Obama's visit to India will be the third U.S. presidential visit there in the past decade, which is indicative of changing U.S. perceptions of India brought about through the IT boom and growing economic ties, suggested Daniel C. Sneider, associate director of research for Shorenstein APARC. Sneider pointed to a broader shared agenda despite a lack of clarity on some issues, such as Pakistan, and a focus on India as Asia's "other" growing economy. He stated that he would be watching for the United States and India to work together to emphasize India's role in East Asia, highlighted by India's participation in the EAS. India's Prime Minister Manmohan Singh has championed a "look east" policy and expressed stronger interest in East Asia, especially China. In terms of Obama's visit to the APEC heads of state conference in Japan, Sneider noted the importance of this trip also for the U.S.-Japan alliance. The newly formed government of Prime Minister Naoto Kan has worked to ease tensions in the alliance and both countries hope to use the visit to bolster a more positive image of the alliance. Certain points of contention, like the move of the U.S. military base on Okinawa, have been put aside for the time being. Sneider stated that recent China-Japan tensions have also served to reinforce the importance of the relationship.

Events during Obama's Asia visit in the next two weeks will help to solidify or possibly call into question his image as the "Pacific President," and undoubtedly influence the role of the United States in Asia for the future.

An international forum on North Korea was held in Palo Alto on October 26, 2010, in an effort to educate the public on reunifying the two Koreas. The San Francisco Chapter of the National Unification Advisory Council organized the forum. Approximately 150 audience members heard panelists speak about the economic, social, and political challenges that face South Korea today in its preparation for a peaceful reunification, as well as about their visions for the future of North Korea.

Gi-Wook Shin, the director of the Walter H. Shorenstein Asia-Pacific Research Center (APARC), moderated the presentations and the panel discussion. The panel of four experts included John Everard, 2010-2011 Pantech Fellow at APARC and a former British ambassador to North Korea, speaking about diplomacy and security; Greg Scarlatoiu, director of public affairs and business issues at the Korea Economic Institute, on economic issues; Sang-Hun Choe, 2010-2011 Fellow in Korean Studies at APARC and a reporter at the International Herald Tribune, on factionalism; and Jung Kwan Lee, the South Korean Consul General in San Francisco, on South Korea's policy toward North Korea.

Everad analyzed North Korea's development during the Cold War of a diplomatic technique by which it repeatedly attempted to play one ally off against another in its relationships with the Soviet Union and China. While arguing that North Korea continues to make effective use of this technique against South Korea, the United States, and the European Union, Everad noted that North Korea's current political uncertainty, following the succession, and its ongoing economic concerns will together create a situation in which it may be very difficult for North Korea to maintain political solidarity.

Scarlatoiu, meanwhile, contended that North Korea's is a post-Stalinist, neo-patrimonial economy. Thus, with recent efforts such as the 2002 market reforms and the 2009 currency reform, the North Korean regime has found itself confronted with a major dilemma. According to Scarlatoiu, while economic reforms are necessary to the long-term survival of the regime, they could also lead to the regime's collapse. This predicament, he added, must be considered as the regime undergoes a leadership transition in the succession to Kim Jong-un.

Choe spoke on the process of succession to Kim Jong-un as well, pointing out that while Kim Jong-un is indisputably the heir to the leadership of North Korea, he has yet to prove his competency as North Korea's future leader. In addition, Choe emphasized that difficulties judging North Korea's intentions and anticipating its behavior stem from the outside world's inability to understand the North Korean leadership and the goals that it truly has in mind.

Finally, Lee stressed that the basic objectives of South Korea's policy on North Korea are to promote a common prosperity and to peacefully resolve North Korean nuclear issues. However, he also made it clear that the South Korean government is seeking to keep North Korean nuclear issues distinct from the issue of inter-Korean relations.

 

I promise that this program could change your mind and future.

-Daisuke Maeda

Daisuke Maeda, 2008-2009 Corporate Affiliates fellow, embraced the opportunity of being at Stanford University in order to actively engage with students, scholars, and Silicon Valley entrepreneurs. Connecting in person in an environment of innovation and entrepreneurship informed Maeda's thinking about his work with the Sumitomo Corporation, both retrospectively and for the future.

Established in 1919 but with business roots extending back into the 17th century, Sumitomo Corporation is a Tokyo-based general trading company with approximately 200 offices and 800 subsidiaries worldwide, including such major global cities as Beijing, London, Madrid, Istanbul, Casablanca, Sao Paulo, and New York City. Sumitomo is divided into seven business units based on its wide diversification: metal products; transportation and construction systems; infrastructure; media, network, and lifestyle; mineral resources, energy, chemical, and electronics; general product and real estate; and financial and logistics. Some of its subsidiary companies include Discovery Japan, Inc.; Barneys Japan; and Pacific Summit Energy, LLC. The corporation's mission statement expresses a strong focus on social responsibility.

Before coming to Stanford, Maeda had the responsibility for overseeing the marketing strategy of one of Sumitomo's e-commerce companies and while at Stanford he then conducted research about the "long tail" statistical theory which emphasizes the strength of a vendor, such as Amazon, selling a wide array of specialty goods. Maeda looked at arguments for and against this theory and spoke with Stanford students and Silicon Valley entrepreneurs on this subject.  In addition to his research, Maeda met with local startup companies and offered advice on marketing their products in Japan.

Maeda is now a director in the mobile and internet department of Sumitomo's media, network, and lifestyle business unit, which is home to Japan's largest cable television provider, the biggest home shopping television channel, and a major households goods e-commerce website. His current work involves developing a Japan-focused online marketing strategy for Sumitomo's healthcare business offerings.

Maeda urges current fellows to seize the opportunity of being at Stanford, saying, "Don't hesitate. Time is limited." He explains that he actively sought out opportunities to enrich his own knowledge and potential, including meeting and talking with people. "I promise that this program could change your mind and future," he concludes.