5 years ago Baoding had the privilege of being named one of China's most polluted cities. Today this image is far behind it as it embraced green technology and is home to China's largest solar panel manufacturers.

Located just 40minutes by fast train from Beijing West station, Baoding is similar to Basingstoke as a high tech satellite town. There the differences stop and although I will profess little personal experience of Basingstoke (apologies to those enjoying life there) this article serves to highlight the realities of working with 'small' cities in China.

1. Population: with just 3.3million people, Baoding only just ranks as a 4th tier city. If you revisit in 5 years be prepared for this population to have grown to 8 million. This is not a result of a relaxation of the one child policy (although this is a factor) but more that Baoding is becoming an over-spill city for those working in Beijing.

2. GDP growth: set at c.10%, this is 4% above China's national average. This is particularly fuelled by the industrial focus on green energy which is a fast growing sector in China. 

3. Infrastructure: having built a city capable of accommodating rapid population growth, tier1 road and utility infrastructure is in place. However the current calm of no grid-lock is only temporary. I compared Baoding to Changchun, a city located North East of Beijing. After a period of calm Changchun then had to start building over-passes and additional junctions which disrupted traffic again. and that is before the subway system gets approval. A common problem in these fast growing cities is that heavy engineering and power plants located on the city outskirts soon become surrounded by residential and commercial communities and so eventually have to be shut down and relocated. We saw this in Tangshan and are seeing it happen in Baoding. So enjoy it while you can.

4. Culture and entertainment: much of Chinese entertainment is behind closed doors, whether dining, karaoke or night clubs. As such, to the casual observer the city is quiet at night but it still has a boarder town feel with many different nationalities blending in the spirit of opening up new territories....and still just 40 minutes from Beijing!

5. Business opportunities: with 10% GDP growth, opportunities for UK firms to participate abound. China Investors Club is in the process of helping to open up a school this year capable of teaching 500 students with plans for a purpose built academy for 2,000 in 4 years time. If you are able to build and operate hospitals then you will find a willing audience here. Do you develop new green technology? You will be welcomed with open arms. Is big data your thing? Our partners have developed a dedicated big data park alongside new libraries and community spaces which will act as the lungs of the city as it expands. 

6. Guanxi: this is the most important part of a town like Baoding. The business leaders that created this town and developed it into a city all know each other. While government officials will rotate on a regular basis, to get something done they know they need support from the business community so are willing to accommodate licenses and regulatory permissions as this generates GDP growth in in turn enables them to gain promotion. So while guanxi can be hard for an outsider to generate in Beijing, just 40 minutes away it is very much more accessible.

So if any one reading this article wants to find out more about such exciting cities then get in touch. We will be more than happy to help you build a strategy to introduce you to the local community.