In the face of economic difficulties, Zoho CEO Sridhar Vembu praises Chinese entrepreneurs' "survival tactics": "Whenever I am..."

Sridhar Vembu, CEO of Zoho, praised Chinese businesspeople for their ability to withstand protectionism and corruption, emphasizing that exporting is a vital survival tactic.

In a post on X on Saturday, Zoho CEO Sridhar Vembu expressed gratitude to Chinese businesses that had withstood economic restrictions and corruption. He claimed that these businesses have motivated him whenever he has been "tempted to complain."

Vembu commended Chinese businesspeople in the post.

By drawing similarities to China, I hope to demonstrate how Chinese businesses have surmounted numerous obstacles, such as red tape and corruption. I find encouragement in that; every time I feel like complaining, I consider Chinese businesspeople," he added.

Vembu claims that Chinese businesspeople employ exporting as a "survival tactic."

Perhaps because exporting is so much simpler than selling domestically, Chinese businesspeople place a great deal of emphasis on it! To put it another way, exports might be a survival strategy or a workaround for Chinese businesspeople rather than a show of strength, he continued.

Vembu posted a passage from an article discussing China's trade restrictions and protectionism policies.

The sophistication of local protectionism in China has grown, as province and local governments erect obstacles to safeguard regional interests and promote development inside their own borders. This strategy makes it more difficult for foreign businesses to compete with domestic ones," he says.

Vembu had before asked India to observe China's industrial and technological advancements in a post on X. He emphasized that rather than aiming for exaggerated values, Indian enterprises should concentrate on building organizations with $100 billion in sales.

"If we want to uplift our people, India needs a lot of them." China now boasts a large number of world champions who were born during the last two decades. What won't bring us there, I'll tell you. An unending emphasis on valuation won't get us there, Vembu stated.

A comparison with Japan
Vembu contrasts China and Japan in a different post on X, pointing out how the country's demographics have changed due to the possibility of rapid growth.

Around 1990, Japan's technical prowess peaked. At the time, the statements "Japan as the number one economy, Japan overtaking the US" were all taken seriously. What took place? A significant drop in population," the CEO of Zoho wrote.

Japan's population is aging and decreasing. According to Earth.Org, the population is predicted to drop to 104.9 million by 2050 and 87 million by 2060. Prior to India's 2023 overtake, China was the world's most populous nation.

"China's demographic collapse is at least as severe as Japan's. Although the Chinese elite is aware of this, demographics is a result of numerous decisions made in the past in an effort to catch up quickly, including significant work-life imbalance, long commutes, loss of traditional culture, loss of religious faith, rise of nuclear family - so demographic decline, once it sets in motion, is hard to reverse. I don't know any country that has reversed it,” Vembu wrote.

This is also another reason why I actively embrace our traditional culture and prefer a rural lifestyle. I wish to work toward pro-baby economic growth. Nothing else really matters in the long run!” he wrote.