J.T. Choung, chairman and CEO of TGCORP, says Hong Kong companies with their international business expertise make ideal partners in dealing with the mainland.

This partnership resulted in Universal mPayment Limited, a joint venture formed earlier this year between TGCORP and Hong Kong's Universal Technology Holdings (UTH).

UTH's parent company, Hong Kong-listed Universal Group, had earlier established a first mover advantage in the mainland through its two subsidiaries, iPayment China Limited and iLogistics China Limited. Together, they provide online payment solutions to 20 mainland banks and financial institutions, as well as online supply chain management and logistics to its mainland clients.J.T. Choung, chairman and CEO of TGCORP, which specialises in e-commerce, m-commerce and B2B payment solutions in Korea, said the synergies between the two companies were perfect. "With UTH's abundant experience in the mainland market and TGCORP's leading mobile payment solutions, Universal mPayment will provide telecom operators with prompt and easy payment solutions."

Mr Choung said opportunities in the mainland are vast given its World Trade Organisation entry and the 2008 Olympics in Beijing. He chose not to set up his own business in the mainland because it would be too risky, time-consuming and "there would be a lot of legal hassles".

Mr Choung added that a mainland partner is difficult to find at present as "the mainland businessmen do not understand how international business works".

"Hong Kong is the symbol of business success in Asia, and SAR businessmen are very savvy and entrepreneurial. The China market is so big and so complicated you would need a partner who's already established there, speaks the same language, and at the same time understands how international business is conducted."

He added that a good partnership is when each side complements the other perfectly. "Korea has excellent technology infrastructure and TGCORP has sound technical expertise. Hong Kong's UTH brings to this partnership a vast network of contacts and local know-how in the mainland. This is a very good combination."

UTH executive director Kelvin Lau agreed. "Looking for a Hong Kong partner is a common way for foreign firms who want to enter or expand in the mainland market. We know how business is done in the mainland and how to communicate with mainland business people. Our Hong Kong - Korean joint venture has very good synergies."

Related links:
TGCORP  www.tgcorp.com/
Universal Technology Holdings www.uth.com.hk/
2008 Olympics  www.beijing-2008.org/eolympic/eindex.shtm