Saturday, September 26, 2015

U.S.-China Summit Yields Tentative Deals

President Barack Obama and China’s President Xi Jinping discussed the issues of Chinese cyberattacks on the U.S. and Chinese island-building in the South China Sea at the summit. Beijing’s commitments delayed any immediate threat of the U.S. imposing sanctions on Chinese entities over cyberattacks or taking more robust military action around China’s artificial islands. U.S. officials are concerned over the issues of cyberattacks as well as economic slow down in China, due to its commitment to open more of its market to U.S. firms. President Obama has been urged to take a forceful approach to Beijing’s cybertheft from U.S. companies.

The U.S. and China agreed not to direct or condone cyberattacks that steal corporate records for their own economic benefit. Mr. Obama said. “We will be watching carefully as to make an assessment as to whether progress has been made in this area.”

Some critics disagreed with President Obama’s decision to invite Mr. Xi to the White House for a black tie dinner, due to the allegations that Chinese hackers have stolen vital information from American corporations.

Chapter 7 lists four managerial approaches to protecting Intellectual Property which are:
(1) prevention, that is, engage local representation and diligently register IP with the appropriate agencies.
(2) pursue negotiation and alternative dispute resolution.
(3) complain to the Chinese authorities.
(4) complain to the U.S. government and World Trade Organization (WTO).

These managerial approaches were present in President Obama and President Xi Jinping's meeting. In my opinion, it was necessary for President Obama to build rapport with President Xi by inviting him to dinner in order to discuss the issues of cyberattacks, instead of retaliation. President Obama also expressed his concerns and made an agreement with President Xi to stop the cybertheft from American companies. 

U.S.-China Summit Yields Tentative Deals by:Carol E. Lee, Colleen McCain Nelson
and Jeremy Page Sept 26, 2015 

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