At the forefront of China's reform and opening-up in the new era, Shanghai has become one of the country's most attractive hot spots for foreign investment, business insiders from across the globe said last week.

"Shanghai is one of the most vibrant cities in China and it is very much the first choice for a lot of British companies when looking at the Chinese market — its history and experience makes that no surprise," said Lise Bertelsen, executive director of public affairs at the China-British Business Council.

The council has co-hosted a briefing about the East China megapolis on Oct 13 with Invest Shanghai, the city's trade and investment development agency.

Xue Feng, president of Invest Shanghai, said: "Shanghai's economy has deeply integrated into the world, and Shanghai's future development is inseparable from the extensive participation of enterprises from all over the world."

He added that Shanghai is host to 857 regional headquarters of multinational companies and 516 foreign-invested research and development centers, the most among Chinese cities.

Among Shanghai's newly established foreign offices is VCCP, an advertising agency based in the United Kingdom. It set up its first China branch in the city in early 2020.

Kan Ng, global business director at VCCP, said the Chinese market is important to the company's global reach. It chose Shanghai for its large talent pool, convenient location and vibrant business scene.

"The city has the best talent in China with its international mindset and a lot of magical opportunities," said Ng.

"In the past two years, I haven't gone to Shanghai because of the COVID-19 pandemic but our office has started operations. We hired employees, established clients and relationships, and won six awards. I just say miracles can happen there."

Andre Morgan, producer of Oscar-winning movie Million Dollar Baby, echoed Ng in his speech at the Invest Shanghai event in Los Angeles on Oct 13.

"I think the most important thing to talk about with Shanghai is the people… and I can say honestly, after being there, living in Shanghai for 23 years, it is their single greatest asset," said Morgan, adding that the government officials are very efficient.

"For anybody contemplating doing business in China, I have to say I would recommend you start with Shanghai. You will find that the municipal government is very thorough, very proactive and somewhere within that vast bureaucracy, they've got somebody that's supposed to be looking after whatever problem you come to them with.

"The thing that strikes me about Shanghai is not only the cosmopolitan, sophisticated nature of the city or the fact that they've had almost 200 years of experience in dealing with foreigners. They are willing to go that extra mile," he said.

Import expo

In the past four years, Shanghai has hosted the China International Import Expo, which is the first national import-themed expo and a gateway for tens of thousands of foreign businesspeople to bring products and showcase services to the Chinese market.

For Michael Borchmann, a former director of the European and International Affairs Department of the Hessian State Chancellery, no companies which want to sell their products to the vast Chinese market can afford to ignore the expo.

More than 170 German companies participated in the fourth CIIE held in Shanghai in 2021. About 280 of the top 500 global companies will attend the fifth CIIE in November, 90 percent of which are repeat participants.

"CIIE is also a showcase for Shanghai, an ideal location for German businesses," said Borchmann, who has visited China 16 times.

Norbert Noisser, senior adviser for China at the Chamber of Commerce and Industry of Giessen-Friedberg, said that the CIIE signals the opening of the Chinese market to foreign investors.

"China is a driver for innovation and an important partner with a huge domestic market. This opens great opportunities for German companies," said Noisser.

He added that the COVID-19 pandemic and other global supply chain disruptions have posed major challenges for companies, which require international cooperation to address.

Similar enthusiasm for the expo and the Chinese market could be heard in Japan, which is one of the major trade partners with China. There is also a large number of Japanese businesses in Shanghai.

Rino Tokuyama, managing director of Wonder Fulbeauty, a cosmetic manufacturer in Osaka, said, "We want to seize on the increasing popularity of high-end products among Chinese consumers, which is driven by the country's growth."

Tokuyama is going to take a booth to demonstrate her products in the upcoming CIIE in Shanghai.

"China has been a growth engine for many industries and much of our drive to broaden Chinese operations comes from the increasing dominance of Chinese people's attitude toward beauty. The market is so big and is still growing, ripe for innovation, and I think our knowledge of the consumers should provide us with a competitive advantage," she added.

Motohiro Tenmoku, CEO of i Medical Japan in Osaka, a medical care and health promotion provider, said it took him 10 years to study the Chinese market and now he thinks it's time to go for it.

"Japanese companies are usually known for their cautiousness on new things and I am typically that kind of old-school person. But through a decade of engagement with China, I can safely say that the Chinese market is going to be our company's future," said Tenmoku.

"Despite all the high-speed developments, China is still one of the world's most promising markets. The country undergoes vast improvement on a yearly basis and I just want to underscore the importance of a first-move advantage at this stage," he said.