Topic 3: Globalization and Global Cities: Hong Kong

Themes and Questions Themes: 1.From positive non-interventionism to active imagineering 2.The post-handover urban governance Questions: 1.What is urban governance? 2.What are the changing forms of Hong Kong state in the process of global city making?

TheUrban Governance Structure The Urban Governance Structure An urban governance structure can be conceptualized as a mode of regulation, which, involves not only development planning, hegemonic discourses and information technology, but also media, communication, law and education.An urban governance structure can be conceptualized as a mode of regulation, which, involves not only development planning, hegemonic discourses and information technology, but also media, communication, law and education. Key concept to remember!

TheUrban Governance Structure The Urban Governance Structure It involves both governmental and non-government factors in regulating the urban development.It involves both governmental and non-government factors in regulating the urban development. It is argued that not until the establishment of the SAR government and after the Asian financial crisis, a new vision of "active imagineering" governance is shown in HK.It is argued that not until the establishment of the SAR government and after the Asian financial crisis, a new vision of "active imagineering" governance is shown in HK.

Reinventing the role of City- State A speech by the Chief Executive, Tung Chee Hwa in the Microsoft Asia Enterprise Summit' 99:A speech by the Chief Executive, Tung Chee Hwa in the Microsoft Asia Enterprise Summit' 99: It has always been my firm belief that innovation and technology are crucial drivers of economic growth and expansion. This is particularly so in the knowledge-based global economy in which we now live. …

Reinventing the role of City- State The Government has a vital role to play in creating the right environment for innovation and technology to develop and flourish in the community. … In addition to the foregoing initiatives, we are embarking on a project that will put us in a strategic position in the development of information technology and services, namely the development of a "Cyberport".

Reinventing the role of City- State The project will be developed by the Government in partnership with a leading information services company in the private sector. Let me do a little bit of marketing here. The Cyberport is a US$1.6 billion development on 26 hectares of land on the southern part of Hong Kong Island The project will be developed by the Government in partnership with a leading information services company in the private sector. Let me do a little bit of marketing here. The Cyberport is a US$1.6 billion development on 26 hectares of land on the southern part of Hong Kong Island."

Reinventing the role of City- State The first time in Hong Kong history that the Government has taken part in a mega technology project.The first time in Hong Kong history that the Government has taken part in a mega technology project. SAR government shows a leading role of the city-state to renovate the Hong Kong economy and reshape Hong Kong as a global city.SAR government shows a leading role of the city-state to renovate the Hong Kong economy and reshape Hong Kong as a global city.

Reinventing the role of City- State The role of the Asian states in today's global economy has been summarized by Henry Yeung (1998) as the follows:The role of the Asian states in today's global economy has been summarized by Henry Yeung (1998) as the follows: 1.The state continues to serve as the ultimate guarantor of the "rights" of global capital 2.The state continues to provide the necessary conditions for the growth of domestic capital globally 2.The state continues to provide the necessary conditions for the growth of domestic capital globally.

Reinventing the role of City- State 3.The state is directly engaged in transnational economic activities to become a "collective capitalist". 4.The state remains one of the most effective regulators in the global economy. Hong Kong love Disney World

Reinventing the role of City- State 5.The role of the state in internationalizing politics such as forming regional and international institution for the co- ordination and regulation of the global capital. 6. The states still have substantial power over their domestic economies in a globalizing world. Hong Kong is Asia’s world city!

Crisis-Survival- Competition Discourse The SAR government builds up its legitimacy through producing a new rhetoric of urban imagineering.The SAR government builds up its legitimacy through producing a new rhetoric of urban imagineering. It hopes to create an image of "active and capable" government, based on a crisis-survival-competition discourse.It hopes to create an image of "active and capable" government, based on a crisis-survival-competition discourse. SAR government is a strong state!!!

Crisis-Survival- Competition Discourse The Asian Financial Crisis badly hit the SAR economy and the belatedness of the economic recovery produces the best source for the rhetoric.The Asian Financial Crisis badly hit the SAR economy and the belatedness of the economic recovery produces the best source for the rhetoric. A global competition race is imagined at a level that will threaten the survival of Hong Kong as a regional finance and business centre.A global competition race is imagined at a level that will threaten the survival of Hong Kong as a regional finance and business centre.

Crisis-Survival- Competition Discourse In the Budget Speech, the Financial Secretary, Mr. Donald Tsang viewed Hong Kong as lacking time to compete in the race: There is no question that, for Hong Kong to meet the challenges of the 21st Century, it must adapt to the new forces of the Information Age.…

Crisis-Survival- Competition Discourse To respond to these mega trends, we must first of all identify our strengths and develop our own niche. We should exploit the strengths of our sophisticated telecommunications network… we must race against time.

Crisis-Survival- Competition Discourse The words, strategies, planning, funding, hi-tech, and high value-added play significant rhetorical roles in the SAR governing practices. eg "Digital 21 Hong Kong SAR Information Technology Strategy", "Onward with New Strengths" ( ).The words, strategies, planning, funding, hi-tech, and high value-added play significant rhetorical roles in the SAR governing practices. eg "Digital 21 Hong Kong SAR Information Technology Strategy", "Onward with New Strengths" ( ). All the rhetoric is targeted for making a consensus among involved actors.All the rhetoric is targeted for making a consensus among involved actors.

New Age of Urban Governance A new urban governance, consisting of a multi-scaled urban governance structure, was formulated.A new urban governance, consisting of a multi-scaled urban governance structure, was formulated. Commission on Innovation and Technology (CIT) is a high-level committee to make recommendation for development HK into a high-tech city.Commission on Innovation and Technology (CIT) is a high-level committee to make recommendation for development HK into a high-tech city.

New Age of Urban Governance The imagery employed by the Commission is fanciful: HK is capable and will be an innovation-led, technology-intensive economy in the 21st century.The imagery employed by the Commission is fanciful: HK is capable and will be an innovation-led, technology-intensive economy in the 21st century. It portrays that Hong Kong not only as a business and financial center,It portrays that Hong Kong not only as a business and financial center, but also as:

New Age of Urban Governance 1.a leading city in the world for the development and use of information technology; 2.a world-class design and fashion center; 3.a regional center for multimedia-based information and entertainment services;

New Age of Urban Governance 4.a world center for the development of health food and pharmaceuticals based on Chinese medicine; 5. a leading supplier in the world of high value-added components and products where Hong Kong already excels today;

New Age of Urban Governance 6.a regional center for supplying professional and technological talents and services; and 7.the marketplace for technology transfer between the Mainland and the rest of the world.

New Age of Urban Governance As suggested by the CIT, three giant projects have already been announced: the Cyberport, Herbalport, and Silicon Harbor.As suggested by the CIT, three giant projects have already been announced: the Cyberport, Herbalport, and Silicon Harbor. The Cyberport is a strategic infrastructure project aimed at creating a synergistic cluster of leading IT and services companies in Hong Kong.The Cyberport is a strategic infrastructure project aimed at creating a synergistic cluster of leading IT and services companies in Hong Kong. Hong Kong is High-Tech, innovative and creative!!! (But only few investment in REAL High-Tech industries)

New Age of Urban Governance A "successful" Cyberport, “enthusiastically imagineered”, will provide:A "successful" Cyberport, “enthusiastically imagineered”, will provide: state-of-the-art optical fiber network, a broad-band facility with high speed access to the rest of the world; facilities such as media equipment and studio facilities for common use by the more than 100 small to medium sized;

New Age of Urban Governance cyber-related educational, entertainment and retail facilities to provide a public interface, so as to learn about the technologies of the future. The Cyberport development is claimed to rely largely on the expertise and entrepreneurial spirit of the private sector.

New Age of Urban Governance The project claimed to generate more than 12,000 jobs in Hong Kong, among which 4,000 jobs will also be created in the construction industry. U.S. led multi-national information corporations, including Microsoft and CMGI have announced Hong Kong as their choice for Asia Pacific regional headquarters.

New Age of Urban Governance changing the world image of Hong Kong as "a low-tech but high-IQ" regional centre to a "global and high-tech" centre.

Glocalizing the Hong Kong Economy This active role of mediating between the global and the local can be conceptualized as "glocalization".This active role of mediating between the global and the local can be conceptualized as "glocalization". “Glocalization” refers to the strategies adopted by cities in articulating local differences to enhance its global advantages. These strategies include:“Glocalization” refers to the strategies adopted by cities in articulating local differences to enhance its global advantages. These strategies include: Key concept to remember!

Glocalizing the Hong Kong Economy 1.strengthening its local characteristics so as to distinguish itself from other competing cities; 2.building up new local characteristics that are complementing the existing ones, so that the economy of agglomeration can be reaped ; Key concept to remember!

Glocalizing the Hong Kong Economy 3.maintaining its linkages with global players which are exploiting the local characteristics in their interests; 4.expanding its global reach through promoting how its local characteristics can meet the interests of global players. Key concept to remember!

Glocalizing the Hong Kong Economy These local characteristics are basically infrastructure, institutions, policies and culture that can help integrate different territorial governance structures.These local characteristics are basically infrastructure, institutions, policies and culture that can help integrate different territorial governance structures.

Glocalizing the Hong Kong Economy The other supplementary measures the government has taken include: 1.Opening up the telecommunication market; 2. Offering land and infrastructure for grand projects, such as Cyberport and Disneyland theme park; Hong Kong has excellent transportation system.

Glocalizing the Hong Kong Economy 3. Setting up a special Task Force to review immigration and human resources policy; 4.Launching an Innovation and Technology Fund.

Conclusion: 1.The SAR government is changing its noninterventionist role into an "active imagineering" and glocalized strategy. 2.The Asian financial crisis justifies the new urban governance. 3.Under a crisis-competitive-survival ideology, the SAR govt actively imagineers Hong Kong as a global city comparable to New York, London and Tokyo.

Conclusion: 4.It thus forges itself to a more active role in regulating the market and society. 5.Due to its colonial legacy, the HK government is still not strong enough to regulate its societal actors. Hong Kong is the most liberal economy in the world. (We only regulate housing market).

Conclusion: 6.The success of the strategy will depend on a combination of social consensus, the state’s projection, and a positive response from private enterprise. 7.A new contractual relationship between the state, market and society has to be reached.