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Enclos.who.

Hon. Colonial Secretary,

40:80

18

14 2017

This matter was circulated for the considera-

-tion of the District Watchmen Comittee some time back and

brought up at the reguler meeting of 13th. June, 1917. Mr.

Chou Shau-son's memorandum (attached) was rend and made the

text for discussion. The points he made were all endorsed, and others emerged during the meeting. I summarised them

thus:

-

1. The questions are too wide and perhaps not quite

definite enough, when analysed for Hongkong to attapt any- -thing in the nature of a full answer. But China and Chinese

Trade are of first class importance to the pire: Hongkong

is closely concerned with this aspect of the case: and the

members of the Committee venture to make general ramrks out

of their om experience on it.

2. British Trade has suffered from British "Conservo-

-tism", as the memorandum says. In the freer language of the general discussion, this become "British Pride", "Want of consideration", "Cocksureness", "Rudeness". A Goron or a

Jspmese would find what his customers wanted: a British

merchant would offer his customer what he had for sale, on

the "take it or leave it" principle. "It is good, and if you won't buy, others will". British merchants and Banks lose

through business by insisting that all Chinese should deal only with the Compradore. In other nationalities, the Hends of firms

re quite ready to get to know their customers and desl

direct with them: and this consideration is appreciated.

And other illustrations of the sme nature. All

this should be cured: and cured principally by a wider

personal knowledge of the Chinese language, which would perfit enquiry and contact. Even a smoll knowledge of the language which

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would

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