China Concepts Stock

Bruce Lee created Jeet Kune Do by combining his foundation in Wing Chun kung fu with an extensive study into all other forms of combat, taking whatever he found that worked when applied in actual confrontation fighting. Applying his philosophy, “use what is useful," Bruce Lee went on to become the most famous martial artist in history.

Prior to 2006, there was the notion that Chinese technology companies would become significant competition to Google, Apple, Amazon, and other US tech titans. Flash forward, and we now see Baidu, AliBaba, NetEase, Huawei, TenCent, and other Chinese companies rapidly expanding beyond China, and their ADRs are trading with hefty volume on the NYSE and NASDAQ.

Public companies whose principal revenues are derived from China-based operations are categorized as China Concepts Stocks and usually trade on the Shanghai and/or Hong Kong Stock Exchanges. They may also trade on the London, Tokyo, Singapore, or Euronext exchanges, as well as in ADR form in the US.

Considering that the majority of components (if not entire manufacturing of the iPhone and most other electronic devices sold in the West) are made in China, at least part of the source code for operating on US and European tech platforms has to be disclosed. It would appear “use what is useful” is paying off handsomely for Jack Ma, William Ding, and other Chinese company CEOs.