Reporter: Intellectual property has been a major problem in China and there is ageneral 1 that the legal environment is 2 which makes planning andenforcement on a range of issues difficult to impossible particularly if you become"too" 3 or come into conflict with government authorities.We also hear alot about the importance of relationships when doing business there. How do you view this issue? Jack : Relationships are indeed important. That does not mean you need to have them when you get to China, but you do need to 4 them and use them rather than legal means to 5 your goals and interests. Concern about intellectual property is aquestion I get all the time. I think the actual situation is much better than most people believe. That does not mean it is not a problem , but it is not as bad as most think and it is certainly better than in the past. For Business to Business 6 there are ways you can protect yourself in terms of how you structure your 7 and produce your products. China is also 8 more, and the more that happens, the more the country's local companies will be interested in protecting their intellectual property. At the moment, China is already one of the top holders of 9 in the world, and that will significantly change the way the county views nellectual property 10 over time.