Typically in January, monthly magazines do stories on what was the year that was. But here in China, I feel like quarterly reviews are more in line with how fast things are changing. So here is some hot news from China in the last quarter of 2007 and how it affects those of us living in country:

In government: Over 2 million people were evacuated during a typhoon warning last fall. Preventive measures have not been a strong suit in the local culture, but evidently authorities learned a lesson or two from the Hurricane Katrina fiasco in the US.

Consumer protection has been on the rise for a number of years, especially in first-tier cities. A new labour contract law and the new national recall laws (yes, food and sub-standard products can be recalled now), are all aimed at protecting the population.

In private wealth: The number of Chinese billionaires (in US dollar terms) reached 116 this year. That number was 16 last year. Statistically, the chances of you sitting next to a billionaire the next time you dine out is still slim, but China now has more billionaires than any country except the United States. And this in a country where wealth is more hidden than in any other. For every official billionaire there might be two or more undeclared ones.

For those of you in the luxury business, remember that there is not yet a direct link between "target marketing" and the "super-rich" in this country. In the West, the rich have been enjoying their special status for generations. There are exhaustive market research studies on them, covering everything from where they live to what bedding brand they prefer.

Many of the super-rich in today's China could have had bus drivers for fathers - or even been labourers themselves. I know of one in Guangzhou (okay, not super-rich, but rich enough) who arrived from the countryside and lived in the railway station for a week. When I knew him five years later, he owned a construction firm. Most do not speak English. Expats generally have access to the MBA managers who work for them, but rarely have direct contact with them.

A friend's Anglo-Chinese niece interned at a foreign men's luxury clothing brand in Shanghai. The company received a call from a Chinese tycoon with his own chateau in an area of China not typically considered an urban centre who wanted that brand and several others to set up shop at his home for the weekend. He was having a weekend get-together and his friends were all flying in on their private jets.

I know an antique dealer who invited some potential buyers to a dinner. The sellers focused on speaking English to those who appeared the most presentable. It was only during a private chat that I happened on someone who spoke no English. He did not dress the part of a bigwig, and yet was considering one of the most expensive pieces at the show. "The style might not match with my home décor," he confided.

In social responsibility: President Hu Jintao shook the hand of a woman with HIV during a visit to a Beijing hospital in December. It is the only photo in Chinese history where the person shaking hands with the country's leader is not posing for the camera (her face is not shown in the picture).

My events company, Kathleen's 5, was the first business in Shanghai to organise a fundraiser for the International AIDS Candlelight Memorial Day in May. When we first organised it in 2006, people were shocked even at the mention of the word AIDS and put up stiff resistance to such an event. Although many companies and individuals supported us, many others worried about being linked to the theme.

It was the same stigma attached to the disease that I saw in New York City in the 1980s. Back then we finally understood that lack of education about the disease was helping it spread. Public education made the difference between containing AIDS and allowing it to spread.

Today, China faces the same challenge and is playing catch-up. Hopefully there will be more room for media to report on AIDS-related issues.

Chinese companies too, are being more socially responsible. As this month's cover story mentions, there are consultants who specialise in creating a socially responsible image for many foreign and local companies in Shanghai.

Hopefully these positive trends will continue. Welcome to 2008.

For more information about AIDS Candlelight Memorial Day, please e-mail Kathleen directly at Kathleen@Kathleens5.com.

©copyright 2007 by Kathleen Lau. No part of this may be reprinted - in any language or format: printed, electronic or otherwise - without express written permission from author.