"I've taken a lot of American people to Dalian, and they are amazed at how fast the China economy is growing in this high-tech area. Americans don't realize the challenge to the extent that they should."

Dalian has become the Bangalore of China.

"We have 22 universities and colleges with over 200,000 students in Dalian." More than half graduate with engineering or science degrees, and even those who don't are directed to spend a year studying Japanese or English and computer science.