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d Western marketing principles are not necessarily fully applicable to, and suitable for, Chinese small manufacturing firms. However, as HK is a Chinese city with British characteristics, the assertion that the socio-cultural environment is one of the determinants of marketing practice may only be supported should research undertaken in a similar socio-cultural environment produce similar results. Hence, the research reported here explores insights gained from relevant research (Siu, 2000) in order both to provide a clearer, more systematic understanding of the marketing practices of Chinese small firms in the UK and to better understand the similarities and differences between Eastern and Western small firm marketing, especially the impact of socio-cultural differences (Siu and Kirby, 1999b).
While there are no official statistics about the number of Chinese small firms in the UK, the Labour Force Survey (Office for National Statistics, 2000) reveals that in the autumn of 1999, there were about 11,000 self-employed Chinese. Also, the 1991 Census and the reports of the Policy Studies Institute (Modood and Berthoud, 1997) have shown that the Chinese ethnic group has a higher degree of representation (over 25 per cent) in self-employment to total employment than the indigenous white population. Many of these businesses are concentrated in the restaurant and catering sector (Bank of England, 1999). Indeed, Modood and Berthoud (1997) report that half of the Chinese self-employment is in catering; for example, takeaway food shops; though Parker (1995) suggests that those who now own restaurants often started, and subsequently passed through, the “takeaway” as a stage in capital accumulation. Nevertheless, Watson (1975) reveals that the Chinese operate not only restaurant businesses, but also services industries like minicab hiring and chartered air ticket agents, while the research of Chan (1997) finds that the Chinese in the UK are often involved in the distribution trade (restaurant, retailing and warehousing).

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