Chinese companies recruit more foreign executives

As China looks to upgrade its exports and open its market, a growing number of foreigners are being hired as executives, by both state-owned and private enterprises. Among them, the former Vice President of Google Android, Hugo Barra - who now works for the firm dubbed "China's answer to Apple", Xiaomi.

It was one of the highest-profile departures from Silicon Valley. In August, Hugo Barra, former Vice-President of Google Android, left for one of China's most popular smartphone makers, Xiaomi, to lead its overseas expansion.

"China is probably one of the most exciting places to be right now and as an Android guy as a product guy working in the mobile industry for the past 10 years I've been following Xiaomi for a while and think it is probably one of the most disruptive companies we've seen for a while. So I really wanted to be part of that story and build this new wave which is Xiaomi worldwide.'' Barra said.

About a week ago, Barra said it's ready to expand overseas.

Reporter: "As China seeks to make its exports more valuable, a growing number of Chinese companies are hiring foreigners with creative or technological expertise, so Chinese brands can better compete in China and abroad."

Recruiters say foreign executives are entering many industries in China.

"I.T. is doing more hiring in those areas. Oil companies and energy companies are still looking for that foreign expertise as well." Stephen Rice, China training director of Antal International Executive Consultancy, said.

New fast-track visas for so-called "foreign talents" and the possibility of foreign investment into Chinese state-owned enterprises may also lead them to hire more foreigners. And encourage more to take part in their reform. But they don't come cheap.

"If they're going to be moving a foreigner from an American company to a company here, most likely they're going to have to meet or beat their previous salary. Moving a whole family over here, a company has to pay for that moving, has to pay for their housing, often has to pay for one or two drivers. On top of that, if you do have children, you have school to pay for and the company usually takes care of that as well. There also used to be a 'hardship stipend,' being that life here was seen as being more difficult. Yes and No. Not so much anymore." Rice said.

Experts say pay inequality is a growing source of friction between foreign and Chinese managers.

"They are paid higher at home, so therefore, you cannot expect them to offer a discount by working with Chinese companies... Whereas Chinese managers are paid more on the local level... So that can cause some discomfort, or even jealously." Professor Liu Baocheng form China's University of International Business & Economics, said.

As more foreigners join the senior ranks of Chinese companies, fitting them in is likely to be a growing challenge.