The key to bringing massive future economic success to Bermuda by attracting emerging global giant companies from China to incorporate on the Island has been identified by Bermuda-based lawyer John Milligan-Whyte, and he is getting Chinese business leaders to sit up and take note.

Currently, Bermuda is in danger of being overtaken by rival Cayman Islands to attract Chinese companies incorporating despite this Island's past innovation and success and arguably greater reputation.

But Mr. Milligan-Whyte is now banging the Bermuda drum, pointing out the advantages that sophisticated Chinese globalising companies can benefit from if they opt for Bermuda as their incorporation domicile of choice rather than rivals such as Cayman or the British Virgin Islands.

The message is being absorbed. Two related, newly-written business strategy books co-authored by Mr. Milligan-Whyte and translated into Mandarin language translated versions are proving to be major sellers in China.

He and co-author Dai Min have already been made honorary professors of Peking University in recognition of their work in researching and promoting economic business strategies for China.

The impact of their latest book could prove to be of major significance to the future prosperity of Bermuda and its leading reputation as the preferred offshore jurisdiction for major incorporations.

Presently Cayman and BVI are viewed as more attractive to Chinese companies seeking to incorporate, due to their lower fees. However, this is a short-sighted economy argues Mr. Milligan-Whyte in the book.

He says an incorporating company seeking to take the next step and list on a major stock exchange will find the ease of doing so much greater in the mature and respected regulatory environment of Bermuda, not to mention the associated credibility worldwide that comes from having a Bermuda-link.

Chinese business leaders reading 'New China Business Strategies: Chinese and American Companies as Global Partners' will find the Bermuda is better message spelled out.

"A lot of companies being incorporated are being positioned to go public. But you can't list a BVI incorporated company on the Hong Kong or Singapore stock exchanges because of BVI's looser regulation," he explained.

It is possible to list if incorporated in Cayman, but as Mr. Milligan-Whyte points out in the book: "Bermuda companies are, and have enjoyed, a high degree of acceptance and confidence in the international capital markets. Although sophisticated Chinese companies, such as China Netcom, are using Bermuda companies 'to go global,' other mainland Chinese are not yet aware of the competitive advantages, superior reputation, and success Bermuda enjoys in capital markets."

Mr. Milligan-Whyte, who is a partner at law firm Milligan-Whyte & Smith, is embarking on his latest trip to China to attend the World Economic Forum's inaugural annual meeting of its 'New Champions' - an impressive gathering of CEOs and other top business executives and country leaders.

He hopes the book will send the message to the immense Chinese companies seeking to go global that basing the location choice for an incorporation purely on the difference in the initial fee is a nonsense if they are seeking to eventually go public and list on a world stock exchange.

"At the moment Bermuda is not being chosen most of the time. There is a massive process going on and Bermuda could be seriously overtaken by Cayman. These companies are going to be mega multi-nationals, unlike anything we have today.

"The book will popularise that Bermuda is the better choice. The Chinese are loving the book."

Mr. Milligan-Whyte also views the book as the most efficient way to get the message out to the world's most populous country, with its 1.3 billion people. Trying to meet with individual groups of CEOs in such a vast economy would be a endless and time-consuming route.

He recognises that the Bermuda Government can not cut its incorporation fee just to accommodate Chinese companies, but there is scope for management companies that facilitate incorporations in Bermuda to change their approach when they are aware of a Chinese company seeking to incorporate with the intention of later going public.

Management companies could, for instance, re-structure their fees so the initial incorporation cost is a closer match to rival jurisdictions.

Mr. Milligan-Whyte is also chairman of Core Capital, a company that "commercialises genius." It is in this role that he has been invited, along with partner Orlando Smith, to the high-powered World Economic Forum "New Champions" meeting in Dalian, China.