A panel of experts and officials was in hot debate about how soft power could work better, particularly about how China could use its soft power to attract and persuade others.

Li Ruogu, president of the Export-Import Bank of China, said China exercises soft power by setting an example for the developing world through economic growth and stability.

"According to Chinese philosophy, the more you wish to demonstrate your power, the more you should not show your power. We believe that if something is correct, it will grow and be accepted. And we believe internal factors, rather than external ones, are the driving force to bring changes to a country," Li said in Dalian yesterday.

"If you have a successful case, other countries will try to study and learn from it. China is such an example."

Catherine Kinney, president and co-chief operating officer of NYSE Euronext, noted that China's private sector is helping build the country's soft power by listing on overseas exchanges.

"These are companies that are going to stand on a global stage. These CEOs and chairmen are ambassadors for this country and are going to build, I think, the kind of trust and confidence and power that will demonstrate what this country really can do in the global economy," she said.

(Shanghai Start September 8, 2007)