It's a real problem. If you're a manager who doesn't know the language you have to depend on a local who is bi-lingual. And, in China, he aint gonna be loyal to YOU in the long run. He's probably calling you "fish-head" behind your back inside of a month.
Imagine being sent to a subsidiary here that's in a total, financial mess and trying to untangle the ritualized rat's nest of lies, obfuscations and lengthy silences that passes for communication. Even if you knew the language, what's unsaid is more important and, most often, focused questions are met with that Chinese, thousand-mile stare. Meanwhile the big shots back home can't understand why you "can't get to the bottom of a simple problem" and wonder if you've lost your magic. Shit, I had a hard enough time with this sort of thing when I was sent to Canada. And those people are honest.