What you heard is all true, and those are actually not really conflicting point of views. The situation in China is very unique and cannot be fully explained without going on and on about the culture and its current political/economical climate.
A few points to note though: Tech people there are smart, educated, and very, very hard working. However the number one thing they all value is "efficiency", or rather: "the efficiency of getting things done". I've talked to people from Tencent, and one guy laughed at American companies approach of writing good, scalable, maintainable but very often over-engineered code. Over at Tencent they very often do whatever it takes to be first to market, and if needed to be, refactor everything 6 months down the road, and rinse wash repeat. It's the only approach that works for them in a hugely competitive market (also the largest one in the world). Company management wouldn't tolerate coding practices that very often serves no purpose other than to stroke the ego of senior software architects.
One may argue the merits of that approach, but if you look at how well services like Weibo, QQ, and Taobao scale (I think Taobao handled the largest E-commerce single-day-ordering in the world last year without having any major problems), it obviously works just as well as the western approach.
So an extension to this mentality is that whatever method it takes to get things done is the best and most celebrated method. Even if it includes brutal copying of a competitor's business model, or bribery of a government official, or direct corporate espionage being employed. The Art of War never mentioned any code of business conduct.
I have a hypothesis that a hardworking American engineering with a super-competitive dog-eats-dog Wall Street mentality may do very well in China, or even enjoy it, but I would never go there with any sort of idealistic vision of an "utopia".
Things happen there happen very fast, and a lot of money flows around very quickly, countless opportunities come and go on a daily basis. It's an amazing place that can make and crush people in the blink of an eye, so in the end, it's really up to what kind of person you are and what kind of lifestyle you want to pursue.
Would have liked to get the chance to meet your father, sadly I'm leaving Nanjing on Saturday.
I can not say this for China Unicoms WoStore App/SDK or BesTV. But I personally know that both of the later two things are made by low paid workers. I think that is still one of the reasons why they can make just a rewrite/refactor because salaries are low and working time is super high. But this will not be possible anymore as salaries are rising especially in Shanghai.
The big problem with chinese entrepreneurs is that they dont understand or like they idea or serial entrepreneurship. To sell or merge with another company is considered for your company to have failed not a successful exit. They dont care about having lots of money but having the power of being the CEO of a major corporation that is listed on some stock exchange, they will do anything to get listed even if they dont need the money and know that the stock will tank as soon as the IPO opens. What ends up happening is there are tons of great small tech companies but no giants because the small companies refuse to merge together to compete with giants like google and microsoft. Only giants like tencent and baidu who have become chinese giants on their own can compete globally. This is the big reason why there are few hardware giants coming out of china, there are tons of small hardware companies like xiaomi that refuse to sell their patents and IP and eventually die taking their tech with them. Xiaomi is extremely popular in china and their phones are quite good for the price, they are serious competition for google, samsung and apple in china.
Hope my limited English skills delivered a more macro perspective for you.
From what I hear, starting a company takes about 6 months of pain, but once that's over and you are capitalized with 100k RMB, you get a pretty guaranteed Z visa, so once you get started, it goes fairly smoothly.
However, my personal feeling is that there are two kinds of opportunity in China. The first is the expat market, also companies wanting to expand to China. This is large enough to be comfortable (at least in Beijing). The second is the larger Chinese market, which is where everyone starts seeing money trees. My opinion is that the "opportunity" in the Chinese market only exists for those who are functionally fluent in Chinese, have a solid grasp of the culture, why people do the things they do, what motivates them. This would mostly be local Chinese, or American-born Chinese (or equivalent) with parents from China or Taiwan. A white expat has a nice market in other expats, but Chinese values and habits and their expression is very different from what white expats' default thinking is.
And then, of course, there's the issue that if you upset any apple carts with "disruptive" startups, the owners of the apple carts might exercise some of their guanxi, which means you'd better have some stronger guanxi. You can imagine how good the guanxi-fu of foreigners is.
The thing is that the startup situation here (at least in Shanghai) is actually really good. College students are encouraged to go for their own companies. There're many policies to give benefit for this, like cheap office rent, lower tax rate and many thing else. Investment are relatively easy to get, according to my knowledge. The startup scene (can't find a word to describe this) is also very active. People have these and that kinds of meetups. Many chances of exposure are also available and really accessible, like "Starup Competition" (basically people go there and introduce their products and then most people get a medal), magazine/video exposures are also there. Personally I think it is quite good. The focus starts to move to mobile gaming and mobile apps and such.
I just want to say that the environment is quite good. It's not what most people imaging that government and large companies come and harass you everyday. It's just a successful startup is equally hard, as anywhere in the world.
I have several friends who have lived/worked in China, and I always hear very conflicted reports. On one hand, that there are plenty of smart, capable people, that the tech industry is booming, that it's well on its way to displace {Silicon Valley|USA|etc.}.
On the other hand, I also hear that it's impossible to do business without running into corrupt organizations/officials, that ruthless copying is celebrated more than true innovation, and so on.
Would love to hear more takes on the topic.