Shanghai is a metropolis with well-developed business and industry, and also holds a leading place in China's arts, sciences and education. The city has a relatively short history.
Shanghai began as a fishing village in the 11th century, but by the mid-18th century it was an important area for growing cotton and by the 1800s it was becoming the largest city in China. Foreigners came into Shanghai due to foreign trade after the Opium Wars. The British, along with the Americans and French, were allowed to live in certain territorial zones without being under the Chinese laws. As a result of all the foreigners, Shanghai became greatly influenced by Western culture, but things changed dramatically after Communism took over.

During the 1900s, opium sales along with the gambling and
prostitution that went with it brought in very big profits. After the victory of
Anti-Japanese War in 1945, the Nationalist Chinese government was given control
of the city. In 1949, Shanghai was liberated and administrated under the
Communist Chinese government.
In 1978, Deng Xiaopeng's open door
policy allowed for the advancement back to being an international force in
business and finance.
Then in 1990s, Shanghai developed quickly to
become a new metropolitan city region in China. Shanghai will host the World
Expo in 2010.