But time has not stood still in Taiwan. It's a museum with congested traffic, pollution problems and a lively nightlife. You can croon in a karaoke bar or shop for just about anything at the bustling night markets in Taipei, the capital. Although we don't recommend bypassing the mainland in favor of this small, compact island, we do think Taiwan deserves a place on your itinerary if you're touring other countries in the region. Although it is highly industrialized, it has beautiful landscapes, rugged mountains and ancient temples -- many within a day's journey of Taipei.
The modern and the old haven't exactly blended in Taiwan -- they coexist. And the combination has been a mixed blessing. On one hand, there are days when you'll feel you're very much in a developing country: You can't drink the tap water, the cities are somewhat dirty and anarchy reigns in the traffic lanes. But there are also hotels in Taipei that can match any in the world for elegance, service and comfort, and business travelers will find a modern communication system that's capable of handling their needs without much fuss.