On the one hand, the Chinese does have the mentality of "自卑" exposed typically by Lu Xun in "Ar Q" because the Chinese were badly beaten by the West in recent history. On the other hand, an ethnic group like the Chinese, long on intuition and short on rationalization compared to their western counterparts, at least to me, what else can they have? Two extremes - that is the answer. On the other end of the scale, "arrogance" is the typical behavior displayed overwhelmingly when ANY time they feel good about themselves, isn't this also true? Guarding against both extremes will come only when they know how to build up a sense of rationalization in their culture.

my 2 cents