Its not about you and me. There is no generally accepted definition of democracy. I have mentioned earlier, there can be 1000 types of democracy.
That was just to tell you that Chinease do say they have democracy contrary to your thought. The socialist have different viewpoint on democracy. Socialist party is supreme there.
As Arvind and others have mentioned rather than going in definition we should talk how liberal is our democracy, how free a common man is.
As far as I am concerned a true democracy is that where a common, poor man is not crushed , he is listened, he has a say (as its supposed to be people's rule). In our democracy, a poor girl is raped and threatned and they even dont file FIR. So for me neither china nor india has democracy. However, I do hope, one day we will have more liberal and true democracy.