Description : Cobblers and tailors are common in the cities surrounding Lhasa. While Tibetan spiritualism still prevails, much of the commerce is controlled by Chinese traders. Lhasa, the administrative capital of the Tibet Autonomous Region in the People?s Republic of China, is located at the foot of mount Gephel. Traditionally the city is the seat of Buddhist religious leader the Dalai Lama and the capital of Tibet. It is the highest capital in the world. Tibet, China.