Not all yellow skin are Chinese

I was talking to this lady today. She was telling me she went to a senior party and there was a bunch of Chinese people there. I ask her how does she know they were Chinese. She said she assume they were. I told her not all yellow skin people are Chinese. She wouldn't listen to me. I told her you can't say they are Chinese you have to say Asians. There was asians people walking by. She ask me what are they. I told her I can't just tell by looking at them. You have to say Asians. If you don't know what they are they are call asians. Do I have to deal with stupid people?