Your friends however will be able to keep track of the references to the same person in a conversation, even if they get the gender wrong. In GT's case it's evidence that it can't do that, and therefore will mangle longer passages that require this level of understanding.
Actually, no. Just a couple of days ago, when talking about a female colleague, they kept switching from "he" to "she" and back and forth. It's almost as if Mandarin has no "he" or "she" equivalents.