I am assuming that you have to wire this in to the receptacle or switch box? I know this isn't the answer you want, but I would never use a device like this because: 1) the bad translation makes guessing at what you are supposed to do very iffy; 2) there seems to be no indication of voltage or amperage; 3) there is no UL label (and I would probably consider the strong possibility of a fake one if it actually did show one); and 4) there are no real directions included or that are available online (Google seems to only find cross references for it at Chinese sites selling it). I'm not a China-basher, but I personally, wouldn't take the risk of a house fire with a cheap device whose capability or safety is unknown. Even if you can get it wired up to perform what you want it to do, it doesn't necessarily mean that it is wired correctly or won't cause a fire in the long term.

Can't you find something that performs a similar function from some known, reliable brand?

i couldn't find any remote switches local here in Calgary. yes, the switch is very small and would sit inside the junction box.

I think the alternatives are:

a) wireless light bulbs like the Hue, Insteon or LIFX, but this is a very pricey option. I would need 12 lights at $30-100 each, plus the hub and the remote, min $600 - max $1500.

b) Rewire - probably a less expensive to rewire!

Unfortunately both options are more expensive than just keeping the wiring as is and staying "environmentally UN-friendly"!

Here is a link that might be useful: EXPENSiVE LIFX wireless bulbs

Suggesting:
(This is likely considered to be an internal item on an appliance in country of origin and many other places, so colour coding would be at the maker's discretion and not follow that of any electrical building codes.)
The wire close to the YAM label seems to be the aerial for the receiver.

The top right black wire and the bottom right white wire (listed as "Blue" on the case) presumably connect to two sides of the 110v load "X". Black is likely not the hot switched side but it would be prudent to prove that with a multimeter first before installing the module on anything.

Can't make out the notation for the red wire but it presume it is now 110v hot line in for the input power that previously went directly to the load. You can see the three dots between "Red" and the 110v label seem to be indicating that something to interrupt power before it reaches the module is needed there as a safety item. Maybe an in line fuse?
Or maybe the above theory about input power is wrong.

There is also a possibility that the input power comes in instead on the left side below the aerial connection location where those three circles are indicated. Any holes for wires there?
Bit of a puzzle without more side and inside pictures.
What is written above the two dots between "Red" and the 110V label ?

laat2-
And given all those possibilities, would you choose to wire it into your home circuitry?

I think trying to sort it out and then getting an experimental prototype to do its thing under safe conditions for a while would be a productive, learning experience. It is a given that there are millions of these items installed around the world by people very familiar with how they are hooked up and work. They soon find out which brands are quality products and which are not.
We in the US and Canada are being left behind in these areas. Much like the lack of initiative on the part of appliance makers here a few years back to introduce mass market induction cooktops.

Maybe too late to tell. The two black cables together and connected to the chassis ground. Red is power connect to one side of the switch continue the other side of the switch to the house power. Blue is connected to the light cable , test and tell.

Why do you say that keeping it like it is, is environmentally unfriendly?

I said what ????

Sorry, on Oct. 4, 2014, the original poster said:

"Unfortunately both options are more expensive than just keeping the wiring as is and staying "environmentally UN-friendly"!"

I'm assuming the environmentally unfriendly comment means that the OP would just be leaving the light on all the time if they can't get this remote to work.

I'm still not clear about the third button's function. Anybody ???

Judging from the diagram/instructions in the OP's picture, it looks like it's supposed to be a 'sleep' button that turns everything off after 8 seconds? I'm not really sure the point of that. Maybe it's supposed to read 8 minutes or 8 hours?