The Thai culture is an interesting culture. This is the place where people are allowed to do pretty much whatever they want as long as they do not hurt others in doing so. The Thai Culture is such a very tolerant culture especially on the topic of sexual orientation. It is widely accepted to have 3 types of sex gender, male, female, lady boy. Even teasing is done in such child-like manner that no one gets offended.
In Thai language the word "puchai" is a man, "puying" is a woman, "puli "(katuey in slang) or lady boy is a he/she; there is absolutely no negative connotation associated with it. People break into laughter when using them interchangeably. For example, people laugh when they see a puying who you call puchai, and a puchai who acts like a puying and a puli with a hairy body from a Western country.