An Analysis of China’s Private Sector: a Study of the Sustainability of SMEs in the Chinese Economy
Date Issued
2010
Date
2010
Author(s)
Guillermo Edghill, Manuel
Abstract
Since China’s admittance to the World Trade Organization (WTO), the door to exports has become a lot wider, allowing for a vast quantity of trade to fuel the sprouting of an even larger quantity of private businesses which supply said trade. So, how amicable is the Chinese economic platform to privately owned businesses? Is China’s economy still dominated by large, state-run enterprises, or is there some hope for private, small and medium sized enterprises (SME) to succeed in this market? How sustainable are SMEs in the Chinese economy? All the research, theory, and analysis presented within this study will revolve around, but will not be limited to, answering these proposed questions.
A comprehensive political analysis of both the domestic and global situation regarding SMEs was conducted, as well as a holistic macro and micro economic examination of China. This paper drew on extensive literature reviews to compile a list of SWOT factors for SMEs in China. A SWOT Analysis and a Quadrant SWOT Analysis will be conducted in order to analyze the strategic sustainability of SMEs in this region and to support the views of the author.
The conclusions from the report suggest for a central government education program aimed at SMEs to promote the benefits of FTAs; for a stronger, localized regulatory system- rather than a centralized, trickled down effect, system - to govern business laws and financial regulations; and for a much stricter non-physical infrastructure regulatory body. These are needed in order for SMEs to develop the capabilities for a sustainable and prosperous future in China.
Subjects
China
SME
Small and Medium Enterprise
Financial Sustainabilty
Private Sector
Market Anaylis.
Type
thesis
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