In a recent interview in Focus Magazine, published by the China-Britain Business Council, CKGSB Founding Dean Xiang Bing discussed the rise of the private business sector in China, its achievements and strengths, and the weaknesses and challenges the private business sector will face in the coming years.
Dean Xiang explains that, contrary to expectations in the West, many sectors in China are “wide open,” and increasingly internationalized. The much higher growth in demand for eMBA and Executive Education programs from C-Suite level managers at private companies, compared with the lower demand for these programs from the managers at State-Owned Enterprises, Xiang argues, is also sign of the higher vitality of the private sector and shows confidence in its future prospects.
“Every variant of capitalism is at play in China, making China the United Nations of capitalism… [We] have US companies like Cisco doing well and Korean companies like Samsung who do well, so China is globalized already. Sure, there are certain sectors like education, media and telecommunications that have a heavy regulation but in many others China is more open than other advanced economies.”
Dean Xiang acknowledges the difficulties and problems related with state-led capitalism and the restrictions on the private sector. However, the private sector’s adaptability and ability to endure, as well as the shift in the state’s attitude towards the sector, are all a great success for the Chinese economy. He believes that Chinese entrepreneurialism is a great asset for the future of the Chinese economy and his vision is for it to go global:
“I tell the students you need to forget about being a Chinese company and that you are Chinese. The future is you have to learn how to leverage resources globally in order to compete.”
International companies, on the other hand, will increasingly need to be present in the Chinese market—by sending over talent, brands and technology—to push innovation forward and survive in an increasingly competitive global market.
“China will become the US very shortly. Like you have to be in the US to be a global company, you will have to be in China.”
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