China's development is praised by the whole world. Its developments are not only in the economic aspect, but as well in its foreign affairs. Compared with other developed countries, China is a relatively young country. It began constructing itself in 1949. After 30 years of growth, company ownership had experienced unprecedented changes. Entirely, non-state-owned companies can now be more involved in sectors that used to be monopolized by state-owned companies. Its phenomenal success is because it developed some suitable public policies, which were the perfect fit for the situation in China. In the last few years, China has had a remarkable economic development and has come to play an increasingly significant role in our world economy. When the new Chinese Government was set up in 1949, the new government faced a lot of problems. First on their agenda was how to re-build the country. As Communist Party of China (CPC) is a socialist party, their policies at the time were similar to that of the Soviet Union’s. Consequently, the CPC used a centrally planned strategy as its economic strategy when it first began. For a long time, the Chinese economy was a centrally planned economy in which none other than the state owned all companies. In fact, there were absolutely no entrepreneurs. As time went on, the problems of a centrally planned economy started to appear, such as low productivity, which was the key reason for restricting the development of China. With the population growing, the limitations of the centrally planned economy were clear. In 1978 China started its economic reform whose goal was to generate sufficient surplus value to finance the modernization of the Chinese economy. In the beginning, in the late 1970s and early 19... ... middle of paper ... ...ks Cited China.org.cn (2009) 1981: Dual-track Price System, http://www.china.org.cn/features/60years/2009-09/16/content_18534471.htm China's Special Economic Zones." China's Special Economic Zones. Dept. of Global Studies & Geography , Hofstra University, New York, USA, 1998. Web. 18 Nov. 2013. HU, Vicky (2005). «The Chinese Economic of HD Biosciences Co.». In: X Jornada d’Economia de Caixa Manresa (2005: Manresa) [article on line]. Caixa Manresa. [date of consulting: dd/mm/yy]. Naughton, B (2007) The Chinese Economy: Transitions and Growth, Cambridge, Massachusetts: MIT Press Stoltenberg, Clyde D. "China's Special Economic Zones: Their Development and Prospects." Asian Survey. 6th ed. Vol. 24. Berkeley, CA: University of California., 1984. 637-52. JSTOR, 1984. Web. 16 Nov. 2013
Following the Chinese Revolution of 1949, China’s economy was in ruin. The new leader, Mao Zedong, was responsible for pulling the economy out of the economic depression. The problems he faced included the low gross domestic product, high inflation, high unemployment, and high prices on goods. In order to solve these issues, Mao sought to follow a more Marxist model, similar to that of the Soviet Union. This was to use government intervention to develop industry in China. In Jan Wong’s Red China Blues, discusses Maoism and how Mao’s policies changed China’s economy for the worse. While some of Mao’s early domestic policies had some positive effects on China’s economy, many of his later policies caused China’s economy to regress.
New York: Norton, 1999. Print. The. Fairbank, John King, and Edwin O. Reischauer. China: Tradition and Transformation.
Sitting close to the edge of being a “developing” and a “developed” country, China is a difficult country to define neatly. It is a country with an ancient and traditional culture trying to position itself higher within the international community. Plus it is also a communist country that has come to embrace its own form of capitalism to fuel its economy. China’s economic boon has been beneficial to many people within the country. But not to all people within China evenly.
Silva, Julie A. and Robin M. Leichenko. Economic Geography. Vol. 80, No. 3 (Jul., 2004), pp. 261-
... This essay critically analyses and examines the effect of Communism on the Chinese Society during the period of 1946-1964. The overall conclusion that can be drawn is that the Chinese Communist Party managed to defeat the Kuomintang (Nationalist) Party and achieve victory in the Civil War, in spite of alienation by the Soviet Union and opposition from the U.S. This was primarily because of the superior military strategy employed by the Communists and the economic and political reforms introduced by this party which brought more equality to the peasants in the form of land ownership and better public services. This increased China’s production and manufacturing, which not only boosted the country’s economy but also provided a more sustainable supply of food, goods and services for the Chinese people.
Morris, D., 2009. Feeding China. In: T. O. University, ed. U116 Environment: journeys through a changing world, Block 5, 'Changing China'. Milton Keynes: The Open University.
From the 1970s, there has been a wave of liberalization in China, which was introduced by Deng Xiaoping. This is one of the key reasons to the rise of China to be one of the economic giants in the world. In the last 25 years of the century, the Chinese economy has had massive economic growth, which has been 9.5 percent on a yearly basis. This has been of great significance of the country since it quadrupled the gross domestic product (GDP) of the country thus leading to saving of 400 million of their citizens from the threats of poverty. In the late 1970s, China was ranked twentieth in terms of trade volumes in the whole world as well as being predicted to be the world’s top nation concerning trading activities (Kaplan, 53). This further predicted the country to record the highest GDP growth in the whole world.
Over the last 30 years the world has seen drastic changes in the Chinese way of making business. Nowadays, China has opened its businesses to the rest of the world, especially America and Europe (Teagarden & Cai, 2009). As a result, their economy has increased and the evolution of the companies have changed to be from closed doors to be international and multinational (Teagarden & Cai, 2009). This essay will analyze, first of all, how some Chinese companies have had success abroad, looking at the strategy that they applied to expand and to improve their products. Furthermore, this essay will show examples of successful Chinese firms, such as Lenovo and TCL Group, and how they achieve it.
Hoobler, Dorothy, Thomas Hoobler, and Michael Kort, comps. China: Regional Studies Series. Upper Saddle River, New Jersey: Globe Fearon, 1993. 174-177.
And as China transforms its economy into a ‘socialist market economy’ it is held that the attendant social, economic, and political transformations necessitate that its state controlled IRs system is decentralized and more so, it should be converge with international best practice IR standards (Zhu, Warner, & Feng, 2011). Although the Chinese government has endeavored to reform its labor market, the “deep-rooted national culture and its long history of centralized state power” as exhibited by the tenets of the all-powerful All-China Federation of Trade Unions1925 (ACFTU), has meant that any initiated IRs reform should be “with Chinese Characteristics” (p.128). It is important to note in the 1980/90s most countries in the Western hemisphere and Asia restructured their IRs systems. This episode can be attributed to factors specific to these countries; but owing to the fact that most of Asia’s economies are linked to the global economy, it is posited that this process may not have been coincidental but it was occasioned by competitive pressures in the global labor market (Kuruvilla & Erickson,
Wei-Wei Zhang. (2004). The Implications of the Rise of China. Foresight, Vol. 6 Iss: 4, P. 223 – 226.
Finally, the United States political system has a strong structural structure but in China their people always work together to be the best and stand out in the world. It is predicted that China will one day be the largest economy-growing country in the world. They continually grow and rebalance their world to be the best. The growth of the economy will depend on the Chinese government's comprehensive economic reforms that more quickly accelerate China's transition to a free market economy. Consumer demand, rather than exporting, is the main engine of economic growth; boost productivity and innovation; address growing income disparities; and enhance environmental protection.
Luo, Y. (1997), Pioneering in China: Risks and Benefits, Long Range Planning, 30(5), 768 - 776
The rise in China from a poor, stagnant country to a major economic power within a time span of twenty-eight years is often described by analysts as one of the greatest success stories in these present times. With China receiving an increase in the amount of trade business from many countries around the world, they may soon be a major competitor to surpass the U.S. China became the second largest economy, last year, overtaking Japan which had held that position since 1968 (Gallup). China could become the world’s largest economy in decades.
China has changed dramatically over the past hundred years. It was once a fractured state, stuck, living in the past. Since then, China has evolved into a politically stable and economically powerful modern nation. Mao Zedong led the Communist party in China. Although many things that Mao did were not good, his efforts helped make China into the nation that it is today.