Thirty Years of Turbulence - Chinese Enterprises

作者：admin  点击次数：9  发布时间：2025-05-20

Yuan Geng established an industrial zone, which was not included in the national plan and did not receive any financial allocation. However, he gained two powers: one was the ability to independently approve industrial projects worth less than 5 million US dollars, and the other was allowed to borrow from foreign banks. So he traveled throughout Hong Kong, borrowing funds from Hong Kong businessmen and banks. Over the past two years, China Merchants Group borrowed 1.5 billion yuan, which was used to level land, build industrial infrastructure and living facilities. Yuan Geng also greatly simplified the investment promotion process. Foreign companies went to Shekou to establish companies, and from land, agreements to recruitment, they often completed everything in just a few months. Shekou quickly became the most open "industrial zone" in China, with enterprises and talents flocking in. In just over two years, there have been over a hundred enterprises in Shekou, and a sea beach has become very lively. In 1979, the emergence of Shekou and Yuan Geng in China opened a big hole in the iron curtain like planned economy that could never be repaired. Six months after the establishment of the Shekou Development Zone, the Shenzhen Special Economic Zone began to be established.



Now, let's broaden our horizons. If the low efficiency of state-owned enterprises has been a long-standing problem, then a more daunting challenge is approaching this spring.