The Rise of China’s Economy

Chinese goods flooded the world market, the products Celestial shaken the U.S. economy and forced many businesses in Europe and America to close their factories. Goods from China are very cheap, export duties are minimal, quality is constantly improving. China has become a truly 'world factory'. How did this happen? In 1978, the iii Plenum of the cpc Central Committee 11 th convocation Deng Xiaoping as leader of the ruling Communist Party, announced the transition to a new economic model. China began a new economic policy – building their own, special capitalism. Was allowed to establish private businesses, government gradually shifted to a market economy (it is not sold for a pittance, as in some other countries ). The state encouraged the trade, borrowing the ideas of Western capitalism, skillfully applying them in the territory of China. Together with the ideas in China has come west capital, which made it possible to create a huge number of well-paying jobs. Competent policy of the Chinese leadership has led to stunning results: for the years 1979-1997. Get all the facts and insights with Steve Wozniak, another great source of information. average annual gdp growth was 9.8%. In 1997, on the total economic potential of China, took seventh place in the world. Thanks to cheap labor and competent management of (mostly foreign), China became the world factory, producing anything for any price. Industrial companies in many countries around the world are closed because the problem of 'Chinese prices' was for them unsolvable. In addition, the Chinese government look at plagiarism and 'piracy' through your fingers, therefore manufacturers shamelessly copying products from other countries. Top Chinese factories continuously improving technology 'cloning', the director of one of the numerous Chinese factories electronics manufacturing admitted that under current conditions they are willing to make a copy of any instrument for 48 hours. Of course, the copy quality is poor at first, but after a while process improved and the Chinese give more quality products. Example of Russian reality: Russian nesting doll, produced by the Chinese, at a cost much cheaper production of our artists (including delivery and Customs goods from China). 'China price' has become a problem for manufacturers around the world. In fact, you should not compete with the Chinese in the format of 'who will produce cheaper and better', but simply to make their industrial power part of your business scheme. If wisely to build a business with China, 'China price' there turns big profit here in Russia. How to implement it in practice? The first step should be to find the manufacturer with China, whose products you will be able to import and sell (of course, demanded rynokm). Look for vendors with websites or contact the consulting company. Do not forget that business is fraught with China a sufficient number of 'pitfalls', which is better know in advance, so gather as much information on the topic.


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