ACFIC Chairman Wang Qinmin urged greater respect for entrepreneurs, acceleration of structural upgrading and rising global competitiveness of private enterprises, when asked about his expectations of China’s private economy in 2015 during an interview with people.com.cn on February 26.
Wang said that entrepreneurs play a role of propelling social economic development through resources allocation, organizing production, market exploration, achieving industrial progress and industrial upgrading, and lifting the core competitiveness of their enterprises. The composite quality of a country’s entrepreneurs can reflect its productivity level, social innovation and wealth-creation ability. “We must fully respect entrepreneurs and tap their talent, as China strives for steady growth, structural adjustment, growth pattern change, stepped-up reform, improvement of people’s livelihood, and enhanced economic development quality and efficiency in the new normal,” he said.
He said scarcity of energy and other resources and hike of production cost are forcing private enterprises to change their growth pattern, and many have already made successful structural upgrading through innovation of technology, business model, management, culture and implementation of industrial restructuring and integration.”The competitive ones will win out while the uncompetitive ones will be ousted; that’s the thumb rule of market economy.”
The Chairman said that on the one hand, the country has entered the stage of accelerated development of industrialization and its economic strength, foreign currency reserves and industrial levels have met the fundamental conditions for go-global, while on the other, the shortcomings and conflicts in its economic development such as scarcity of energy and other resources, environmental bottlenecks, overcapacity and high-end technology shortage can be effectively solved through overseas market exploration and strategic resources and key technology merging and purchase. Currently, private enterprises have taken over half of the country’s entire overseas investment. “I hoped to see in 5 to 10 years the emergence in China of a great number of global companies with internationally advanced quality that can help integrate the Chinese economy with the world economy and promote world peace and development,” he said.