China’s entrepreneurs.pdfVIP

CentrePiece Spring 2008 China’s remarkable economic growth has been achieved through the rapid CHINACHINACHINACHINACHINACCCC emergence of a dynamic private sector. CHINDIACHINDIA Linda Yueh explores what we know INDIAINDIAINDIA about the generation of self-employed entrepreneurs who have driven this transformation. China’s entrepreneurs he central feature of who have had the wherewithal to start a China’s economy is China’s transition from a business or work for themselves? What increasingly driven centrally planned economy kinds of personal traits differentiate them by competition, is the development of the from people who choose not to embrace innovation and T productivity non-state sector – private entrepreneurship? The findings from a firms led by an emerging class of national household survey conducted in entrepreneurs. In 1978, the first year of reform in China, the state sector Figure 1: accounted for over 90% of the country’s State-owned enterprises’ share of GDP, 1978-2005 GDP; by 2005, this had fallen to less than half (see Figure 1). Not all of China’s growth 100% achievements can be attributed to 90% entrepreneurs. Rural industries – the