In the afternoon of March 13, Friday, 2015, CIBE Director, Prof. Liu Baocheng gave a lectureto MBA students from the University of New Hampshire. The four-hour lecture was focused on the Chinese Business Environment and Marketing Entry. Prof. Liu started the lecture of with where China was, where it is and where it is heading. Currently China has over 10 million citizens living under the poverty line. Last year China’s GDP was 7.4 and inflation was below 1 percent. So far they are about 200 million mind workers who work in the urban areas. There is a clear dividing between the rural and urban population. Luckily, China is entering into a ‘new normal’ stage.
What does the ‘new normal’ mean for China? The past 30 years China has experience a double-digit growth. This year’s GDP is 7.4 percent with inflation of 3 percent. Everyone is working together to create a positive impact that will help and allow the economy to move forward. The past previous years, China’s drive was resource and labor costs primarily. Rather than being the world largest pattern holder and subsidizing the whole world and not getting the benefits, China hopes to move towards innovation. They hope to make this impact from minor actions such as shifting from quantity to quality, tomajor shifts such as international relationship by signing free agreement and taking part of the IMF.
As you can see, China is already making major improvement with in the economy. China hopes to continue to create its own game rules. China plans on taking advantage of what it already has, for example the silk market and reinventing it. China hopes to create a large influence by investing more into the world. Mainly in these five areas, mineral, land, wholesale, AMC and oil companies, with a focus in Africa and the United States.
The lecture was closed within the hot discussion among students. |
