With the deepening implementation of the Belt and Road Initiative, a large number of private enterprises in China will "go out." Chu Yin, associate professor of the Department of Public Management of the University of International Relations, noted that as many countries along the route of the Belt and Road Initiative still lie in the primary state of urbanization, they are in an urgent need of emerging industries, in which Chinese private enterprises are superior to centrally-administered enterprises.
There are three ways for Chinese private enterprises to 'go out,' including e-commerce, transforming business areas into scenic spots, especially in Southeast Asia, Central Asia and India, and taking advantage of lower labor cost in investment target country, said Chu Yin. Chu added that relying on lower labor cost is unsustainable.
The quality of management team is the key factor for private enterprises to become successful, stressed Chu, suggesting that they should have management talents with a better understanding of local conditions and attract talents through generous treatment.
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