China's Private Sector Increasingly Blends with State as Party Asserts Control
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Chinese state-owned enterprises (SOEs) are becoming increasingly blended with private companies through "mixed ownership reform", making it hard to distinguish true private companies.
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The Chinese Communist Party is exerting more control over companies, both public and private, moving China towards a "party-state capitalism" model.
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Actions like crackdowns on tech companies and the use of "golden shares" are increasing state influence over private giants like Tencent and Alibaba.
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Loyalty to the Party is becoming crucial for companies to get preferential access to loans and other benefits through China's "corporate social credit" system.
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Entrepreneurs are trying to balance profit-seeking with demonstrating loyalty to the Party, but the blurred lines between state and private sectors make this difficult.