The 4 Key Strengths of China’s Economy — and What They Mean for Multinational Companies

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China’s hybrid “state capitalist” system, driven by centralized planning and fierce competition, has led to dominance in critical technological fields and emerging markets.

Western multinational corporations are advised to adopt a pragmatic approach to capitalize on four key strengths of China’s economy: its innovation ecosystem, its investment in the Global South, its ultra-competitive markets, and its vast consumer base. Those who fail to engage risk losing global revenue and strategic opportunities.In 1978, Deng Xiaoping launched his “Reform and Opening” policy to leverage Western technology and know-how for China’s development.

Access more than 40 courses trusted by Fortune 500 companies.is a visiting fellow of practice at the Fairbank Center for Chinese Studies at Harvard University. He is the founder and former chair & CEO of Super 8 Hotels China, the founder and former managing director of the China practice of APCO Worldwide, a Washington D.C. advisory and advocacy firm, and the former vice chair of the American Chamber of Commerce in China.is a senior at St. Paul’s School, Concord New Hampshire.

 

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