The future ahead
China endeavors to adapt to the latest global technology and industrial revolution, push forward the sharing economy, strive for optimal allocation of resources, reduce overcapacity and foster growth momentum, according to the State Council Executive Meeting in late June.
Premier Li mentioned in his speech at the 2017 Summer Davos that China will further expand market access in the service and manufacturing sectors, relax restrictions on foreign ownership, and treat domestic and foreign companies on an equal basis.
China’s adaptive governance is welcomed by business leaders. More than 90 percent of Chinese CEOS are confident in the growth outlook of their companies, a higher percentage than their global counterparts, according to a KPMG CEO survey, titled 2017 China CEO Outlook - Disrupt and Grow, published on June 27. The survey gathered responses from 1,261 CEOS worldwide, including 125 from China.
It shows that over the next three years, two thirds of Chinese CEOS are predicting top-line growth of 2 percent or more, while over the next year, 97 percent plan to increase their headcount, both ahead of their global peers.
KPMG China Chairman Benny Liu said that China’s restructuring process and increasingly sophisticated consumers are leading to both challenges and opportunities. CEOS are responding to this by embracing technological disruption to innovate their production and distribution models, as well as to create new products.
“The process of China’s continued reform and opening up needs participation from foreign capital, foreign businesspersons and foreign wisdom,” Premier Li said. “We welcome foreign businesses to carry out mergers, acquisitions and reorganizations in China. China will further expand market access for them, apply the negative list approach and treat them the same way as domestic firms.”