In the recent period, the pace of reorganization of central enterprises has accelerated significantly. According to the SASAC officials, the number of central enterprises should be reduced from the current 160 to 100 or so, and companies that cannot enter the top three industries must be restructured. For this reason, “bigger†has become the central task of many central enterprises, and it is desperate to enter the top three in the industry.
The reason for alleging that central SOEs are "bigger" is that according to WTO rules, all industries in China will be open to foreign companies and funds in succession. At that time, Chinese companies face international capital and international markets even if they are in the country. Therefore, the first thing the central SOEs must do, and the easiest to do, is to use administrative restructuring to make the SOEs giant and make others not shy.
However, a very clear reality is that a large company does not mean that it is stronger. If the big is equal to strong, we can simply do nothing with the market economy. Because the national economy in the era of planned economy is a "boss" - the country. An administrative order of the country can bring together companies from all over the country. However, as a result of this "big" method, it is not enough for us to study the market economy today. To cope with the growth of large enterprises and enterprises in the market competition, compared to two growth models, the essence is completely different, just like putting together a lot of small board together can not be the same as the aircraft carrier. Reliance on assets is no different than organizing warfighters to fight against the regular army. The odds are geometric.
Another point may also make people with "big" emotions chilling. In today's economic globalization, international investors have a strong interest in China's non-performing assets market. On the one hand, China’s non-performing assets market is the largest market in Asia except for Japan, which offers greater opportunities for investment; on the other hand, it is because international capital predators rely heavily on gold to target large-scale but not strong targets. Under the mouth. Thinking that the ability of the central SOEs to expand will not lose their ability to protect the city, maybe it is the appetite of the international capital predators!
Under the current system, the most effective means of promoting large central enterprises is to give these "big" enterprises a monopoly. However, monopoly is precisely a major factor that criticizes central SOEs. In the long run, the greater the development of such a monopoly, the greater the damage to the overall interests of society. Really want to do this, I am afraid that this brings about the risk and cost of reform. No one dares to bear it, and no one can afford it.
The ultimate goal of economic development is to maximize the welfare of the nation. Which kind of enterprise can complete this country's trust, which kind of enterprise will be supported by the people. This kind of company may not be big, but it must be strong—it can stand in the forest of world enterprises.
The reason for alleging that central SOEs are "bigger" is that according to WTO rules, all industries in China will be open to foreign companies and funds in succession. At that time, Chinese companies face international capital and international markets even if they are in the country. Therefore, the first thing the central SOEs must do, and the easiest to do, is to use administrative restructuring to make the SOEs giant and make others not shy.
However, a very clear reality is that a large company does not mean that it is stronger. If the big is equal to strong, we can simply do nothing with the market economy. Because the national economy in the era of planned economy is a "boss" - the country. An administrative order of the country can bring together companies from all over the country. However, as a result of this "big" method, it is not enough for us to study the market economy today. To cope with the growth of large enterprises and enterprises in the market competition, compared to two growth models, the essence is completely different, just like putting together a lot of small board together can not be the same as the aircraft carrier. Reliance on assets is no different than organizing warfighters to fight against the regular army. The odds are geometric.
Another point may also make people with "big" emotions chilling. In today's economic globalization, international investors have a strong interest in China's non-performing assets market. On the one hand, China’s non-performing assets market is the largest market in Asia except for Japan, which offers greater opportunities for investment; on the other hand, it is because international capital predators rely heavily on gold to target large-scale but not strong targets. Under the mouth. Thinking that the ability of the central SOEs to expand will not lose their ability to protect the city, maybe it is the appetite of the international capital predators!
Under the current system, the most effective means of promoting large central enterprises is to give these "big" enterprises a monopoly. However, monopoly is precisely a major factor that criticizes central SOEs. In the long run, the greater the development of such a monopoly, the greater the damage to the overall interests of society. Really want to do this, I am afraid that this brings about the risk and cost of reform. No one dares to bear it, and no one can afford it.
The ultimate goal of economic development is to maximize the welfare of the nation. Which kind of enterprise can complete this country's trust, which kind of enterprise will be supported by the people. This kind of company may not be big, but it must be strong—it can stand in the forest of world enterprises.
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