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    Entrepreneurship important for China's economic transformation

    By Chen Yingqun (chinadaily.com.cn)

    Updated: 2016-03-08 11:53:40

    8.03K

    China should encourage enterprising people with the capability to start their own business, which would have significant influence on China's economic transformation, leading experts and entrepreneurs say.

    During the 18th China Entrepreneur Salon, which was regularly held during China's "two sessions", referring to meetings of the National People's Congress, the top legislature, and the Chinese People's Political Consultative Conference, the top advisory body, entrepreneurs and economists were invited to share their understandings about topics related to the government report.

    Li Dongsheng, chairman and CEO of TCL Corp, says that in the past, almost all new products, technologies and patents came from the big companies, but in the Internet age, many breakthroughs in new products and technology could come from small companies. So encouraging entrepreneurship would be important for China's economic transformation.

    Ma Weihua, former president of China Merchants Bank and member of CPPCC national committee, says, "In the past year, innovation and entrepreneurship have been very popular in China, and I think there is a wave for the public to participate in innovation and entrepreneurship. Premier Li Keqiang said that China has a labour force of 900 million and more than 100 million college graduates. If these 1 billion people would all take part in innovation and entrepreneurship, then we could conquer any difficulty."

    However, there are also difficulties for these small enterprises and startups, and a typical problem is the financing problem, says Hu Baosen, a deputy to the National People's Congress, and also chairman of Central China Real Estate Ltd., a Hong Kong-listed property firm.

    He says that among banks and venture capital, there is not yet a financial support system for the public to be involved in entrepreneurship.

    Moreover, for young entrepreneurs, they usually are not very well-prepared about the various problems that may occur when they start and develop new companies, and some even start businesses without a clear target and careful thinking, which may lead to failure.

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