CKGSB Knowledge - China Business and Economy

CKGSB Knowledge - China Business and Economy Summer 2018

CKGSB Knowledge is an English language business publication focused on China. It features original articles on business and economy in China, the evolution of “Made in China”, policy issues, the rise of Chinese companies, the emergence of Chinese multinationals, and foreign multinationals’ strategy and operations in China. It also features interviews with influential thought leaders and CEOs, both Chinese and global, on trending topics. CKGSB Knowledge provides a unique vantage point from which to discover the latest general and China-specific business trends. It also provides a matrix to understand how emerging markets are transforming the global business landscape.

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Pays:
United States
Langue:
English
Éditeur:
Cheung Kong Graduate School of Business
Fréquence:
Quarterly
5 €(TVA Incluse)
4 Numéros

dans ce numéro

3 min
ckgsb business conditions index

The CKGSB Business Conditions Index (BCI) slipped slightly to 55.1 in May from 56.6 the previous month, but this score still remains comfortably higher than the baseline figure of 50. This indicates that small- and medium-sized enterprises in China are generally optimistic about their business prospects for the next six months. Key Findings • Firms reported feeling less confident than a month previously regarding sales and profits, but the scores remain high at 76.6 and 64.1, respectively • Concerns remain over price inflation, as the consumer prices index and producer prices index both rose in May, to 67.9 and 58.3, respectively • Costs for businesses are still rising fast, with the scores for labor costs and overall costs down just slightly month-on-month at 87.0 and 87.1, respectively Analysis Of the four main sub-indexes we ask firms…

7 min
why do chinese companies seek ipos overseas?

In May, the CKGSB Business Conditions Index (BCI) fell slightly from 56.6 to 55.1, remaining just above the confidence threshold of 50. Some indices have not changed significantly month-on-month. The sales and profit indices fell somewhat and those for financing environment and inventory levels experienced a rebound. Costs remained at a high level and prices fell slightly. For more details, see the May BCI report in full (page 58). In general, the BCI data does not show big changes, but some structural issues still stand out, including prospects for financing. First, let us look at the data. The corporate financing index registered 38.0, an improvement on April’s 34.6, but still far below the confidence threshold of 50. Our survey’s respondents are mainly executives of CKGSB alumni companies, meaning their firms are mostly successful…

3 min
anticipating changes

They say that if you’re in a car driving down a bumpy road, the best way to avoid motion sickness is to focus on what is ahead. If you see the shocks coming, they are much less discomforting. The same logic can be applied to China. The Chinese economy is so large these days that changes here can have an impact around the world. But if you see the changes coming, it is much easier to deal with the consequences. In this issue of CKGSB Knowledge, we do our best to help you prepare for bumps coming down the road. Each of our stories focuses on an important trend in the Chinese economy that is being driven by domestic forces, but which has international implications. Arguably the most important issue that will…

9 min
brexit and beijing

China played a surprisingly prominent role in debates surrounding the United Kingdom’s 2016 referendum on membership of the European Union. For leading “Leavers” like Boris Johnson, now UK Foreign Secretary, Brexit was a chance for Britain to free itself from a stifling Brussels bureaucracy and build stronger trade relations with coming powers, like China and India. But those expecting a blossoming in China-UK relations after Brexit might be disappointed, says Leslie Young, Professor of Economics at CKGSB. Professor Young is well-placed to understand the Sino-British economic relationship. His experience with the UK goes back to 1971, when he received a doctorate in mathematics from Oxford University at the age of 20. He is now a recognized authority in international economics with his book Black Hole Tariffs and Endogenous Redistribution Theory highly…

9 min
back to the future

There is a standard narrative about China’s labor market. Wages are rising rapidly as migrant workers become scarcer and manufacturers, losing their competitive advantage, are turning to automation to save costs. This is driving massive factory layoffs with displaced workers finding employment in China’s fast-growing services sector. “China’s labor market is transforming as automation leads to factory layoffs and workers find new jobs in the growing services sector. But this transition is not taking place quite as smoothly as some make out” This version of a large-scale transition of the labor force from industry to services is constantly repeated by economists, government leaders and state media combing through official data releases. “There have been continuous announcements and plans released about cuts and shifting workers to new industries,” Shehzad Qazi, Managing Director of research…

11 min
china’s health revolution

Chinese medical centers tend to be crowded, chaotic places, but the radiology department of the Shanghai Ninth People’s Hospital is an oasis of quiet. The only sound in the dimly-lit office is the rapid clicking of computer mice. China’s hospitals are becoming overstretched as population aging and urbanization send demand for health care soaring. But a new wave of world-leading Chinese health technology companies believe they can lift the burden on the country’s frazzled doctors At one of the terminals lining the room, Dr. Wang Meili* is analyzing CT scans of a patient’s lungs. It is easy to see why the young radiologist has little time for chitchat. There are 150 sets of scans waiting for her to examine—around 30,000 images. “Each doctor in our team reads at least 20,000 images per day,”…