Transcript Document

Unite Resources To Resolution
The Development of
Private
Enterprises & Entrepreneurs
in China
By Liduo Zhong
Wonder Group &
Tsinghua Uniresource Capital
Dec. 2008
www.uniresource.com.cn
Unite Resources To Resolution
1. Background
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1.1 Private Economy in China

Total Private Products in China
 1995: ￥ 230bn

Ave. R. : 39.1%/Y
2007:￥24,662bn
Ave. R. : 12.4%/Y
GDP in China
 1995: ￥ 6,079bn

2007:￥12,084bn
Total Private Products / GDP
 1995: 3.8%
2007:49.0%
Ave. R. : 3.77%/Y
30,000
25,000
20,000
15,000
10,000
5,000
0
1995
2000
2005
2006
2007
Bn Yuan
GDP of China
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private economy product in China
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1.1 Private Economy in China (continued)
Y2007 GDP Structure
(bn yuan)
Y1978 GDP Structure
Private
49%;12084
FIE
15% ;3699
(bn yuan)
Private
1% ; 33
FIE
4% ; 157
SOE
36% ;8878
SOE: State-owned Enterprises
SOE
95% ; 3455
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FIE: Foreign-invested Enterprises
Private Enterprises
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1.2 Private Enterprises & Entrepreneurs in China

Private Enterprises in China
 1995: 0.65mn

2007: 43.3mn
Ave. R. : 15.9%/Y
Employees of Private Enterprises in China
 1995: 9.6mn

Ave. R. : 19.5%/Y
Total Enterprises in China
 1995: 7.34mn

2007: 5.51mn
2007: 72.5mn
Ave. R. : 18.4%/Y
Employees of Total Enterprises in China
 1995: 325.4mn
2007: 438.4mn
Ave. R. : 2.5%/Y
80
70
60
50
40
30
20
10
0
Mn
1995
2000
2005
2006
2007
private enterprises number in China
employees of private enterprises in China
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Unite Resources To Resolution
2. Development of Private
Enterprises & Entrepreneurs
in China
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
2.1 Y78-85 : make money by COURAGE

2.2 Y85-92 : make money by FATHER

2.3 Y92-99 : make money by BRAIN

2.4 Y99-03 : make money by NETWORK

2.5 Y03-Now: make money by STRUCTURE
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3. How to Make Business in China
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
3.1 Key Factors

Capital
----Money + HR + Tech.

Vehicle
----Credit

Resource
----Channels, Relations, Market share…

3.2 Products & Services, Partnership

3.3 “Two Lions” Method
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THANK YOU!
Liduo Zhong
Wonder Group &
Tsinghua Uniresource Capital
China
www.uniresource.com.cn