China's Private Sector Suffers Under Xi Jinping's Policies
- BioBay, a science park in Suzhou, is nearly deserted with many biotech start-ups having moved out or closed down.
- The venture capital industry in China has seen a dramatic decline, with start-ups founded dropping from 51,302 in 2018 to 1,202 in 2023.
- Political decisions by President Xi Jinping, including a crackdown on tech companies and anti-corruption measures, have stifled private business.
- VC firms are now focusing on lower-risk investments and demanding personal liability from founders, leading to fewer high-risk ventures.
- Many venture capitalists are looking overseas for opportunities as the domestic market continues to shrink.
Source: Financial Times
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This graph doesn't make sense seems fishy
Please elaborate
Reading this in India I feel "good for us" 🤔
Also, feel like this is US propaganda. It recently sanctioned $1.6 billion to defame china
Chinese philosophy is very agile. If they decide now they can turn this around in 2-3 years. Their philopshy is let the 1000 flowers bloom ( read about this). Don't fall for US propaganda
I am hearing it for very first time, it's generally government sector which suffers due to dictatorship that we have here, if government sector is booming and private sector declining, it's people's government for sure
China sb kuch state-associated chahta h, private sector if comply being associated with state then they can run and earn money else you gotta disintegrate your business and the slowly your company becomes extinct
This is a completely correct picture, even their biggies like Alibaba, Tencent etc have declined quite a bit. Some are contemplating a move of headquarters to Singapore. China's communist government is meddling with everything now. Even their real-estate sector crashed due to the government calling out for tough policy reforms on debt fueled growth.
Boss startup ecosystem sustainability ke leyae, unnecessary competition and cash burn nahe ho Raha hae. This is a necessary step after a long run.