BIZ >> Expert assessment

Market research lacking in China’s sharing economy

E Umbrella lost nearly 300,000 umbrellas. The admittedly comical story raced around the world, with article after article chronicling the downpour on the beleaguered start-up. Undeterred, however, E Umbrella’s owner Zhao Shuping wants to release 14 million more umbrellas before the end of the year.
Source: Global Times | 2017/8/13 20:03:40

Identifying ‘gray rhinos’ key to reducing their risk

It’s only recently that the term “gray rhino” entered the lexicon of the economic world, but what it indicates — large and obvious risks that are often neglected — has always been around.
Source: Global Times | 2017/8/10 23:03:40

Thriving Chinese e-sports need touch of regulation

E-sports is big business. South Korea, Japan, the US and more have dedicated leagues, receiving huge sponsors, attracting millions of viewers and making millions for top players. China certainly has a scene of its own, with a market worth more than any other in the world. But quantity does not equate to quality.
Source: Global Times | 2017/8/9 22:13:39

Finance must resume natural role in real economy

Internal and external risks are weighing on China’s financial system, and an “explosion” of any of these problems could endanger the stability of the entire system.
Source: Global Times | 2017/8/8 22:13:39

Boosting rental home market requires more reforms

Only if China makes efforts that go well beyond the pilot program, can housing speculation be fundamentally eased.
Source: Global Times | 2017/8/7 21:53:40

Financial risk can’t be ignored amid restructuring

Since mid-2016, the importance of risk prevention has gained frequent mention at meetings at various levels in China. The recently concluded National Financial Work Conference, held only once every five years, clearly stated that the nation needs to guard against financial risks.
Source: Global Times | 2017/8/6 20:23:39

EU should encourage Central and East Europe to develop trade ties with China

In recent years, China-EU cooperation has become an important driving force to promote globalization, but waves of anti-globalization and protectionism have also emerged in some developed European countries, pushing for the restriction of Chinese investment in Europe. Central and Eastern European countries actively adopted the Belt and Road (B&R) initiative and pushed for the development of “16+1” cooperation between Central and Eastern Europe and China, adding “positive energy” to Sino-EU cooperation.
Source: Global Times | 2017/8/3 20:38:39

Political change in Pakistan won’t affect CPEC

On Tuesday, Pakistan’s lower house of parliament elected Shahid Khaqan Abbasi as the country’s new prime minister. The Supreme Court last week disqualified Nawaz Sharif from office over corruption charges. The political change Pakistan is undergoing has raised concerns that the multi-billion dollar China-Pakistan Economic Corridor (CPEC) may be adversely affected.
Source: Global Times | 2017/8/3 20:13:40

Misconceptions hamper Sino-India cooperation

Thanks to its ongoing economic reform and demographic dividend, India has become one of the most attractive investment destinations in the world. The prevailing view in international academic circles is that India will likely replace China as the new “world’s factory,” which will be beneficial for China, India and even the world as a whole.
Source: Global Times | 2017/8/2 22:08:39

Legal services can provide strong base for B&R

During the four years since it was proposed, China’s “Belt and Road” (B&R) initiative has borne fruit and made significant contributions to international development, prosperity and stability. At a time when the initiative has been moving toward a new stage, legal services are becoming a more important task to guarantee and accelerate related projects. There are several reasons for this development.
Source: Global Times | 2017/8/1 22:38:39

China can offer Africa lessons in effective governance

Over the past half-century, African countries have received substantial aid in terms of infrastructure and technology, but they have had little success in poverty alleviation and modernization. Since the new millennium, Sino-African cooperation has been strengthened, and economic, political and cultural interaction between the governments and people on both sides has been extremely active.
Source: Global Times | 2017/7/31 20:03:39

China hardens financial regulation to stamp out risks to growth

Preventing systemic financial risk -- like the US sub-prime crisis in 2008 that caused a meltdown of American finance and led to the Great Recession -- is at the top of the agenda of China’s central government. In a move of utter prudence, Beijing this month decided to phase in a new institution – The Financial Stability and Development Committee under the State Council, China's cabinet – to snuff out any sparks that might ignite a financial fire and burn down the house.
Source: Global Times | 2017/7/31 14:53:39

Africa’s SEZ drive requires more than just words

In Eldoret, an inland city in Kenya, hundreds of kilometers northwest of the famed seaport of Mombasa, Kenya DL Group is cooperating with China-based Guangdong New South Group to build a special economic zone (SEZ) named after China’s Pearl River Delta.
Source: Global Times | 2017/7/30 18:28:39

Many sound reasons to talk down the US dollar’s rally

Over the past year, I have often stressed that the US dollar’s gains can’t go on. Although the Brexit referendum in the UK and Donald Trump’s victory in the US presidential election reversed the weak performance of the US dollar in the second half of last year, the cycle of the strong dollar, which has been prolonged, is turning because the US economy is not doing as well as expected and Trump’s policies are facing obstacles.
Source: Global Times | 2017/7/27 21:53:39

Mogul fires cannon at notion of property collapse in China

Editor’s Note: Known as “the cannon” for the bluntness and fierceness of his comments, Ren Zhiqiang, the former chairman of board of Beijing Huayuan Group, claimed at a real estate forum on Sunday that housing prices in China will rise further, a comment that set off a controversy. Here are his comments on some hot property topics.
Source: Global Times | 2017/7/26 20:28:39

Fortune 500 list shows rising impact of Chinese firms

On July 20, Fortune released its list of Global 500 companies. US-based Wal-Mart ranked first for the fourth consecutive year. China’s State Grid Corp and oil giant Sinopec Corp ranked second and third on the list, respectively.
Source: Global Times | 2017/7/25 20:13:39

Closer regulatory scrutiny will boost financial stability

Although China’s financial risks are generally controllable at this stage, there is still the possibility of systemic financial crisis. As institutions with high leverage ratio, banks’ own funds always constitute less than 10 percent of their assets, which shows that the banks and the enterprises are totally different. The most important difference between banks and enterprises is that the proprietorship of the enterprises occupies the major proportion of their assets, while proprietorship is a very small part of the assets of banks. Therefore the essence of the banks is to carry and allocate the risk. In such circumstances, if we keep issuing excessive loans, attaching little importance to shadow banks and failing to establish an integrated supervision system covering different financial industries, the risks of the banks will increase drastically. These risks will also spread to various industries of the country, raising the possibility of a systematic financial crisis. Sadly, some people involved in the banking industry are ignoring this point.
Source: Global Times | 2017/7/24 19:58:40

India’s attitude may hinder Tibet’s B&R involvement

A number of provinces and cities are eager to be involved in the “Belt and Road”(B&R) initiative, including Southwest China’s Tibet Autonomous Region. The opening-up of Tibet is in line with the general trend, but due to some historical and geopolitical factors, it has had to face some special challenges involving international strategy and security in the process of its development.
Source: Global Times | 2017/7/23 18:48:39