By Zhou Jianqi, Enterprise Research Institute, the DRC

Research Report No 147, 2013

Abstract:

According to our surveys, enterprises think that a clear relationship between the government and enterprises is a key issue for deepening the reform of the economic system. Based on questionnaires and a survey, we have summarized government-enterprise relationship issues - as reported by the enterprises - into six categories: administrative examination and approval, government discrimination, government functions, government credibility, government intervention and local protectionism.

In response to the problems, we suggest: first, a reform of the administrative examination and approval system; second, creation of an open and fair market environment, and establishment of a service system that covers all enterprises; third, better services and strengthened supervision to bring the role of industrial associations into full play; fourth,resolution of remaining problems and fulfillment of government commitments; fifth, further implementation of separation of enterprises and government and improvement of the legal and policy environment; and sixth, breaking down local protectionism by changing the concept of local governments regarding political achievements.