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Impacts of the Global Financial Crisis on Small and Medium Enterprises in the People’s Republic of China

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  • Xiangfeng Liu
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    Abstract

    This paper conducts an in-depth analysis of the impacts of the global financial crisis on the People’s Republic of China’s (PRC’s) small and medium enterprises (SMEs). It also provides relevant policy suggestions at the end. First, this paper reviews the impacts of the 1997 Asian financial crisis on the PRC’s SMEs, evaluating the policy measures for coping with the crisis at that time and summarizing the relevant experiences. Second, it analyzes the impacts of the current global financial crisis on the PRC’s SMEs, focusing the discussion on the causes of and resulting problems from SMEs’ shrinking export markets via reduced export orders, rising operating costs, decreased efficiency, increased shutdowns, sharply rising unemployment, weakened investment confidence, broken lines of funding, and reduced resources. [ADBI Working Paper 180]

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    Bibliographic Info

    Paper provided by eSocialSciences in its series Working Papers with number id:3035.

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    Date of creation: Oct 2010
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    Handle: RePEc:ess:wpaper:id:3035

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    Keywords: conducts; impacts; Asian; financial crisis; confidence;

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