Many private companies face unfair competition
WANG SHI, board chairman of Vanke Co Ltd, China's leading residential developer, said on Saturday that he does not welcome private enterprises being the largest shareholders of his company. Beijing News deems Wang's remarks prejudicial and calls for institutional support for private companies to fairly compete in the market.
It is foreseeable that Wang's controversial comment about private companies will give rise to heated discussion and speculation, especially when his company is in a bitter confrontation with Baoneng Group, a private insurance and property conglomerate which became its largest shareholder, replacing the State-owned China Resource Group.
Like Vanke, some leading private enterprises founded in Shenzhen, a front-runner in the country's reform and opening-up, have more or less benefited from their semi-State-owned status without losing their private nature.
