Referat To: Mrs. Karen Cayo From: Graul Guenther, Haederer Steffen, Holder Mario, Hub Michael Date: November 10, 2003 Subject: Summary Chinas logistics sector has a bright future. Its economy keeps growing with an annual rate of seven percent, which stimulates the demand for logistics. Also the accession to the WTO will increase its import and export and bring new opportunities to the logistics sector. The influx of foreign capital and multinational logistics enterprises in the Chinese market will help to modernize the countrys logistics. Background Economic Environment Before the introduction of the policies of reform and opening to the outside world, China had a unitary public ownership economy, which lacked vitality. But since the putting into practice of the reform and opening to the outside world, the Chinese government has encouraged the development of diversified economic elements while insisting on the primacy of public ownership. As a result, both the individual and private economies have developed rapidly and the GDP has quadrupled. In 1999, with its 1.25 billion people but a GDP of just 3,800 per capita, China became the second largest economy in the world after the US. Agricultural output doubled in the 1980s, and industry also posted major gains, especially in coastal areas near Hong Kong and opposite Taiwan, where foreign investment helped spur output of both domestic and export goods. Industry and commerce constitute the basis of the Chinese economy, but agriculture ...
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