Study Of Guangdong Government’s Behavior In The Economic Transformation Of Export Private Corporation

Private corporation is an economic organization, which is developed by the privatecorporations and township enterprises since the reform and opening up. It is the product ofsocialist market economy. Since2002, private corporations are allowed to engage in foreignbusiness. As an important component of the Guangdong foreign trade business, the privatecorporation has become a powerful impetus which has greatly supported and encouraged theGuangdong export-oriented economy. The development and the strengthening of the privateenterprises have a great impact on the sustainable, stable and healthy development ofGuangdong economy, and it also shows its significance in building up a harmonious society.First, this thesis defines export-oriented private enterprises, using data to analyze thecurrent status of the transformation and upgrading of export-oriented private enterprises, andsummarizes the main achievements of optimizing the structure of goods and promoting thedevelopment of foreign trade growth. However, most of the export-oriented privateenterprises are still faced with the pressure of transformation and upgrading. There are tworeasons. One is the lack of resources and energy. The loss of comparative advantage andrising costs for enterprises makes it difficult for the enterprises to survive. The other reason isthat the enterprises export low-end products in the value chain, and lack of corecompetitiveness, product brands, resulting in low profits. Therefore, labor-intensiveexport-oriented private enterprises are now in the critical moment of life and death. Thegovernment needs to further promote the transformation and upgrading of export-orientedprivate enterprises.Second, based on the theory of government economic function，the thesis analyzes theproblems in the process of transformation and upgrading of Export oriented Enterprises, andpoints out that problems existing in the area of market access threshold, the regulation of newforms of foreign trade tax fiscal and financial support, as well as public service. The thesisalso concludes the reasons are that market failure, government policy not fully representingthe public interest and lack of senior government information.At last the thesis takes successful experience of the transforming and upgrading theExport oriented Enterprises in Zhejiang, Jiangsu, Singapore and South Korea as examples, and puts forward suggestions for government behaviors in terms of strengthening marketsupervision, perfecting the macro-control system and strengthening the public service.