{"id":8676,"date":"2013-02-27T01:12:06","date_gmt":"2013-02-27T01:12:06","guid":{"rendered":"https:\/\/business.cornell.edu\/centers\/2013\/02\/27\/china-s-economic-transformation-the-past-present-and-future-professor-xiang-bing-talks-about-china-s-economy-at-johnson\/"},"modified":"2026-07-14T18:18:21","modified_gmt":"2026-07-14T18:18:21","slug":"china-s-economic-transformation-the-past-present-and-future-professor-xiang-bing-talks-about-china-s-economy-at-johnson","status":"publish","type":"post","link":"https:\/\/business.cornell.edu\/centers\/2013\/02\/27\/china-s-economic-transformation-the-past-present-and-future-professor-xiang-bing-talks-about-china-s-economy-at-johnson\/","title":{"rendered":"China\u2019s Economic Transformation: The Past, Present and Future Professor Xiang Bing talks about China\u2019s Economy at Johnson"},"content":{"rendered":"\n<p><span class=\"SubSubHead\">Xiang Bing, founding dean at Cheung Kong Graduate School of Business (CKGSB) and professor of China Business and Globalization, spoke to students about \u201cChina\u2019s Economic Transformation: The Past, Present and Future\u201d on Feb. 15, 2013 at Johnson\u2019s Sage Hall.<\/span><\/p>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<figure class=\"wp-block-image alignleft size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"130\" height=\"75\" src=\"https:\/\/business.cornell.edu\/wp-content\/uploads\/sites\/6\/2026\/06\/hili-bing.jpg\" alt=\"China\u2019s Economic Transformation: The Past, Present and Future Professor Xiang Bing talks about China\u2019s Economy at Johnson\" class=\"wp-image-8677\" \/><\/figure>\n\n\n\n<p>The event was co-hosted by the Asia Business Association, Greater China Business Club, and the Emerging Markets Institute. CKGSB, a leading business school with headquarters in Beijing and satellite campuses in Shanghai and Shenzhen, is China\u2019s first privately funded and faculty-governed business school.<\/p>\n\n\n\n<p>\u201cChina has been totally globalized since Deng Xiao Ping\u2019s tour to the south in 1992,\u201d said Xiang, adding that the extent of China\u2019s globalization is underestimated by the West and by the Chinese themselves. One feature of China\u2019s economy is trade dependence. But \u201cwhile China is the largest export nation, the majority of exports are not done by Chinese companies,\u201d said Xiang. Foreign investing companies contributed more than 55 percent of exports from China. \u201cYou have nothing like this in the U.S., U.K., Japan, or Germany. \u2026That\u2019s one [piece of] evidence of China\u2019s economy being more open than many others\u2019.\u201d China\u2019s enormous amount of foreign reserves, extensive trading with many other countries, and number two ranking in foreign direct investment inflow constitute further evidence of China\u2019s openness, according to Xiang.<\/p>\n\n\n\n<p>Xiang is very positive about China\u2019s future economic growth. The service sector in China only contributes 43 percent of GDP now, which indicates \u201cgreat potential for improvement,\u201d he said. China also has a large domestic market. \u201cThe wealth creation in China is unbelievable,\u201d says Xiang, noting that China Life and China Mobile, two of the biggest companies in their respective industries in terms of capitalization, operate only domestically. In addition, the urbanization trend in China will drive demand in the country for at least 10 years.<\/p>\n\n\n\n<p>In terms of crediting China\u2019s rapid economic growth, Xiang highlighted the great contribution the private sector has made to China\u2019s economy. Even excluding foreign companies, that contribution amounts to 71 percent of China\u2019s GDP. The private sector is responsible for 80 percent of China\u2019s jobs and creates 90 percent of new jobs.<\/p>\n\n\n\n<p>Despite the overall positive outlook, Xiang points out that the inequality of wealth distribution in China could be a serious problem. Another potential limitation is Chinese companies\u2019 low value capture. For example, Chinese companies only capture 1.3 percent of the retail value for the iPhone 4S. At the same time, China is paying an enormous price in terms of pollution and human sacrifice. \u201cChina has been subsidizing the global living standard for many years,\u201d Xiang said. \u201cThe products made in China are underpriced. The environmental costs are not fully captured. The model is not sustainable.\u201d And yet, he noted so much of the international perception is focused on the \u201cChina threat.\u201d\n\u201cChina is not doing a proper job of explaining itself,\u201d he concluded. \u201cPeace is essential for progress. China does not want conflict with anyone.\u201d<\/p>\n\n\n\n<p>\u2014 Yuezhou Huo \u201915 is an intern in Marketing and Communications at Johnson.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Xiang Bing, founding dean at Cheung Kong Graduate School of Business (CKGSB) and professor of China Business and Globalization, spoke to students about \u201cChina\u2019s Economic Transformation: The Past, Present and&hellip;<\/p>\n","protected":false},"author":99,"featured_media":8677,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":"","_links_to":"","_links_to_target":""},"categories":[191],"tags":[],"ppma_author":[],"class_list":["post-8676","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-announcements","organizational_unit-canizares-center-for-emerging-markets","organizational_unit-centers-institutes"],"acf":[],"yoast_head":"<!-- This site is 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