"Strong and effective support should be given to the development of gazelle and unicorn enterprises."
The Political Bureau of the Central Committee of the Communist Party of China (CPC) held a meeting on July 30, naming and supporting gazelles and unicorn enterprises.
02Why are these two types of businesses named?
○The conference emphasized the "development of new productivity according to local conditions" and made the above request when deploying the task of "cultivating and expanding new and future industries."
○ Luo Zhiheng, chief economist and director of the research institute of YUEKAI Securities, analyzed.New quality productivity is characterized by innovation, and the main body of innovation is precisely the millions of small and medium-sized science and technology enterprises, of which unicorns and gazelles are the backbone.
○These two types of enterprises have strong innovative capacity and development potential, and are more advantageous in breakthrough innovation; supporting their development is of great significance to the development of new quality productivity.
○Overall, a new round of scientific and technological revolution and industrial changes are reshaping the global economic structure and industrial map, new industries and new modes of business are constantly emerging, especially strategic emerging industries and future industries have become the new track of competition among enterprises in various countries.
character used in Taiwan as a substitute for a real name (like "X" in English) In the context of accelerating the cultivation of new quality productivity, gazelle and unicorn enterprises led by innovation and driven by high-level talents and high-energy capital are undoubtedly a key force in promoting economic transformation and industrial upgrading, and have an irreplaceable role in enhancing China's comprehensive national strength.
○ In recent years, along with the steady improvement of China's overall strength in scientific and technological innovation, the innovation system is becoming more and more complete, centered on new technologies, new industries, new business forms, new models, China's gazelles and unicorns are springing up.
○ According to Zhong Zhengsheng, chief economist of Ping An Securities, theThe Politburo meeting named "gazelles" and "unicorns" with high specifications, and the subsequent policies may enhance the support in IPO and investment and financing, so as to form a demonstration effect of supporting entrepreneurial venture capital, which will help China win the strategic initiative in the increasingly fierce international competition. This will help China win the strategic initiative in the increasingly fierce international competition.
○ Focusing on innovation and targeting, gazelles and unicorns will play a more important role in fostering new productivity.
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character used in Taiwan as a substitute for a real name (like "X" in English) The meeting highlighted "strong and effective", which is highly problem-oriented and realistic.character used in Taiwan as a substitute for a real name (like "X" in English) The number of new unicorn companies in China has declined in recent years.According to the Hurun Research Institute's 2024 Global Unicorn List, China is second with 340, an increase of 24, but 74 new ones in 2021.character used in Taiwan as a substitute for a real name (like "X" in English) Looking around the world, the decline in the number of new unicorn companies is not unique to China, but also to the United States. Unicorns are facing financing challenges due to multiple factors, including geopolitics, the US dollar's interest rate hike, and industry cycles.character used in Taiwan as a substitute for a real name (like "X" in English) Luo Zhiheng analyzed that the domestic institutional environment for fostering patient capital is still blocked, and there is a lack of sufficient financial support for unicorns and gazelles, such as the docking mechanism between entrepreneurial investment and innovation and entrepreneurial projects is not smooth. In addition, structural excess, "involutional" vicious competition, reducing the profit space of enterprises.character used in Taiwan as a substitute for a real name (like "X" in English) The meeting specifically emphasized the need to strengthen industry self-regulation, to prevent "involutional" vicious competition, which may help the relevant industries as soon as possible out of the "increase in revenue does not increase profits" state, to promote the stabilization of corporate earnings rebound.character used in Taiwan as a substitute for a real name (like "X" in English) Cultivating more "gazelles" and "unicorns" requires more precise support, especially with the support of venture capital and patient capital. Venture capital "invests early, invests small, invests in hard science and technology", and is regarded as an incubation booster.character used in Taiwan as a substitute for a real name (like "X" in English) In June this year, the General Office of the State Council issued the "Several Policies and Measures to Promote the High-Quality Development of Venture Capital", proposing to improve the policy environment and management system of the whole chain of venture capital investment."Article 17 of Venture Capital will provide "living water" for cultivating more "gazelles" and "unicorns".character used in Taiwan as a substitute for a real name (like "X" in English) The Third Plenary Session of the 20th CPC Central Committee proposed to encourage and standardize the development of angel investment, venture capital and private equity investment, to give better play to the role of government investment funds, and to develop patient capital.character used in Taiwan as a substitute for a real name (like "X" in English) Lu Ming, a member of the National Committee of the Chinese People's Political Consultative Conference (CPPCC) and executive director of the China Development Research Institute of Shanghai Jiaotong University, said that the current decline in investment return expectations is not conducive to the financing of unicorn enterprises. The domestic innovation environment, social environment and policy environment need to be further improved. It is necessary to stabilize the institutional environment and policy expectations, and create a social and public opinion atmosphere conducive to innovation. It is necessary to protect the gains of innovation and the rights and interests of entrepreneurs, and improve the return on investment for innovators.It is most critical that policies be based on the rule of law and that the expectations of innovators be stabilized.
