57.4% of entrepreneurs believe financial crisis has huge impact on China

How much does the widespread and intensified international financial crisis actually influence on China's economy? Answers to that question were given in a survey report entitled 'Entrepreneurs' Judgments, Assessments and Suggestions on the Macroeconomic Situation and Hot Spots of Reform,' released by the China Entrepreneurs Survey System on November 15.

When asked about the 'unfavorable influence of the U.S. sub-prime mortgage crisis on China's economy,' the survey shows that 57.4% of the entrepreneurs said the unfavorable influence was 'huge' or 'comparatively huge' and 31.8% said 'comparatively small.' Those who believed there was 'no influence' accounted for 2.7% and those who said 'unsure' comprised 8.1%.

When comparing different kinds of enterprises, over 60% of the entrepreneurs in large-sized enterprises, state-owned enterprises and holding companies, publicly listed companies, foreign companies and enterprises with investments from Hong Kong, Macao and Taiwan said the unfavorable influence was 'huge' or 'comparatively huge.' This percentage is noticeably higher than in other kinds of enterprises.

According to the survey result, the global financial turmoil triggered by the U.S. sub-prime mortgage crisis has already spread to the real economy, considerably weakening China's overseas market demand. Enterprises and private companies in eastern China, which are comparatively more dependent on exports, are the most affected. In particular, small and medium-sized enterprises have faced relatively more difficulties.