1. In the middle of the 20th century, when China was an economically backward state, the problems facing the Chinese Communist Party (CCP) were substantially “how to foster rapid industrialization in a traditional and backward society, and how to deal with the problem of scarcity (technology, resource, capital)” while developing a firm, unshakable, and secure socialist society for the purpose of achieving general welfare and common prosperity” (Li 142).
As of today, more than sixty years later, the CCP is facing quite similar problems, including “CCP unity vs. factional divergences, economic miracles vs. widening wealth gap, social harmony vs. disruptive unrest” (qtd. in Thediplomat.com). Nowadays the CCP is still pursuing socialists goals and employing socialist means in the same way as before. In 2012, the CCP introduced a provision to its charter providing for the necessity of development of the so-called ‘socialist system with Chinese characteristics’. The Party’s propaganda asserts that the country decided upon this particular system as the most rational and practical option. According to the CCP, this was not an ill-considered decision, but a well-balanced, cold-minded and rational choice after numerous unsuccessful and ineffective experiments with other forms of governance, “including constitutional monarchy, Imperial restoration, and a multi-party parliamentary system” (qtd. in Thediplomat.com). Therefore, the Party’s fundamental goal is to follow the socialistic path and struggle for the development of the middle-class society in China.
2. Although China has been demonstrating significant economic rise both internationally and domestically for the past years, for the past couple months the country’s economy is not demonstrating a rapid growth as foreign demand for its export commodities has slightly decrease. “The country’s manufacturing sector hit a three-year low in August of 2015” (qtd. in Huffingtonpost.com). Therefore, one of the major issues that the CCP has to address is the slowdown in the manufacturing sector. Obviously, to some extent, such a slowdown may be considered as unavoidable “as China hits a point of diminishing return that many maturing economies face” (qtd. in Huffingtonpost.com). However, I believe that the CCP will be able to resolve this issue in the long run by means of bolstering this sector by means of government contracts and orders as well as by increasing the volume of trade with foreign partners.
It also should be noted that China’s economic growth both internationally and domestically resulted in the widening wealth gap. The CCP is not likely to resolve this major change as the increasing gap is an inevitable corollary in the dynamic, challenging and ever-changing world of modern business.
Exercise: In the capacity of an adviser to Gazprom, a Russian public corporation in charge of extraction, production, transport and sale of natural gas, I would strongly recommend Gazprom to maintain business relations with China and to upscale the volumes of gas exported to China. The fundamental reason behind that is that China stands in need of energy commodities and resources that are extensively used in the manufacturing sector and which the country cannot produce in the adequate quantity and keep up with the demand of factories and other manufacturing facilities. Taking into consideration that China’s economy is expected to be on its rise and imports of manufactured goods is expected to increase, it will be in constant need of energy resources, which Gazprom in its turn will supply in the increased volumes.
Works Cited
Lee, Bob. "What Is China's Way?" The Diplomat. The Diplomat, 16 Feb. 2015. Web. 05 Feb. 2016. <http://thediplomat.com/2015/02/what-is-chinas-way/>.
Li, Xing. "The Chinese Cultural Revolution Revisited." The China Review 1.1 (2001): 137-65. Chineseupress.com. The Chinese University Press, Fall 2001. Web. 5 Feb. 2016. <http://www.chineseupress.com/chinesepress/promotion/China Review/5-Li.pdf>.
Marans, Daniel. "Why China's Economic Problems May Be Worse Than We Think." The Huffington Post. The Huffington Post, 23 Sept. 2015. Web. 5 Feb. 2016. <http://www.huffingtonpost.com/entry/why-chinas-economic-problems-may-be-worse-than-we-think_us_56019559e4b00310edf8c1de>.
