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Wuchuan Model and Zhanjiang Economic Development

In the course of historical development, Zhanjiang has formed a number of towns with relatively developed market economy, including Lu Mei, Anpu, Chikan, Shicheng, Leicheng, Liancheng, Suicheng and Danshui, which represent another branch of Zhanjiang's local culture-commodity economy culture.

Lu Mei is located at the mouth of Jianjiang River. Due to the developed inland river traffic and large hinterland in history, this town has become the most fertile soil for the development of commodity economy. As early as the Song and Yuan Dynasties, the town has developed into a Lingnan metropolis with the same reputation as Foshan and Shilong. During the Republic of China, Guangdong Lu Mei Bureau was established. Lu Mei people made great contributions to the formation and development of early Chikan Port. Influenced by Lumei, Wuchuan has formed a strong business tradition. People call Wu Chuanren "chaozhou people of Zhanjiang" and "Jew of Zhanjiang". From ancient times to the present, Wuchuan people want to make money under any circumstances, that is, during the Cultural Revolution after liberation, towns were not allowed to do business, rural plots were not allowed, and cattle were not allowed. Wuchuan people still did business, cultivated plots and raised cattle. It embodies the tenacious vitality of small commodity culture. The strong business tradition of & ltBR & gt& ltBR & gt has enabled Wuchuan to achieve unprecedented industrial and commercial development in the relaxed environment at the beginning of reform and opening up. Since the early 1980s, the county has established individual enterprises and township enterprises. 1In August, 986, Wuchuan introduced the experience of "thousands of households running industries" at the provincial township enterprise conference, which was praised as "Wuchuan model" and was popularized in the whole province. The secretary of the provincial party Committee led a team to Wuchuan for inspection many times, and all localities came to Wuchuan to visit and study, and the leaders of the Pearl River Delta region also came to study.

Zhanjiang city leaders are always happy about this. Under the impetus of "Wuchuan Model", large township enterprises are blooming everywhere in Zhanjiang. Among them, there is an unprecedented upsurge of township enterprises in Potou District and Lianjiang City, and township enterprises have mushroomed all over the city. The rapid development of township enterprises and individual and private economy fully embodies the great energy of small commodity economy and culture in the early stage of reform and opening up. At that time, the whole Zhanjiang economy was in an era of extremely underdeveloped market, which was a huge historical progress and effectively promoted the process of Zhanjiang's economic marketization.

However, the development of Zhanjiang township enterprises, represented by Wuchuan model, has lost its luster in the 1990s. At this time, many township enterprises in China, especially those in the Pearl River Delta region who came to Wuchuan to study that year, not only surpassed Wuchuan in quantity, but also surpassed Wuchuan in quality grade. Many township enterprises in these areas have become enterprises exceeding 100 million yuan or even 10 billion yuan, and some have become giants of enterprises in China. However, most of the township enterprises in Wuchuan and Zhanjiang have not grown up and are declining. & ltBR & gt& ltBR & gt Over the years, people have blamed it on the economic climate, tight money supply, neglect of leaders, loss of assets and so on. For Wuchuan, the township enterprises and private enterprises in Zhanjiang, these conclusions are not wrong. However, the deep-seated reason is the limitation of traditional small business culture.

The openness of traditional business culture is its essence, and narrowness is its dross. Openness forms activities, and narrowness becomes an obstacle to progress. The most famous Bopu shoe factory in Wuchuan's early days was almost a factory. The whole family organized production and sales, and some invited several relatives and friends to help. Most of these enterprises are not registered or even have basic operating procedures. They are not enterprises at all, just like family workshops before liberation. This is the congenital deficiency of Wuchuan model. From the end of 1980s to the beginning of 1990s, a number of sugar and liquor industrial enterprises set up by Wuchuan, such as Linwu Machinery Factory, had a much higher starting point than the early Bopu Shoes Factory, and had some characteristics of modern enterprises. However, due to the huge historical inheritance of Wuchuan's small commodity economy and culture, the business operators have a low level of education and basically have not received the education of modern enterprise theory, so it is difficult to jump out of the tradition, or the awareness of accepting modern enterprises is relatively slow. Therefore, in the business process, family management is always the mainstay, and the management system of "aunt feeding" and brothers and sisters occupying the management cannot make enterprises move towards modern management at all.

It can be seen that the culture of traditional small business economy has become an important rope restricting the development of productive forces and the upgrading of enterprises in the 1990 s. Zhanjiang township enterprises are like this. Under the strong economic and cultural constraints of small commodities, it is difficult for Zhanjiang township enterprises to grow up anyway. & ltBR & gt& ltBR & gt Third, the decline of the two "family empires" of Hemisphere and Samsung.

From the mid-1980s to the early 1990s, Hemisphere and Samsung's "Two Horses" once brought a breath of vitality and hope to Zhanjiang enterprises. However, behind their glory, there has long been a failed gene-the system of family (blood) management.

Hemisphere and Samsung are two "family empires" of state-owned enterprises in our city (Hemisphere is a large collective enterprise, basically similar to state-owned enterprises). Due to the restriction of traditional culture, managers can't complete the transformation of the modern nature of enterprises in the era of market economy, but they are faced with modern enterprises that have grown up in the tide of market economy, so they are doomed to decline.

Hemisphere Group is an enterprise that introduced the modern enterprise system earlier in China. It is different from the traditional planned economy in enterprise management, institutional setup and market development. At that time, some famous economists in China often visited Hemisphere, saying that Hemisphere was the representative of modern enterprises in China, and took people to visit and study, so as to promote Hemisphere's experience in the construction of modern enterprise system. At this time, Li Xiusen, the number one figure in the Western Hemisphere, is one of the most prestigious figures in the business world. After all, there are essential differences between the township enterprises in Hemisphere and Wuchuan. Although Li Xiusen's education level is not high, he has attracted a group of elite talents because of his better enterprise management. At his side, there is also a group of economists who often guide him. His two sons are studying western economics in America. These people have greatly promoted the transformation of Li Xiusen's business philosophy. On the other hand, Li Xiusen often visits abroad and is influenced by western corporate culture. For these reasons, Li Xiusen Hemisphere Group has taken a big step towards a modern enterprise. In fact, from the end of 1980s to the beginning of 1990s, Hemisphere had the embryonic form of a modern enterprise, and Hemisphere Group was the first enterprise in Zhanjiang to successfully introduce CI planning. However, the construction of modern enterprise system in the hemisphere is not thorough, which is fundamentally manifested in the fact that the employment mechanism and distribution system have not broken through the framework of planned economy and jumped out of tradition. For example, in employing people, on the one hand, he tries his best to recruit talents nationwide, on the other hand, he is the main department of the enterprise, such as the decision-making level, sales company, finance company, securities company and personnel department. Basically, he uses his son and Li, while Li Jiahe's relatives are in charge of the lifeblood of the whole enterprise. It is this kind of "family-run" management that causes confusion in financial management, serious loss of assets and mistakes in decision-making. As a result, hundreds of millions of loans in Hemisphere have not been recovered, some shareholders' files of Hemisphere Securities Company have been stolen, and hundreds of millions of shares in Hemisphere Securities Company's securities collection have also been spent by wrong decisions. & ltBR & gt& ltBR & gt90 In the early 1990s, Samsung Group prospered. Under the management of Luoping, it used its policy advantages to import assembly vehicles, and won the market with many varieties and good quality. Enterprises should establish a systematic management system and mechanism, which also has the nature of modern enterprises in terms of institutional setup, market system, talent policy, scientific research mechanism and management system. However, the fatal weakness of Samsung Group lies in its "family-style" operation. The modern system has become an empty shell, and individual decisions have replaced team decisions, leading to great mistakes in investment. Even when Guangdong Group decided to acquire Samsung and Zhanjiang City decided to agree, Luo Ping, a member of the Standing Committee of the Municipal Party Committee, still went his own way and refused to be acquired. Samsung's fate is doomed to failure.

No matter Li Xiusen, Luo Ping, or another group of business leaders in Zhanjiang at that time, they all grew up in this land of Zhanjiang, and they all have deep local cultural roots. At the same time, in the era when they were engaged in business, most enterprises around the country pursued "family-style" management, and this combination of external environment and internal cultural essence became their work-Family Empire. Zhanjiang's "family-owned" enterprises were established in the 1980s, when planned economy and market economy were dual-track, and the market was still underdeveloped. At that time, as long as you were open-minded, courageous and willing to spend money on relationships, corporate loans were easy to get and product sales were easy to solve. In this way, a number of enterprises went up. In the 1980s, Zhanjiang's prosperous enterprise economy appeared. But in the 1990s, especially when the macro-control and various system reforms deepened and the market economy system was relatively mature, the "courage economy" and "relationship economy" were desperate, and the enterprises established under the "family-style" economic system could not adapt to the competitive situation. Due to cultural limitations, the original generation of operators who broke out in the 1980s could not complete the construction of modern enterprise system in Zhanjiang. Although the government has taken many positive measures to promote the reform of enterprise system, Zhanjiang enterprises could not really enter the market in the 1990s and could not adapt to the market competition, and Zhanjiang's enterprise economy suffered a fiasco in the 1990s.

In the future, the important task of building Zhanjiang's modern economy will fall on a large number of new generation entrepreneurs influenced by modern economic theory.