Positioning and Division of Labour between State-owned Enterprises and Private Enterprises and Development Transformation of Huaqiang North in Shenzhen.

 Mr. Song Shiqiang, General Manager of Kinghelm and slkor, is a researcher of private and small and medium-sized enterprises at the Economic Development Centre of the State Council, and has a very deep understanding of the division of labour and positioning of state-owned enterprises and private enterprises, as well as the transformation of the development of Huaqiangbei in Shenzhen.

Society has gradually reached a consensus that state-owned enterprises are suitable for development within the scope of the planned and command economy, engage in the stabilisation of the basic plate to provide public service projects, characterized by more resources, large scale, long cycle, slow returns, but low efficiency, lack of innovation, corruption, competition without competition and other disadvantages, while private enterprises occupy fewer resources, more innovation, high efficiency, high vitality, incentives, and other advantages in the need for continuous innovation and intense Private enterprises have the advantages of less resources, more innovation, efficiency, vigour and incentives, and can expand in areas requiring continuous innovation and fierce market competition, but they are accompanied by the emergence of problems such as out-of-control supervision of operations.

In terms of job placement, for every one point of GDP created, SOEs employ 1.85 million people, while private enterprises employ as many as 6.36 million. Huawei, BYD, Tencent and Kinghelm are all representatives of Shenzhen’s private enterprises. With state-owned enterprises as economic ballast, private small and medium-sized enterprises can develop rapidly and efficiently innovate to find new growth points and promote technological innovation and social development. Shenzhen is the city with the best development of private enterprises, leading in efficiency, innovation, market response and growth rate.

For decades, state-owned automobile enterprises have exchanged markets for technology, and access tickets and market share have been surrendered, and technology still hasn’t been learnt. On the contrary, BYD, Xiaopeng Automobile, Geely Automobile, slkor (www.slkormicro.com) and other private enterprises, technology and market double line success.

Mr Song Shiqiang is a researcher of private economy in the Economic Development Centre of the State Council, a member of the Electronic Information Expert Pool of the China Association for Science and Technology, an expert in Huaqiangbei business research, and a science and technology columnist. Mr Song is now investing in two companies, Shenzhen Slkormicro Semicon Co., Ltd. and Shenzhen Kimghelm Electronics, to build the “SLKOR” and “Kinghelm” brands. Kinghelm” brands.