China, relation of State and Big Business, versus relation with small companies

Crackdown on Tech Sector seen as an anti-private sector movement. Trying to weaken the private sector.

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Pushback against the Private Sector when it gets too big, when it no longer serves the State's interest, but at the same time, when it comes to small private sector firms, the government keeps talking about just how important they are to its vision of longterm prosperity.

Not particularly in favor of large private firms because State loses control, the companies do things that we don't think are in the national interest, they exploit the effective monopoly that they have over the industries they've built up, but small private firms on the other hand, they are innovative, they are the ones that are responsible for driving employment in urban areas, they generate economic growth and specifically household wealth. Common prosperity. We need to give small firms the economic opportunity to succeed and to generate their own wealth.

Big companies have become large land owners one way or another, and when the State says you have to give a rent holiday, they haven't been doing it enough. Vested interests.

How wealth is allocated throughout the System.

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Was due to end his term.

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Before, China was allowing some individuals to 'get rich first' with big companies, but now is shifting to 'proserity for all.'

It's expected the CCP will have more say in companies and companies will have to fall in line.

Xi recently said people should shun 'unreasonable' or 'excessive' income, and that the rich should 'give back to society more.'

This means lower education costs, caps on the commission ride share companies can take (done through transport ministry) to keep transportation costs lower, and higher wages for workers.

China is also going to do a 'consumer data' data privacy internet bill.

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