Reform of state-owned enterprises
Unlike previous reforms, the current reform measures focus on innovation, and aim to sharpen the competitive edge of SOEs by tapping into their innovative potential, so as to build world-class enterprises and brands in response to the drive for economic structural upgrading. To this end, business integration and reorganization is essential. Some SOEs that use too much energy and produce too much pollution are being phased out. Another important reform measure is to expand market access in areas where SOEs used to enjoy monopolies, so as to allow private capital to have more opportunities to compete.