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Qiao Liu, Li Ma, Yao Tang, and Qiaowei Shen

The level of China's economic growth over the past 40 years cannot be described as anything less than astounding. With an economy less than 10% the size of the United States in 1978, it has since grown to become the world's second largest economy (as measured by nominal GDP). Despite China's importance to the global economy and to international business, many learners do not have the opportunity to study the country and its markets unless they enroll in specialized university coursework. Peking University's Guanghua School of Management created this course to make the topic of China's development more accessible through a collaboration with the World Bank's Open Learning Campus.

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The level of China's economic growth over the past 40 years cannot be described as anything less than astounding. With an economy less than 10% the size of the United States in 1978, it has since grown to become the world's second largest economy (as measured by nominal GDP). Despite China's importance to the global economy and to international business, many learners do not have the opportunity to study the country and its markets unless they enroll in specialized university coursework. Peking University's Guanghua School of Management created this course to make the topic of China's development more accessible through a collaboration with the World Bank's Open Learning Campus.

Guanghua's professors will unpack China's development over five weeks, first giving an overview of China's economic growth as context before addressing private equity, real estate financing, banking, the stock market, wealth management, and other topics associated with China's financial markets. The final two weeks will focus on providing an overview of the business environment in China, including fintech, consumer characteristics, internet companies and the digital economy, and entrepreneurship and innovation. By the end of the course, learners should have a firm grasp of successes China has seen during its development as well as challenges it must still overcome.

The information provided in this course will be useful for learners involved in international business, economics, or finance; learners interested in Asia; and learners from the government sector looking for new ideas to apply in their own countries.

What you'll learn

Economics and Finance

  • China's economic growth trajectory since the beginning of its reform and opening up period
  • The evolution of China's financial industry, including the role finance has played in economic growth, the importance of the banking sector, and the development of China's stock market
  • Sources and types of financing across the Chinese market, the private equity market, and real estate financing

Doing Business in China

  • Context on the business landscape in China, including characteristics of Chinese enterprises, the entrepreneurial environment, and current state of innovation
  • Trends in digitalization and the adoption of Fintech
  • The emergence of e-commerce and the structure of China's internet companies
  • Factors influencing the behavior of Chinese consumers
  • Management and leadership in a Chinese context

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What's inside

Learning objectives

  • The evolution of china's financial industry, including the role finance has played in economic growth, the importance of the banking sector, and the development of china's stock market
  • Sources and types of financing across the chinese market, the private equity market, and real estate financing
  • Trends in digitalization and the adoption of fintech
  • The emergence of e-commerce and the structure of china's internet companies
  • Factors influencing the behavior of chinese consumers
  • Management and leadership in a chinese context

Syllabus

China’s Economy
Session 1.1 Introduction to the Chinese Economy
Session 1.2 China’s Monetary Policy
Session 1.3 China’s Government Finance
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Session 1.4 Trade and FDI of China
Session 1.5 Fiscal Policy of China
Finance in China – Part 1
Session 2.1 Chinese Finance: An Overview by Numbers
Session 2.2 Assessment: Good Finance vs. Bad Finance
Session 2.3 Banking Sector and Shadow Banking
Session 2.4 Chinese Stock Market
Session 2.5 Local Government Finance
Finance in China – Part 2
Session 3.1 Private Equity in China
Session 3.2 China’s Real Estate Market and Real Estate Financing
Session 3.3 Wealth Management in China
Session 3.4 Fintech in China
Session 3.5 The Future of the Chinese Finance
Business in China – Part 1
Session 4.1 Chinese Companies in Motion: An Overview with Numbers
Session 4.2 How E-commerce Thrived in China
Session 4.3 Models of Chinese Internet Companies
Session 4.4 Chinese Consumers and Brands in the Mobile Era
Session 4.5 Competition over Platform in China
Business in China – Part 2
Session 5.1 The Evolution of Chinese Enterprises and Management: An Overview with Numbers
Session 5.2 The Innovation of Chinese Enterprises
Session 5.3 Chinese Entrepreneurs and Executives
Session 5.4 Managing Chinese Employees: Past, Present, and Future
Session 5.5 Business Across Chinese Borders
*Each session is followed by a quiz.
Dr. Yuntao Dong
Yuntao Dong joined the Guanghua School of Management in 2019, as an Associate Professor of Organization and Strategic Management. Her research interest relies in leadership, creativity and innovation, and emotion management and emotional labor.
Dr. Li Jin
Li Jin currently serves as Chair Professor of Finance at Guanghua School of Management in Peking University. He is the Director of the National Centre for Financial Research at Peking University, as well as the Director of the Management Case Research Centre at Peking University. In the past, he has been a finance professor at the Harvard Business School and also served as an executive committee member of the Fairbank Centre for East Asian Research at Harvard University. He currently also serves as Professor of Finance at Oxford University Saïd Business School, and is a member of Oxford University China Centre. His research areas cover investment and finance, corporate governance, wealth management, family trust etc.
Dr. Laura Xiaolei Liu
Laura Xiaolei Liu is a Professor of Finance at the Guanghua School of Management, Peking University. She is the leading expert in finance and the Department Chair. Her work has been published in leading academic journals including Journal of Political Economy, Journal of Finance, Review of Financial Studies, Journal of Monetary Economics, and Management Science. She is the author of “Blockchain Community: A new form of organizational model”, “World Bank policy evaluation and developing economics”, she is also the coauthor of “Real Estate Boom and Misallocation of Capital in China”, which was presented at China International Conference in Finance in 2018 and American Financial Association conference in 2017 and Financial International Research Society Conference in 2017. Professor Liu is also the Funding member in China Finance Research Forum.
Dr. Ruichang Lu
Ruichang Lu, Associate Professor at the Department of Finance, Guanghua School of Management, Peking University. He received the Ph.D. degree in Finance from NUS Business School, National University of Singapore. His research interest covers Banking, Financial Intermediaries, Corporate Finance.
Dr. Fei Ren
Fei Ren is a Professor of Information Systems at the Department of Management Science and Information Systems, Guanghua School of Management, Peking University. She obtained bachelor’s degree in Computer Science and master’s degree in Finance both from Peking University, and Ph.D. in Management (Information Systems) from University of California, Irvine. Professor Ren's research interests include IT business value, e-commerce, social media marketing, and user online behavior. Her research has appeared at leading academic journals such as Information Systems Research and Journal of Management Information Systems. Professor Ren currently teaches Electronic Commerce, Business Simulation, and Information Systems Research Methods for undergraduate, MBA, and graduate students.
Dr. Run Ren
Run Ren is an Associate Professor at the Guanghua School of Management, Peking University, China. She got her Ph.D. in Management from Texas A&M University. Her research interests include organizational justice, creativity, leadership, and human resource management. Her work has appeared in journals such as Journal of Applied Psychology, Personnel Psychology, Journal of Business Ethics, Journal of Organizational Behavior, Journal of Vocational Behavior, Journal of Occupational and Organizational Psychology, etc.
Dr. Jiangmin Xu
Jiangmin Xu is currently an Associate Professor of Finance at the Guanghua School of Management. He got his Ph.D. in Economics from Princeton University in 2009 and received his bachelor’s degree in Economics from the University of Cambridge. Dr. Xu’s research areas include Asset Pricing, Empirical Finance, Behavior Finance and Financial Econometrics.
Dr. Xiwei Yi
Xiwei Yi received her master’s degree from Peking University in 2011 and her Ph.D. degree from Rice University in 2016. She is now an Assistant Professor of the Department of Organization and Strategic Management at the Guanghua School of Management, Peking University. Her research interests focus on digitalization transformation, health care industry and growth of new ventures. Her research has been published in top-tier journals such as the Academy of Management Journal and the Strategic Management Journal.
Dr. Ying Zhang
Ying Zhang is an Associate Dean and Professor of Marketing and Behavioral Science at the Guanghua School of Management. Professor Zhang received his PhD from the Booth School of Business at University of Chicago. He does research in market strategy, branding and customer relationship management and has published extensively in both marketing and psychology.
Dr. Yu Zhang
Yu Zhang is an Assistant Professor of Finance at Guanghua School of Management, Peking University. He received a Ph.D. degree in economics from Princeton University after studying at the Department of Economics and the Bendheim Center for Finance. His research focuses on the intersection of macroeconomics and finance, with applications on housing, household finance, asset pricing, and supply chain finance.
Dr. Zhixue Zhang
Zhixue Zhang is a Professor of Organization and Strategic Management, the Director of Center for Research in Behavioral Science, and the Director of Management Innovation Interdisciplinary Research Platform at the Guanghua School of Management, Peking University. He got his Ph.D. degree in Social Psychology from the University of Hong Kong. He was a research fellow at the Hong Kong Polytechnic University in 1997-2000, a visiting scholar at the Kellogg School of Management, Northwestern University in 2001-2002, a Freeman Fellow at the University of Illinois at Urbana-Champaign in 2006-2007, a visiting professor at the Stockholm University in 2011-2013, and an adjunct professor in the Faculty of Business and Economics, University of Hong Kong in 2017-2019. In 2009, he was awarded the Distinguished Young Scholar Fund by the National Natural Science Foundation of China. He is currently the president-elect of International Association for Chinese Management Research (IACMR), and the president since June 2020.

Good to know

Know what's good
, what to watch for
, and possible dealbreakers
Covers topics that are relevant for individuals who want to do business in China
Taught by a faculty from the Guanghua School of Management, which is highly respected in the business and finance fields
Examines factors that influence the behavior of Chinese consumers, which is highly relevant for businesses operating in China or targeting Chinese consumers
Provides an overview of the Chinese business environment, which can be beneficial for learners who want to understand the context in which Chinese businesses operate
Develops an understanding of the evolution of China's financial industry and its role in economic growth, which is essential for anyone interested in China's financial markets
Learners should note that this course requires a basic understanding of economics and finance

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Activities

Be better prepared before your course. Deepen your understanding during and after it. Supplement your coursework and achieve mastery of the topics covered in Development in Emerging Economies: The Case of China with these activities:
Review basic concepts in microeconomics
Refreshes foundational knowledge in microeconomics, providing a stronger basis for understanding the course's more advanced concepts.
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  • Review lecture notes or textbooks on basic microeconomic concepts
  • Solve practice problems or take quizzes to test your understanding
Follow along with Tsinghua University's 'Introduction to Chinese Economy' Course
Provides a comprehensive foundation in China's economic system and history, complementing the course's focus on finance.
Show steps
  • Enroll in the course on edX
  • Watch the lecture videos
  • Complete the assignments
Solve practice problems on Chinese company valuation
Reinforces the concepts of financial analysis and valuation as applied to Chinese companies, enhancing practical skills.
Browse courses on Valuation
Show steps
  • Find practice problems on Chinese company valuation
  • Solve the problems using the appropriate methods
  • Check your answers and identify areas for improvement
Five other activities
Expand to see all activities and additional details
Show all eight activities
Participate in a study group to discuss case studies on Chinese business
Provides opportunities for collaborative learning, sharing of perspectives, and critical analysis of real-world business scenarios in China.
Browse courses on Case Studies
Show steps
  • Form a study group with classmates
  • Select a case study on Chinese business
  • Prepare for the discussion by reading the case and researching the topic
  • Participate actively in the discussion, sharing your insights and listening to others' perspectives
Compile a list of resources on Chinese economic and financial data
Provides a valuable reference for future research and analysis related to China's economy and financial markets.
Browse courses on Economic Data
Show steps
  • Search for credible sources of Chinese economic and financial data
  • Organize the data into a structured and accessible format
  • Create a document or spreadsheet to compile the resources
Write a summary of a research paper on China's financial development
Enhances understanding of the empirical research methods and findings in China's financial sector, complementing the course's theoretical framework.
Show steps
  • Select a research paper on China's financial development
  • Read and understand the paper
  • Write a summary of the paper's main findings and implications
Volunteer at a local Chinese business or organization
Provides practical experience and insights into the Chinese business environment, complementing the course's theoretical discussions.
Show steps
  • Identify local Chinese businesses or organizations where you can volunteer
  • Contact the organization and inquire about volunteer opportunities
  • Complete the necessary training and background checks
  • Volunteer regularly and actively participate in the organization's activities
Contribute to open-source projects related to Chinese finance or business
Enhances technical skills and provides practical experience in applying the concepts learned in the course, while contributing to the open-source community.
Browse courses on Open Source
Show steps
  • Identify open-source projects related to Chinese finance or business
  • Review the project's documentation and codebase
  • Identify areas where you can contribute
  • Submit your contributions and collaborate with other developers

Career center

Learners who complete Development in Emerging Economies: The Case of China will develop knowledge and skills that may be useful to these careers:
Economist
Economists study the production, distribution, and consumption of goods and services. They use their knowledge of economics to advise businesses, governments, and other organizations on economic policy. This course may be useful for you as an economist because it will help you build a foundation in economics and finance. You will also learn about the Chinese economy, which is one of the largest and most important in the world.
Investment Banker
Investment bankers help companies raise capital by issuing stocks and bonds. They also advise companies on mergers and acquisitions. This course may be useful for you as an investment banker because it will help you build a foundation in economics and finance. You will also learn about the Chinese financial industry, which is one of the largest and most important in the world.
Portfolio Manager
Portfolio managers manage investment portfolios for individuals and institutions. They make investment decisions based on their knowledge of economics, finance, and the markets. This course may be useful for you as a portfolio manager because it will help you build a foundation in economics and finance. You will also learn about the Chinese financial industry, which is one of the largest and most important in the world.
Risk Manager
Risk managers identify and manage risks that could affect an organization's financial performance. They develop and implement risk management strategies to mitigate these risks. This course may be useful for you as a risk manager because it will help you build a foundation in economics and finance. You will also learn about the Chinese financial industry, which is one of the largest and most important in the world.
Venture Capitalist
Venture capitalists invest in early-stage companies with high growth potential. They provide funding and support to help these companies grow and succeed. This course may be useful for you as a venture capitalist because it will help you build a foundation in economics and finance. You will also learn about the Chinese venture capital market, which is one of the largest and most important in the world.
Certified Financial Planner
Certified Financial Planners (CFPs) help individuals and families plan for their financial future. They provide advice on investments, retirement planning, estate planning, and other financial matters. This course may be useful for you as a CFP because it will help you build a foundation in economics and finance. You will also learn about the Chinese financial industry, which is one of the largest and most important in the world.
Banking Analyst
Banking analysts provide research and analysis on companies and industries to help banks make investment decisions. They also work with clients to develop financial plans and manage their investments. This course may be useful for you as a banking analyst because it will help you build a foundation in economics and finance. You will also learn about the Chinese financial industry, which is one of the largest and most important in the world.
Financial Analyst
Financial analysts provide research and analysis on companies and industries to help investors make investment decisions. They also work with companies to develop financial plans and manage their investments. This course may be useful for you as a financial analyst because it will help you build a foundation in economics and finance. You will also learn about the Chinese financial industry, which is one of the largest and most important in the world.
Real Estate Analyst
Real estate analysts provide research and analysis on real estate markets and properties. They help investors make investment decisions and advise developers on development projects. This course may be useful for you as a real estate analyst because it will help you build a foundation in economics and finance. You will also learn about the Chinese real estate market, which is one of the largest and most important in the world.
Financial Manager
Financial managers oversee the financial operations of organizations. They are responsible for budgeting, financial planning, and investment decisions. This course may be useful for you as a financial manager because it will help you build a foundation in economics and finance. You will also learn about the Chinese financial industry, which is one of the largest and most important in the world.
Chief Financial Officer
Chief financial officers (CFOs) are responsible for the financial management of an organization. They oversee the organization's financial planning, budgeting, and investment activities. This course may be useful for you as a CFO because it will help you build a foundation in economics and finance. You will also learn about the Chinese financial industry, which is one of the largest and most important in the world.
Wealth Manager
Wealth managers provide investment advice and financial planning services to high-net-worth individuals and families. They help their clients manage their wealth and achieve their financial goals. This course may be useful for you as a wealth manager because it will help you build a foundation in economics and finance. You will also learn about the Chinese wealth management market, which is one of the largest and most important in the world.
Securities Trader
Securities traders buy and sell stocks, bonds, and other financial instruments for clients. They use their knowledge of the markets to make profitable trades. This course may be useful for you as a securities trader because it will help you build a foundation in economics and finance. You will also learn about the Chinese financial industry, which is one of the largest and most important in the world.
Actuary
Actuaries are responsible for assessing risk and uncertainty. They use their knowledge of mathematics, statistics, and finance to develop and implement solutions to manage risk. This course may be useful for you as an actuary because it will help you build a foundation in economics and finance. You will also learn about the Chinese financial industry, which is one of the largest and most important in the world.
Chief Executive Officer
Chief executive officers (CEOs) are responsible for the overall leadership and management of an organization. They set the strategic direction of the organization and make decisions that affect all aspects of its operations. This course may be useful for you as a CEO because it will help you build a foundation in economics and finance. You will also learn about the Chinese business environment, which is one of the most dynamic and challenging in the world.

Reading list

We've selected 16 books that we think will supplement your learning. Use these to develop background knowledge, enrich your coursework, and gain a deeper understanding of the topics covered in Development in Emerging Economies: The Case of China.
Provides background on China's economic miracle, its development strategy, and economic reform since the 1978 reforms that opened the country up to the West.
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Provides a comprehensive overview of China's economic development from its early days to the present. It valuable resource for understanding the historical context and theoretical underpinnings of China's economic rise, which key topic covered in the course.
Offers a detailed analysis of China's economic reform and development strategies. It provides insights into the policy decisions and institutional changes that have contributed to China's rapid economic growth, as discussed in the course.
Provides a detailed analysis of Chinese consumer behavior and trends. It offers valuable insights into the unique characteristics of Chinese consumers, their shopping habits, and the implications for businesses operating in China, which is covered in the course's discussion on factors influencing the behavior of Chinese consumers.
Offers a comprehensive overview of the private equity market in China. It provides a detailed analysis of the key players, investment strategies, and regulatory environment, which are relevant to the course's discussion on sources and types of financing in the Chinese market.
This ancient Chinese military treatise is also applicable to business strategy. It provides valuable insights on deception, negotiation, and strategic planning. The course briefly touches upon management and leadership in a Chinese context which makes 'The Art of War' a valuable reference point.
While not directly related to the course content, it useful resource for understanding power dynamics. Greene provides valuable insights on political strategies, manipulation techniques, and social psychology, which can be applied to various aspects of business, including negotiation and leadership, as discussed in the course.
Provides a practical guide to building successful startups using the lean methodology. It emphasizes customer feedback, experimentation, and iterative product development, which are valuable principles for entrepreneurs in China and beyond.
Provides a framework for developing effective business strategies. It emphasizes clarity, focus, and alignment, which are essential for success in any business environment, including China.
Provides insights into fostering creativity and innovation in organizations. It emphasizes the importance of creating a supportive culture, encouraging risk-taking, and embracing failure, which is relevant to the course's discussion on management and leadership in a Chinese context.
Provides insights into the psychology of success. It emphasizes the importance of having a growth mindset, embracing challenges, and learning from mistakes, which is valuable for entrepreneurs and business leaders in China and beyond.
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Provides insights into the importance of grit, passion, and perseverance for achieving success. It emphasizes the role of effort, resilience, and long-term commitment, which is valuable for entrepreneurs and business leaders in China and beyond.

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