What is the average life expectancy of enterprises in China?

The average life span of group enterprises in China is 7 or 8 years, while that of small enterprises is 2.9 years, and nearly 1 10,000 enterprises close down every year.

Liu Xingguo, a researcher from the Research Department of china enterprise confederation, published an article "Why is the average life span of enterprises in China short?" in Economic Daily on June 20/KLOC-0. A sample survey shows that the average life expectancy of private enterprises in China is only 3.7 years, and that of small and medium-sized enterprises is only 2.5 years. The average life expectancy of SMEs in the United States and Japan is 8.2 years and 12.5 years respectively.

In addition, according to the data published in "20 12 white paper on human resource management of small and medium-sized enterprises in China", the average life span of small and medium-sized enterprises in China is only 2.5 years, while that of group enterprises is only 7 or 8 years. In an article in Fuzhou Evening News 20 14, statistically speaking, the life span of small and micro enterprises in China is less than 3 years. Some people say that the average life span of small and medium-sized enterprises in China is only 3.7 years, among which small and micro enterprises are less than 3 years.

Extended data

From the inside of the enterprise, subjective factors from the enterprise and entrepreneur level determine that it is difficult for China enterprises to cross the growth bottleneck and achieve sustainable development.

On the one hand, compared with European and American countries, entrepreneurs in China have inherent disadvantages and deficiencies: the popularity of higher education in European and American countries is obviously higher than that in China, the cultural quality of entrepreneurs is generally higher than that in China, the entrepreneurship education system in European and American countries is developed, and universities generally offer entrepreneurship education courses, while China only began to pay attention to entrepreneurship education in recent years;

Application-oriented universities in Europe and America account for as much as 80%, and are committed to cultivating technical talents with practical ability. However, university education in China generally blindly pursues the cultivation of academic talents, and most university graduates are neither proficient in academics nor good at application, so it is difficult to effectively combine what they have learned with entrepreneurial practice.

Entrepreneurs should be a group of risk lovers, who can cope with uncertainty through continuous innovation. However, a large number of entrepreneurs in China do not respect entrepreneurship, but are impetuous, trying to get rich overnight, and it is difficult to expect them to lead enterprises to achieve sustainable development.

On the other hand, China's start-ups lack self-growth ability, which is not enough to support the sustainable development of enterprises: China's start-ups are concentrated in catering, wholesale and retail services, low-end consumer goods manufacturing and other industries, which have low thresholds, fierce competition and rapid changes in demand, making it difficult for entrepreneurs to create differentiated advantages to achieve long-term development;

Continuous innovation is the inevitable requirement of current enterprise competition, but small and medium-sized enterprises in China generally lack innovation consciousness, are unwilling to invest in innovation and equipment transformation, have low added value of products and services, and have limited profit space, so it is difficult to achieve sustainable development through self-accumulation.

From the outside of the enterprise, the imperfect enterprise development environment is the external cause that hinders the sustainable growth of new enterprises in China. Over the past 30 years of reform and opening up, China's political and economic system reform has made outstanding achievements, and the external environment for enterprise development has been greatly improved compared with the past, but there is still a certain gap with the requirements of mature market economy.

Financing is difficult and expensive, which is a big problem faced by small and medium-sized enterprises in China. Only a few small and medium-sized enterprises can successfully obtain credit support from banks, and the financing cost is obviously higher than the benchmark interest rate of banks. The comprehensive financing cost of some small and micro enterprises is even above 20%.

A large number of small and medium-sized enterprises died not from fierce competition, but from the drag of high financing costs. The cost of "crossing the bridge" and the outbreak of interconnection and mutual insurance risks further pushed up the mortality rate of small and medium-sized enterprises. Some fast-expanding start-ups, because they can't get financing support in time, die unexpectedly because of the break of capital chain.

People's Daily Online-Liu Xingguo: Why is the average life span of Chinese enterprises short?