Liu Huanquan, the director of Guangdong Provincial Small and Medium-sized Enterprises Bureau, told Guangzhou Daily yesterday that 7,148 enterprises in total closed in Guangdong in the first three quarters of this year.
According to statistical data, most of the businesses that closed were located in the Pearl River Delta Area, covering low-tech and high energy consumption industries such as textiles and construction materials. Limited by small scale and low technology, these businesses could not adapt to the difficulties caused by the global financial crisis, but some went bankrupt because of inefficient management and imprudent investment, said Liu.
There are also other SMEs that actively responded to the government's call—consciously optimizing operations and seeking development opportunities in other places. For instance, 407 SMEs closed in Huizhou, and a quarter of them chose to move elsewhere from the former industrial cluster.
Fore more details, please read the full story in Chinese:
http://gzdaily.dayoo.com/html/2008-11/17/content_378774.htm
(China.org.cn November 17, 2008)
