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The Chongqing Model and the Future of China Case Solution

Solution Id Length Case Author Case Publisher
962 605 Words (3 Pages) Meg Rithmire Harvard Business School : 713028
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The Chongqing Model is a benchmark Model that has set a standard and an example for the whole world to see and adapt in order to bring positive changes in one’s country. Chongqing is a province in China that went under rigorous reforms with respect to economic and social policies. It was one of the most potent provinces of China but ignored for a long time with respect to development. Under the exemplary leadership of Bo Xilai, Chongqing helped boost up the economy of the China, bring infrastructural development, limit corruption and help the rural areas and people of China.

Following questions are answered in this case study solution

  1. Introduction

  2. Strategic Alternatives

  3. Recommended Action Plan

Case Analysis for The Chongqing Model and the Future of China

Strategic Alternatives

In order to help Chongqing get out of the economic and social turmoil, Bo Xilai could have formulated and adopted policies that could help eradicate the cause of the problems. One of the ways to help the people of Chongqing come out of economic problems is to help develop and invest on the infrastructure. This investment and development of the infrastructure can give jobs to the residents of the province and also attract foreign direct investment in the region. This foreign direct investment can further create a job market of better positions for the residents. The infrastructural development can further lead to the betterment of the social standards and lifestyles of the people.

Another alternative to help cope with the social well-being of the people of Chongqing is to help provide the opportunities that are available in the urban areas of the China. This could be a way to stop the massive migration of people from rural areas to urban areas. This can be done by eliminating corruption from individual to organizational level. Investment and reform in the living standards of people can help develop the society and well-being of the individuals. The social welfare reforms of individuals can be brought by setting up financial centers for the local people which could aid them financially to set up their own small businesses. Provision of financial independence can also help eliminate corruption and build confidence among individuals. The societal reforms can also be accomplished by providing facilities in the rural areas that are already there in the urban areas. This facilitative movement can help sort out the migration and the problems arising from it.

Recommended Action Plan

Bo Xilai invested in the development of the rural areas in order to build the infrastructure. This investment reaped benefits on two folds. One, it helped reduce the migration of individuals from rural to urban areas. Second, the infrastructural problems were solved and helped attract the foreign investors to invest and promote economy. The development of the infrastructure helped the locals be in power of their own destiny by working for their own self.  Foreign investment helped create jobs for the local residents, another reason to avoid migration to urban areas. It also helped in the social and economic well being of the residents by eliminating pressure on the urban population. The elimination of problems from both rural and urban areas of the China helped in boosting the economy of the country as a whole.

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