China’s business services industry continues to play an increasingly prominent role in its economic growth – as an inevitable consequence of the country’s upwards shift in the value chain.
The business services industry includes legal services, business travel services, information consulting, advertising services, public relations services, education and training, franchising, financial services, insurance and financial management, and many more industries. The business service industry is an important sector of China’s economic development.
Presently, China’s regulation of the business service industry market is relatively loose. The local business service enterprises are still in the process of developing, most of their organizational structure is not sound.
China is currently encouraging the development of business services, China’s 2020 National Negative List has cut down on the number of measures restricting foreign investment access in financial, infrastructure, and other services sectors. Some cities such as Beijing have unveiled a series of new measures, including the supplementary of wholly foreign-owned enterprises to apply to become the private fund manages, allowing foreign banks to obtain a fund custody license, to encourage foreign investment into the Chinese business service industry.