Summary of Chinese Economist Wu Xiaobo's Eight Predictions for 2018

Looking for the article?
We have the summary! Get the key insights in just 5 minutes.

Chinese Economist Wu Xiaobo's Eight Predictions for 2018 summary
Start getting smarter:
or see our plans




  • Innovative
  • Applicable
  • Insider's Take


Chinese finance guru and top financial commentator Wu Xiaobo possesses the uncanny ability to predict financial trends in China. China Business Web finance columnist Li Kunkun distilled Wu’s annual analysis and forecast into a succinct transcript. With China being in an economic and technological transition period, these are unprecedented times for entrepreneurs and venture capitalists. getAbstract recommends this must-read to them and all readers interested in Asian economics, investments and technology.

About the Author

Li Kunkun is an op-ed columnist for China Business Web, the online representation of China Business Journal, covering finance and politics.



Five economic trends emerged in China in 2017:

  1. The middle class is becoming mainstream – 240 million Chinese now make up the country’s middle class, making it the main force behind China’s consumer economy. Discerning shoppers from this sector now eschew long-established brands and prefer companies who can deliver artisanal and aesthetically pleasing products.
  2. International acquisitions are growing exponentially – In 2017, China was the country with the greatest volume of mergers and acquisitions. After China’s acquisitions of German private enterprises had increased eight-fold in 2016, the German federal government passed laws to keep non-EU takeovers in check. China was clearly the target of that legislation.
  3. Growing financial unease – Lucrative investment opportunities in the public market are waning. In 2017 the number of IPOs increased, but speculative stocks imploded. One investment company on the National Equities Exchange famously reached a valuation of ¥130 billion ($20.2 billion). It then lost 98%-99% of its value almost overnight, which resulted in its delisting. With controls from China’s ...