PESTLE ANALYSIS OF CHINA

Noman Ghalib
Azam Jahangir

Introduction

Capital:-

Beijing

World's

second-largest country by land area,and the third- or

fourth-largest in total area.

Area:

14,500 kilometres

Population:(over

Currency:

1.3billion)

1 chine's Yuan = 15.80 Pakistani rupees

Political factors

Government type:

Nominally MarxistLeninist single-party state. The People's Republic

of China is a single-party state governed by the Communist Party of
China.

tariffs are high, but on decreasing slope.

stable political environment

Economic factors

GDP:- $11.316 trillion

GDP growth:- 9.5%

Per capita:- $8,394

Unemployment Rate:- 6.1%

Inflation rate:- 3.2%

Population below poverty line 10%

Tax rate for foreign investments 30% national & 3% local rate for production business
and 20% for others(interest, rent, license, utilization)

Current account balance : $296.2billion (2009) worlds largest

Reserves of foreign exchange :$2.206 trillion (2009)

Economic Factors

Labor force: 815.3 million (2010); agriculture 10.2%,

industry 46.9%, services 43% (2010 est.).

Labor costs are low

Exports: $1.581 trillion

Imports: $1.327 trillion

Revenues:$ 972.3 billion

Expenditures:$ 1.137 trillion (2009)

The industrial production growth rate is 8.1%(2009)

Socio-cultural factors
Age structure (Yrs)
13.26 16.6

0-14
15-60
60+

70.14

51.27 percent male & 48.73 percent female of the total

population.

Literacy rate:- 92.8%

Religions:
Buddhism(50%), Taoism(30%), and Chinese folk religions &
others(Muslim 1.5-2%,Christian 3-4%)

The

average income in east china

is 2.26 times then west of china

Chinese

prefer first mover.

Environmental factors
Over

reliance on coal which

produces acid rain.
Water shortage
Climate vary from region to
region
Natural disasters (floods,
earthquakes)
Clean energy, low carbon
technology

Technological factors

Internet users:-500 million (2011)

Airports :- 482(2009)

Railway worlds third largest system

Roadway 3583,715km(2007) world second largest

China Telecom alone serves 55 million broadband subscribers

Tianhe-1A worlds fastest supercomputer

In 2011, China unveiled a prototype train

Technology is becoming cheaper

Telephone system is on worlds number one