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By Zhou Jianqi, Enterprise Research Institute, DRC; Qu Qingchao, Economic Commission of Beijing People’s Political Consultative Conference; & Pan Gaoyuan, School of Applied Economics, Renmin University of China

Research Report, No.158, 2020 (Total 5902) 2020-6-24

Abstract: Based on the information collected from 130 million businesses registered on the “Market Entity Big Data Platform”, this paper analyzes the activity of China’s newly-founded enterprises through three indexes including the number of enterprises, the amount of registered capital and recruitment via the Internet. The research findings show that in the first four months of this year, China’s newly-founded enterprises were less active compared with that of last year. The number of newly-founded enterprises, the volume of registered capital and the recruitment via the Internet were further depressed year on year. In April, the number of China’s newly-founded enterprises and the amount of their registered capital turned from negative to positive year on year, while the decreasing number of recruitment via the Internet in most of the newly-founded enterprises became eased. The lingering impact caused by COVID-19 pandemic has cast a shadow on the following fields: the total recovery of the economic growth is facing great difficulty; those newly-founded enterprises are not running well; key industries are struggling with serious problems; 90 percent of the newly-founded private enterprises with 80 percent of the total registered capital see a lower level of activity; the performance of newly-founded foreign companies is sluggish.

Keywords: activity of newly-founded enterprises, total momentum, registered capital, Internet, recruitment via the Internet