[Digital economy] Top 500 private enterprises have large size and high quality

Which private enterprise is strong? The list of the top 500 private enterprises in China in 2023 released by the All China Federation of Industry and Commerce shows that in 2022, the threshold for the top 500 private enterprises to be shortlisted will rise to 27.578 billion yuan, an increase of 1.211 billion yuan over the previous year. Jingdong Group, Alibaba (China) Co., Ltd. and Hengli Group Co., Ltd. rank top three in the list. There are 11 enterprises with total assets of more than 500 billion yuan, and 28 enterprises are listed in the world's top 500.

The "Top 500 Private Enterprises in China", based on the principle of voluntary declaration of enterprises, forms a list according to the operating income indicators of the enterprises participating in the survey last year, which has certain limitations. However, from this important window, we can roughly see the development and changes of China's private economy. In 2022, under the background of multiple uncertainties at home and abroad, as the "first array" of private enterprises, the top 500 will strive to achieve steady growth in overall scale, accelerate transformation and upgrading, and once again prove the strong resilience and vitality of China's private economy.

Private economy is the main field of entrepreneurship and employment, an important subject of technological innovation, and an important source of national taxes. The development and expansion of the private economy is not only related to the enterprise itself, but also to the overall development of China's economy.

In the field of manufacturing, private enterprises are the real main force. The list shows that the industrial structure of the top 500 private enterprises is still dominated by the secondary industry, of which the number of manufacturing enterprises shortlisted accounts for more than 60%, and the total operating income, total assets, total taxes, employment and other indicators have significantly increased compared with the previous year. Private enterprises also play an increasingly important role in technological innovation and industrial upgrading. Among the top 500 private enterprises, 414 enterprises' key technologies mainly come from independent development and research. More than 90% of enterprises implement or plan to implement digital transformation from different levels, and nearly 90% of enterprises take various measures to implement green and low-carbon development. Adhering to the main business, strengthening the industry, accelerating the climb to the middle and high end of the industrial chain value chain, private enterprises have great potential. Which enterprises are ahead in transformation, upgrading, innovation and development, and which enterprises can seize the opportunity to achieve greater development.

In terms of the location of the enterprises, 396 enterprises are located in the eastern region. Zhejiang, Jiangsu, Shandong and Guangdong have been among the top four enterprises in the Top 500 for many consecutive years. The provinces with the largest number of private enterprises in the top 500 are all big economic provinces. This shows that there is a strong correlation between the regional distribution of private enterprises and economic development. Since this year, a series of policies to promote the development and growth of private economy have been issued intensively, but the release of documents does not mean the implementation of policies. All localities should pay close attention to the implementation, create a better environment for the private economy to become bigger, better and stronger, further enhance confidence and stabilize expectations, and truly turn policy advantages into the driving force of private economy development.

The development of private economy still faces many practical challenges. In 2022, with the increase of revenue, the profitability of private enterprises will be weakened and investment will be more cautious. Under the influence of "triple pressure" and other factors, the net profit after tax, net profit rate of sales, net profit rate of assets and return on net assets of the top 500 private enterprises have declined to varying degrees, and the number of enterprises carrying out overseas investment and the number of overseas investment projects have also declined to a certain extent. The survey shows that more than 60% of the top 500 enterprises believe that the cost of raw materials is high, the cost of labor is rising, and the domestic market demand is insufficient. On the whole, compared with the world-class level, China's private enterprises also have gaps in innovation leadership, international competitiveness and other aspects.

At present, high-quality development puts forward higher requirements for the development of private economy. China's economy is deep and broad, with super large market and complete industrial system advantages, which provides opportunities for private entrepreneurs to capture new needs, develop new technologies, research and develop new products, and create new models. To develop and expand the private economy, we should strive to make continuous breakthroughs in the expansion of quantity, and more importantly, we should focus on the word "good". While optimizing the development environment, we should guide private enterprises to practice hard and consciously take the road of high-quality development. In particular, capable and qualified private enterprises should strengthen independent innovation and play a greater role in promoting scientific and technological self-reliance and transformation of scientific and technological achievements.

key word: private enterprise enterprise private economy development