On September 2, four representatives of entrepreneurs spoke at a news conference held by the State Council Information Office on "promoting entrepreneurship". ChemChina and Sinochem Chairman Ning Gaoning answered reporters' questions on how to understand the entrepreneurship, how to carry out business transformation and how to cope with the current situation and difficulties.

Ning Gaoning believed that Chinese enterprises have indeed come to a very critical moment from the aspects of external environment and internal development stage. He suggested them to fully carry forward the entrepreneurship to enhance the competitiveness of enterprises. Not long before, Ning Gaoning attended a symposium with entrepreneurs chaired by President Xi Jinping and addressed on the topic of SOEs’ approach to technological innovation.

"There are some misunderstandings about the term ‘entrepreneur’. An entrepreneur is regarded as a rich person, a famous person, or an honor. I don't think an entrepreneur is an expression of money, honor, or position. It actually represents the way a person does things." Ning Gaoning said that entrepreneurs should be brave, responsible, adventurous, unwilling to fail, able to persist, have a team, be able to organize resources and have goals. Regardless of whether it is a private enterprise or a state-owned enterprise, it is most important to cultivate and encourage innovation.

ChemChina and Sinochem are both promoting their transformation to a technology-driven innovative enterprise. In the face of today's international and domestic situation, changes in market demand, and improvements in product technology, corporate transformation is not a question of whether to do it or not, but a question of survival. Many Chinese companies are now facing similar situations.

Ning Gaoning pointed out that various changes have pushed the turn in the way enterprises operate. In the chemical industry, there are about 100,000 types of fine chemicals, of which Chinese companies can only produce less than half independently. This issue is becoming a challenge.

“In Science, We Trust” has been a philosophy of Sinochem. It invests only on new technology and new product, and no more mergers and acquisitions and scale expansion are allowed without technological innovation and progress. Ning Gaoning said that innovation is difficult. From the perspective of corporate organization, to innovate is basically to change the company, rather than simply setting up a department, setting up a research institute, and making a transformation.

The sales of original and high-tech products are less than 30% in ChemChina and Sinochem, and the proportion needs to be gradually increased. Chemistry is very interesting. It is an industry that can create new substances, which synthesize substances that did not exist in the past. This new substance will play a very good role in the world. ChemChina and Sinochem, following the path of “In Science, We Trust”,are going on all-round transformation towards the goal. They will also benchmark with the pioneering international chemical companies, and move to reach the world level in innovation instead of scale.

Uphold the entrepreneurial spirit to do your own thing

“Chinese companies have become a group with the biggest anxiety for openness, free trade, and free investment.” Ning Gaoning commented. Chinese companies have huge market prospects and huge development potential. The Plane of China has already taken off and it cannot be stopped. It will definitely fly farther and higher.

Statistics showed that in the past 25 years, about 30% of world GDP growth has come from free trade, investment and division of labor. “Since China’s accession to the WTO, we have believed that Chinese companies and global companies should develop together. The global industrial chain collaboration has indeed improved efficiency. The Chinese business community must first prepare for the dual cycle model and the internal big cycle. At the same time, I believe and hope that the process of globalization will not be blocked," added Ning Gaoning.

Ning Gaoning analyzed that the current international situation with two features: obstacles on globalization and advanced science and technology application represented by the Internet and biotechnology. “It is the time to test entrepreneurship. We should have innovation, responsibility, courage and persistence, as well as international vision. Entrepreneurs should uphold the spirit of entrepreneurship and do their own business well.”

In the past two or three years, Chinese enterprises have made great efforts and invested more capital in R&D. Ning Gaoning expected that in the next decade, China will make independent and great progress in many technologies. As President Xi Jinping said, it is our basic attitude that we do not take the initiative to close the door and we will keep on international cooperation. But at the same time, as business leader, it may be the trend in the future to focus on independent research and development of key technologies in the industrial chain.