Pestel for H&M in China

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PESTEL China

1. Politics

Today’s China is the most populous country in the world and is so one of the most important political and economical forces in the world.

1.1. Country name

In English China is official called “People’s Republic of China” https://www.cia.gov/library/publications/the-world-factbook/geos/ch.html and in Chinese “Zhonghua Renmin Gongheguo” https://www.cia.gov/library/publications/the-world-factbook/geos/ch.html.

1.2. Capital

The capital of China is Beijing, which is located in the north eastern part of China. The city has 15, 5 million citizens and is the political center of China.

1.3. Government type

The Chinese constitution from 1982 says that China “is a socialist state under the people's democratic dictatorship led by the working class and based on the alliance of workers and peasants. The socialist system is the basic system of the PRC.” http://www.lectlaw.com/files/int11.htm

The state is involved in every part of the daily and social life in China. For instance they intervene in the social, science, and literature and art development and influence the spiritual life in China. Before China became a socialist state, the country was a feudal monarchy, which was eliminated in the revolution in 1911. But in the first place in 1949 the Communist Party under guidance of Mao Zedong could establish the new People`s Republic of China. Therefore, the first of October 1949 is the “anniversary of the foundation of the People’s Republic of China” CIA and so national holiday.

1.4. Constitution

As already mentioned the Chinese constitution was published in 1982. Nevertheless, some changes were made in 1988, 1993 and 2004. The constitution consists of a preamble and 5 chapters with several articles. The constitution determines the socialist state and the socialist society. The state is leaded by the Communist Party and the “guidance of Marxism- Leninism and Mao Zedong thought” http://english.peopledaily.com.cn/constitution/constitution.html . Moreover, “all power in the People's Republic of China belongs to the people” and that there is a “dictatorship of the proletariat”, that is represented by the state organs.

1.5. State organs

The National People's Congress (NPC)

The National People’s Congress represents the legislative branch. According to the Chinese government the National People’s Congress is the “highest organ of state power”, which has the “rights of legislation, decision, supervision, election and removal”. http://english.gov.cn/2008-03/15/content_921044.htm . The congress is a unicameral parliament with 2, 987 seats. The members of the congress are elected every 5 years by municipal, regional, and provincial people's congresses, and the People's Liberation Army (Zitat??) Important is that only members of the Chinese Communist Party, the eight federate parties and independent candidates who symphonize with the system can be elected into the congress.

The Presidency

The presidency is one representative of the executive branch in China. The presidency represented by the president who is the “Head of State” and the “supreme representative” http://english.gov.cn/2008-03/15/content_921051.htm in China and the world. The current president is Hu Jintao, who was elected in 2008. According to the Chinese government the presidency is totally independent and subordinated to the National People’s Congress. Furthermore, it is mentioned that China follows a system of collective leadership. The president and vice president are elected every five years by the National People’s Congress. The president’s most important functions are: “Promulgating laws, conferring state medals and honorary titles, issuing order of special amnesty, proclaiming martial law and a state of war as well as issuing order of mobilization, according to decisions of the NPC and its Standing Committee. Receiving foreign diplomatic representatives on behalf of the People's Republic of China,...
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