THE OPEN DOOR POLICIES OF DENG XIAOPING
When Deng Xiaoping came to power in the early 1980s, China was attempting to deal with the expanded capitalism that had been suggested as a result of the state visit of Richard Nixon and Henry Kissinger. By adopting a modified version of capitalism, known generally as "socialistic capitalism" Deng Xiaoping instituted wide-sweeping social and economic reforms in the attempt to turn a Communist society into one where personal income was not only accepted but seen as a logical goal (Nathan & Shi, 1996, 534). China, whose very name means "The Middle Kingdom" (as in the center of the world), having some 7,000 years worth of "adapting" quickly assumed some of the aspects of capitalism while rejecting others.
Part of this paper will examine some of those changes that were accepted, and try to determine if they will survive the recent death of China's leader, Deng Xiaoping, who almost single-handedly brought China into the 20th century world of global marketing. His death leaves Western economic and political observers with a myriad of questions concerning the fate of those open door economic policies that he established. What will be the consequences of this watershed development in Chinese affairs and what kind of political and economic leadership will emerge in post-Deng China?
A new leadership team was installed years before Deng's death. Also, China's position in the world has changed dramatically since the Cultural Revolution and even since the 1989 demonstrations. China is a vital part of the world economy, and the world economy is a vital part of China. The Chinese population has now had more exposure to the outside world--including MTV, CNN, and foreign movies and music. Joint-venture companies run by managers from South Korea, Taiwan, and other countries, as well as the increased presence of foreign companies in China, have also been influential factors. China is strongl...