Chinese decision-making: a case study of how the Hexian Paper Pulp Project was accepted for possible inclusion in China's seventh Five-Year Plan.

Foreign firms working in the People's Republic of China (PRC) are usually aware that the earlier they can discover what projects have been approved the easier it is for them to become involved. Very little, however, seems to have been written about the actual process by which projects are in fact decided upon and resources allocated. This case study examines the steps by which a proposal for a pulp mill moved in the space of less than two years from its originator in a remote county to the agenda of the Sixth National People's Congress in Beijing. The dramatic opening up of the PRC to outside influences is clearly demonstrated by the fact that a foreign banker, a Hong Kong entrepreneur and an overseas consultant all played important roles in establishing the feasibility of the project at the early stages. The involvement of various official bodies, including the United Nations Development Programme (UNDP) in Beijing, in the decision process is traced and the way in which personal links and informal methods of communication helped the proposal to get bureaucratic approval very quickly is shown. [ABSTRACT FROM AUTHOR]