Changing Chinese Foreign Trade Development Mode by Business Mode Innovation

There is an inherent unique contact mechanism between foreign trade development mode and economic development mode in China that high investment, high export and low consumption economic development mode has been formed by the continued increate labor productivity and the continued low share of workers income. The meeting point between foreign trade development mode and economic development mode is to guarantee high employment rate in the above contact mechanism. It follows that the primary objective of changing foreign trade mode is still to ensure enough high employment rate before domestic demand really starts. It argues that inappropriate transforming countermeasures of foreign trade mode will bring about serious employment and growth negative effects under many domestic and international constraints in the face of Chinese foreign trade. Practical experience shows that the reasonable transforming path of foreign trade development mode in China is business mode innovation under double binding of ensuring steady economic growth and enough employment rates.