Chinese government efforts, plus many more individual ones, have reduced poverty from 94.22 million people to 26.88 million in the decade ending in 2010, according to an impossibly rosy
statistic. Still, the trend is qualitatively correct and will go on, meaning people in the countryside live eight instead of 18 people to an outhouse while the urban dude can still upgrade his Audi. Some impact on consumption (see item No. 2 below).
This resolution is also a boon for
, as the government tends to go for development projects, such as rural broadband, when targeting the poor. Nice if you're invested in
(ALU - Get Report)
, an old friend of China that will help extend high-speed broadband to more than 250 million rural as well as urban households by 2015.
Maintain a steady and relatively fast economic growth and push forward reform and economic restructuring.
Done deal. China's GDP has grown around 9% to 10% over the past decade and is expected to pick up late this year despite forecasts for a full 2012 slump to 7.5%, still the envy of any developed country.
Current Party head Hu Jintao also told the Party congress that per capita income now at an average $4,940 a year should double by 2020 and (as higher pay leads to more shopping) boost the country's 2010 GDP accordingly.
Fancy new numbers, but nothing conceptually new. China has been pushing to
raise domestic consumption
since last year and reduce dependency on exports to shaky Western markets, explaining the lack of new monetary policy.
This reaffirms the China strategies of firms such as
, long one of the top sellers of everyday mobile phones across China.
The congress also picked a new guy who we know little about to replace Hu as Party general secretary. But the replacement, Xi Jinping, is unlikely to change course.
Give priority to the anti-corruption combat because it is a matter of life or death to the Party and the country.
You'd think this order would mean no more dipping your hand in the traditional Communist cadre cookie jar stuffed with fancy cars, top-floor condos, bottles of Maotai and envelopes full of cash. Huh-uh.
Corruption will go on as usual, but the indulgent will take more care not to get caught and left with bullets in their brains. If you're invested in
(216006.DE) (with its 11% year-on-yaer sales gain in the first half of 2012), Chinese real estate or
, such as
(600519.SS), just go get some sleep.
Make special efforts to . . . enhance democracy, optimize the legal system and practice the rule of law.
This order boils down to an eight-letter word starting with a barnyard animal and ending with what falls from its rear.
Which means, and this is important, that foreign multinational corporations keen on their China business will still waste time and money paying people off, hiring local partners and learning the not-so-legal, nontransparent secrets to making money. It's a cost of business best absorbed by well-informed, well-established firms such as the soft drink giants, the likes of
(GM - Get Report)
, a solid stock market performer that has sold well in China since its first joint venture there in 1995.
Watch the stock, and Asia revenues, in these multinationals. Hold off on the shares of companies that are just getting off the plane in Beijing, though if their managers got visas for November 2012, that's something.
At the time of publication, the author has no positions in the shares of companies mentioned.
This article is commentary by an independent contributor, separate from TheStreet's regular news coverage.