China’s Tight Grip on Enterprise Will Influence Decisions Based on “Social Credit System” Built Through Surveillance of Businesses, Citizens

BEIJING – China is building a national reputation system it calls a “Social Credit System” which is intended to evaluate and calculate a reputation score based on behavior and habits of its businesses and its people. The system will assign an overall score which can then be used to allow or restrict access to certain activities.

The system will be one unified system and there will be a single system-wide social credit score for each citizen and business. By 2020, the national social credit system is expected to be in full swing with tests completed that have already successfully limited access to travel.

The Chinese government has published numerous documents and plans since 2014 and expects the Social Credit System, if implemented as envisioned, will constitute a new way of controlling both the behavior of individuals and of businesses.

Possible punishments as a result of bad ratings include:



Big Tech is censoring our publication severely reducing our traffic and revenue. You can support our mission of truthful reporting by making a contribution. We refuse to let Silicon Valley crush us into becoming just another regurgitated, propaganda driven, echo-chamber of traditional news media and we need your support. You can also help by liking or sharing us on social media or by signing up for our featured story emails.
 

  • unfavorable conditions for a new loan
  • higher taxes than compliant competitors
  • no permission to issue any bonds or invest in companies listed on the stock market
  • decreased chances to participate in publicly funded projects
  • mandatory government approval for investments, even in sectors where market access is not usually regulated

In severe cases a businesses high-level manager’s individual credit ratings could be affected or company’s manager could be denied tickets for high-speed trains or for international business flights.

The social credit system goes beyond just business compliance and practices by measuring how citizens act and behave in their personal lives.

Comment via Facebook

Website Services: Register a web address with us and receive everything you need to get online. Give your website the reliable, high-performance hosting it deserves. Create a unique and professional email address based on your domain.