At the beginning of the reform and opening up, China was mainly faced with the problem of shortage of commodities, and encouraged the local development of the local economy, each running their own enterprises, to increase the supply of commodities, to meet the needs of the local market, the formation of a self-motivated "vassal economy".
Out of local economic development and tax contribution considerations, local governments often give more explicit or implicit care to local enterprises, artificial restrictions on operators to participate in bidding and procurement activities, hindering the integration of commodity factor resources and fair competition in the market, resulting in a substantial increase in market transaction costs, to a certain extent, resulting in a waste of resources, reducing the efficiency of resource allocation. At present, in some areas or certain areas, market segmentation and local protection phenomenon still exists.
From the consumer side, although China has the consumption potential of 1.4 billion people, but the final consumption rate is not high. In terms of circulation, there are still many obstacles to the flow of goods, services and factors in China, resulting in a failure to effectively match supply and demand.
In recent years, China's rapid development of e-commerce courier logistics, but the proportion of logistics costs is still high, especially logistics costs in the storage fees, management fees are generally high, logistics supply chain links too much too long to push up the cost of logistics, and China's transportation links are more congested, especially cross-border toll roads, land, sea, air and other multimodal transport can not be effectively connected, urban and rural circulation market segmentation phenomenon is still serious.
From the perspective of the quality system, the market for goods and services is still characterized by improper competition such as price discrimination, counterfeiting, set marketing, and big data killing, and residents have failed to consume with peace of mind.
Currently, China's labor, capital, technology, data and other factors have yet to form a unified market for efficient flows. For example, the dual urban-rural land system hinders the free flow of land resources, inhibiting the integrated development of urban and rural areas and the civilization of migrant workers, while the phenomenon of rural financial inhibition is still serious, and rural capital is still continuing to flow to the city.