Year 2008 is a very uncommon year for China.
The global finanical turmoil definitely affects the Chinese economy including China VC and PE market, especially on the exports, capital market, and the confidence of people... but it will not be a fatal damage to China, and the damage will not be as big as that in US.
China benefits from a socialist market economy in this un-ended crisis.Chinese household comsuption was only 35% of GDP in 2007, while it was 70% for US and 60% for India. Chinese people are very conservative in household comsuption. It is a big driving force for the economy and VC/PE investments.
The entreneur spirit is still spreading in China... thousands of new ventures are being founded by young entrepreneurs every week...VC/PE are in a down turn. The fund raising, investment, exit are all slowing down.
