To fight cronyism, it pays to know the factors that feed the habit, which would give clues on how to combat it. One big problem is defining exactly what cronyism is. There is nothing illegal or harmful about most cozy deals, but picking out and punishing the bad ones is the constant challenge.
Unfair practices are widespread and entrenched.
The communist system grants authorities vast powers to meddle in business and to muzzle exposEs. This autocracy, along with rapid liberalization and economic growth, has multiplied the opportunities and rewards of cronyism. Created to help indigenous races, the New Economic Policy affords ample ways to favor businesses through state contracts, funding, privatization deals and share allocations. Since the Opium Wars, big business has influenced government, with top business people in the Executive Council and functional constituencies in the Legislative Council. Government control of land supply and regulation of services leads affected companies to lobby officials.