ABSTRACT
This chapter introduces background information relevant to the transformation issue in the Chinese newspaper industry. Chinese media is intensely affected by the national policies. In the Chinese newspaper industry, the trend of commercialisation appeared in 1979 when publishers were first permitted by the central government to operate the advertising business. Digitisation practised by Chinese provincial newspaper publishers was encouraged by the central government. Although newspaper advertisement revenue decreased heavily due to the prosperity of Internet media, newspaper publishers in local markets still had some competitive advantages such as the credibility of being state-owned media and the productivity of original media content. Chinese newspaper publishers began to conduct corporate expansion when they accomplished the conglomerate that integrated resources relevant to newspaper businesses in certain regions. The system of administrative segregation is one of the most important institutions in the government administration of Chinese media industries. The Reform of Cultural System also has profound influences on the occupation of newspaper practitioners.
