Much
of the region's development strategy is directed at finding ways to deal
with loss-making state-owned companies, for instance by selling shares
and trading on the stock market or by merging loss-making enterprises
with more successful businesses to form a "mechanism for the survival
of the fittest". "Individual enterprises with poor management and backward
technical equipment that cannot turn out marketable goods and whose assets
cannot cover their debts should be declared bankrupt on a trial basis,"
states the government work report, which notes that initial improvement
of these moribund state enterprises should take place mainly in Lhasa,
where 60% of the total capital of all state-owned enterprises in the region
is located.