Policy
 

Guidance of State Administration for Industry & Commerce and National Development and Reform Commission on Promotion of Advertising Industry
GONG SHANG GUANG ZI No. 85 [2008]

Industrial and commercial administrations and development and reform commissions of all provinces, autonomous regions and municipalities directly under the Central Government:
The following guidance is put forward to implement "eleven-fifth" planning and Several Suggestions of the State Council on Accelerating Development of Service Sector, and promote good and fast development of advertising industry:
. Sufficiently realize the significance of promoting development of advertising industry
Advertising industry, which is knowledge, technology and talent intensive, is a primary component of modern service industry and key industry in innovative economy. It plays important role in assisting production, guiding consumption and driving economic growth and social and cultural development. Its development directly reflects economic standard, technical progress, comprehensive economic strength and social cultural quality of a country or region. Promoting development of advertising industry and increase proportion and overall level of advertising industry in modern service industry is urgent need to adapt to new situation of opening up, accelerate information exchange between domestic and international markets, improve efficiency of resources allocation, enhance self-innovation capability and national brand competitiveness; is efficient way to promote optimization of industrial structure, accelerate transferring of economic development, and facilitate development of such industries as culture, sports, movie, media, information, conference, originality, agency and so on; is internal requirement to build overall well-off society and construct harmonious society of socialism.
Since reform and opening up, Chinese advertising industry has developed rapidly, appearing strong vigor. By the end of 2007, there were 173,000 enterprises running advertising business across the country and 1.113 million persons engaged. With the total revenue achieving RMB174.1 billion, advertising industry has become a crucial industry with a certain scale that promotes building of national brands and development of innovative economy. Its ascended to top list of international advertising market. However, conflict and issue that restrain healthy development of advertising industry is not negligible, specially when the scale of Chinese advertising industry keeps expanding for many years, the number of advertising enterprises with comprehensive strength and international competitiveness is small; development of advertising industry appears imbalance among regions and the gap between central and west area and east area is huge; theres few high-end professionals and personnel lack experience of international advertising operation in advertising industry; the development of public advertising industry is slow, requiring effective encouragement measures and stimulation mechanism; Faithfulness of advertisement is low and market order is subject to further standardization and others.
China is currently in the critical process of building overall well-off society and constructing harmonious society of socialism. As a newly rising industry that provides direct service to the development of economic society, advertising industry is not only facing new developing opportunity, but also facing rigorous challenge. The eleventh-five planning has clearly stated to accelerate development of service industry and promote development of service industry. Present Chinese economy remains stable and rapid development, and the influence of consumption to economy becomes even greater; science and technology make progress day after day and the newly rising advertising media is full of energy. A series of economic activities of Beijing Olympic Games, acceleration of regional economy, and great concern and importance attached by the country and region has provided new room for expansion of advertising industry. Therefore, high sense of responsibility is required to understand, from strategic perspective, the significance of advertising industry development. Its necessary to alter concept, seize opportunity, and take effective measures to further display the important role of advertising industry in driving development of modern service industry, national economy and society, and vigorously promote healthy development of advertising industry.
.Guidance, main target and task of promoting the development of advertising industry
1Guidance
Guided by Deng Xiaoping Theory and important thought of Three Representatives, the 17th National Congress of the CPC spirit should be thoroughly implemented, the major strategic thought of scientific development view as well as construction of harmonious society of socialism should be deeply executed to regard good and fast development of advertising industry as an urgent and long-term strategic task. A balanced, healthy and sustainable development of advertising industry should be persisted, and attachment should be equal to both economic efficiency and social efficiency to try to lift overall quality of advertising industry and international competitiveness.
Chinese advertising industry should be developed with international horizon and follow the path of advertising industry with Chinese feature. The industry should innovate concept, improve system, complete mechanism and construct public service management system bit by bit; should take the opportunity of innovative industry development, technical creation and intellectual property protection to proactively adjust and optimize structure of advertising industry as well as to raise professional standard of advertising industry; should improve rule of advertising market, protect legal interest of consumers and subject of advertising activities, and complete stimulating mechanism and protection system of advertising industry.
2Main target and task
According to "eleven-fifth" planning and future economic and social development target, the main target and task of advertising industry at present and in the coming period are: accelerating industrial structure adjustment, promoting specialization and scale development of advertising industry, lift overall standard of advertising planning, innovation and making; drive development and standardization of newly rising advertising media proactively; base on excellent national brand strategy, mainly rely on advertising enterprises, and let by media group with strength to form advertising industry system with reasonable layout and optimized structure; keeps rapid growth of the total revenue of advertising business and match overall level of advertising industry with development standard of constructing well-off society across-the-board and market economic development.
Cultivate advertising enterprise with international competitiveness. Advocate implement of modern enterprise system, guide structure adjustment of advertising industry, and try to train a group of large scale advertising enterprises with well-known brand and advanced technology, outstanding main business, strong core innovation capability and great international competitiveness.
Form large and comprehensive advertising media. Integrate resource of advertising business, take advantage of operation strength, develop and popularize new technology, develop and standardize newly rising advertising media to form large and comprehensive advertising media.
Develop cluster of advertising innovative industry. Regard innovative industry as growth point, promote formulation of regional innovation base of advertisement, cultivate and develop cluster of advertising innovative industry with feature and good quality.
Construct public service management system of advertising industry. The public service management system should be established and completed by means of perfecting development policy of advertising industry and supervising of law and regulation.
Establish talent training and education mechanism of advertising industry. Accelerate training of professionals in advertising industry, complete evaluation system of occupational standard of technicians in advertising industry. Strengthen establishment of further education base to update knowledge of advertising professionals.
Develop public advertising business. Establish and perfect promotion mechanism of public advertising development to make public advertisement to be crucial means of building harmonious society and spreading spiritual civilization of socialism.
.Further perfect policy and measures for development of advertising industry
1Complete law and regulation of advertisement
Study international advertising development rule, refer to related legislation experience, accelerate revising process of Advertisement Law and related law and regulation based on new situation, new problem and new trend of Chinese advertising industry, and perfect such rules and regulations as market entry, exit and advertising activity criteria as well as advertising market management upon requirement of legal administration and uniformed management of advertising industry.
2Enhance policy assistance
Formulate and execute policies and measures on supporting and encouraging advertising planning, innovation, making and service development based on national policy on promoting service industry development. Apply preferable enterprise income tax policy if the advertising service enterprise is regarded as high-tech enterprise according to related tax law prescription; keep electricity price of advertising industry in line with that of general industry bit by bit; further standardize price formulation system of advertising industry; clear and cancel unreasonable or illegal charging item.
3Perfect development mechanism of advertising industry
Display important role of market mechanism in resource allocation of advertising industry, study development system, mechanism, regulation and approach of advertising industry, and guide development of advertising industry along the right course; actively advocate advertising agency system, establish and complete effective supervising and inspection mechanism, and prevent improper competition and monopolizing behavior.
4Broaden investment and financing channel of advertising industry
Adjust investment structure proactively and lead more social capital flowing into critical field and weak part of advertising industry; encourage various venture capital institute and credit guarantee to expand business for advertising industry, which has promising future, large employment, and applies new technology and new form of business.
5Enhance competitiveness of advertising enterprise
1Standardize entry management of advertising market. Cancel all sorts of entry restriction thats unfavorable to healthy development of advertising industry, study new component, new feature and new trend of main body of advertising activity deeply, establish complete evaluation system for qualification of advertising business, and improve qualification standard of advertising enterprise.
2Drive reshuffling and restructuring of advertising enterprise. Establish information exchange platform for advertising enterprise restructuring, offer agency service for introducing various capital into enterprise reshuffling and restructuring, drive establishment of modern enterprise system of advertising enterprise actively; encourage assets rearrangement across industries, regions, media and proprietorships, promote optimized allocation of advertising resources and intensive operation, and take advantage of the strength and achieve balanced develop to enhance advertising enterprise operation power through survival of the fittest in the fair competition of market.
3Accelerate cultivation of large-scale professional advertising enterprise. Encourage advertising enterprise with competitive strength to occupy more market shares in international advertising market by means of taking shares, holding, contracting, merger, acquisition and alliance to become bigger and stronger; encourage brand-name large-scale enterprise to raise its competitiveness in international market by dimensional services provided by advertising enterprise.
4Improve market competitiveness of medium and small sized advertising enterprise. Encourage medium and small sized advertising enterprise to accelerate improving its professional service level and expanding advertising service market at home and abroad; assist medium and small sized advertising enterprise with good qualification and standardized business operation in such aspect as market entry, credit guarantee, talent training and information service to build its brand with special feature.
6Improve technical level and operation standard of making and releasing advertisement
Support application of such pragmatic technology as digital video and audio, cartoon and network in planning, innovation, making and releasing of advertisement. Encourage wide application of environmental friendly advertising materials. Encourage to develop new release method of advertisement, use new carrier and reduce advertising cost. Support newly rising advertising media such as network and video in building to develop orderly and healthy and make it to be new growing point of advertising industry. Innovate advertising technology and business philosophy and fully display core role of innovation in advertising industry in virtue of existing innovative industrial zone.
7Strengthen opening up and exchanging of advertising industry
Strengthen exchange and cooperation with international advertising industry, and regard participation in competition of international advertising market as primary content of turning development approach, cultivating notable international brand and lifting standard of Chinese opening up. Actively merge advertising industry into international advertising industrial chain. Guide foreign trader with advertising business to invest in Chinese advertising industry. Encourage domestic advertising industry going into international market.
8Coordinate development of regional advertising market
Provide service for development of western regions, revitalizing northeast China and other traditional industrial bases, and promoting rising of Central China; encourage overall strategy of first developing eastern area; take comparative advantage of economic society and advertising industry in each area; promote prosperity of regional advertising market and balanced development of advertising market by centering around the target of promoting balanced development of regional economy and society. Proactively drive restructuring of advertising industry in developed area, lift standard, form developed central area in advertising market and radiate development of advertising industry in other areas. Cultivate element of advertising market in central and western China with great effort, support acceleration of development of advertising enterprise with great potential, and facilitate developing vigor of regional advertising industry. Encourage and support across regional integration and layout of advertising resources to promote cooperation and development across the region of advertising industry.
9Improve overall quality of staff in advertising industry
1Strengthen professional construction of advertising education. Optimize education structure and curriculum arrangement, improve advertising faculty level, reform textbook system, innovate teaching method, carry out new advertising media research, and promote popularization and application of modern science and technology in advertising education complying with national education and reform policy.
2Build training base for advertising talent. Execute various training plan for talents at different levels and accelerate cultivation of a group of senior advertising experts; build a number of featured development study and talent training bases of advertising industry by relying on qualified universities and scientific and technical institutes; establish a number of specialized advertising practice bases by relying on qualified advertising enterprises.
3Complete occupational level evaluation system of advertising professionals. Exert effort in carrying out qualification education and occupational education of advertising staff, drive occupational level evaluation of advertising technicians orderly, and complete talent evaluation and stimulation mechanism. Realize information sharing of advertising industry and promote flow of talent in legal and orderly way; enhance introduction of international advertising talents with special purpose to meet the demand of development of advertising industry.
10Establish protection system of intellectual property right with advertising feature
Encourage original works of advertisement to register. Anyone, who uses others works should be legally authorized. Explore and establish protection system of enterprise internal original works and planning proposals before bidding application, encourage advertising enterprise to increase input in innovation and R&D, and legally protect innovative and developed intellectual achievement in various forms. Attach importance to and enhance protection of well-known advertising enterprise trademarks, copyright of advertising original works and patent of innovative technology. Better crack down violation of advertising intellectual property rights.
11Promote development of public advertisement
1Lift standard of public advertisement. Fully display important role of public advertisement in spreading social civilization and publicizing good morality; encourage social community and enterprise to build good social image through public advertisement; publicize excellent national culture, absorb advanced culture of other country and region, adopt feasible measure, improve planning, innovation and making standard of public advertisement. Encourage carrying out academic seminar of public advertisement, continue to support excellent public advertisement selection work and establish innovative research base of public advertisement.
2Strengthen construction of public advertising system. Actively display guiding role of the government. Encourage social force to input proactively in planning, innovation, making and spreading of public advertisement through construction of public advertising system; improve contribution degree of subject of advertising activity to public advertisement and adopt encouraging measures to raise broadcasting ratio of public advertisement; study assistant policy of public advertisement and form virtuous mechanism with sustainable development. Spread social influence of public advertisement by several means and provide service for construction of spiritual civilization of socialism.
12Establish and complete public service management system of advertising industry
1Strengthen function and role of advertising organization in industrial development promotion. Support healthy development of advertising organization, fully display the function of advertising organization in providing service, reflecting appeal, standardizing behavior and enhancing discipline upon the requirement of the State Council on accelerating reform and development of industrial association and chamber of commerce.
2Perfect statistics and investigation system of advertising industry. Strengthen basic statistics of advertising industry, accurately define statistics scope of advertising industry, set up statistics indicators and investigation approach that can reflect basic status of advertising industry in a scientific way, improve precision and timeliness of statistics data to provide evidence for macro control and formulating planning and policy.
3Establish information release system of advertising industry. Provide fair, just and open data service for advertising market; drive establishment and complete of advertising media value evaluation system, promote advertising business information and faithful information exchange, construct information releasing and sharing platform for advertising supervision and self-discipline, and provide information support for macro supervision and scientific decision of investment subject.
4Establish faithful operation evaluation system. Enhance supervision of advertisement release and contract performance of advertising operation, set up faithful business database, and evaluate its faithfulness regularly; standardize order of advertising business, execute punishment on losing the faith as well as market exit mechanism, and improve faithfulness in the industry.
5Promote standardization of advertising operation. Develop all sorts of media advertisement release rule and code of design, making and agency of advertisement; explicitly prescribe advertisement release form and rule based on administration regulation of key commodity or service.
6Enhance advertisement theory research and historical material protection. Encourage studying on development policy of advertising industry, deepen advertisement supervision system as well as the subject theory research. Strengthen theory innovation on the development of advertising industry, establish advertisement and brand theory system with Chinese unique feature. Encourage studying on market hot spot and frontier issue of advertisement and facilitate organic combination of advertising theory and practice. Enhance collection, safekeeping and researching of cultural relic, specimen and historical material of advertisement.
13Improve efficiency of advertisement supervision system
1. Perfect advertising supervision system. Establish advertising supervision system with scientific decision making, equal right and obligation, reasonable work separation, smooth implementation, power supervision based on principle of precision, uniformity and efficiency to try to achieve alignment between supervision and development, supervision and service, supervision and right protection, and supervision and law execution; exert effort on establishment of advertising supervision with system, standard, procedure and law, innovate supervision mechanism and service method, complete advertising management at different levels and concrete affair and right separation of local management, and establish long-term supervision mechanism.
2. Establish prevention and emergent treatment mechanism for false and illegal advertisement. Reinforce guidance and supervision of advertisement release, perfect advertisement supervision institute of each area, especially in large and medium city, set up advertisement supervision network step by step to form rapid reaction mechanism, and eliminate influence of illegal advertisement in time; optimize advertisement supervision procedure and improve administrative law enforcement efficiency; coordinate on work separation and cooperation of related functional departments, and standardize advertising market comprehensively.
3. Reinforce social supervision effect of advertisement. Enhance public opinion supervision of media and improve distinguishing capability of the public on illegal advertisement; encourage claim and report of illegal advertisement, actively utilize various force of the society, supervise advertising activity from every aspect, and let public supervision become organic component of advertising supervision system.
4. Accelerate construction of advertising supervision information. Utilize modern information transmission technology and means sufficiently, improve advertising supervision method, actively promote electronic political affairs, and improve enforcement scientific and technological standard of advertising supervision through information.
14Enhance organization and leading of development of advertising industry
Further define advertising management function of the government, and actually reinforce organization and leading of development of the advertising industry. As functional department that guides development of the advertising industry, industrial and administrative organs should perform its roles and responsibilities carefully, establish actively the corresponding work coordination system together with NDRC and other departments, instruct and coordinate on issues occurred during development and reform of advertising industry, organize and settle development target and task of industrial policy and planning, strengthen macro control and policy guidance, and push development of advertising industry more rapid.
Organization of advertising industry needs to expand the function, fully display the role of bridge and link, actively assist government to implement industrial policy, execute industrial planning and perfect industrial management.
Related department of each area should join each other to develop specific policy and measure for promotion of advertising industry, enhance coordination and cooperation to attach extremely importance to implementation within its own responsibility scope under the leadership of local government as required by suggestions in this guidance.

State Administration for Industry & Commerce
National Development and Reform Commission
April 23, 2008

State Administration for Industry & Commerce National Development and Reform Commission 2008-04-23

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