1, Wenzhou people used to be more flexible. They first engaged in private economy and real estate. However, due to the bursting of the real estate bubble, Wenzhou people began to invest cautiously, but this contraction missed the development of the Internet economy era. There are no good Internet companies in Wenzhou, and traditional industries cannot be integrated with the Internet, which makes Wenzhou people unable to catch the new flight of Internet economy development. People have developed, but you have not made progress. Of course, GDP will fall behind.
2. Wenzhou relies too much on the development of the real estate market, and everyone invests in the real estate sector, which leads to a serious lag in the development of Wenzhou's real economy. Huge private capital has pushed up the housing prices in Wenzhou. Once the house prices in Wenzhou plummet, Wenzhou's economy will experience a great recession. As the saying goes, house prices have risen for a while, hurting the economy for more than ten years.
3. Interconnection and mutual insurance have dealt a great blow to Wenzhou's financial system. Wenzhou enterprises like interconnection and mutual insurance very much. You vouch for me and I vouch for you, so that when the economy gets up, the two can support each other and develop together. However, once the economy goes down, especially some enterprises invest in real estate, and one enterprise goes bankrupt because of poor management, other enterprises will also be affected. Domino effect hits Wenzhou real economy hard.
4. Wenzhou originally had few mountains and lots of land, and the land use cost was very high. In addition, housing prices have been pushed up in recent years, which has led to the rise of land prices, indirectly leading to the relocation of large enterprises due to high production costs, the survival of small enterprises, and the accelerated economic downturn in Wenzhou. This is also inevitable.