Eighteen enterprises have recently signed an agreement with the School of Business Administration attached to China's prestigious Qinghua University, inviting MBA students to do further training.

"Economic growth in China has made us realize the crucial role of senior managing staffs," said Zhou Huan, chairman of the Datang Telecom Group under the Ministry of Information Industry, adding that out-of-date managing systems and lack of qualified managers have been main reasons for the mismanagement or bankruptcy of many enterprises in China.

After graduating, most MBA students started working for joint ventures companies. There were only nine MBA schools in China in the early 1990s with a total of 80 students as against 56 MBA schools in China with more than 8,000 students.

Chen Zhangwu, vice-president of Qinghua University's MBA school, said that students doing a MBA must put their knowledge into practice as they enter the domestic market.

After having done two months of practical training with an enterprise, Liu Wujie, a MBA student, said that China is short of experienced and competent managing staff.

Liu worked in a state-owned enterprise during the summer vacation earning a monthly salary of 3,000 yuan (360 US dollars). The manager was impressed with Liu's work and asked him to return after graduation.

Chen Zhangwu said that China is now in great need of MBA graduates. Foreign enterprises, state-owned enterprises and public- owned firms are now competing for qualified, talented graduates.