Venture capital in China flounders as state takes over

Venture capital in China flounders as state takes over

A Chinese national flag flutters outside the headquarters of the People's Bank of China, the Chinese central bank, in Beijing, April 3, 2014. REUTERS/Petar Kujundzic

Editor’s note: This is the first of a two-part series on venture capital in China, which is in crisis as government guidance funds overwhelm the industry’s traditional modus operandi. For Part 2, click here.