New corporate Uyghur entrepreneurs in Urumqi, China.

Although China's Uyghurs have progressively engaged in informal trade following economic reforms, in recent years a small group of corporate Uyghur entrepreneurs have positioned themselves in more formal industries where they hold a cultural advantage. However, we argue that the clustering of firms and a lack of experience and capital limits entrepreneurs' ability to compete with established Han businesses. This restricts Uyghur economic participation more generally, contributing to labour-market inequalities and ethnic tension in cities like Urumqi. The authors conclude that government support for Uyghur entrepreneurs is a crucial step to strengthen economic development and reduce ethnic tension in the region. [ABSTRACT FROM PUBLISHER]