Technology

I know all this. Nothing you mentioned prevents Chinese companies from making bad or speculative investments. Regulatory authorities are not going to step in just because one company invested into a bunk project that went nowhere. Hundreds of companies go bankrupt in China every week, and hundreds more are formed, as it would be a bureaucratic nightmare for the central economic office to micromanage the investments of individual firms. Speculative venture capital is also not "gaming the system" as insider trading and short selling are, and the entire point is that there is a high risk to those investments.

I don't see how you describing China's mixed command economy is at all relevant to a small startup firm taking a risk on a single aircraft frame. A bird in a cage can still choke itself on a poor investment and die.