Abstract
Though India’s SEZ policy owes its conceptual base to the successful model of China’s SEZs experience, hardly any attempt has been made to explain what made them so successful. In this paper, we trace this phenomenal success to the well articulated and executed SEZ policy in China. Apart from this, the success of SEZs in China is also attributed to the various supporting mechanisms, both internal and external. Hence our contention that SEZs cannot be expected to deliver optimum performance under ceteris paribus condition.