Abstract
This paper explores the major characteristics of school choice in the Chinese context. It highlights the involvement of cultural and economic capital, such as choice fees, donations, prize-winning certificates and awards in gaining school admission, as well as the use of social capital in the form of guanxi. The requirement for these resources in order to be successful in the positional competition for admission to key schools has greatly advantaged children from middle class families. Schools and local governments cash in on school choice fever in order to obtain significant economic returns. The current school choice process creates winners among some of the parties involved: school places for selected students, and additional funds for schools and local governments. However, the practice exacerbates the educational inequality that already exists in society.
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