China is successful now entirely as a result of their conversion to capitalism. This is an extremely well known fact about China. China tried communism, it went absolutely terribly. They changed to capitalism, and things got good. I can't imagine an example that more perfectly agrees with my point.
The People do not have stake at company A. Company A does not share the true values of the People. Company A is now banned. Repeat until all companies comply.
That you cannot call capitalism any successful economic system. China proved that a protectionist model with colossal government intervention can successfully reduce poverty.
Also, in which textbook is it stated that capitalism requires joint ventures of the government with every multinational company that tries to operate whithin its borders?
They're not fully capitalist. Their economic success began when they started their slow conversion to capitalism, and has proceeded in lockstep with their loosening of economic regulation. This is not a co-incidence.