In recent years,returning entrepreneurs have become a new phenomenon in Chinese society.This paper focuses on the adaptation processes of China's ever-increasing returning entrepreneurs when they start business in their home country.Firstly,this report reviews the obstacles and challenges returnees faced when they try to accommodate to the Chinese social and economic environment;then, it examines the major causes for these obstacles;after that,it points out how returnees can be best reintegrated into their home society and lead the social transformation process in China;finally,it concludes with some recommendations on the way the Chinese government should develop and implement preferential policies for returnees. <<