China's science and technology capacity building: global perspective and challenging issues: Innovation with Chinese Characteristics

Citation

Li‐Hua, R. (2008), "China's science and technology capacity building: global perspective and challenging issues: Innovation with Chinese Characteristics", Journal of Technology Management in China, Vol. 3 No. 1, pp. 127-129. https://doi.org/10.1108/17468770810851548

“China phenomena” is changing the knowledge balance of the world. Many countries, in particular, western countries, are carefully following the development and change of China's technology system and innovation policy. China's ambition of becoming “an innovation‐oriented country” by 2020 and the “world's leading science power” by 2050 has drawn world attention. China's leaders wish to see the country transformed into an innovation‐oriented society in a short amount of time. After heated debate on whether China's technology strategy of obtaining technology by sacrificing its market has partly failed, Chinese enterprises are to become less reliant on foreign technology. As a matter of fact, technology transfer between developed and developing countries possesses strategic significance in science and technology (S&T) capacity building. However, developing countries, such as China, need to understand explicitly that “real core technologies” cannot be purchased but can only be achieved by developing “indigenous innovation”[1]. Therefore, there is a growing need to consolidate the technological capacity building and to develop the strategy of technological innovation.

China's increased prominence in international and regional S&T affairs has created a growing need for a deeper and more sophisticated understanding of the structure, operation and performance of China's S&T system. A broad range of policies and programs have been put in place over the last two decades to initiate major improvements in the country's innovation system. In the first chapter “China aims high in science and technology” Linda Jakobson discusses how China's leaders have made “indigenous innovation” a cornerstone of the country's future development. Many indicators and statistics, such as: the number of science and engineering papers published by Chinese researchers in international journals, the amount of investments made in research and development (R&D), and the number of patents, indicate that China's S&T capacities have been developing quickly. In the meanwhile, China's research environment has often been criticized as detrimental to individual creativity, corrupt and too politically charged. S&T policy makers have been regarded as overbearing and researchers in China have faced numerous hurdles. It should be noted that the education system in China is much based on rote learning, where students tend not to be critical thinkers. This is in contrast to a western educational system, where students are encouraged to challenge professors and develop independent thinking. The Chinese tradition of deferring to authority is not conducive to innovation. Under such, how realistic is the ambition to make China an innovative nation by 2020?

Nonetheless, China's legacy is that the country has become second only to the US in terms of GDP as expressed in purchasing power parity. China's remarkable global economic impact presents outstanding and interesting innovation. How could a small village like Shenzhen become a large city of 10 million people in a mere 28 years?[2] How could local Chinese firms, such as, Haier, Lenovo, become world famous brands in such a short period? Some observers believe that these remarkable achievements can only be done in China, as a result of the radical economic reform, Chinese characteristics and the entrepreneurial spirit. Researchers have made interesting comparisons between American and Chinese style management. It is noted that the American style management is embedded in the process of self‐actualization. For example, it focuses on “management by objectives” and “management by result.” However, the Chinese style management concentrates on the philosophy of “self‐disciplinary first and then managing people” under the Confucius philosophy. There is no doubt that Chinese style management will have an important position in the management field in the twenty‐first century. However, this does not mean that western style management will be replaced by Chinese style management.

China's ambition of becoming “an innovation‐oriented country” by 2020 is not merely part of the nation's long‐term strategic plan. There have been rising policy initiatives gearing towards the development of S&T. In the introduction to this book, Jakobson demonstrates that China's S&T prowess is expanding. This is underpinned by the national network of S&T's research of 5,400 national governmental institutions, 3,400 university‐affiliated research institutions, 13,000 research institutions operated by large state enterprises, and 41,000 non‐governmental research‐oriented enterprises. According to the Chinese Government's plan, budget in R&D is to increase substantially. By 2010, China's investment in R&D will account for 2 percent of GDP, compared to 1.34 percent in 2005. By 2020, the figure will have increased to 2.5 percent of GDP. If realized, this significant investment will put China on the same level as several countries of the Organization of Economic Cooperation and Development and China will surpass the European Union in R&D investment intensity. However, an appropriate and effective S&T strategy will play a vital role in China's S&T capacity building.

Against such a backdrop, Linda Jakobson's book, Innovation with Chinese Characteristics, is very timely, providing strategic insights for decision makers in the field of S&T, not only in China but also in the west. The book shows readers a clear picture of how China has developed its S&T and sheds light on China's S&T capacity building. It is useful information for academics, researchers and business executives who have an interest in understanding China's S&T policy.

The first chapter “China aims high in science and technology” written by Linda Jakobson and the second chapter “China's push to innovate in information technology” by Arthur Kroeber, paint a picture of China's S&T landscape, assessing the current state of the policy framework and the development of China's S&T, and addressing the challenges that China faces as it pursues its goal to become a technological superpower. The authors ask fundamental questions concerning innovation with Chinese characteristics after examination of China's S&T policy framework and the education system, which are thought provoking. The useful analyses on crucial issues of China's innovation and S&T strategy have benefited from the authors' in‐depth understanding of China.

The remaining chapters, “Nanotechnology research in China”; “Energy technology research in China”; and “Biotechnology research in China” present an overview in each area in terms of the development and policy framework. These chapters are informative and reliable resources. The strategic insights on the future of China's R&D in nanotechnology, energy technology and biotechnology have clearly benefited from the authors' cutting‐edge and quality research. The authors are internationally respected scientists in their fields who provide an invaluable source of material for practitioners and academics who are interested in China's innovation strategy and R&D strategy – an area where there is little or no information available.

I particularly like the blending of academia with practice, which runs throughout the book and which is one of its major strengths. If there is any omission or weakness in this book, it is in assessing and making a strong connection between technology transfer, which contributes strategically to S&T capacity building, and innovation. This is an area where the editor has contributed more. China's most recent S&T catchphrase zizhu chuangxin has been interpreted in “independent innovation” or “indigenous innovation” I would like to further point out that the title of the book – innovation with Chinese Characteristics, is well thought out and appropriate. It benefits immensely from the editor's profound knowledge of China.

Linda Jakobson, the Editor, is Beijing‐based Director of the China Programme at the Finnish Institute of International Affairs. She is in a unique position to observe developments in both China and the west, and particularly the way in which the two cultures interact as she was born in the west, but has lived for 14 years in China and other parts of East Asia. She has built up a considerable expertise in the area of technology innovation in China. A Mandarin speaker, she has a unique vantage in understanding and interpreting China. She has published five books on China and East Asia and is an internationally recognized authority on China.

Notes

Remarks of Hu Jintao of President of China and Chinese Communist Party General Secretary.

According to Xinhua News, August 21, 2005, Shenzhen had 4.32 million permanent residents and more than 6 million immigrants who make their livings as temporary workers or in child care in the city.

About the book review author

Richard Li‐Hua is Editor of Technology Management in China and Co‐Chief‐Editor of Chinese Economics and Foreign Trade Studies. He is also the Founder and President of China Association for Management of Technology. Richard Li‐Hua can be contacted at: Richard.lihua@unn.ac.uk