Innovation with Chinese Characteristics: High‐Tech Research in China

Citation

Li, J. (2013), "Innovation with Chinese Characteristics: High‐Tech Research in China", Journal of Chinese Entrepreneurship, Vol. 5 No. 1, pp. 94-96. https://doi.org/10.1108/17561391311297905

Innovation with Chinese characteristics

High‐tech research in China is a compact edited book that addresses a big question: is innovative high‐tech research expected to emerge from China in the coming ten years? The quest for an answer has become an overwhelming demand since China announced in 2006 a grand ambition that set goals to make China “an innovation‐oriented country” by 2020 and a “world's leading science power” by 2050. The Finnish Innovation Fund, the facilitator and sponsor of the book, should be given a huge credit for its vision of “a new phase of globalisation” (p. xiii) as a result of China's proactive pursuit of innovation with Chinese characteristics. Bearing this in mind, the objectives of the book are four‐fold:

1. 1.

   to comprehend the objectives of China's national innovation strategy;

2. 2.

   to examine the government policies, policy‐making bodies and funding mechanisms;

3. 3.

   to take an overview of China's R&D and innovation in four priority areas; and

4. 4.

   to assess China's prospect for fulfilling its grand strategic goals.

These objectives are pursued in five chapters by an overview of the national innovation system and analysis of four selected sectors in information and communications technology, nanotechnology, energy technology, and biotechnology. In the first chapter, Linda Jakobson provides an excellent overview of the objectives of national innovation strategy and national innovation system. After examining the legacies of the past science and technology (S&T) system, the system of knowledge creation and diffusion, and the domestic and international environment, Jakobson concludes that it is highly unlikely that the transformation of the national innovation system in China could take place in 15 years, owing to four obstacles in the education system, bureaucratic control, IPR protection, and accountability in the system. Viewing the national innovation system from a wider perspective of societal change, She argues that whether or not China achieves its ambitious goals in the realm of S&T depends on how societal reform in China progresses.

The second chapter is concerned with China's push to innovation in information technology. In examination of major IT production sectors in China, Arthur Kroeber attributes the spectacular growth of the telecoms and internet sector to both the “managed competition” model and the emergence of indigenous telecoms equipment makers, while arguing that the weaker semiconductor industry will focus on capacity‐building rather than development of indigenous innovation over the next decade. He is optimistic that the software industry is likely to produce winners of innovation in gaming software and embedded software that cater for domestic consumption. Kroeber is critical of China's pursuit of proprietary standards, which he sees neither promotes technology diffusion nor increases the financial rewards for domestic innovators. His main observation, though, echoes Jakobson's view in that China is unlikely to be a source of significant innovation in the short‐ to medium‐term as far as innovation in IT is concerned. Kroeber, however, acknowledges that owing to the extremely high rate of technology diffusion, in the long term, China's prospects for becoming a centre of innovation are bright.

The third chapter examines nanotechnology research in which the co‐authors Chunli Bai and Chen Wang claim China is a world front‐runner. Compared with the previous two chapters, this chapter is in a more optimistic tone, although both authors admit that three factors constrain the progress of innovation in China's nanotechnology research, including a limited research infrastructure, IPR protection, and environmental and workplace safety. Among the four main areas of research in materials, devices, bio‐effects, and measurement techniques, they suggest that material‐related research is the most advanced in China, while research in the areas of nano‐electronics and nano‐bio has been modest. Correspondingly, they argue that success of commercialisation in nanotechnology in China in the long term will be most likely to emerge in material‐related products, to be followed by medical applications and novel devices. The fourth chapter concerns energy technology research. Given China's undesirable position as a major global carbon dioxide emitter, innovation in energy technology is obviously crucial for China and beyond. Kejun Jiang, after reviewing progress in the areas of clean coal, nuclear, and renewable energy, concludes that China may take a lead in clean coal utilisation technology such as advanced coal‐fired power generation, coal gastificaiton technologies and coal liquefacation technologies in the next ten years.

The last chapter of the book is concerned with biotechnology research. Jun Yu produces a stylish review of the topic with useful first‐hand experience, balanced view, and an American perspective. Yu highlights the recent shift of emphasis in research from agriculture to medicine, environmental protection and alternative energy, and the government's goal of developing a significant industrial sector for biotechnology and biopharmaceutics. Yu contends that the most promising field of breakthrough innovation and commercialisation in biotechnology research in China will occur in genomics, proteomics, and gene cloning. He, however, is not ultimately optimistic that all these will happen any sooner, due to what he sees as a lack of funding, a lack of talent pool, intrinsic problems in the education system, the sometimes shortermism in policy‐making, and a lack of transparency and democracy in the S&T system.

The book is richly informative and has an interesting diversity of expressions, styles, approaches, and views owing to the different nationalities and professional backgrounds, for which the editor calls it a Sino‐Western joint venture. This has also led to inconsistency with some chapters more descriptive than others. This aside, the book seems to suggest that no matter how much hype China's new innovation strategy has generated and how much money that is being invested, it is not optimistic that China will become a global centre of significant innovation in the next ten years. As the whole world is monitoring the progress of innovation in China, I am sure that this most up‐to‐date introductory book will interest those who wish to get a grip of China's national innovation system in general and innovation in key priority areas in particular with a view to exploring opportunities of collaboration with Chinese universities and companies in R&D projects.