The Evaluation of Innovation Capacity of China and Its Influencing Factors

Usman, Khalid; Liu, Zhiying; Anjum, Muhammad Naeem; Bi, Sheng

doi:10.5539/ass.v11n13p180

Cited by 5 publications

(3 citation statements)

References 43 publications

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“…The concept of AC, the foundations of which were originally designed in the context of firm theory, can be extended to complex systems, such as regions and countries (Pittz and Intindola, 2015; Prevezer et al , 2013; Usman et al , 2015; Ndebbio, 1980; Xiaolan, 2008; Uotila et al , 2006). In this vein, Caragliu and Nijkamp (2012) argue that regions display similar patterns to firms.…”

Section: Proposition Developmentmentioning

confidence: 99%

Absorptive capacity and innovation in China

Reid

2019

IJOEM

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Purpose The purpose of this paper is to question the conventional wisdom that China fails to produce distinctive innovation; its capabilities limited merely to copying and reverse engineering. The author postulates that the lack of innovation is a delayed activity since China is undergoing a process of building absorptive capacity (AC) as a precursor to innovation. Design/methodology/approach The author probes this question by drawing on the concept of AC, a competence separate from innovativeness and a precursor to it. By drawing on the AC literature three propositions are established. Subsequently, these propositions are examined, in part, with data drawn from 34 interviews conducted in China with CEOs, other senior corporate officers and government officials. In this way, the author explores the challenges to innovating. Findings Thomson Reuters 2015 Top Global Innovators report listed no Chinese company among its top 100 list of innovative companies. The author’s belief, however, favors China to become a source of innovation. A positive tilt derived from both interviews and recent reports published by Bain & Company, Booz and Co as well as McKinsey & Co. This evidences, the author argues, China is acquiring AC, a competence independent of innovation but a necessary antecedent to decoding and deploying the intellectual property in its portfolio. The collective effect of this is that the perception of China as a source of innovative activity will show an uptick when the AC threshold is reached. Research limitations/implications This is a viewpoint paper grounded on an exploratory study. Practical implications Guidance on AC development is valuable to government policy makers promoting innovation in China and those attempting to arbitrage these developments. Similarly, policy makers in competitive nations should also be aware that their innovation-focused industries may need nurturing and bolstering since they may be at risk of being swept away by a tsunami-like innovation wave from China. Originality/value This is an original take on the relationship of AC and innovativeness in China. The author argues that in contrast to the conventional wisdom China has the potential for innovativeness.

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Section: Proposition Developmentmentioning

confidence: 99%

Absorptive capacity and innovation in China

Reid

2019

IJOEM

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“…More recently, China has become a location for research and development, again based on low labour costs, but with very much higher levels of skills (Usman et al, 2015;Wei et al, 2017). China has also worked to reduce its dependency on foreign patents, especially standard essential patents (SEPs), and semiconductors, by developing its own versions of 3 G and 4 G mobile technologies, though with limited success (Gao and Liu, 2012;Stewart et al, 2011;Liu et al, 2018).…”

Section: Zhongxing Telecommunication Equipment Corporation (Zte)mentioning

confidence: 99%

The strange case ofUSv.ZTE: a prosecution, a ban, a fine and a presidential intervention

Sutherland

2019

DPRG

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Purpose The purpose of this paper is to review the prosecution by US authorities of Zhongxing Telecommunication Equipment (ZTE) Corporation for its violation of sanctions against the sale of systems to Iran and North Korea; the violation of the plea agreement; and, following presidential intervention, the imposition of a further fine and restructuring of its management. Design/methodology/approach An analysis of the materials used in court proceedings and speeches by officials in the case against ZTE Findings The US president intervened in a quasi-judicial matter in which a foreign firm had violated US sanctions that he had supported to lessen the penalties it faced. The firm had also violated its plea agreement. This personal intervention weakened enforcement of US sanctions on human rights and weapons of mass destruction (WMD). However, it revealed the excessive reliance of Chinese manufacturers on US-domiciled suppliers of semiconductors and software. Research limitations/implications Neither was access to Chinese documents possible nor would it have been practicable to interview managers at ZTE. Practical implications Enforcement of US sanctions on the sale of telecommunications equipment have now been moved from strict enforcement on matters of human rights and WMD into political, trade and even personal negotiations with the US president. Originality/value A first analysis of a telecommunications sanctions case.

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“…The overall results yield that financing is not much professionally considered in these businesses and there are important problems about external and longterm financing. these businesses are dominant in the innovative capacities of many emerging countries (Fu et al, 2011;George and Prabhu, 2003) such as Korea (Lee et al, 2015), China (Usman et al, 2015), Mexico (Rodriguez-Pose and Villarreal Peralta, 2015), and India (Fan, 2011;Reddy, 1997) as well as of the European Union (Carvalho et al, 2015) and the US (Prajogo and Ahmed, 2006).…”

Section: Introductionmentioning

confidence: 99%

Financing of Innovative Small and Medium-Sized Enterprises. A Research in Turkey

Ayrancı¹,

Ayranci²

2016

IJARAFMS

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Today's business realm involves a vast variety of businesses and business groups; small and medium-sized enterprises (SMEs) being one of the most prominent. Despite countless investigations from many different business-related perspectives, their innovation perspective is rarely subjected. This current study chooses this perspective and moves a step beyond by considering financing of these businesses. In other words, this study covets to uncover how innovative SMEs are financed, how much these businesses care about professionalization towards financing issues, and what problems they face in their financing processes. Emphasizing innovative SMEs in techno parks in Turkey, this study discloses noteworthy facts from the Turkish context. Major findings pinpoint a low priority towards a professional financing approach and problems related with external and long-term financing opportunities. A noteworthy implication about both external and long-term financing is that they are entirely dependent on exogenous factors. Most of the participating businesses are on micro and small scales, besides being very young.

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The Evaluation of Innovation Capacity of China and Its Influencing Factors

Cited by 5 publications

References 43 publications

Absorptive capacity and innovation in China

Absorptive capacity and innovation in China

The strange case ofUSv.ZTE: a prosecution, a ban, a fine and a presidential intervention

Financing of Innovative Small and Medium-Sized Enterprises. A Research in Turkey

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