4 years ago
robertr
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China's Innovation Problem
The China of today is basically a factory for the world. The Country has sustained growth rates of around 10% per year by producing tons of consumer goods. The problem is that all of these goods are designed in other countries, and thats where most of the profits go. The CCP has created a phrase "zizhu chuangxin" to describe their push towards innovation. But many of the state projects are very "top-down" which, to me, seems to be an outdated model. What can China do to encourage real innovation from the bottom up? Image: Patents by country Source: WIPO (World International Property Organization)
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Hmm... I'm not sure how to explain what I was trying to say. But take the whole gun issue in America. Even though the president and 80% of the country supported more gun control policies, nothing could be done because there are others who disagree. However in China, if they think gun control is necessary and best for its people, they can just stop it without having to go through any debates or long processes. China is definitely not a perfect place, but it is moving forward because actions are getting done. In that sense, I think their system works well. However, it's those who are in charge that ultimately make or break the system. Most non-democratic countries are facing a lot of difficulties because those on top are corrupt, selfish, etc. In China however, the top leaders are very much wanting to make the decisions that are best for the country (at least in my opinion they are). When they find a corrupt official for example, it's either life in prison, execution, or exile. Actions may be harsh but necessary for the betterment of the country. Even during natural disasters, it took the Chinese Army 20 minutes to enter an effected area. When that kind of force is implemented for good intentions, I think it's good. I also think that's how China is different from most other non-democratic countries.
Innovation problem? hmm I don´t think so. Remembering Japan´s miracle? After world war II, they also copied all the new technology from the West, learnt from it, and later renovation, and then innovation :). I think the model backed then also from Top to down model. Then Korea in the 70s (Korea used to produce clothing, and stuffs in the 60s and 70s) and Singapore, were pretty much the same, they learnt the new technology from the West, copied that, and innovate the new technology. In Korea, not until the dead of Park Chung Hee, it is still under dictatorship, the innovation would also fro top to down model. What China are doing now, is just the same with Japan, Korea, and Singapore had done. And you should take a look into the spending that China put into Research and Development, she is spending only behind US ;). At the moment, they may do the top-down model, but soon they would learn from the West about the efficiency way to manage bottom up. (In Nordic country, there is more efficient way of innovation, the circle model - the transparent corporation model) They may produce your consumers good now, but in the near future, probably we all are going to drive Chinese car ;)
"However in China, if they think gun control is necessary and best for its people, they can just stop it without having to go through any debates or long processes." @aero2042 They banned the gun not because of the best for her people, but the best for the govern to control the people ! "China is definitely not a perfect place, but it is moving forward because actions are getting done." - Yep it is getting done quickly and moving forward, but it is work well for power and politics only. But for management? I doubt that, things would never getting done quickly in bureaucracy government ;) And that is China and all the communist states all about !
@tapsamai I think you are talking about ISI vs. EOI, am I right on that? ISI=import substituting industrialization, EOI=export oriented industrialization. I know that the Korean economic miracle was based on importing stuff that you couldn't make and trying to add value (EOI). I think you bring up some good points. I guess what I was saying would apply more to people who think that China will "take over" within the next 10-20 years. Which is clearly sensationalist and highly unlikely.