Forecasting Threats and Opportunities for Foreign Innovators in China's Strategic Emerging Industries: A Policy‐Based Analysis

• Published date: 01 March 2016
• DOI: http://doi.org/10.1002/tie.21713
• Author: Dan Prud'homme
• Date: 01 March 2016

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FEATURE ARTICLE

Published online in Wiley Online Library (wileyonlinelibrary.com)

© 2015 Wiley Periodicals, Inc. • DOI: 10.1002/tie.21713

Correspondence to: Dan Prud’homme, Center for Global R&D and Innovation (GLORAD), Chinese-German School for Postgraduate Studies, Room504, Tongji

University, 50 Chifeng Road, Shanghai, 200092, P.R. China; 86-18611593806 (phone); dan@glorad.org

This article reviews over 50 recent Chinese policies designated to develop China’s “strategic emerg-

ing industries” (SEIs), and conducts interviews with foreign  rms and Chinese government officials

to identify the most signi cant threats and opportunities for foreign innovators in these industries.

Threats identi ed include initiatives to stimulate the market primarily in the interest of Chinese  rms,

cultivate “indigenous” intellectual property (IP) rights, and create national champions in speci c

SEIs. Opportunities include using certain strategies to tap into monetary stimuli for SEIs and sup-

porting industries, bene ts from further regionalization and optimization of industrial bases, direct

bene ts and spillovers from improved IP protection and management, and potential opportunities

from increased mergers and acquisitions (M&As) by Chinese  rms. These  ndings should be con-

textualized with the knowledge that not all aspects of the SEIs’ initiative are “new,” current Chinese

By

Dan Prud’homme

Forecasting Threats

and Opportunities for

Foreign Innovators

in China’s Strategic

Emerging Industries:

APolicy-Based Analysis