Promoting Enterprise-Led Innovation in China (Directions in Development)

This book explores policy options for China to implement its strategy of enterprise-led innovation. It identifies two sets of challenges facing China, and recommends actions along four dimensions: pursuing a balanced strategy, creating the right incentives, building capacity of the private sector, and strengthening the ecosystem for the venture capital industry.

"Technological innovation is particularly important for China to respond to the global economic crisis. The publication of this report could not have been more timely. Its analysis of the innovative potentials of private enterprises and the obstacles they face in China is the most objective and penetrating I have seen so far. People who are dedicated to promoting innovation in China will benefit enormously from reading this report and following its policy suggestions." --Lan Xue, Professor and Dean School of Public Policy and Management, Tsinghua University

"This book is full of valuable insights on why indigenous, enterprise-based innovation has lagged in China, why it is so important for the country's long-term prosperity to reverse this trend, and what can be done to make real and faster progress. An extremely well informed and balanced overview of the facts and the issues. A must-read for Chinese government officials concerned with preserving China's competitiveness, enterprise managers, and students of China's economic reforms." --Pieter Bottelier, Professor, Johns Hopkins University

"This report is characterized by extensive examination and deep analysis of China's current situation of innovation. Its comments and conclusions are objective and reflect properly the real situation, and its recommendations are sensible. In particular, the recommendation of pursuing a balanced strategy regarding R&D and other factors of innovation is of great importance to us in improving and perfecting government innovation policies." --Wei Lu, Director General, Department of Technology Economics, Development Research Center of the State Council, China