White Papers

Below you can find a selection of white papers related to the concepts of #China and #Innovation.
The white papers are chronologically categorized by sector.

THE RISE OF SOCIAL TRAVELby CIC (September 2013)

Chinese tourism revenue is expected to reach 2,900 billion RMB by 2013, representing a 120% increase over five years (data source: China National Tourism Administration). Its rapid development has established ‘travel’ as an important indication of lifestyle, and as such, has become one of the hottest topics on mainstream social media.

Based on the intelligence obtained from 29.6 million travel related posts or articles, and sampling around 11,230  travellers, this white paper maps out  five types of travellers active on social media – business travellers, self-drive travellers, package tourists, luxury shopping travellers and backpackers, and has identified  their unique  attitudes to travel and different consumption behaviours.

Connie Leung, Senior Vice President – Consulting Business & Marketing at CIC, said, “Social media has had great influence on the rapid growth of the tourism market in recent years: on one hand, people obtain travel related information through search sites, BBS and social platforms; on the other hand, the travel journals and other useful information they share on social media will further influence other netizens in making travel arrangements and consumption choices, directly or indirectly. Collecting and analyzing the data related to social media could help us better understand the market and recommend effective strategies to brand marketers.”

Download the full white paper at CicCorporate.com.
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CHINA'S E-COMMERCE PRIZEby Bain (August 2013)

The year 2013 will be remembered as the one in which China surpassed the US as the world’s largest digital retail market. Last year, Chinese e-commerce shoppers spent RMB 1.3 trillion online, a sum that has grown more than 70% annually since 2009 and is expected to continue on its amazing trajectory, reaching RMB 3.3 trillion by 2015. Digital retailing has furiously transformed shopping and purchasing habits, opening up vast opportunities for retailers and brands that pay attention to the nuances of massively changing consumer behavior.

To better understand how Chinese consumers shop and purchase online—and what implications that has for retailers and brands—Bain & Company surveyed more than 1,300 online shoppers across all city tiers, incomes, ages and education levels. A follow-up to our initial 2012 China e-commerce report, it gave us the opportunity to dig deeper into the dramatic growth numbers to understand how the world of online retailing has changed their behavior. We found Chinese shoppers have been more willing than shoppers in other markets to use their smartphones to make purchases, are comfortable with third-party payments and online banking, and are happy to rely on third parties for deliveries—as opposed to picking up products in stores. Perhaps most important for the years to come is that we learned that digital retailing now is the major influence on their actual purchasing decisions.

Download the full white paper at Bain.com.
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SOCIAL MEDIA IN CHINA - LOCAL INNOVATION CONNECTING THE COUNTRYby KPMG – China 360 (April 2013)

The social media story in China is not only one of explosive growth, but one of innovation: Chinese companies initially built platforms based on features and functions of successful overseas platforms, then further innovated with their own style and design to create social media platforms with hundreds of millions of users. The result is a unique and fast-changing social media phenomenon that is impacting both individuals and businesses in China. There is more growth ahead, too, as China’s already large user base continues to ascend, and as mobile technology becomes cheaper in China.

Download the full white paper at KPMG.com.
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The China cloud takes shape - Global cloud survey- the implementation challenge and its impact on Chinaby KPMG China (April 2013)

Organisations in China and around the world are gaining valuable insight into not only the potential benefits of cloud, but also the practical challenges of adopting these highly disruptive technologies.

This report makes a compelling read for any organisation that is either planning or implementing a cloud strategy, and provides some practical and actionable advice for enterprises and their executives.

Download the full white paper at KPMG.com.
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Template Whitepapers_e-Commmerceby McKinsey Global Institute (March 2013)

McKinsey Global Institute (MGI) recently issued a report on e-tailing in China. According to their research China is currently developing the most robust e-tailing market in the world. If the country succeeds in continuing this leapfrog growth it will overtake Western nations in the move to a more digital and efficient retail market.

The researchers of MGI even go as far as to say that:

“E-tailing is fast becoming an area in which China could lead the world in innovation rather than relying on its historical labor cost advantage.”

Some statistics that support this statement and show the huge potential of China’s e-tailing market:

- China has the world’s largest online population with 130 million broadband accounts; broadband penetration is still only 30%.
- E-tailing produced more than $ 190 billion in 2012 sales.
- This online sales could reach $ 650 billion by 2020.
- China’s e-tailing industry has posted 120% compound annual growth since 2003.
- By 2020, e-tailing could potentially lift China’s private consumption by an additional 4-7%
- More than 6 million e-merchants list products on Taobao.
- E-tailing could boost labor productivity in China’s retail sector by 14%.

Interested in the developments in China’s e-tailing market?

Download the full white paper at McKinsey.com.
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THE GREAT LEAP ONLINEby PricewaterhouseCoopers (February 2013)

Consulting giant PricewaterhouseCoopers has just released a survey of the online shopping habits of more than 11,000 online shoppers in 11 countries. And according to PwC Chinese online shoppers are currently the most innovative online shoppers in the world.

“It turns out that Chinese shoppers are in a class by themselves, adopting the Internet as a retail channel much faster than their global peers and running ahead of the pack in terms of using new devices and social media. Chinese shoppers consistently use their PCs, tablets and smart phones to shop far more often than any other global shoppers in our survey. And, what’s more, they love doing it.”

Some key findings from the PwC survey:

    • Chinese shoppers are adopting the Internet much faster than global peers
    • Chinese consumers exhibit unique shopping patterns; for example, shopping far more often and using more on-the-go technology than survey respondents in the West.
    • Deals are the top reason shoppers in China turn to the Internet
    • One-third of Chinese online shoppers make purchases at least once a month using a smart phone—and 39% use tablets to do so.
    • Chinese consumers are some of the highest users of social media in our survey
    • $211 billion in annual online sales.
    • 64% growth in e-commerce revenues over just the past year.

For more in-depth findings, download the full white paper at PwC.com

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2012 CHINA INTERNET WHITE PAPERby IDG Venture Capital Partners (October 2012)

If we look at the Internet giants like Google, Yahoo, and Amazon, despite their success in almost all other geographic regions, they enjoyed only brief bright moments in China before they lost their hard earned market share to their domestic competitors. How is Internet in China different? There is no simple answer, but at least it is simpler than to answer how China is different.

In this white paper, we try to offer glimpses into some unique aspects of Chinese Internet with the hope that an aggregate view can gradually be developed if one knows more specific differences in culture, regulations, demographics, competitions, and behavior for both the companies and the users.

Download the full white paper at IDGVC.com.
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CLICK BY CLICK- HOW CONSUMERS ARE CHANGING CHINA'S E-COMMERCE LANDSCAPEby McKinsey (August 2012)

The first thing to know about the Chinese e-commerce market is that it is growing very fast, almost doubling in size, year after year, as tens of millions more people join in. There are already about 190 million online consumers (more than in the US). By 2016, we estimate that there will be 351 million online shoppers in China, ringing up 2.2 trillion renminbi (US $3.48 billion) in revenues. At that point, Internet penetration will be 80 percent in the cities, and China will surpass the US as the world’s largest Internet retail market.

Want to read more about how fast China’s e-commerce landscape is changing?

Download the full white paper at McKinsey.com.
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CHINA'S SOCIAL MEDIA BOOMby McKinsey (April 2012)

Social media is exploding worldwide, and China is leading the way. A new McKinsey survey of 5,700 Internet users in China has found that 95 percent of those living in Tier 1, Tier 2, and Tier 3 cities are registered on a social-media site; in addition, the country has by far the world’s most active social-media population, with 91 percent of respondents saying they visited a social-media site in the previous six months, compared with 30 percent in Japan, 67 percent in the United States, and 70 percent in South Korea. The survey, which explores the behavior of Chinese consumers on social networks, is the first of its kind in China.

Want to read more about the developments in China’s social media landscape?

Download the full white paper at McKinsey.com.
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THE WORLD'S NEXT E-COMMERCE SUPERPOWERby BGC (2011)

Research conducted by The Boston Consulting Group offers an in-depth look at the underlying dynamics behind the spectacular growth in China’s e-commerce sector. Drawing from surveys of more than 4,000 online shoppers across tier 1 through tier 5 cities, this report illuminates the conditions that make China’s e-commerce environment unique compared with other markets and points out the crucial trends companies must be aware of to achieve success.

Want to read more about the Chinese e-commerce sector?

Download the full white paper at BCG.com.
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CHINA'S DIGITAL GENERATIONS 2.0by BGC (2010)

In the last three years, China’s digital generations have undergone a dramatic transformation, with rapid adoption of digital devices and the Internet across different city tiers and in rural areas. Yet there is still significant room for growth as the Internet penetrates further into China’s less-developed regions.

Want to read more about China’s digital generations?

Download the full white paper at BCG.com.
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CHINA'S IMPACT ON THE SEMICONDUCTOR INDUSTRYby PwC (February 2013)

We began this in-depth look at the China semiconductor industry in 2004 in response to our clients’ concerns about whether China’s production volumes would contribute to worldwide over-capacity and a subsequent downturn in the global semiconductor industry. Since then, it has become clear that market growth in China was far more significant to the worldwide semiconductor industry than production volumes. That relationship may now have started to change as China’s 2011 semiconductor performance far exceeded the worldwide industry. In fact, in 2011 both China’s semiconductor consumption market and semiconductor industry growth were more than ten times greater than worldwide semiconductor industry growth.

Our report includes an in-depth look at both consumption and production, design, and manufacturing as well as the government incentives and goals for this fast-growing industry. We look at changing roles in Greater China, evaluate progress against growth scenarios originally set in 2004 and revised in 2011 and examine the growth of semiconductor IPOs and patents as a measure of a maturing industry.

Want to read more about the developments in China’s semiconductor industry?

Download the full white paper at PwC.com.
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TECHNOLOGY VISION 2012 - CHINA PERSPECTIVEby Accenture (May 2012)

Accenture Technology Vision 2012—China Perspective puts a specific emphasis on how new technology trends identified in Accenture Technology Vision 2012 applies in China. Our report comes to you at a time of unprecedented change in the global economy and the technology landscape. Growth in China has clearly rebalanced the world’s trading axis. The challenge for China’s CIOs is how to use IT to support this growth and to help Chinese companies with their long term expansion into foreign markets—while managing immediate delivery demands and exploiting new technologies.

Accenture’s research into high-performance IT tells us that more than 80 percent of IT and business executives in China want to position IT as a strategic asset. However, while IT executives are looking at ways to manage growth over the longer term, the business world is focused on driving growth today, at ever-lower cost levels.

To properly manage the challenges of rapid growth, CIOs in China have to be able to see around the next corner. The 2012 Accenture Technology Vision is designed to help them to do that—to make sense of the disruptions ahead. But this year’s report challenges companies to go a step beyond understanding—to start taking action. We urge you to plan thoughtful, appropriate responses and seize new opportunities.

The technology that you use will be radically different in the next three years. Stand still and you risk being left behind. Act now and you will be poised for continued growth in the future.

Download the full white paper at Accenture.com

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CHINA'S PRAGMATIC PATH TO CLOUD COMPUTINGby Accenture (May 2010)

Cloud computing is coming to China.

It may not be coming quite as fast as it is to other parts of theworld, owing especially to China’s cautious, pragmatic approach to this new technology. But the Chinese are likely to make up for any lag time quickly. This report reveals how Chinese executives are viewing cloud computing, and suggests how business decision makers, IT leaders and cloud service providers should move forwardin China with this promising but largely untapped approachto computing.

While the challenges and risks are real, cloud computing also has the potential not only to cut IT costs dramatically but even to transform how business is conducted.

Interested in the developments in China’s cloud computing industry?

Download the full white paper at Accenture.com.
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The China Greentech Report 2013 - China at a Crossroadsby PwC (June 2013)

China is at a crossroads in its greentech development, needing to move beyond targets and focus on tangible, measurable results in order to solve growing pollution challenges. Targets specified in the current 12th Five-Year Plan are being outpaced by the impact of rapid growth and urbanisation, despite China investing over US$67 billion in greentech during 2012, the largest amount in the world. China’s new leadership has repeatedly voiced both concern and commitment to change which, coupled with growing public concern, marks a historic opportunity for China to reverse environmental degradation while maintaining economic growth.

The China Greentech Report 2013, released by the China Greentech Initiative (CGTI), is the fourth annual update of recent developments in the greentech sector in China. CGTI, founded in 2008, is the only Chinese-international collaboration platform of 100+ commercial and policy organisations, focused on identifying, developing and promoting green technology solutions in China.

The China Greentech Report 2013: China at a Crossroads highlights “Visions and Roadmaps” for realising China’s goals in five greentech ecosystems:

1. Challenges and opportunities to improving quality, reducing the environmental impact of buildings through integrated, replicable and measurable solutions.
2. Driving growth of China’s electric vehicles market through stimulating consumer demand, improving the performance of batteries, battery management systems and DC charging infrastructure at targeted pilot locations.
3. Integrating planning, buildings and infrastructure in the early stages of low-carbon city development while tailoring to local characteristics in an economically and environmentally beneficial fashion.
4. Promoting the growth of distributed gas and solar energy while continuing to adapt grid capabilities and flexibility, leveraging international expertise to develop unconventional gas sources, and prioritising efficiency along energy value chains.
5. Developing sustainability strategies originating from an organisation’s senior leadership in China, which understands government priorities, manages supply chains that considers scarce resources, and engages external stakeholders to communicate and verify sustainability efforts.

Want to read more about China’s greentech challenges and opportunities?

Download the full white paper at PwC.com.
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SUSTAINABLE ENERGY FOR A GROWING CHINAby DuPont (May 2013)

DuPont has published a report that addresses the challenges and opportunities to secure the energy future in a rapidly expanding Chinese economy. The report was released at the SNEC 7th International Photovoltaic Power Generation Conference & Exhibition. It was prepared in collaboration with Fortune magazine’s Content Marketing and Strategies Group.

DuPont points out that innovation is critical to secure the countries’ energy future. According to DuPont Chinese companies are already innovating in many areas of energy production and distribution. Companies such as Huaneng, the XinAo Group, Shenhua, StateGrid, and CNOOC have used state funding and their own resources to develop thin-film solar technology,biofuels, batteries, wind technologies, efficient vehicles, coal gasification and carbon capture technologies, shale gas extraction, and smart grid technologies, among others. Much of these technological innovations have scaled very rapidly with help from the Chinese government. As a result of these innovations “new industries such as photovoltaic manufacturing develop in China, which also impact the rest of the world,” says DuPont chair and CEO Ellen Kullman.

Apart from technological innovation the report emphasizes that science-based innovation is the real key to making Chinese consumption of valuable energy resources more efficient. According to DuPont the Chinese government is highly aware of the importance of these scientific innovations. In its recent energy policy whitepaper the government states that: “China will continue to take the Scientific Outlook on Development as its guiding principle, and work hard to transform its development pattern, giving prominence to building a resource-conserving and environment-friendly society. It relies on scientific, technological and system innovation to raise efficiency in all aspects of energy utilization, further develops new and renewable energy resources, and promotes the clean and efficient development and utilization of fossil energy resources.”

Interested in the opportunities and challenges of China’s energy sector?

Download the full white paper at DuPont.com.
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CHINA'S WIND-POWER INDUSTRY - THE INSIDERS VIEWby Accenture (October 2012)

As the world increasingly faces energy shortages and climate changes, clean energy has become a hot spot for investment around the globe. Wind energy—with its mature technology, low cost and convenience for large-scale commercial development—is gaining a prominent position in the world’s new-energy landscape.

Thanks to strong government support, China’s wind-power sector has made rapid progress during the past decade. Wind-power equipment manufacturing is enjoying particularly explosive growth. However, constraints on long-term development have also begun to emerge, and the industry is seeing extensive consolidation.

Production capacity is soaring, and the technology gap between Chinese companies and their foreign counterparts is shrinking. However, power-grid systems are having difficulty accommodating large numbers of wind-power devices.

Download the full white paper at Accenture.com

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China's Chemical Industry - The Emergence of Local Championsby KPMG (October 2013)

In this report KMPG attempts to examine the nature and unique character of Chinese chemical companies — not by looking at the powerful state-owned enterprises (SOEs) that have made their mark internationally, but by focusing on the more low profile, yet incredibly strong, players in the industry. These ‘local champions’, both state-owned and private, are influential, have large economies of scale, can innovate and upgrade, and harbour aggressive overseas ambitions.

The nature and characteristics of Chinese companies have changed dramatically over the years. Historical data and development trends of top domestic enterprises reveal certain unique traits. KPMG’s evaluation indicates three distinguishing features that have enabled some companies to emerge as formidable competitors in a complex, globalised environment. These traits include: gigantic scales of operations and extensive product portfolios; technological innovation; and improved quality and branding.

Download the full white paper at KPMG.com

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China's Absorptive Capacityby NESTA (October 2013)

A new report by UK’s NESTA charts the rise of innovation and research in China and sets out a roadmap for more strategic UK-China collaboration.

China’s innovation system is advancing so rapidly in multiple directions that the UK needs to develop a more ambitious and tailored strategy, able to maximise opportunities and minimise risks across the diversity of its innovation links to China. For the UK, the choice is not whether to engage more deeply with the Chinese system, but how.

This report analyses the policies, prospects and dilemmas for Chinese research and innovation over the next decade. It is designed to inform a more strategic approach to supporting China-UK collaboration.

Download the full white paper at NESTA.org.uk.
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WIPO - PCT Yearly Reviewby WIPO (September 2013)

According to a recently published report by the World Intellectual Property Organization (WIPO) China holds a very strong position in the field of patent filings.

Two Chinese companies hold a strong position in the global Top 5. ZTE, China’s telecom giant, has been listed as the company that globally applied for the most patent cooperation treaty (PCT) patents during 2012. By far. With 3,906 published applications it had almost 1,000 more published applications than Panasonic Corporation of Japan (with 2,951) which ranked second. Huawei, another large Chinese telco, comes fourth.

Download the full white paper at WIPO.com.
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An Emerging Innovation Power- 2013 China Innovation Surveyby Booz & Company (September 2013)

Key findings of this survey:

- Some 64 percent of the respondents at non- Chinese companies said some Chinese competitors are equal to or better than their own companies at innovation—a strong increase from 48 percent in the 2012 survey.

- More than two-thirds of respondents this year said they are now conducting product development for the rest of the world in China, up sharply from 41 percent in 2012. Even more expect to be doing so in the future: 88 percent of Chinese companies said they will be doing global R&D in China by 2023.

- In 2013, fully 44 percent of the Chinese companies we surveyed see themselves as conducting activities that make up the Need Seeker strategy, compared to the Global Innovation 1000 average of 27 percent.

- China is on its way to becoming a true global innovation hub for MNCs from developed markets. 66% of respondents conduct R&D in China for foreign markets –an increase from 51% last year.

- The survey results show that Chinese companies are still focusing on core innovation capabilities such as platform management and production ramp-up, and are also moving away from reverse engineering as the sole source of innovation. The MNCs in China are more formal and processdriven, and focus on capabilities related to government relationship management and understanding the market potential.

Download the full white paper at Booz.com.
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Innovated in China- New frontier for global R&Dby KPMG (August 2013)

For much of the past 30 years, manufacturing investment has been the driving force behind the foreign direct investment landscape in China, and China has developed a global reputation as the factory of the world. However, the focus of China’s government, domestic companies, and global corporations alike, is now clearly shifting toward research and development (R&D).

This issue of China 360 examines the new R&D landscape in China, including some emerging R&D hot spots and available incentives. The article also explains some of the advantages and challenges of setting up R&D centers in China, as well as the current and historical trends that support growth of China-based R&D activities.

Download the full white paper at KPMG.com.
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GLOBAL INNOVATION INDEX 2013by Global Innovation Index (July 2013)

The Chinese mainland fell one spot to 35 from last year in the Global Innovation Index 2013, jointly published by Cornell University, INSEAD, and the World Intellectual Property Organization (WIPO).

Hong Kong moved up one spot to 7th. The United States rejoined the five most-innovative nations while Switzerland retained pole position.

According to the report the dispersion of innovation is expected to continue because emerging markets such as China have not experienced the same R&D declines during the peak of the crisis, and in fact they have actually increased their R&D since the recovery began by significantly wider margins than high-income countries. China has shown a very high compound annual growth rate in its R&D spending from 2008 to 2013. The same is true for patent filings. China is now driving the growth in filings to a significant extent and making up an increasing share of global patents.

Despite the economic crisis, innovation is alive and kicking, is the general outcome of the report. R&D spending levels are passing 2008 levels in most countries and successful local hubs are thriving. A group of dynamic middle- and low-income countries – including China, Costa Rica, India, and Senegal – are outpacing their peers, but haven’t broken into the top of the GII 2013 leader board yet.

The GII 2013 looked at 142 economies around the world, using 84 indicators, including the quality of universities, availability of microfinance, venture capital deals – gauging both innovation capabilities and measurable results.

Published annually since 2007, the GII has become a chief benchmarking tool for business executives, policy makers and others seeking insight into the state of innovation around the world.

Download the full white paper at GlobalInnovationIndex.org.
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2013 BrandZ TOP 50 CHINESE BRANDSby MillwardBrown and WPP (July 2013)

Business leaders in much of world have sought for a long time to build local, regional and global brands that add significant value to their organizations. Today, in China, we see the same phenomena emerging as Chinese brands move from being local to regional to national and now to global entities.

China’s people drive the change. Historically, the people of China generally have been savers rather than spenders. However, as the economy strengthens the Chinese are changing and causing the businesses they buy from to change too. Government policies and initiatives encourage the formerly conservative Chinese consumers to release some of their hard earned money and spend it on goods and services, driving GDP growth.

This slow but steady, and now very noticeable, transformation is affecting every business across China. Consumers are learning to buy more products and services for reasons other than price. They’re paying attention to brand.

Download the full white paper at MillwardBrown.com.
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HEALTHCARE & LIFE SCIENCES IN CHINA - TOWARDS GROWING COLLABORATIONby KPMG (June 2013)

KPMG’s latest report on China’s life science sector notes that the country is set to become a crucial player in the life science and healthcare industry.

Within a decade it is expected that China will become a global leader in drug discovery and innovation.

The sector will also see rising mergers and acquisitions and joint ventures, mainly triggered by a growing middle class, aging population and continued urbanisation.

Download the full white paper at KPMG.com.
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CHINA'S INNOVATION ENGINE PICKS UP SPEEDby McKinsey Quarterly (June 2013)

Back in 2011, when we began work on a McKinsey Quarterly article called “A CEO’s guide to innovation in China”, much of the debate was about whether the country was more likely to become innovative or to remain a fast follower of foreign leaders. Even then, that seemed like yesterday’s question. Companies in China were innovating; we were seeing that every day in areas such as renewable energy; consumer electronics, instant messaging, and mobile gaming, both at domestic players and at multinationals with significant research and product-development presences.

Nothing that has happened since has changed our view. Indeed, our sense today is that the pace of innovation is quickening and that a new spirit of innovation is spreading across sectors into universities and even into key departments of Chinese government. In a recent series of interviews with executives at Chinese companies, we detected evidence of real innovation leadership and the potential for more to come. John Oyler, CEO of the thee-year-old Chinese biotech company BeiGen, for instance, underscored the attitude- “anything is possible, we can make it happen, there is no challenge we cannot conquer, we will surprise the world”-that he’s now seeing among Chinese scientists at this company.

Want to read more about the latest developments in Chinese innovation?

Download the full white paper at McKinsey.com.
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CHINA INNOVATIN, EXECUTIVES PERSPECTIVESby PwC (May 2013)

Ever since Deng Xiaoping opened China’s door for business in 1979, “made in China” products have established China as the world’s factory. However, the high-value work, including innovation, design, and development, tended to originate outside of China. While this is starting to change, China has a long way to go. As Premier Wen Jiabao stated in July 2011, “Chinesecapacity for indigenous innovation is weak, Chinese industrial technology is at a low level, and both Chinese basic and cutting edge research are relatively unimpressive.” The message of China’s current president, Xi Jinping, is consistent: “the main wayout is through innovation; it is critical to count on the power of technology.”

Want to read more about China’s future as an innovation leader?

Download the full white paper at PwC.com.
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CHINA INNOVATION, EXECUTIVE PERSPECTIVES - PORTFOLIO AND PRODUCT MANAGEMENT -  A STRATEGIC COMPETENCY FOR GLOBAL GROWTHby PwC (May 2013)

China’s impressive economic expansion has lead to over 500 companies now earning revenues in excess of USD 20 billion per annum. However, China’s domestic market is so large that many of its companies have achieved the impressive revenue by focusing largely on domestic demand. Many are now starting to leverage their huge domestic base to attack international markets, but do not yet have the portfolio and product management capabilities to successfully “go global.” Building a Portfolio and Product Management competency requires executive commitment. Organisational changes are often required and our benchmarks show that the ratio of product managers to R&D staff lie in the range of 1:15 to 1:24 for high-tech companies, a considerable investment. However, building this capability is strategic for Chinese companies set on maintaining their growth by in global markets and contributing to China’s USD 200 billion per year export growth target.

Want to read more about China’s future as an innovation leader?

Download the full white paper at PwC.com.
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CHINA 2030- BUILDING A MODERN, HARMONIOUS, AND CREATIVE HIGH-INCOME SOCIETYby World Bank (March 2013)

The report proposes six strategic directions for China’s new development strategy. First, rethinking the role of the state and the private sector to encourage increased competition in the economy. Second, encouraging innovation and adopting an open innovation system with links to global research and development networks. Third, looking to green development as a significant new growth opportunity. Fourth, promoting equality of opportunity and social protection for all. Fifth, strengthening the fiscal system and improving fiscal sustainability. Sixth, ensuring that China, as an international stakeholder, continues its integration with global markets.

Want to read more about where China likes to stand in 2030?

Download the full white paper at Worldbank.org.
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MICRO INNOVATION IS CHANGING CHINA STEP-BY-STEPby Frog Design (March 2013)

Based on the findings from their recent consumer insights survey global innovation firm Frog Design Inc. states that we need to broaden our definition of innovation when referring to Chinese innovation. Innovation does not only concern giant leaps but also includes very incremental creative improvements.

Frog proposes that one of the key innovation strategies that have proven to succeed in China is the concept of micro-innovation.

“Micro-innovation is the strategy of competing not by offering larger, completely new products and services but by gradually improving existing ideas,” Brandon Berry Edwards, Frog’s Executive Creative Director, explains. He points out that micro-innovation allows for a cheaper and more efficient process of launching new products, or new ideas–compared to launching fresh R&D projects and hoping that they result in viable products. According to Frog the prescription for micro-innovation is simple: “start with what works and slowly tweak it.”

The reason why micro-innovation has become a common approach to innovation among Chinese firms is because many executives believe that planning for product launches too far in advance in the face of rapidly changing market preferences can be strategically disastrous. A product manager of Tencent, a leading Chinese ISP, told Frog, “Chinese consumers’ technology preferences change every month. We have to launch products incrementally to get the latest market reaction. We would lose our competitive edge if we tried to launch a perfect product one year from now. We would be really out of touch with the market.”

This strategy differs 180 degrees from those of western companies’ who try to come up with disruptive new products and services every year. Why is the Chinese approach to innovation so radically different compared to this western approach? Frog states that one of the main reasons for this difference is that Chinese consumers focus on totally different characteristics when asked to define innovation. According to Frog in China being innovative means:

1. Being the first to achieve commercial success. To be innovative is to win. Sina Weibo is perceived as one of China’s most innovative brands, not because it is the first SNS to combine the functionality of Twitter and Facebook seamlessly together, but for being the first SNS to achieve popularity among the Chinese white-collar segment.

2. Constantly update your product. The more companies come up with new features, the more innovative they are.

3. Able to provide excellent customer service. Chinese consumers believe that companies that can provide exceptional customer experiences are innovative.

Download the full white paper at frogdesign.com.
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BUILDING BRICKsby Thomson Reuters (February 2013)

Brazil, Russia, India, China and South Korea—the BRICK nations—have repeatedly been noted for their growing influence in the global economy and research landscape, and are often referred to as “emerging.” What would move them from emerging to established?

To capture a better understanding of their progress, Thomson Reuters reviewed data on R&D spending, human capital, research publications, and patent filings—key indicators of the sustained, diversified research innovation base enjoyed by many of the G7 knowledge economies. The data not only confirm and quantify the rising status of countries beyond the G7 axis as a group, but also spotlight the individual complexities that offer a richer tapestry behind the “emerging” label.

For the analysis, this report draws on data from Thomson Reuters Web of Knowledge, Derwent World Patent Index, and third-party data, including the Organisation for Economic Co-operation and Development (OECD), Red de Indicadores de Ciencia y Tecnología (RICYT), and the World Bank.

Download the full white paper at ThomsonReuters.com.
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THE CHANGING FACE OF COMMERCE - INNOVATION IN CHINAby KPMG China (February 2013)

KPMG’S first ‘The Changing Face of Commerce Insights’ Forum was held in Hong Kong on 25 September 2012, with subsequent events in Shanghai and Beijing. This series of forums focused on how innovation and technology is changing the way consumers and business interact.

This report is a compilation of the presentations and discussions held across the three cities.

Download the full white paper at KPMG.com.
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China - the next major innovative pharma market?by Bioassociate (December 2012)

One of the key points of China’s five year plan is to turn the country from the manufacturing hub of the world into a global innovator. To realize this China’s leaders have identified the domestic pharmaceutical industry as one of the key drivers to spur this transformation.

Consulting firm Bioassociate has come up with an in-depth report on China’s pharmaceutical sector. This report covers the vital regulatory shifts and identifies the country’s current capacity to embrace innovation in terms of skilled capital and existing public and academic facilities. It also presents the highly fragmented industry’s key leaders. By doing this this whitepaper points out key trends in China’s pharmaceutical industry.

Interested in the developments in China’s pharma market?

Download the full white paper at Bioassociate.com.
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A CEO'S GUIDE TO INNOVATION IN CHINAby McKinsey (February 2012)

Considerable innovation is occurring in China in both the business-to-consumer and business-to-business sectors. Although breakthroughs in either space generally go unrecognized by the broader global public, many multinational B2B competitors are acutely aware of the innovative strides the Chinese are making in sectors such as communications equipment and alternative energy. Interestingly, even as multinationals struggle to cope with Chinese innovation in some areas, they seem to be holding their own in others.

Want to read more about how fast China’s e-commerce landscape is changing?

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3 Snapshots of Innovationby McKinsey Global Institute (February 2012)

In this whitepaper The McKinsey Global Institute (MGI) points out that Chinese innovation is evolving in diverse ways and at an uneven pace across a range of different industries. Three of these industries are highlighted in this report: the automotive, semiconductor and pharmaceutical industry.

To find out how innovation is taking place in these sectors and to read what kind of innovation is realized, please download the full report at McKinsey.com

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CHINA OUTSOURCING MARKET RESEARCHby Accenture (March 2010)

The Chinese outsourcing sector continues to enjoy rapid growth despite the global financial crisis which has resulted in a slump in China export trade. Although the emerging Chinese outsourcing industry is still in its infancy, the China outsourcing sector is drawing the world’s attention with its huge market, abundant human resources, and relatively low cost value propositions. This report gives a complete and accurate picture of the ongoing development of China’s outsourcing industry and its market characteristics. Many experts, entrepreneurs and government officials have contributed to this report.

Want to read more about the Chinese outsourcing sector?

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CHINA'S DRIVE FOR 'INDIGENOUS INNOVATIONby James McGregor for the US Chamber of Commerce (2010)

Indigenous innovation is a massive and complicated plan to turn the Chinese economy into a technology powerhouse by 2020 and a global leader by 2050. The landmark document that launched the campaign carries the bureaucratic title “The National Medium- and Long-Term Plan for the Development of Science and Technology (2006-2020)” (now known in the West as the MLP). Bland as the title may be, the MLP describes itself as the “grand blueprint of science and technology development” to bring about the “great renaissance of the Chinese nation.”

Want to read more about China’s drive for indigenous innovation?

Download the full white paper at USchamber.com.
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PATENTED IN CHINA II - THE PRESENT AND FUTURE STATE OF INNOVATION IN CHINAby Thomson Reuters (2010)

This report looks at current patent trends and projects how the world of patent information will look in five years. The driving factors for China’s patent boom are analyzed using data drawn from Thomson Reuters. Patent volumes and trends are explored, as well as the underlying causes of increased innovation in China, including economic and government policy factors.

Want to read more about the developments in innovative China?

Download the full white paper at ThomsonReuters.com.
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DRIVING GROWTH AND INNOVATION IN CHINA'S TELECOMMUNICATIONS MARKETPLACEby Accenture (November 2009)

China has always been one of the world’s greatest and most innovative trading nations. Centuries ago, the Silk Road reached out from Xi’an across Asia to Europe. Now, because of its scale and commitment to invest, China has the opportunity to lead the great trade route of the 21st century.

In the short term, immediate plans for network deployment must be carefully planned and managed to deliver a solid return on investment. Operators must find innovative yet proven ways to improve operations and reduce costs. At the same time, a commitment to innovation will be essential as the market landscape stabilizes, and as new products and service quality become critical competitive differentiators for achieving high performance.

Download the full white paper at Accenture.com

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MEASURING CHINA'S INNOVATION SYSTEM- NATIONAL SPECIFICITIES AND INTERNATIONAL COMPARISONSby OECD (January 2009)

This working paper provides input to the OECD Review of Innovation Policy for China (OECD,2008), which was released in September 2008.

Want to read more about China’s innovation system?

Download the full white paper at OECD.org.
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PATENTED IN CHINA - THE PRESENT AND FUTURE STATE OF INNOVATION IN CHINAby Thomson Reuters (2008)

This report looks at current patent trends and projects how the world of patent information will look in five years. The driving factors for China’s patent boom are analyzed using data drawn from Thomson Reuters. Patent volumes and trends are explored, as well as the underlying causes of increased innovation in China, including economic and government policy factors.

Want to read more about the developments in innovative China?

Download the full white paper at ThomsonReuters.com.
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OECD REVIEWS OF INNOVATION POLICY- CHINAby OECD (September 2008)

This synthesis report summarises the main findings of the OECD review of the Chinese national innovation system (NIS) and policy. The review was requested by the Chinese authorities, represented by the Ministry of Science and Technology (MOST), and was carried out as a joint OECD-MOST project under the auspices of the OECD Committee for Scientific and Technological Policy (CSTP), as part of its new programme of country reviews of innovation policy.

Want to read more about China’s innovation policies?

Download the full white paper at OECD.org.
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