Shaping China’s Innovation Future
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Shaping China’s Innovation Future

University Technology Transfer in Transition

John L. Orcutt and Hong Shen

Shaping China’s Innovation Future employs a thorough analysis of a combination of factors including: the role of law and China’s legal system; economic theory and the development of China’s economy; China’s educational, intellectual property, and financial systems; China’s innovation capacity; and Chinese culture. Though the recommendations on how to improve China’s technology commercialization system are unique to China, the scope of the research makes the conclusions found here applicable to other countries facing similar challenges.
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Chapter 3: A Snapshot of China’s Current Innovation System

John L. Orcutt and Hong Shen


[China plans] to join the ranks of innovative countries [by 2020], thus paving the way for China to become a world leader in science and technology by the middle of the 21st century. – China’s National Medium- and Long-Term S&T Development Plan (2006–2020)1 Ideally, countries that employ a Bayh–Dole strategy to encourage universities to develop and commercialize technology will possess a strong university sector that has the capacity to generate useful, commercial technology and a vibrant business sector that is capable of absorbing that technology. This chapter examines the current roles and capacities of China’s university and business sectors, as well as their ability to link their activities and contribute to a Bayh–Dole strategy. This chapter will also briefly examine China’s restructuring of its GRIs in 1999 and 2000, as that was one of China’s more significant innovation system reforms and helps to place in context how Chinese universities and companies function in China’s innovation system. 1. CHANGING ROLES FOR CHINA’S FUNDAMENTAL TECHNOLOGY ACTORS China’s innovation system continued to evolve throughout the 1990s and 2000s and has experienced some of the more profound changes in China during that period. Some of the more significant reforms include:2 ● ● GRI Sector: the CAS was restructured to focus its efforts on early stage R&D (e.g., basic and applied research) and to upgrade the quality of its personnel. At the same time, government support for thousands of other GRIs was eliminated and those GRIs were privatized. University Sector: China...

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