New Tendency of Innovation System in China——From the Perspective of Regional Transition

摘要

China has been one of the most favorite markets in the world for the last decade. With the economic liberalization reforms starting in 1978, China's government provided for Special Economic Zones (SEZs) in a few of provinces on the coastal area (Yao et al, 1998). SEZs in China have been established and aiming to attract direct foreign investment (FDI) to encourage technology transfer and boost exports and employment. Current SEZs in China are mainly located in the southern areas, such as Guangdong, Fujian, Hainan, Hunchun, and Pudong Development Zone (Shanghai). Accompanied by a significant inflow of FDI, more and more transnational companies (TNCs) are increasing their tendency towards and involving in local R&D activities in China.Subsequently foreign companies, which are now increasingly wholly owned foreign enterprises, have come to play significant roles in China's high-tech industrial development. However, since the changes of policies, regional characteristics of manpower, and fruitful university spin-offs, the business opportunities in China are inclined to transit from the south to north and obviously result in a new climate of innovated competitiveness and regional cooperation in China.Huge amounts of innovations are already taking place in manufacturing firms all over China, and these firms have often aggregated in geographical clusters and are found in many industrial sectors. In order to successfully engage with China's rising innovation opportunities, acquainting with the new innovation tendency of regional transition, cooperation, and development should be initiated and cognized. This study investigates the innovation tendency of regional transition from the south to north in China by examining the regional characteristics of manpower, revenue of university spin-offs, provincial R&D expenditures and FDI, and regional government policies in China.