China Innovation

Perspective

Steven Veldhoen
Anna Mansson
Bill Peng
George Yip
Bruce McKern

An Emerging Innovation Power
2013 China Innovation Survey

Contact Information
Booz & Company

China Europe International Business School

Beijing
Steven Veldhoen
Partner
[phone] [e-mail] George Yip
Professor of Management [e-mail] Bill Peng
Principal
[phone] [e-mail] Bruce McKern
Professor of International Business [e-mail] Shanghai
Sarah Butler
Partner
[phone] [e-mail] John Jullens
Partner
[phone] [e-mail] Huchu Xu
Partner
[phone] [e-mail] Anna Mansson
Principal
[phone] [e-mail] The authors would like to thank Booz & Company’s John Jullens, Charles Wong, Olivier Pincon, Eric Chen, and Michelle Wang for their contributions to this Perspective. In addition, the authors would like to thank Mariska Kiewiet de Jonge, general manager,
Shanghai, and Robbert Gorris, general manager, Beijing, of the Benelux Chamber of Commerce in China, along with Bofan Wu, publisher of 21st Century Business Review.

Booz & Company

INTRODUCTION

China is regaining its historical position as a global innovation power.
The nation that brought the world such inventions as water-powered mills, paper money, and explosives is increasingly viewed as a center of 21stcentury innovation excellence. That said, corporate and government leaders know that Chinese companies must move up the value chain for China to achieve “developed nation” status, and that the way to do this is by focusing on new technologies, product offerings, and services within the country. Local companies continue to spend massively on R&D, the government sector is actively supporting their efforts, and multinational companies (MNCs) are making large investments in China as a laboratory and workshop for global innovation. The