从中国制造到中国创造

1、Team: Simon Elsener, Christian PlschbergerShanghai, April 18, 2014From “Made in China” to “Created in China”23 May 20222 From “Made in China” to “Created in China”Bill Gates23 May 20223 From “Made in China” to “Created in China”Steve JobsWhat is the differences between a leader and a follower? Creat

2、ivity23 May 20224 From “Made in China” to “Created in China”Who is next? China?2020? 2025? 2030?Looking back23 May 20225 From “Made in China” to “Created in China”Refrigerator as seen in Wuhan museum of historySpeer made of “new material”Emergency quick release baby trousers1.What is exactly meant b

3、y the Created in China“ strategy2.What are the challenges for China to realize the Created in China“ strategy3.What are the possible implications of the “Created in China” strategy for Western economies and businessesPurpose23 May 20226 From “Made in China” to “Created in China”- Definition of terms

4、- Approaches to innovation- Analysis of innovation indicators- Examples- Challenges for China- Impact for Western economies and businesses- Summary & ConclusionAgenda23 May 20227 From “Made in China” to “Created in China”IntroMain“Made in China”- China is seen as the worlds “cheap” working bench for

5、 simple to produce products- Basic items such as textiles and toys, not necessarily the most innovative products and rarely associated with brand names“Created in China”- Products are innovated in China and also produced there- They can be targeted at the domestic or global markets- Innovation can b

6、e done in different ways- Chinese government supports innovation and made it part of the 12th five year planDefinition of Terms23 May 20228 From “Made in China” to “Created in China”Approaches to Innovation23 May 20229 From “Made in China” to “Created in China”Incremental Innovation- Prevailing view

7、 is that engineers apply “copycat” innovation (shanzai)-Existing products are taken as a basis, improved and/or combined in new ways-Frugal Innovation: simplify existing products with a cost focus-Chinese are more comfortable with putting a new product or service into the market quickly and improvin

8、g its performance in very short cycles -Products are launched in a fraction of time it would take in more developed marketsApproaches to Innovation in China23 May 202210 From “Made in China” to “Created in China”Disruptive Innovation-Creates a new market by applying a different set of values-Replaci

9、ng an earlier technology-Having made incremental innovations for many years, many Chinese engineers are going to be ready to create on a different scale in the near futureApproaches to Innovation in China23 May 202211 name of documenthttp:/ Chinas overall R&D spending has hit USD 220 billion in 2013

10、 - represents an increase of 11.6% over 2012 and - is just over half of the US spending; US could fall behind China by 2023Indicators of Innovation in China (1)23 May 202212 From “Made in China” to “Created in China”23 May 2022From “Made in China” to “Created in China”13 Chinas leadership have long

11、made clear its desire to transform Chinas economy away from being the worlds workshop to instead the worlds leading innovator.Consequently, patent applications have been surging over the past decade. In 2013, invention patents jumped 26.3% over the previous year to 825,000.Indicators of Innovation i

12、n China (2)Indicators of Innovation in China (3)23 May 202214 name of document900000 engineering6.7 Mio students10000 PhDs400+ fortune 500 companies R&D centerGrowing number of publications in international magazines2800000 people working in R&D Supercomputer Tianhe-2 (Intel Chips)Superfast Train (S

13、iemens/Alstom)Examples for incremental innovation: Worlds fastest SupercomputerWorlds fastest Train23 May 202215 name of document- Huawei- First 100G“ technology to transport large amount of data wirelessly which could become a global standard- Innovative new smartphone platforms built on chips and

14、software designed in-house- Xiaomi- Reinventing the smartphone business model in the worlds largest mobile market- Gridsum - A cloud-based Web-analytics company with customers such as Coca-Cola was named as one of Microsofts most innovative new software partnersExamples for disruptive innovation: In

15、novations in IT23 May 202216 From “Made in China” to “Created in China”- Baidu- Started with Google-like Search Engine and - Added innovative products which Google does not offer (Scanning book-cover, face comparison, Baidu 3D maps etc.)- Baidu focuses on non-English characters and serves Googles co

16、mplementary markets From incremental to disruptive innovation: Innovations in IT23 May 202217 From “Made in China” to “Created in China”Pre-requisites to inspire Innovation23 May 202218 From “Made in China” to “Created in China”Government PoliciesPeopleCultureFinancingChallenges in China23 May 20221

17、9 From “Made in China” to “Created in China”Government PoliciesPeopleCultureFinancingRealizing 5 year planIP ProtectionInternet-CensorshipEducationCreativityAttract returners and foreignersFailure toleranceMental transitionCollaborationLow profit marginsAttracting venture capital and foreign investm

18、entsOpportunities- New technology will be invented which will also be of benefit for Western consumers- R&D competition will increase and innovation cycles might shorten- Western companies might adapt culture of putting products on the market early - Western economies will not need to innovate to th

19、e extent they do now, but can benefit from Chinas innovations- Multinational/foreign companies will be able to fully move their R&D facilities to China (provided the patent laws provide sufficient protection)- Opportunities for consulting engagements to bring Chinese innovations to Western economies

20、Implications for Western economies and businesses23 May 202220 From “Made in China” to “Created in China”Threats- By moving R&D facilities to China, also workplaces are being moved- European countries might stay in their comfort zone and do not realize the developments going on in China quickly enou

21、gh (Weak-up call needed)- China might overtake the Western economies in terms of innovation power- China might always be a few steps ahead and it will be difficult for Western economies to keep up- Competitive advantage of Europe might decrease (high salary costs, missing flexibility, workers unions

22、, etc.)Implications for Western economies and businesses23 May 202221 From “Made in China” to “Created in China”23 May 2022From “Made in China” to “Created in China”Summary & Conclusion - Timelines22 IncrementalDistruptiveBreakthrough5-10 yearsGame Changer 10 years50 years40 years30 years ?work benc

23、h“1.Incremental technical innovation and disruptive innovation of business models already happening today. There will be a shift towards disruptive innovation2.The government fully supports and drives innovation3.Chinas own innovation activities will drive improvements to the patent law which in tur

24、n will better protect foreign companies moving into China4.All the right things are happening, but it will take a while until all measures will have an impact. Finally they will rock the place!Summary & Conclusion23 May 202223 From “Made in China” to “Created in China”23 May 2022Thank you!24 From “M

25、ade in China” to “Created in China”- “What the West Can Learn From Chinas Hothouse of Technology Innovation”, Maverick Research (Gartner), Sept 23, 2013- “Chinas innovation engine picks up speed”, McKinsey Quarterly, June 2013- “Innovation statt Imitation”, Study by TU Munich, March 20, 2014, http:/

26、www.tum.de/die-tum/aktuelles/pressemitteilungen/kurz/article/31420/- “China set to surpass U.S. in R&D spending in 10 years”, Computerworld, Dec 24, 2012, http:/ “Key targets of Chinas 12th five-year plan”, Chinese Governments Official Web Portal, March 5, 2011, http:/ “China 3D Printing Technology Industry Alliance established”, ,