The Role of Small Firms in China's Technology Development
AbstractScience & Technology (S&T) is high on the Chinese policy agenda but there are large uncertainties on the actual S&T development. For instance, previous studies tend to focus only on large and medium-sized enterprises (LMEs). The situation in Chinese small firms is far less explored. This paper aims to examine the role of S&T-based small firms. More precisely, we examine how much S&T that has been accounted for by small firms and how their S&T intensity differs across industries and ownership groups. We also analyze how various firm characteristics differ over size categories and S&T status. This study is based on newly processed micro level data provided by the National Bureau of Statistics with information on a large number of S&T indicators for small-, medium-, and large-sized manufacturing firms in China in 2000 and 2004. Our results suggest that small firms in Chinese S&T resemble their role in many other countries. They account for a comparably small share of total S&T and most small firms are not engaged in any S&T. However, those small firms that do engage in S&T tend to be more S&T intensive and have a higher output in terms of patents than larger Chinese S&T firms.
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Bibliographic InfoPaper provided by Research Institute of Industrial Economics in its series Working Paper Series with number 695.
Length: 34 pages
Date of creation: 06 Feb 2007
Date of revision:
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Technology; SMEs; China; S&T; R&D;
Other versions of this item:
- Lundin, Nannan & Sjöholm, Fredrik & Qian , Jinchang, 2006. "The Role Of Small Firms In China’S Technology Development," EIJS Working Paper Series 227, The European Institute of Japanese Studies.
- O30 - Economic Development, Technological Change, and Growth - - Technological Change; Research and Development; Intellectual Property Rights - - - General
- O31 - Economic Development, Technological Change, and Growth - - Technological Change; Research and Development; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives
- O53 - Economic Development, Technological Change, and Growth - - Economywide Country Studies - - - Asia including Middle East
This paper has been announced in the following NEP Reports:
- NEP-ALL-2007-02-24 (All new papers)
- NEP-CNA-2007-02-24 (China)
- NEP-CSE-2007-02-24 (Economics of Strategic Management)
- NEP-ENT-2007-02-24 (Entrepreneurship)
- NEP-INO-2007-02-24 (Innovation)
- NEP-TID-2007-02-24 (Technology & Industrial Dynamics)
- NEP-TRA-2007-02-24 (Transition Economics)
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