The New Chinese Dream: Industrial Transition in the Post-Pandemic Era (Palgrave Studies of Internationalization in Emerging Markets)

This volume describes the most salient changes faced by key Chinese industry sectors as defining components of global and domestic macroeconomic performance. Set within the context of the Global China 2049 initiative, which aims to transform the country into a fully advanced and developed nation, chapters focus specifically on industrial policies that are considered to be one of the main determinants of Chinese growth. Covering sectors such as healthcare, aerospace, microprocessors and other data driven industries, chapters highlight the pitfalls and anticipated successes of Chinese firms operating in the global competitive market. Importantly, the book fosters debate on how Chinese industries will achieve competitive growth in the post-pandemic era. Ultimately the book discusses the likelihood of China achieving a leading position in terms of processes and innovation and suggests a road to future research on China’s industrial trajectory. Francesca Spigarelli is Associate Professor of Applied Economics, at the University of Macerata and Director of the China Center. She is Vice Rector for Entrepreneurship and Technological Transfer and for European research policy and is member of the board of Chinese Globalization Association (www.chinagoesglobal.org). John McIntyre has been Director of the Georgia Tech Center for International Business Education and Research (CIBER), a national center of excellence, since 1993 and a full Professor of International Business Management and International Relations with joint appointments in the College of Management and the Sam Nunn School of International Affairs of the Georgia Institute of Technology, Atlanta, Georgia. Preface Contents Notes on Contributors List of Figures List of Charts Introduction Chapter 1: Structural Changes and Policies in China: From the New Dream to COVID-19 Era 1.1 Pre-COVID-19 Industrial Policies Shaping China’s Innovation Potential 1.2 New Scenarios and Old Challenges: China and the COVID-19 Outbreak 1.3 Post-COVID-19 Policies: The Dual Circulation Strategy References Chapter 2: Can China Be Less Dependent on Exports? 2.1 Introduction 2.2 China’s Repositioning in the Global Economy 2.3 Industrial Policies with Chinese Characteristics 2.4 Reaching Outward 2.5 Playing Hardball 2.6 Escalation 2.7 The Assertive China 2.8 Chinese Global Economic Influence 2.9 Where to from Here? References Chapter 3: Chinese Innovative Capacity—State of the Art of the Leading Edge 3.1 Introduction 3.2 Industry 4.0 and Challenges of Adoption 3.3 Developing Innovative Capability for Industry 4.0 3.4 Conclusions References Chapter 4: Chinese Diplomacy, Strategic Partnerships and Global Economic Supremacy 4.1 Introduction 4.2 Internationalization and the Network Model from Business Studies to International Relations 4.3 The Network Model 4.3.1 Methodology 4.3.2 Empirical Analysis Military Dimension Political Dimension Economic Dimension 4.4 Conclusion References Chapter 5: Is China Going to Run the Digital World? 5.1 Introduction 5.2 A Solid Eco-System which Fostered Digital Technology Creation 5.2.1 Big Innovative Companies 5.2.2 World-Class Scientific and Technology Parks 5.2.3 A Myriad of Start-Ups, and a Lot of Unicorns 5.2.4 Universities and Public Research Centers 5.2.5 Booming Patenting Activity 5.3 How Has China Developed a Strong Digital Economy? 5.3.1 Leapfrogging in Emerging Industries 5.3.2 Protectionism 5.3.3 Size Effect: Huge Network Externalities 5.3.4 Offerings Fitted with Local Demand 5.3.5 China Is Still Dependent on External Suppliers 5.4 Future Digital Applications: Dealing with China Macro-Imbalances 5.4.1 Driverless Cars 5.4.2 Smart Cities 5.4.3 Taking Care of the Elderly 5.4.4 Public Health and Big Data 5.4.5 A Digital Currency Controlled by the State: The e-RMB 5.4.6 Productivity Improvement in Manufacturing 5.5 Issues Raised by China Ruling the Digital World 5.5.1 The Door Is Not Open to Foreign Companies 5.5.2 Internet Control, and Censorship 5.5.3 The Social Credit System Frightens the West 5.6 Conclusion References Chapter 6: Leapfrogging: The Life Science Sector 6.1 Introduction 6.2 The Demand for Data-Driven Business Models in the Life Science Sector 6.3 The Supportive Government Policies 6.4 The Chinese Life Science Sector and the Global Exposure 6.5 The Wild Card of COVID-19 and Its Effects on the Life Science Industry 6.6 Technology, Health Care and Smart Cities: A Novel Scenario to Consider 6.7 Conclusions References Chapter 7: Chinese Commercial Aircraft Manufacturing Policy: The View from the Commanding Heights 7.1 Introduction 7.2 The Current Commercial Aviation Market in China 7.3 Chinese Commercial Aviation Production 7.4 Chinese Commercial Aviation Policy References Chapter 8: The Semiconductor Industry: A Strategic Look at China’s Supply Chain 8.1 Introduction 8.2 Chinese Semiconductor Industry Policy and Development 8.3 Evaluation of China’s Semiconductor Supply Chain 8.3.1 Packaging and Testing 8.3.2 IC Foundry 8.3.3 IC Design 8.3.4 Memory Chip Manufacturing 8.3.5 Semiconductor Equipment 8.3.6 Semiconductor Materials 8.3.7 EDA Tools 8.3.8 IP Cores 8.4 Concluding Remarks References Chapter 9: The New Chinese Dream: Perspectives, Potentials and Weaknesses 9.1 Introduction 9.2 The Role of Industrial Policies in China 9.3 China’s Four Main Challenges References Index