Social Sciences in China (Chinese Edition)

No.3, 2020

The Measurement of Innovation in Chinese Manufacturing Enterprises—An Intertemporal Comparison Based on Innovation Micro-Surveys

(Abstract)

An Tongliang, Wei Jie and Shu Xin

Following its “miracle growth” over the 40 years of reform and opening-up, China has become a big country with global influence, but the “black box” of true innovation in Chinese manufacturing enterprises has not yet been opened. Generally speaking, technologically backward countries need to complete the “triple jump” of technological progress: imitating, competing and leading. Reviewing the historical evolution of the measurement of innovation, this paper proposes a theoretical framework and method for measuring innovation by level, comprehensively reviews the innovative behavior and capabilities of Chinese manufacturing enterprises through a comparison of data from the 2002 and 2014 innovation micro-surveys based on Jiangsu practice, and systematically ascertains the global position of innovation in Chinese enterprises. As empirical analysis shows, the current innovation capability of Chinese manufacturing industry shows a V-shaped pattern going from high to low, in which “traditional industries take the lead, mid-level industries parallel and compete, and high-end industries mainly parallel but occasionally take the lead.” Therefore, one should clarify the different needs and positioning of enterprises or industries that respectively take the lead, compete and parallel, offer them industrial policy guidance based on their type, and improve the relevance of industrial policy.