Strategies for the People's Republic of China's Small and Medium Enterprise Development within the National Innovation System

With deregulation and globalization, it has become necessary for the People's Republic of China (PRC) to consider an approach that would further attune its economic engine toward sustained growth. This paper argues that certain sectors of the economy—in particular, the small and medium enterprise (SME) sector—may play a significant role in terms of any further reforms of the PRC's national innovation system, which in turn could spur continued growth. It highlights how issues such as innovation, research and development, and strategic clustering influence the SME sector, and outlines internal and external conditions that may impact the further development of this sector.p>

An earlier version of this paper was released as ADBI Discussion Paper No. 55.

The views expressed in this paper are the views of the authors and do not necessarily reflect the views or policies of the Asian Development Bank Institute (ADBI), the Asian Development Bank (ADB), its Board of Directors, or the governments they represent. ADBI does not guarantee the accuracy of the data included in this paper and accepts no responsibility for any consequences of their use. Terminology used may not necessarily be consistent with ADB official terms..

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