Summit Analysis

Summit Analysis

E-mail Print PDF

 

Summit Analysis

If countries do not have independent technology , there is no economic political independence.

If its technology depends on others, it will be difficult to get rid of the controller, the dependence and effectiveness of the politic   and economy will be declined.

In order to realize the independence technology, the essential way is i innovation!

1. Background: China is in "Golden Ten Year" , SMEs in China should make decision for future ten years.

In 2010, the global economy, China's economy entered the "post-crisis" era.The next 10 years,the global economy and China's economy will have some new major trend.In order to better grasp the economic development and trends and find the new opportunity, SMEs only based on these major trends.

(1) Change in economic growth

Developed country is changing the economic mode with low saving and high consumption.Emerging countries will progressively increase consumption and reduce savings.World economic growth modeas 'Consumption in US, made in China,the Middle East and Russia provide resources'" will have profound changes.The next few years, the world economy will growth steadily.

(2)Industrial revolution is ready.

Financial crisis and climate change gave birth the new technological revolution which contain low carbon economy and material network.Green Economy and wisdom of the Earth become the new growth point of the world.United States and Europe and other developed countries enhance national strategic and help its development by using new energy,material network,generation of Internet and other emerging industries.There are global powerful upgrading, restructuring and transforming.The gap between China and developed countries in emerging industries become narrow.

(3)SMEs play an important role and face difficulties

SMEs are in the important role in China economy, it about 10 million SMEs in China,99% of the total number of Chinese enterprises and provide nearly 80% position to the town, and average output is about 60% of China.With the healthy growth for SMEs and create a favor environment for business are the essential policy to stabilize society and build up a better-off society.

However,,according the research of State Council Development Research Center,operating condition of SMEs being worst,SMEs are suffering from insufficient funding,increasing operating cost, energy shortage,heavy tax burden , high land cost, high housing cost and RMB appreciation.

There are different with  the financial crisis in 2008, the difficulties that SMEs face, not only no order,also decline in profit. Wages, exchange rate, price of raw material and oil price increase and lack of labour , electricity and fund, it make SMEs can not operate effectively. Gain profit by using cheap labour ,re-export in the part is no longer valid.At the same time,in order to control over-heated economy and depress inflation, central government began to raise RMB deposit reserve ratio of deposit-taking financial institutions.While tightening liquidity, difficulty of credit line to SMEs also increases. It made funding chain more and more tension. How to gathering fund from the market become the key for SMEs survival and development.

SMEs face different kind of threat and problem. The only way to tackle is restructuring and upgrading the industrial structure speedy."Transformation and development" become the main theme of China's economic development.

How to change ? How to improve? The way to improve? Which aspects to develop? Those are  the future issue which is the most significant practical  and strategic value. This is the aim for organizing this event.

2.Demand: Government, business, academic and investment in urgent need to solve practical problems

What is independent innovation?

How to innovated independently?

Which aspect can independent innovation expend?

....

Government need to solve these problem,formulate the development strategy and policy,direct and serve the enterprise,focus on export and economy development.Both European and American and Southeast Asia strengthen its ability of innovation to enhance its national  competitiveness,trend to turn technical advantage to product advantage, and turn innovative achievement into product, and gain the profit through the market. With no doubt, government play an important role in this transformation process.

Enterprises need to solve these problems,repositioning, discover opportunity, create opportunity,make changes from world factory make decision for future ten year. At the same time, enterprise and human play the important role in independent innovation . Only give up the operating model such as sticking the label ,SMEs can turn to the way of independent innovation and human become the subject of independent innovation.

Academic also need to break through the embarrassment mode "belated" ,need to research and realize synchronously and catch up with the trend, discover pattern from independent innovation of government and enterprise, improve the method and provide prospective theory to support the long-term development and construct a innovated society and platform.

Investor also seek for the target actively, when they have government direction and service,strong resolution and planning from enterprise, adequately research from academic,investment will trend to the potential independent innovation item and confirm the operation more steady and gain munificent profit.

Organizing "SMEs Product Innovation & Branding Summit" no doubt become the platform for government, enterprise, academic and investor to develop and become the starter of the economic trend.

3.Practice:Information services in innovation help SMEs developing in the world.

Summit integrate enterprise  independent innovation and enterprise information ,highlighted the developing way "transformation of economic growth is the fundamental,improve the capability of independent innovation is the key, speed up enterprise information is the path.

During the period of Eleventh-five-year plan,the most important and high-lighted problem of the China enterprise is how to enhance product quality through the information technology ,reduce the produce cost ( environmental and social exchange) and increase production efficiency. During the period of Twelfth-five-year plan, these problem extended to an important position which related to all parties.Not only increase quality ,increase efficiency and reduce cost, but also serve the independent innovation.

(1)Information essential help SMES to transform and upgrade.

Key tasks for Country to assist SMEs are :First, enterprise can  enhance managerial  efficiency through apply advance technology. Second, extend market and increase sales through up-to-date communication method, and help SMEs build up the information technology speedy.

Internet usage in China is growing provide the developing opportunity for the internet business.Director and research department of BNP Paribas point out that, in 2009, scale of online shopping in China is same as France, nearly 25 billion euros. In 2010, market of online shopping in France increase in 20% and there are doubled growth in China market, nearly 55 billion euro.In 2011, China will overtake Japan and become second place of the world. In 2013, China will replace USA and to be the largest market of online shopping and have around 165.2 billion euros.


(2)Information technology help SMEs in China building brand speedy

With E- commerce, SMEs in China build up the brand quickly. In traditional marketing model,China need to spend ten-year time and 200 million marketing cost to build up an national brand for product. On the other hand, through the internet, build up a brand only need to spend 1-2 years and the advertising cost around 3 million yuan to 5 million yuan.

(3)Information technology converse SMEs business model

E-commerce promote business to customized product and service, and with the brand transformed and upgraded,enterprise competitiveness in China increase significantly, it gains market share from the other countries. With the open, global,low cost and high efficiency,E- commerce have the advantage which tradition trade methods don't have. Economy of Europe and America go worst, the consumers' buying pattern is changing, they willing to buy the more valuable product from the internet. It can promote the development of E-commerce.

(4)Independent Innovation Break Down Market Monopoly

In the part, national international technology follow the standard of monopolize firm in foreign country.However, with cloud computing technology come into being, people no longer limited by the single software platform. Now, China strongly advocate innovated industry, which includes material network,E-payment,3G network,smart phone,Tablet PC. At the same time,China release "Document No. 18 and promote",Core electronic devices,high-end general chips and basic software .It makes Chinese software industry coming into second golden ten-years. Accumulated over years,technology and product are improved and it is essential trend for industry develop speedy.

Chinese information technology independent innovation will go on,it helps improving SMEs information technology, quicken innovative transformation,break down the market monopoly,found out their own way!

Base on independent innovation and information technology,"SMEs Product Innovation & Branding Summit" must lead to great concern and participation to information technology. Global well-known media and information Industry's participation make summit become more perfect.

(4) Value:Symbolic Branding

Davos Economic Forum,"Fortune" Global Forum,Boao Forum for Asia,its brand value is globally recognized.SMEs Product Innovation & Branding Summit" will be success or not,is the most considerable factor. Through fully discussion and argumentation, it can confirm that there are three ways to confirm the branding value of the summit.

First,summit will arouse concern and participation from different parties, it is the confirmation of the brand building. At this time,there are some Chinese and Foreign cooperations willing to participate this summit. Especially national development and reformation council fully committed to hosting summit,leaders placed high expectations to the summit.

Second, summit has its functional and participate value and play a long-term role,it is confirmed to extend vitality and strength of the brand.

  1. "Summit" will play a long term leading role:Market-oriented – place enterprise to the dominant position,make technology and industry developing interdependently.

  2. "Summit" will provide assessment services at any time – with government support for technological innovation ,in enterprises's technological innovation for capital gathering, actively in the process of encouraging and guiding national investment.

  3. "Summit" will play a promoting role positively- comprehensive promotion among government,enterprise,finance, scientific research,academic,society and market.

  4. "Summit" will coordinate all parties fully and actively – Independent innovation involves technology innovation, product innovation, business innovation, policy innovation,management innovation,summit will coordinate government enterprise,finance, scientific research,academic,society and market actively,interaction with different parties, and increase the efficiency of independent innovation.

Third, anticipated trend for China economy development in future ten years,undoubtedly, summit will highlight the prospective and  practical features and will be guaranteed.

The target of "SMEs Product Innovation & Branding Summit" is becoming a well-known brand in economy developing trend.

 

 

 

 

 

Last Updated on Friday, 26 August 2011 15:42