China´s call for innovation has caused a lot of action by government departments on different levels. But most initiatives are run by officials or universities, not the experienced business people the markets need, tells William Bao Bean, the managing director of one of the Chinese incubators to Reuters.
Almost 80 percent of the capital for the innovation centres springing up around the country is coming from the government or universities, which are state-backed in China, or a combination of sources, iiMedia said.
“In any sort of market, you want the experts making the decisions, not some technocrat or bureaucrat,” said William Bao Bean, investment partner at venture capital fund SOSV, which invests in startups. “You don’t tend to see too many successful companies come out of a government-based decision-making process.”
Are you looking for more experts on innovation at the China Speakers Bureau? Do check out this list.
Earlier we discussed with William Bao Bean what governments can do to stimulate innovation. Get out of the way, is his key advise.