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This is how the state industrial developmental policy is executed in China, many is not aware of:
“Once a month, senior executives of Yangtze Memory Technologies Co. fly to Beijing for a flurry of meetings with China's top economic management bodies.”
1/ https://asia.nikkei.com/Spotlight/The-Big-Story/US-China-tech-war-Beijing-s-secret-chipmaking-champions?fbclid=IwAR21h9GXz2M1E0yvf6D7RB_fCVLmAuUlzbBBtSCt0-FP2tXahyhDRj0UYkw
“Once a month, senior executives of Yangtze Memory Technologies Co. fly to Beijing for a flurry of meetings with China's top economic management bodies.”
1/ https://asia.nikkei.com/Spotlight/The-Big-Story/US-China-tech-war-Beijing-s-secret-chipmaking-champions?fbclid=IwAR21h9GXz2M1E0yvf6D7RB_fCVLmAuUlzbBBtSCt0-FP2tXahyhDRj0UYkw
Btw, such a policy is not a Chinese invention, but a well established & bringing profits trend in East Asia, others practiced too:
Long term planning, gov disciplining selected industry players, fusion btw the sovereign interests of state & subordinate interest of industries.
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Long term planning, gov disciplining selected industry players, fusion btw the sovereign interests of state & subordinate interest of industries.
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The detaliled planning, mapping out the tech shortcomings across industries (not necessarily important for us), carrot and stick policy, and the meticulous implementation and execution of the strategy at the state (regulatory) and business level, are all impressive.
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In particular, a massive state investment (in R&D, tech acquisition, production facilities, markets conquering), state auxiliary support, guaranteed contracts to boost revenues, and securing as much as possible of a local content (more manufacturing power, tech, employment...
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revenue & taxes).
All these tools act as a huge carrot (incentive) for a businesses or as a huge stick (if those incentives are taken away forcing those who don’t comply to go bust, etc.).
There is a vision, comprehensive strategy & a laser focus to achieve the state goals
/5
All these tools act as a huge carrot (incentive) for a businesses or as a huge stick (if those incentives are taken away forcing those who don’t comply to go bust, etc.).
There is a vision, comprehensive strategy & a laser focus to achieve the state goals
/5
To end this thread it is worth to recall an important truth which has been driving this policy:
The power is more important that wealth and the former is the function of PRODUCTIVE FORCES which open up new productive sources and generate wealth in every production cycle.
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The power is more important that wealth and the former is the function of PRODUCTIVE FORCES which open up new productive sources and generate wealth in every production cycle.
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