How China leads the world in technology innovation

The rapid technological and financial development of China is legendary. From 1990 to 2010, the Chinese technology sector has passed a golden age. The country has now been a hub of the latest technology and product manufacturing with millions of businesses Outsourcing their manufacturing to China because they offer the best factories. In this article, we are going to cover in short how China leads the world in technology innovation. Keep reading to explore more.

How is China leading the tech world?

So many factors have worked behind the Chinese domination in technology innovation. Let’s check out some of them.

Biggest online platform

China has the largest population in the world. They have the largest online community too. Since most businesses are going on online, a huge number of netizens keeps a positive impact. It is found in a study that about 583 million people in China use digital payment gateways, which is bigger than the population of the USA. This is a huge number of people who are already familiar with the technology. As a result, it is easier to introduce new technologies to the market and launch a new product for sale. China operates some of the biggest eCommerce platforms in the world, like Alibaba and JD. Most of them offer worldwide shipping. Thus, China has entered the borderless market.

Rapid industrial growth

The industrial revolution in China took place about 35 years ago. It is wondrous the technological and financial revolution happened parallelly. The government took some prudent decisions for infrastructural development as well. Thus, China holds the badge of the country with one of the best communication in the entire world. It has been the hotspot of investors due to lower manufacturing costs. Even the biggest technological competitors have established their factories in China to minimize production costs.

User-centric technology

When tech giants from other countries are competing with each other with advanced technology development, Chinese manufacturers have focused on user needs. They have realized that users want more control and flexibility in a decent budget. Their assumption was very true. China is the largest country of middle-class people. To satisfy this huge market, manufacturers have offered good quality tech products at a lower price. Chinese products are usually 20 to 30% cheaper but they are long-lasting. For example, the medical field constantly requires devices that offer accurate readings. They are often vital in saving lives. As such, these devices have to be made with the user’s needs in mind. For that, quality control is of the utmost importance. Companies in China and other nations too, therefore, have started using a QMS system to ensure uniform and durable quality across the board when it comes to medical products.

Most developing and under-developed countries import tech products from China due to the same reasons. Besides, China manufactures some unique items that no one is producing, such as robot doctors, passenger drones, 4K VR headsets, and more. Because of unicity and user-focused technology, China is dominating a huge market.

Tech-friendly Government policy

Fortunately, the government of China has great affection for technology development. China does not consider technology innovation as an enemy for others. They count it as a strategy. Each year, the Chinese government invests a huge amount for technological R&D. In 2020, they invested about 272 million USD in an AI project. To be honest, China is highly focused on leadership in AI technology. That is why the government wants more upgrading and application of AI in every sector. The usage of such technologies has been noticed in the recent disaster of Covid 19. They used AI in case of positioning and monitoring people and other health-relevant services. 3d printing during Covid has also been on a rise to meet the lack of health-related equipment like PPE kits. Moreover, the government discourages foreign technologies and products and is slowly replacing them with alternatives. These tech-friendly policies have worked a boost in technological innovation.

Technology turns into business

Chinese investors believe that technology is a business. They are more intending to invest in technology sectors than others. Due to the compatibility and four-way funding, the technology sector has been developed so fast. The investment in this industry is growing day after day. In short, Chinese business is now highly focused on modern technology. This is how the Chinese business are leading the way.