“Multinational corporations are increasingly realizing that China is not just a vast market or even a production base – it is a critical locus for research and development (R&D) functions as well.” – Asia Times

While many firms have turned to China for its low labor costs, increasingly Asia is emerging as a powerful source of new innovation. Several factors are driving this trend: 1) the China market – companies that want to succeed in China over the long term must develop localized products and services, 2) China has a large and growing number of top-quality scientists and engineers and 3) the government is investing in R&D, encouraging a focus on the lab as well as the factory.

The opportunity is clear, but questions remain:

Is it possible to create new technologies and products when intellectual property practices and cultural norms are so different from our own? What are the risks of sharing ideas? Is it a better strategy to establish a fully-owned R&D center in China? How does a company find and nurture the best partnerships?

To provide a real-world, practical approach to these questions, Management Roundtable is pleased to announce its just released Special Report on RD&E and Innovation in China. This Report presents exclusive insights and implementation advice from experts and leading industry practitioners.

This Special Report includes:

• Expert views on the most significant cultural challenges facing Western companies in China

• Specific guidelines for negotiating with Chinese companies – what’s important and what’s not

• Case examples of partnering, outsourcing, and establishing R&D centers in China from such companies as Merck, GE Healthcare, Palm and Air Products

• Advice on protecting intellectual property as well as other legal considerations

• List of further resources to explore

Overall, you will receive information and examples to:

• Negotiate and cultivate effective R&D and product development partnerships in China

• Help manage your IP assets in China.

• Tap into emerging sources of innovation in China, through a better understanding of the role of universities and the government

• Find and qualify the right partners for your specific product development and innovation objectives

• Build trust and overcome cultural barriers with partners in China, fostering creative thinking and genuine teamwork.

Available as a downloadable .PDF or shipped CD-ROM

6 Key Deliverables:

1. An overview of the most important cultural differences between China and the West and recommendations for how to manage across the divide

2. Guidelines for conducting negotiations with potential Chinese partners

3. Proven criteria for choosing partners in China

4. Recommendations for managing the IP challenge

5. An example of a proven means of transferring competencies to a China-based R&D center

6. Lessons learned from leading industry practitioners – both Western and Chinese – who have successfully established and grown global R&D capabilities and collaborations

Table of Contents

Introduction

Chapter I. Culture and Background

• Why China? The Opportunity and The Threat - Based on a Presentation by Roger N. Nagel, Lehigh University

• Negotiating and Initiating a Partnership for Co-Innovation - A Presentation by Lothar Katz, Leadership Crossroads

Chapter II. Company Examples and Practitioner Insights

•  Merck and WuXi: Laboratories in China Support Pharmaceutical Research Centers

• GE Healthcare: A Phased Approach to Developing and Mentoring R&D Leadership in China

• Palm Inc.: Global Partnerships Give a Small Player a Large Footprint

• Air Products & Chemicals: Protecting Intellectual Property for Open Innovation in China

Chapter III. Expert Insights

• Communication Across Functions and Borders: Focus on China and the Asia-Pacific Region -
  A Panel Discussion with Curt Raschke, Texas Instruments and Roger Nagel, Lehigh University

• Bridging Expectation and Reality When Co-Developing Products in China - An Interview with Alan Paau, Ph. D., Cornell University

• Taking the Next Step: R&D Centers in China and the Shift Toward the Internal Market - An Interview with Jihong Sanderson, Center for Research on Chinese-American Strategic Cooperation, affiliated with the University of California at Berkeley

Chapter IV.
Conclusions

Appendix:
Further Resources on R&D and Innovation in China