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Study on the Existing Technical Innovation and Strategic Choice of Private Enterprise in Jilin Province

Author: JiaDongMei
Tutor: LuYanQiu
School: Jilin University
Course: Business Administration
Keywords: Jilin Province Private enterprise Technological innovation
CLC: F276.5
Type: Master's thesis
Year: 2009
Downloads: 164
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Abstract

Under the circumstance of fierce international competition and the spreading financial crisis situation, the private enterprises are facing an unprecedented crisis of survival. Lack of competitiveness of private enterprise is bound to be eliminated by market forces, and the competitiveness reflects the ability of technological innovation. It is a competitive advantage, and the lifeblood of private enterprises.Throughout 20 year-development history of private enterprises in Jilin Province, it’s position and role in the national economy is more and more obvious, not only in marketing, employment and social stability, but also in the establishment of socialist market economy and the development of social productivity. Since 1980s, the development of the private enterprises in Jilin Province had gone through even a scratch and from small to large. With clear property rights, flexible operational mechanism and good adaptability, it became an economic element of the fastest growth and best profits in national economy. It not only promoted the development of social productivity and prosperity of the market and increased the country’s fiscal revenue, but also alleviated the employment pressure and enhanced the social stability, thus it has been an important growth point of national economy, meanwhile a large number of relevant private enterprise groups with high competitive strength emerged. During the reconstruction and reorganization of smaller state-owned enterprises process, the private enterprises played an important role. At present, the private economy in Jilin Province has become an important force for economic growth, local taxation and an important channel for the urban and rural employment. But at the same time, compared with the developed regions, in Jilin Province, the private economy is still in the growth stage, and the problems of less total amount, low power, low level of resource-based enterprises, low scientific and technological content, weak market is not strong, the lack of entrepreneurial talent etc still existed. Among the problems, the technological innovation foremost concerned the development of private enterprises in Jilin Province. In external and internal environment of private economic development, there are still many constraints on the development of private enterprises. In view of external environment, that is 1) lower development of capital market; 2) impact on protection on intellectual property rights and fake and inferior commodities. In view of internal environment, that is 1) un-stability due to the structure of the enterprise; 2) experience-dependence of the founder;3) different technological innovation capability; 4) lack of market investigation and analysis.Based on the investigation and analysis on the private economy in Jilin Province, and integrated the operational characteristics and human and material resources we can choose following modes of technological innovation for private enterprises, i.e. 1) technological innovation of self-owned technology; 2) Introduction of technology; 3) cooperative development.The technological innovation of private enterprises in Jilin Province has its own characteristics, only the targeted, adaptive strategies can promote the rapid development of private economy, i.e. 1) Establishment of a sound mechanism of risk investment in technological innovation: 2) Acceleration of the pace of development of the mixed economy; 3) Establishment and training of private entrepreneurs group; 4) Construction and refining of intermediary agents of science and technology intermediary; 5) Improvement on the protection of intellectual property and operations: 6) Establishment of modern new private enterprise system with desire of technological innovation to the desire: 7) Government function with market orientation. In addition, the private enterprises should actively cooperate with universities and research institutes or powerful state-owned enterprises and achieve mutual benefit and development. Only then can we ensure the strategy of technological innovation chosen by the nature of advanced, scientific and efficient.

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