By Michael Murphree and Dan Breznitz
In the years following the Financial Crisis, China managed to avoid recession. In this article, Michael Murphree and Dan Breznitz argue that China’s growing economic success is in great part related to its greatest innovative strengths: research and development (R&D). Whilst R&D in China, unlike in the US, tends to build on existing products, rather than developing novel technology, it is this unique approach to innovation that has allowed the country to keep up with the rest of the world. Indeed, as long as China continues to recognise this unique capability, it will not lag behind.