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Formal venture capital investing in Silicon Valley has been underway for more than 50 years. It was in the Valley that the limited partnership format was first used for venture capital. Whereas, originally Silicon Valley VCs were mostly from a finance background, very early on individuals with operating experience formed or joined partnerships.

Perhaps most important was the tight linkages between the venture capitalists and the nearly continuous evolution of information technologies. The enormous returns from information technologies enabled Silicon Valley VCs to make very early investments in other technologies ranging from biotechnology to nanotechnology. These returns also encouraged high levels of risk-taking.

Through the use of a historical perspective, the concluding remarks will reflect upon the current dire straits for venture capital.

Martin Kenney is a Professor at the University of California, Davis, a Senior Project Director at the Berkeley Roundtable on the International Economy, as well as a fellow at the Center for Entrepreneurship at UC Davis. He has authored or edited five books and over 120 scholarly articles on the globalization of services, the history of venture capital, university-industry relations, and the development of Silicon Valley. His two recent edited books Understanding Silicon Valley and Locating Global Advantage (with Richard Florida) were published by Stanford University Press where he is the editor of a book series in innovation and globalization. Currently, he is preparing a book on the history and globalization of the venture capital industry.

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Martin Kenney Professor Speaker University of California, Davis
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On Thursday, September 24, the Stanford Program on Regions of Innovation and Entrepreneurship (SPRIE) is pleased to present the "Silicon Valley Leadership Forum: Changing Silicon Valley," a forum featuring addresses by Dr. John Hennessy, President, Stanford University; Mr. James C. Morgan, Chairman emeritus, Applied Materials; and Dr. John Seely Brown, Independent Co-Chairman, Deloitte Center for Edge Innovation, as well as a special panel focus on how venture capital is changing in the Valley.
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Shorenstein APARC
Stanford University
Encina Hall, Room E-301
Stanford, CA 94305-6055

(650) 723-6530
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Visiting Scholar, 2009-2010
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Kiminori Gemba is a visiting scholar at Shorenstein APARC and joins the Stanford Project on Japanese Entrepreneurship, a project within the Stanford Program of Regions of Innovation and Entrepreneurship. 

His research interest lies in analyzing the innovation strategy of an "open innovation", with the main object of his research being to determine the source of the competitiveness of open innovations.

He received his Master's degree in Engineering from the University of Tokyo, after which he joined the Sanwa  Research Institute as a researcher.  He received his Ph.D. from the University of Tokyo, where his doctoral thesis was entitled "The Dynamics of Diversification on Japanese Industries".  After receiving this degree, he worked as both a research associate an an associate professor at the University of Tokyo.  He is currently a professor at Ritsumeikan University's Graduate School of Technology Management.

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On Thursday, September 24, 2009, the Stanford Program on Regions of Innovation and Entrepreneurship (SPRIE) at the Shorenstein Asia-Pacific Research Center will be convening a Silicon Valley Leaders Forum. 

This public forum will bring together area researchers and thought leaders to discuss the turbulent changes the Valley is experiencing and address the question of whether the fundamental drivers that have enabled the region to be an innovative and entrepreneurial world leader will continue to be in play in coming years. 

This event will serve as the kickoff for SPRIE's latest research project on Silicon Valley's next phase of transformation, a further and updated exploration of the ideas in The Silicon Valley Edge.

The first part of the day will feature a lineup of Silicon Valley luminaries, and the afternoon will close with a panel focused on changes in the venture capital industry. 

Lunch will be served and paid registration is required for this event.

Schedule:

8:00 a.m. - 8:30 a.m.Registration
8:30 a.m. - 9:30 a.m.

"Stanford and its (changing) relationships with Silicon Valley"

  • John Hennessy, President, Stanford University
9:30 a.m. - 10:30 a.m.

"Change is the Medium of Opportunity: Channeling Silicon Valley's Strengths to Lead on the Challenges of the 21st Century"

  • James C. Morgan, Chairman Emeritus, Applied Materials 
10:30 – 10:45 a.m.Break
10:45 -11:45 a.m.

"The Entrepreneur and The Cloud—Silicon Valley Rejuvenated"

  • John Seely Brown, Independent Co-Chairman, Deloitte Center for Edge Innovation 
11:45 a.m. – 1:00 p.m.Lunch
1:00 p.m. – 2:00 p.m.

"Silicon Valley's Innovation Engine:  Are We a Resilient Region?"

  • Doug Henton, Chairman and CEO, Collaborative Economics, and lead for the Joint Venture: Silicon Valley Network 2010 Index of Silicon Valley
2:00 – 3:30 pm

Venture Capital Panel 

  • Neal Bhadkamkar, Monitor Ventures
  • Bob Patterson, Peninsula Ventures 
  • Marianne Wu, Mohr Davidow

Keynote speakers:

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John L. Hennessy joined Stanford's faculty in 1977 as an assistant professor of electrical engineering. He rose through the academic ranks to full professorship in 1986 and was the inaugural Willard R. and Inez Kerr Bell Professor of Electrical Engineering and Computer Science from 1987 to 2004.

From 1983 to 1993, Dr. Hennessy was director of the Computer Systems Laboratory, a research and teaching center operated by the Departments of Electrical Engineering and Computer Science that fosters research in computer systems design. He served as chair of computer science from 1994 to 1996 and, in 1996, was named dean of the School of Engineering. As dean, he launched a five-year plan that laid the groundwork for new activities in bioengineering and biomedical engineering. In 1999, he was named provost, the university's chief academic and financial officer. As provost, he continued his efforts to foster interdisciplinary activities in the biosciences and bioengineering and oversaw improvements in faculty and staff compensation. In October 2000, he was inaugurated as Stanford University's 10th president. In 2005, he became the inaugural holder of the Bing Presidential Professorship.
 

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James C. Morgan is chairman emeritus of Applied Materials.  He previously served as chairman of the board from 1987 to 2009 and as chief executive officer from 1977 to 2003. Prior to joining Applied Materials as president in 1976, he was a senior partner with WestVen Management, a private venture capital partnership affiliated with the Bank of America Corporation. Prior to WestVen, he was with Textron, a leading diversified manufacturing company.

With one of the longest tenures of any FORTUNE 500 CEO, Mr. Morgan has an extensive history in business and philanthropy.  Mr. Morgan is a recipient of the 1996 National Medal of Technology for his industry leadership and for his vision in building Applied Materials into the world's leading semiconductor equipment company, a major exporter and a global technology pioneer which helps enable the Information Age. Awarded by the President of the United States, the Medal of Technology recognizes technological innovators who have made lasting contributions to America's competitiveness and standard of living.  Among his many honors, Mr. Morgan is a recent recipient of the prestigious Semiconductor Industry Association Robert N. Noyce Award, the highest honor bestowed by the SIA, for outstanding achievement and leadership in support of the U.S. semiconductor industry, and the Spirit of Silicon Valley Lifetime Achievement Award from the Silicon Valley Leadership Group, for his ethics, community engagement and business success.

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John Seely Brown is the Independent Co-Chairman of the Deloitte Center for Edge Innovation.  In addition, he is a Visiting Scholar and Advisor to the Provost at USC.

Prior to that he was the Chief Scientist of Xerox Corporation and the director of its Palo Alto Research Center (PARC)--a position he held for nearly two decades.  While head of PARC, Brown expanded the role of corporate research to include such topics as organizational learning, knowledge management, complex adaptive systems, and nano/mems technologies.  He was a cofounder of the Institute for Research on Learning (IRL).  His personal research interests include the management of radical innovation, digital youth culture, digital media, and new forms of communication and learning.  

John, or as he is often called--JSB-- is a member of the National Academy of Education and a Fellow of the American Association for Artificial Intelligence and of AAAS and a Trustee of the MacArthur Foundation.  He serves on numerous public boards (Amazon, Corning, and Varian Medical Systems) and private boards of directors.  He has published over 100 papers in scientific journals and was awarded the Harvard Business Review's 1991 McKinsey Award for his article, "Research that Reinvents the Corporation" and again in 2002 for his article "Your Next IT Strategy."  

In 2004 he was inducted in the Industry Hall of Fame. 

With Paul Duguid he co-authored the acclaimed book The Social Life of Information (HBS Press, 2000) that has been translated into 9 languages with a second addition in April 2002, and with John Hagel he co-authored the book The Only Sustainable Edge which is about new forms of collaborative innovation.  It also provides a novel framework for understanding what is really happening in off-shoring in India and China and how each are inventing powerful news ways to innovate, learn and accelerate capability building.

JSB received a BA from Brown University in 1962 in mathematics and physics and a PhD from University of Michigan in 1970 in computer and communication sciences.  In May of 2000 Brown University awarded him an honorary Doctor of Science Degree.  It was followed by an Honorary Doctor of Science in Economics conferred by the London Business School in July 2001. And in May of 2004 he received an Honorary Doctor of Humane Letters from Claremont Graduate School. In 2005, he received an honorary doctorate from University of Michigan and delivered their commencement speech. 

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Doug Henton has more than 30 years of experience in innovation and economic development at the national, regional, state, and local levels. Doug is nationally recognized for his work in bringing industry, government, education, research, and community leaders together around specific collaborative projects to improve regional competitiveness.

Doug is a consultant to the California Economic Strategy Panel, California's state economic strategy process linked to innovation, industry clusters, and regions. He has worked extensively in California to help develop regional economic and innovation strategies for Silicon Valley, Sonoma, Sacramento, Santa Barbara, San Diego, the Central Valley, and others. He was primary consultant to the Fresno's Regional Jobs Initiative, which used the clusters of opportunity methodology to identifying promising areas for development. Doug has also consulted with the California Partnership for the San Joaquin Valley, advising on economic development strategies. He has worked with the Great Valley Center on identifying promising areas for economic development, including renewable energy. In addition, Doug has worked with Next 10 on the continued development of the California Green Innovation Index.

He has also been consultant to several other state and regional agencies and organizations, including the Massachusetts Technology Collaborative, Chicago Metropolis 2020, the Potomac Conference, and Arizona Partnership for a New Economy. He has assisted Oregon with its current strategy for economic development, and has advised governors in New York, Ohio, Washington, and others on their economic and workforce policies.

Doug holds a Bachelor's degree in Political Science and Economics from Yale University and a Master of Public Policy degree from the University of California, Berkeley.

 

Venture Capital Panelists:
 

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Neal Bhadkamkar is a co-founder of Monitor Venture Partners, L.P. (MVP), an early stage venture capital fund affiliated with The Monitor Group. MVP invests in seed and first round companies that are commercializing technologies in markets where Monitor Group's knowledge and client base can be used to reduce market risk. He is currently on the boards of Nanostellar, a catalyst company based on nano-scale materials design, and Verdezyne, a "green chemistry" company based on synthetic biology. He is also a board observer at Matisse Networks, which designs, manufactures and sells metro-area Ethernet switches based on Ring Optical Burst Switching.

Prior to establishing MVP, Neal was VP of Engineering and Manufacturing at Zowie Intertainment, an Interval Research spin-off that made "smart-toys". At Zowie he oversaw the design and manufacture of custom ASICs, firmware, game software, plastic parts and the final product using a supply chain that spanned five countries. Before Zowie, Neal was at Paul Allen's Interval Research Corporation, initially as a member of the research staff and later as the head of Interval's commercialization activity, in which role he managed the transition of research projects into commercial ventures. Earlier in his career Neal was a management consultant with the Boston Consulting Group and with the Monitor Group, and was a Research Associate at the Harvard Business School.

Neal has a PhD. in Electrical Engineering from Stanford University, an MBA from Harvard Business School, and a Bachelor of Technology degree from the Indian Institute of Technology, Delhi. Neal lives in Palo Alto, California with his wife and three children.

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Bob Patterson is a Silicon Valley venture capitalist with Peninsula Ventures. He is now pursuing on a full time basis a career begun in the 70's while practicing international corporate law with Squire, Sanders & Dempsey. Educated in Physics and Nuclear Engineering at  UCLA and the U.S. Navy, before attending Stanford Law School and the Stanford GSB Executive Program, his legal and business career has focused on technology based entrepreneurship and the study of the science of capital formation for entrepreneurial based businesses, both domestically and internationally.

 

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Marianne Wu is a Partner at MDV where she focuses on Cleantech investments. These typically involve significant technology or business model breakthroughs applied to large, evolving markets such as solar, biofuels and chemicals, clean coal, energy efficiency, smart grid, and water treatment and management. She leverages over 15 years of technology development and business experience to help entrepreneurs build meaningful, successful businesses. At MDV, she is on the Board of Laurus Energy and works closely with Zeachem and Catilin. 

Marianne has been named one of Top 10 Women in Cleantech and one of Silicon Valley's Women of Influence. She is on the Advisory Committees of the Cleantech Open, Western Governors' Association, SdForum and Astia. She is a member of the Hua Yuan Science and Technology Association (HYSTA) VC Group and Environmental Entrepreneurs.

Prior to joining MDV, Marianne was VP Marketing at ONI Systems where she was responsible for product strategy and market development. Earlier in her career, Marianne was a consultant at McKinsey and Company where she advised major technology clients on strategic and operational issues. Marianne has conducted state-of-the-art research in materials, devices, and systems at Stanford University and started her career as a design engineer at Nortel Networks where she developed high-speed networking technologies. 

Marianne earned both her doctoral and master's degrees from the School of Engineering at Stanford University and her bachelor's in Applied Science at the University of British Columbia.

Bechtel Conference Center

John Hennessy President, Stanford University Speaker
James C. Morgan Chairman Emeritus, Applied Materials Speaker
John Seely Brown Independent Co-Chairman, Deloitte Center for Edge Innovation Speaker
Doug Henton Chairman and CEO, Collaborative Economics Speaker
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Now available on the SPRIE website: the audio recording of Professor Charla Griffy-Brown's seminar on "The Fortress and the Cloud: Women, technology and entrepreneurship in Japan." Professor Griffy-Brown explores how new business models are developing in Japan and how opportunities are being created for the rise of women entrepreneurs.
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Forbes.com covered the May 29 "Entrepreneurship in Japan" symposium, co-sponsored the SPRIE-Stanford Project on Japanese Entrepreneurship and the University of Tokyo. Experts Robert Eberhart and Ulrike Schaede and others presented papers at the event on the state of Japanese entrepreneurship and how to foster it, as well as the outlook for startups there and the question of whether entrepreneurship itself can be taught.

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In this session of the Shorenstein APARC Corporate Affiliate Visiting Fellows Research Presentations, the following will be presented:

Jun Ding, “Corporate Social Responsibility in State-Owned Enterprises”

State-owned enterprises (SOEs) play an important role in China’s industrialization achievement and support social service functions in the planning era.  After China entered the marketing era, SOEs declined substantially and are in need of reform.  Ding believes SOEs should be restructured and that supernumeraries and social services functions should be separated from the primary mission of SOEs into society.  Ding’s research emphasizes recommendations found in corporate social responsibility that exists in China.


Mitsutoshi Kumagai “Impact on Growing On-line Video Services on Pay TV Business Model”

Recently, YouTube is not the only online video service many people enjoy.  Big players of traditional broadcasting industries are making strategic approaches in online space.  Kumagai’s presentation reviews and assesses those challenges in TV industries and its value as advertisement media.

Tadashi Ogino, “Smart Meters in the United States and Japan”

A smart meter is an advanced electric meter that measures the electricity usage in more detail than a conventional meter. Utility companies and customers can use this data for energy efficiency. A smart meter is a key component for the next generation electric grid.  Many smart meters have already been installed in the US, but smart meters are not used in Japan. Ogino analyzes the current situation of smart meter projects in the US and in Japan. He tries to understand why smart meters are not prominent in Japan.

Ayaka Takashima, "Women Entrepreneurs in Japan and the United States”

Recently in Japan, women entrepreneurs have been becoming one of the career choices for women. As an employee of Nissouken, which provides entrepreneurship program, Takashima is trying to reveal women entrepreneurs' habitat and tendency through comparative research.

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Corporate Affiliate Visiting Fellow
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Jun Ding is a corporate affiliate visiting fellow at Shorenstein APARC for 2008-09. He is also currently the vice president of Petrochina Lanzhou petrochemical company.  After receiving his bachelors degree, he joined the Lanzhou petrochemical company. During this time, he received his MBA from Dalian Technology University and his Doctorate in Chemical Physics at the University of Chinese Academy of Sciences.  Most recently, Ding has been studying at Chemical Technology University in Beijing for the past four years, majoring in Polymer Chemical Engineering.

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Jun Ding Corporate Affiliate Visiting Fellow, PetroChina Speaker
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Corporate Affiliate Visiting Fellow
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Mitsutoshi Kumagai is a corporate affiliate visiting fellow at Shorenstein APARC for 2008-09. Prior to joining Shorenstein APARC, he has worked at Sumitomo Corporation since 1993. He has been in charge of the international tradings, marketing of IT devices and developing new business as well as venture investment in the IT industry.  He received his BS in Economics at Nagoya University in Japan.

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Mitsutoshi Kumagai Corporate Affiliate Visiting Fellow, Sumitomo Corporation Speaker
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Tadashi Ogino is a corporate affiliate visiting fellow at Shorenstein APARC for 2008-2009.
Ogino started his career as a researcher of Mitsubishi Electric Corporation, Tokyo, Japan.
After being involved in basic software research, he designed the software architecture
of the Mitsubishi Midrange Server, which was one of the most successful computer products
in Mitsubishi. He then worked on many software projects such as wireless base stations, digital right management (DRM) systems, RF-ID systems and others. He also has experience in marketing and planning sections. Currently, he is interested in business incubation in Japan especially in the software field. He received hi BS, MS, and Ph.D in computer engineering from The University of Tokyo.

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Tadashi Ogino Corporate Affiliate Visiting Fellow, Mitsubishi Electric Speaker
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Ayaka Takashima is a corporate affiliate visiting fellow at Shorenstein APARC for 2008-09. She is also an assistant manager of Nissoken which provides corporate clients with educational services for top management, middle management and other employees to align them to the corporate direction and strategies. As an employee of Nissoken, she will research the alignment between the company and the individual through the theory, case studies, empirical studies, etc.
 

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Ayaka Takashima Corporate Affiliate Visiting Fellow, Nissoken Speaker
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On February 23, a standing-room-only crowd filled the Bechtel Conference Center to attend "Solving the Global Leadership and Talent Equation," a seminar presented by SPRIE as part of Entrepreneurship Week 2009 at Stanford University. Moderator Kyung Yoon (Talent Age Associates) led the panel of Eric Benhamou (Benhamou Global Ventures), David Chao (DCM) and Michael Zhao (Array Networks) on a lively discussion covering the problems and challenges of building effective international teams. Missed the event? Watch the video on the SPRIE website.
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Martin Kenney
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Venture capital (VC) investment provides a unique mechanism for gauging the technological and entrepreneurial sophistication of a national economy. It is no surprise, then, that the two giants of Asia—China and India—have rapidly become important destinations for VC investment. The latest data available from Ernst & Young reveals an astonishing development: China received more VC investment than any nation except the United States. India, though lagging behind China, still received $862 million. To compare, over $30 billion in VC money was invested in the United States in 2007; $823 million was invested in Canada. Clearly, China and India are becoming nodes for the global VC practice. Many of the largest and most prestigious Silicon Valley VC firms have established significant presences in both nations.

China and India differ in many ways, but with respect to the development of VC they share important characteristics. Until late 2008, both nations had rapidly growing consumer economies. The Chinese and Indian governments and populations both agree that education—and particularly engineering—is critical to their future. Both China and India are leaders in sending their graduate students abroad, which has created a pool of well-trained nationals overseas who can advise their peers at home, or even return home themselves to set up new ventures. Many of these Chinese and Indian nationals have worked in U.S. sciences and engineering-based firms. Such professional experience, especially during the last two decades, has laid the basis for successful technology-based entrepreneurship, and the growth in VC that accompanies it.

When VC investing is viewed globally, U.S. dominance is unquestioned. In the United States, 30–35 percent of all VC-financed firms are located in the San Francisco Bay area. Another 10–12 percent are located in the Boston and New York areas, respectively. In India and China, VC investments are similarly concentrated, and generally occur in locations with the greatest concentrations of highly educated persons. As Table 1 indicates, the investment concentration is remarkable. Forty percent of all the VC-funded firms are located in Beijing, 26 percent are in Shanghai, and the Southern Chinese triangle of Shenzhen, Guangzhou, and Hong Kong accounts for another 14 percent. VC investment in China is even more concentrated than in the United States.

Table 1 VC Investments in China and India by City, 2004–2007
(more than 5 investments per city)

Chinese City    Number of Firms    Percent    Indian City    Number of Firms    Percent
Beijing                   213                  40          Bangalore           55                    38
Shanghai               137                  26          Mumbai              31                    21
Shenzhen                36                    7          Chennai             21                     14
Hong Kong              19                    4          New Delhi           16                    11
Guangzhou             16                    3           Hyderabad          11                     8
Hangzhou               13                    2           Pune                   8                      5
Nanjing                  11                    2             n/a       
Suzhou                    9                    2             n/a       
Wuhan                     7                    1             n/a       
Others                   66                   13           Others                4                      3
Unknown                  1                    0          Unknown             0                       0
Total                      528               100            Total                146                  100
Binational                9                    2          Binational             45                    31


VC-backed startups in India, though more diffuse in terms of the top six, are more concentrated overall. Three city regions—Bangalore (38 percent), Mumbai (21 percent), and Chennai (14 percent)—attract the largest investment. However, when including Delhi (11 percent), Hyderabad (8 percent), and Pune (5 percent), these six cities account for an even greater percentage of overall VC investment. The most technology-oriented cities in both nations, Beijing and Bangalore, have received approximately 40 percent of all VC investment. The second largest recipients are Shanghai and Mumbai, which are also the financial capitals.

In China, an enormous economy growing at nearly 10 percent per year even as it emerges from a socialist past, there are significant opportunities in infrastructure development and in supplying the burgeoning underserved consumer market. In a recent Ernst & Young report, Fan Zhang, one of the founding managing partners of Sequoia Capital China, was quoted as saying that “one of the factors that attracted Sequoia Capital to China is the country’s booming consumer market that provides an opportunity to create companies to define certain sectors and fill the need for strong brands, not only in technology but also tech-related consumer services and more traditional industries.”

Zhang is correct—VC investing in China does not directly compete with U.S. firms seeking VC investment. Table 2 shows the fields that VC firms are targeting in China. The table is divided into two binary categories—whether the firm receiving the investment targets the domestic or the global market across a variety of industries, and whether a given firm is in a high technology or non-high technology sector. Chinese firms, even those in technology-based fields, overwhelmingly target the domestic market (87 percent). The Internet has given rise to the largest number of VC startups, nearly all of which are focused on the Sinophone market. Two other key areas—software (10 percent) and mobile phone applications (10 percent)—also cater almost exclusively to the Chinese market. This domestic focus suggests that it will be quite some time before VC-backed Chinese firms threaten counterpart firms in the United States. A possible exception may be semiconductor design, where there are some Chinese startups. Though few Chinese VC-financed firms are likely to be directly competitive with U.S. firms in global markets, many of these Chinese firms compete ferociously against U.S. multinationals trying to make their own inroads into the Chinese domestic market.

Table 2 VC Investments in China and India by Sector and Market, 2004–2007

                                         India                               China
Sector                      Domestic*    Global         Domestic **    Global

Semiconductors               0               7                  22                20
Internet                        16               3                144                  2
Software                         2             14                  55                  4
Communications              1               4                  23                  9
Services                          4             53                  28                  9
Mobile phone                   7              5                   51                  1
Media                             2              0                    35                 0
Healthcare                      1               4                   26                 4
Retail                             1               1                   19                  0
Miscellaneous                  2               0                  20                  2
Components                    0               0                   2                   1
Energy                            0               0                   6                   8
Environment                    0               0                   5                   1
Manufacturing                  0               0                 25                  6
Total                              34             91                461                67

 

* Domestic firms are identified as those that made no apparent attempt to serve overseas markets.

The profile of Indian firms differs from those in China. First, Indian firms are internationally oriented (73 percent); only 27 percent focus on the domestic market. With respect to sector concentration, VC investing in India favors the services sector (46 percent) and software (13 percent). This is not surprising, given India’s well-known comparative advantage in these arenas. Unlike most VC-backed companies in China, many Indian firms may well create competition for U.S. service firms, despite the less developed nature of the Indian economy as a whole.

China and India continue to attract significant VC investment, albeit in different sectors. Today, China is second only to the United States in terms of VC investing, and this is unlikely to change. In China, the preponderance of VC investment is geared to the rapidly growing internal market. The size and unique nature of this market offers entrepreneurs lucrative opportunities to provide “knock-off” U.S. Internet sites for the Chinese market. There are Chinese interpretations of Yahoo!, Google, eBay, Facebook, and Monster.com that service Chinese customers. These firms are self-limited by the language; as such, they do not threaten companies overseas. Moreover, these Chinese companies do not own unique or global class technology that could challenge larger multinational players. It is unclear whether this situation will change over time.

Indian firms differ from Chinese firms in their strong outward orientation. In percentage terms, more Indian than Chinese firms operate in hard-core technology fields. Thus, while China currently enjoys greater VC investment, it is possible that Indian firms may ultimately play a bigger role in the global economy.

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The Shanghai International Convention Center in Lujiazui, located in the finance and trade zone within the Pudong New District on the eastern bank of the Huangpu River.
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