China has certainly earned and continues to earn a bad rap for copying technology from other countries and selling it as their own. But the Chinese government, led by Premier Li Keqiang, has just created a $445 billion startup fund, the largest in the world, as it tries to transition from a planned economy and export lead growth to the Chinese version of free-market capitalism; some are calling it “venture communism.”
Copying products will not go away for the Chinese as Israeli entrepreneur Yekutiel Sherman can well attest as he has seen a product it took him a year to design and produce on sale in Shenzen, China. In fact, it is regular practice for Chinese companies to look at products on Kickstarter and have them on the market on websites like AliExpress before the original Kickstarter creators have finished their campaigns.
The Chinese government is now calling for more government financing via venture capital and through various Chinese government agencies. The underlying theme for the Chinese government is to create an ecosystem for high technology startups that will make China not only wealthier but a leader in leading-edge technologies.
At the same time, China’s youth are embracing entrepreneurship as a way to wealth and individual freedom. The following video features a young Chinese entrepreneur explaining his new business.