Institutional design and operation for building up the innovative enterprises in China

This paper discusses process of constructing the national innovative enterprises in China since 2008, the indicator system and the method of evaluating the national innovative enterprises. Finally, the paper analyses the main problems existing in the process of building up the innovative enterprises. The paper's method is making criteria for how to evaluate innovative enterprises. When an innovation-oriented enterprise is judged, it is key to evaluate the correlation between its development and its technological innovation, i.e., its dependence on technological development, so as to make judgment on its “innovativeness”. Considering characteristics of Chinese enterprises and related international experience, the criteria involved are divided into two groups, i.e., “basic numerical indicators” and “indicators of experts' evaluations”. Basic indicators are figures for comparisons and analyses of all the enterprises and can be compared with those in related foreign studies to some extent. With figures evaluated, enterprises are assessed in the aspects related to the abovementioned basic indicators. Indicators of experts' evaluations include both qualitative and quantitative ones. The qualitative indicators are the scores made by experts in the industry based upon their analyses and judgments of an enterprise. The quantitative indicators are experts' value judgments based upon the data submitted by an enterprise.