A new strategy of technology transfer to China

In the face of an integrating world economy where significant changes are taking place as a result of rapidly developing science and technology, China’s government must attach more importance to technology transfer to improve its economy. This paper analyses the features of the new environment and discusses the framework of technology transfer based on a review of theory, surveys and studies of Chinese enterprises. In particular, it considers the role of foreign funded enterprises and the importance of creating a positive cycle of technology “transfer‐digestion‐absorption‐dissemination” in China for increasing involvement in international production and trade activities within a global market.