|Technological Innovation the Top Implication of 12th Five-Year Plan to Chinese Business|
|OTHER / MARKET RESEARCH / Friday, 03 February 2012 18:08|
BEIJING, February 2, 2012 – The latest FutureScan survey from International Data Corporation (IDC) reveals that over the past two months, mainland Chinese enterprises are attaching rapidly increasing importance to "technological innovation".
The December 2011 survey presents findings that 51% of enterprises identified the decision "to strengthen technological innovation" as one of the top three business implications of China's 12th Five-Year Plan (12th FYP). In October 2011 only 13% of all respondents selected this response. The prioritization of "developing the service industry", is another major trend among enterprises growing from 24% in October to 35% in December.
IDC believes that Central Government initiatives to promote technological innovation and develop high-tech service industries are the major forces triggering these rapid developments.
In November 2011, at the National Enterprise Technological Innovation Conference in Beijing, Vice Premier Zhang Dejiang stressed the role of technological innovation in enterprise growth. Vice Premier Zhang urged enterprises to increase investment and reinforce innovation capability. In December, the State Council issued the Suggestions to Expedite the Development of High-Tech Service Industry as supplementary documents to implement the policy guidelines put forth in the 12th Five Year Plan.
The Government's resolution to support technological innovation and developing the high-tech service industry has prompted enterprises to place more value on the role IT plays in business, and higher expectations are being placed on the ability of IT to facilitate enterprise business development.
In December, the top three IT priorities among the organizations surveyed were "optimize workflow through IT", "alter or expand business scope through IT", and "obtain competitive edge through IT". There were 46%, 37%, and 33% of all respondents choosing them respectively. Comparatively, only 33.3%, 13.1%, and 12.1% of respondents selected these options just two months earlier in October when the same electives ranked first, sixth, and ninth place.
With regard to the topic of the world economy, respondent views have remained similar over the past two months with approximately 75% of respondents citing an unclear or unoptimistic outlook. However, concerns about the Chinese economy grew slightly since October with only 38% of respondents anticipating the economy to stabilize or ameliorate in the future.
Among the enterprises surveyed, 32% project no changes to their IT budget for next year, while 59% indicate their IT budges to grow within the 10% range. PC, server, software, and security products top the spending priorities list, and management, marketing, collaboration, and CRM are the most highly desired IT solutions.
The IDC China FutureScan is a research program that conducts a bimonthly survey with the CIOs and line of business executives of 100 carefully-chosen organizations in the mainland China market. The results enable IDC to understand and identify the challenges these organizations face, their outlook towards the world economy and the China market, and the IT budget and plans in place for the next 12 months.
For more information about IDC, please visit www.idc.com.cn. To purchase this report, please contact IDC China Sales Department at +86-10-58891666 or send email to email@example.com.
International Data Corporation (IDC) is the premier global provider of market intelligence, advisory services, and events for the information technology, telecommunications, and consumer technology markets. IDC helps IT professionals, business executives, and the investment community to make fact-based decisions on technology purchases and business strategy. More than 1,000 IDC analysts provide global, regional, and local expertise on technology and industry opportunities and trends in over 110 countries worldwide. For more than 47 years, IDC has provided strategic insights to help our clients achieve their key business objectives. IDC is a subsidiary of IDG, the world's leading technology media, research, and events company. You can learn more about IDC by visiting www.idc.com.
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