Understanding China, One Blog at a Time

An American in China

German Perceptions on Chinese Stealing Tech

Posted by w_thames_the_d on February 26, 2011


Here is a great article on what happened to German firms who came to China and got burnt by the locals copying their tech and then selling knockoffs in Germany. This is the reality of doing business in China. To me the benefit is that we either improve the patent laws or enforcement or scrap them altogether. Incidentally, when my friend and I started a business here, we found very similar things to be happening.

excerpt:
“China is where the customers are – and where the customers are increasingly going to be. But China, too, is perceived to be the country where technology mysteriously transfers from in-coming companies with know-how to companies which want to know how.

That, at least, is the pervasive view of influential German business leaders.

Artur Fischer, for example, is the head of the Berlin stock-exchange who got his fingers burnt in China.

“We gave them our description of the product we wanted – all the photographs, everything we used in order to to sell it over here in Germany” he says, recalling how a company he was involved with started making components in China.

“We asked them to manufacture it. They did that, but after half a year very, proudly they came back to us and showed us their own product, which they intended to sell in Germany.

“And it was a copy-cat of what we did, so they copied all our material. They took our photographs. They took our descriptions. Everything.”

read the rest here

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