Innovation & IP Asset Consulting
Convergence for divergent trends


Ralf Moldenhauer, Partner and expert for strategic business development at BCG warns:

Chinese challengers will lastingly threaten German engineers. The Chinese companies will further invest in research & development, will also in future offer more high-grade products, and furthermore continue to aggressively overtake established markets to acquire technologies, brands, and Markets.

Latest figures show China’s rapid growth in the global construction machinery market, which has grown fivefold in the years from 2006 to 2011 from 3 to 15%. Similarly, the share of sales of classic machines, optical and electrical products increased between the years 2008 to 2012 in the European Union.Germany’s share of sales in other EU countries fell by 4%. Exactly for these opposing developments warns BCG and appeals to German companies to not rest on their export strength and monopoly power.

Source: Die Welt, article by Tobias Kaiser on 03/27/2014: China’s companies threaten the German mechanical engineering


In the so-called Performance Innovation Union Scoreboard 2014 for Research and Innovation, Germany still falls in the category of innovation performance well above the EU average, but slips below Sweden and Denmark at rank 3, followed by Finland. Germany’s innovative growth grew strongly while Sweden’s growth rate is almost stagnant. Only in the area of ​​the science, regarding open, excellent and attractive research systems, does Germany fall behind the average. Denmark is here above all others this year’s front-runner.

When Europe is viewed as a whole, Switzerland retains its position as the absolute leader of innovation, and in global terms South Korea, the U.S. and Japan still stand before the EU. While the EU is catching up to the U.S. and Japan, South Korea’s lead stretches even further. In international comparison, the EU, however, is still before Australia and Canada as well as in front of the BRICS countries (Brazil, Russia, India, China, and South Africa). However, China is on track to close its gap of 44% of the innovation performance.

Less strong EU Member States must catch up and in a global context, the EU should not remain standing still. Above all, the culture of innovation needs to be further promoted with a focus on networking and entrepreneurship.

In 2030 China’s GDP will almost reach the combined GDPS of the US and the EU

Oxford, January 2013: For 2030 Oxford Economics estimates China’s Gross Domestic Product (GDP) to amount to 65.4 trillion US$. Thus, China’s GDP will almost reach the combined GDPs of the US and the EU amounting 71.9 Billion US$ by then. At present, China’s GDP of 8.2 trillion $ adds up to less than a quarter of the combined national economies of the US and the EU amounting in total to 34.4 trillion $.