New economics of innovation: Strategies to support high-tech SMEs

The purpose of this study is to explore the new economic challenge of China with regard to its innovation strategies to support high-tech small- and medium-sized enterprises (SMEs). In particular, the 12th National Economic and Social Development Plan was introduced to revolutionize the financial innovation system—opening border trade zones and increasing credit lending as well as risk capital for innovative businesses. The study has shown that the Chinese government has introduced many policy initiatives (government intervention policies) after the country joined the World Trade Organization (WTO) to catalyze trade expansion. The analyses provide policy insights that can be applied to strengthen Thailand's innovation system. The lessons learned from the study can also be applied to other emerging economies to use as policy guidelines in improving the efficiency of the national innovation system (NIS).