Document Type

Master's Culminating Experience

Publication Date



The subject of technology transfer has been an area of wide-range interest and significance for many years, especially in the recent past, as Japan and the Newly Industrialized Nations (Hong Kong, Singapore, South Korea, and Taiwan) have set themselves as successful examples in area of technology transfer. Recognizing the importance of technology transfer to its national economic development, China started the unprecedented movement of technology transfer along with its economic reform in the late 1970s.

Great achievements have been made in the area of agriculture, industry, science and technology, and defense. However, many problems have emerged during the process of technology transfer, such as problems in identifying and selecting appropriate technology, in assimilating and diffusing the acquired technology due to shortage of skilled manpower, deficiencies in educational system, and inadequacy in infrastructure and institutional framework, which have posed great obstacles to effective technology transfer to China. The purpose of this paper is to explore the technology transfer issue concerning the United States and the People's Republic of China.

Technology transfer is a complicated issue. To understand and facilitate effective technology transfer, an efficient technology transfer model is presented and analyzed. To a large extent U. S. technology transfer to China has been successful. China has drawn up its blueprint for modernization in the 1990s, i.e., the Ten-Year Program and the Eighth Five-Year Plan (1991-95) for National Economic and Social Development, which requires much more new technology from advanced nations. To reach its goal, the Chinese government should further strengthen the work of technology transfer by improving the business environment and better organizing and coordinating all of its efforts to assimilate and diffuse new technology efficiently. Moreover, policies such as pricing should be readjusted so as to encourage enterprises to develop and adopt new technology.

China has benefited from technology transfer from the United States and other advanced nations. However, technology transfer is also in the interest of the united States. With the further development of Sino-U. S. technology transfer, the two countries can not only strengthen their own economy, but also contribute to the economic progress of other nations.