Beijing held a plan to dominate the tech world. After which the US trade war occurred
Nearly 9 months of research and interviews, Novocure preferred Zai Lab which is a Shanghai-based Nasdaq listed Startup Company as a Chinese partner.
A Wall Street veteran, Doyle, takes a page out from the investing playbook which uses shareholder power to hold the management accountable. The choice provides Novocure a greater level of transparency which might have been impossible to achieve with the Chinese partner, which is not listed on the US exchange.
Novocure traded publically in the US, Zai Lab is asked to release their quarterly income by not hiding the numbers which are a preferable way to walk out of paying the American partner which is very difficult to implement.
Meanwhile, the Chinese state-owned companies seem to have benefited by getting our therapy approved faster within the local authority; we hope that the internationally educated management team and the global-facing firm is the best fit. Doyle stated.
If in case they receive the status for stealing the technology or misleading their partner, then they will be not involved in making another deal with anyone.
Although Doyle admitted that there are difficulties while moving from China. The only international partnership is the venture of Novocure and Zai Lab for the company; they are also involved in business in Austria, Japan, Germany, and Switzerland.
Doyle further said that China is completely different and we are informed strongly to work with the local partners so that we can communicate with the local government bodies. So shall we go solo? If considered practically then No, and theoretically yes.
Germany’s trade ties with China for a sensitive business
Companies seem to be insecure to the loss of intellectual property, especially related to trade secrets in general, Jacob Parker, the vice president of the US-China Business Council said during the licensing process, a team that portrays the interest of US companies in China like the Coca Cola and Microsoft.
Without specifying the name of the company or the sector, Parker mentioned that while in the latest license approval process, one of the Chinese officers asked the US company to mention the accurate information of the temperature and the pressure which is outside the international standards.
The above information will help the competitor and makes it easy to learn the details regarding the production process. Parker stated. By allowing companies to place the information outside the scope will make the trade secrets of the companies to be at risk.
In another way, the approval panel has given the names of the Chinese competitors along with the broad authority to seek trade secrets in the context of a review. Parker added.
The economic tracking tool, China Dashboard which is developed by the research firm Rhodium Group along with the Asia Society Policy Institute, revealed in 2018 that the Chinese reforms slow downed in most areas and one symbol moved ahead- innovation.
This shows you how much Beijing is risking on technology, Dan Rosen of Rhodium said. The main question is about the fact that whether the development came at the cost of the world.
The Mushroom farmer, Alonzo might say that the agricultural technology is completely different. The life of a farmer in Pennsylvania County is unreal. Out of 4 mushroom farms one of them did not live during the past 10 years, he added. Only knowing the technology is not sufficient to be successful.
He also admitted that his Chinese partner, whom he believes to be reliable, has the authority over the deal. If Chinese thinks of moving ahead without him or change him on payments, then there is little he can do.
In the long run, I don’t know what will take place Alonzo mentioned. However, if the technology is transferred then I am no longer required, but it will still assume it to be a big success.