The Emergence of Startup Ecosystems in China

Ying Cheng (), Adam Cross (), Martin Hemmert (), Agata Kapturkiewicz (), Masahiro Kotosaka () and Franz Waldenberger ()
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Ying Cheng: Chongqing University, School of Economics and Business Administration
Adam Cross: Xi’an Jiaotong-Liverpool University
Martin Hemmert: Korea University, School of Business
Agata Kapturkiewicz: Sophia University
Masahiro Kotosaka: Keio University, Faculty of Policy Management
Franz Waldenberger: German Institute for Japanese Studies

Chapter 6 in Unleashing Innovation the East Asian Way, 2026, pp 85-111 from Springer

Abstract: Abstract This chapter traces the evolution of startup ecosystems in mainland China, from the “Reform and Opening-Up” era to the present day. It begins with a historical overview, examining China’s transition from a state-dominated economy to a vibrant, market-oriented landscape. This shift was driven by the pivotal policies like the “Torch Plan”, the rise of university-industry collaboration, and the influence of “returnee” entrepreneurs. The chapter then analyses the transformative impact of the 2014 “Mass Entrepreneurship and Innovation” initiative on funding, infrastructure, and cultural attitudes. Through a comparative analysis of four major innovation hubs—Beijing, Suzhou, Chongqing, and Shenzhen—it explores the similarities and the unique advantages, policy approaches, and industrial specialisations of each city. Ultimately, this chapter offers crucial insights for policymakers aiming to foster sustainable growth and for entrepreneurs navigating China’s dynamic startup landscape.

Keywords: China; Government policy; Mass entrepreneurship and innovation; Venture capital; Regional development; Returnees; Innovation hubs (search for similar items in EconPapers)
Date: 2026
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DOI: 10.1007/978-981-95-6513-9_6

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