China, India and Japan all face significant challenges with regard to Essay

China, India and Japan all face significant challenges with regard to their technological capabilities. What are these challenges and how likely are they to be overcome over the following two decades - Essay Example As such, both China and India need to invest more on R&D to compete at the same level with the developed countries in the next two decades. Conversely, while Japan’s technological capabilities are more advanced compared to China and India, Japan faces a challenge because of its protectionist policies. These policies impact negatively on Japan’s cooperation with other countries in terms of sharing knowledge. In addition, the country is faced with an aging population and thus; there is need for the country to access human capital abroad. This means that, Japan has to open up to the outside world by embracing trade liberalisation (Norma & Danny 2002, p.36). This paper examines the significant challenges faced by China, India and Japan with regard to their technological capabilities. As an emerging economy, the technological capability of China requires a focus on innovations. However, it is emerging that both the state and private sector is not aggressive in terms of improving innovations. A lack of a focus on basic research is an impediment to China’s technological capabilities. Most business enterprises in China do not engage in basic research, and this leads to imitation of foreign products. The country further has a weak system for managing rights related to intellectual property. This creates a situation where piracy is rampant in china, and impacts negatively on the country’s technological capabilities (Andrew 2005, p.16). On another note, since SMEs plays a critical role in advancing innovations, China faces a challenge in the sense that, their SMEs lack adequate funds and human resources to carry out large scale innovations. While China boasts of cheap labour, this is detrimental to its technology in the sense that, this leads to the production of poor quality products that is sold cheaply in the global market. As a result of the rising costs of production