Post on 14-Apr-2018
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IMPORTANCE OFTECHNOLOGY IN THE
DEVELOPMENT OF ACOUNTRY:
Can underdeveloped countriesafford not to have a global
competitive industry?
By Edgar Snchez-Sinencio Analog and Mixed-Signal Texas A&M University
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Technological artifacts are products of
an economy, a force for economic growth,and a large part of everyday life.
Technological innovations affect, and are
affected by, a society's cultural traditions.
Source:http://en.wikipedia.org/wiki/History_of_technology
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In Soft revolution, knowledge is replacing physical resourcesas the main driver of economic growth. The OECD calculatesthat between 1985 and 1997 the contribution of knowledge-based industries to total value added increased from 51% to59% in Germany and from 45% to 51% in Britain.
The best companies devote at least a third of their
investment to knowledge-intensive intangibles such as R&D,licensing and marketing.
Universities are among the most important engines of theknowledge economy. Not only do they produce the brain
workers who man it, they also provide much of its backbone,from laboratories to libraries to computer networks.
KNOWLEDGE AN ECONOMICS FORCE FOR GROWTH
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Background Queen Victorias Diamond Jubilee,held in
London on June 22,1897
The grandest fest: attendances included 46,000troops and 11 colonial prime ministers.
She ruled over a quarter of the worldspopulation and 20% of its territory
The empire was all connected by latest marvel
of British technology, the telegraph, andpatrolled by the Royal Navy, which was largerthan the next two navies put together.
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Background (continues)
Why was Great Britain at the top andnot China, which was the worldstechnological leader for about thousandyears, between A.D 500 and A.D. 1500?
Britains advantages were marked by acombination of social, political, and
geographical factors. British society wasrelatively free and politically stable.Scientific thinking was dynamic.
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Background (continues) It was said; well, here we are on top of the world,
and we have arrived at this peak to stay there-forever!
The world is now flat and other players havesurged.
US has replaced the British Empire Of the worlds 20 top universities, 18 are American
How about other players, China, India and theformer Soviet Union?
They are poorer, hungrier and have a good number ofwell trained people, they will compete with US for aslice of the pie.
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Background (Bad news for USA)
China and India combined graduate 950,000 engineersyearly. US produces 70,000 engineers per year. How manyare educated to work for transnational companies?
More people in the USA will graduate in 2006 withsports-exercise degrees than electrical engineeringdegrees.
USA is loosing interest in the basics-math,manufacturing, hard work, savings and becoming apostindustrial society that specializes in consumptionand leisure
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Background (Good news for USA)
The USA invests 2.6 % of its GDP on highereducation, compared with 1.2% and 1.1%in Europe and Japan, respectively.
US remains by far the most attractivedestination for students, nearly 30 % ofthe total number of foreign studentsglobally.
The US economy is excellent at takingtechnology and turning it into a productthat people buys.
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Background (Good news for USA)
The USA has the most flexible labor laws in theworld. The easier it is to fire someone in a dyingindustry, the easier it is to hire someone in a risingindustry that no one knew would exist five yearsearlier.
Flexibility to quickly deploy labor and capitalwhere the greatest opportunity exists,and theability to quickly redeploy it if the earlierdeployment is no longer profitable, is essential ina flattening world Note the current lowunemployment rate in the USA is one of the lowestin the world, around 4.6%
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USA Companies are transformed to
transnational companies !
For example HP currently has nearly 143,000
employees in 178 countries. It is the largest
consumer technology company in the worldand in Russia, Middle East,South Africa and
Europe.
Very few non-USA companies are truly
transnational.
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Let us study how successful
countries developed theirindustries and education
Is there an strategy to become
an industrial power country?
What are the key elements to
accomplish these goals?
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Scientists born in China won four Nobel Prizes in Physics.Science and technology have long preoccupied China's leaders; indeed,the People'sRepublic of China's third and fourth generationsof leaderscome almost exclusively from technical backgroundsboth Jiang Zeminand Zhu Rongji were trained as electrical power engineersandhave a great reverence for science. Hu Jintao was trained as a hydraulicengineer.
Deng Xiaoping called it "the first productive force." Distortions in the economyand society created by Communist Party of China rule traditionallyhas hurt Chinese science, according to some Chinese science policy experts.Before the 1990s, the Chinese Academy of Sciences, modeled on the
Soviet system, placed much of China's greatest scientific talent in a large,under-funded apparatus that remains largely isolated from industry.However, as a result of Chinese economic reform, most Chinese scientificinstitutions have been encouraged to commercialize their activities, andChinese scientists have increasingly begun to go into business
China PRC
http://en.wikipedia.org/wiki/Science_and_technology_in_China#Communist_Party_of_China_oversight
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Chinese university undergraduate and graduate enrollmentsmore than doubled in the decade 1995 - 2005.
The revival of a research in PRC universities has already
given the universities the edge in the number of most cited PRCpapers in the Science Citation Index.
The average age of Chinese researchers at the Chinese Academy ofSciences has dropped by nearly ten years between 1991 and 2003 asthe older generation retired and younger researchers, many educated
in the United States and other foreign countries, took their place.
The Communist Party of China Central Committee and the StateCouncil, on May 6, 1995 issued the 'Decision of the Central Committee
of the Communist Party of China and the State Council on theAcceleration of Progress in Science and Technology'. The 'Decision'set the goal of overall (both public and private) to attain Chinese R&Dspending equivalent to 1.5 % of GDP by the year 2000. It urgedscientific academies and institutes of higher education to set up hightech companies. The 'Decision' noted that science and technology arethe chief forces of social and economic development.
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Girls , when I was growing up, my parentsused to say to me, Tom, finish your dinnerpeople in China and India are starving. Myadvice to you is: Girls, finish your homework-people in China and India are starving for your
jobs
Bill Gates said: The Chinese have risk taking
down, hard work down, education, and when youmeet with Chinese politicians, they are all
scientists and engineers.You can have a numericdiscussion with them-you are never discussing give me a one-linerto embarrass [my political rivals] with. You are meeting an
intelligent bureaucracy.
http://www.nsfc.gov.cn/e_nsfc/desktop/nsfc2004.aspx@tabindex=448&modelid=257.htm
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China needs her students back
The number (in 000 )of Chinese students has grown
1985 1995 2000 2002 2004
2 5 8 20 25
Source: The battle for brainpower, The Economist October 7th 2006
trained talent is the yeast that transforms a society and
makes it rise was said by Singapores city-state elder statesman
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McKinsey calculates that in 2003, US had far more
young engineers who were capable of working for
Multinational companies than China-540,000against 160,000
The sum of Chinas total exports and imports amounts
to around 70% of its GDP, against only 25 to 30% in Indi
and US. In 2007, China will account for nearly 10% of
world trade, up from 4% in 2000
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Brief Summary about her technological development
1.What is the GDP in 1980 and in 2005?1980 GDP: $41.423 Billion 2005 GDP: $345.105 Billion
From http://www.econstats.com/weo/C157V019.htmPopulation: 22.6m Adult literacy: 96.1
2. Was there a national strategy to promote her industrial development?
Strategy changes through stages on industrial development.At the current stage of enhanced industrial technology capabilityand phased-out substantial government support, as well as ever-intense
global competition, the strategy of forming an industry-directed researchconsortia (ASTRO) has been adopted in the hope of integrating industrialR&D resources, accelerating the uptake of R&D, promoting technologyexchange, accumulating long-term technology capabilities, stimulatingCollaborative research among up-/downstream sub-industries and boostingoverall industrial competitiveness.
Taiwanis a barren rock in a typhoon-laden sea, with virtually nonatural resources and it has the third largest financial reserves in the
world.
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3. Is there a strategy to promote startup companies?Government grants, low interest loans, technology development and
transfer, angel funds are tools commonly employed.
4. What is the percentage of the industrial output of the semiconductor industry?about 10% GDP.
5. How many engineers are produced per year in your country?From ministry of education statistics, about 90,000.
6. Who are the leaders that promo the industrialization in your country?Chief of Executive Yuan, Minister of Economical Affairs,
Council for Economic Planning and Development, National Science Council,Private sectors.
7. Another important factors in the industrial development and university
cooperation in your country?The government has sought to integrate scientific and technological
resources, elevate academic standards, strengthen industrial technology, andsupport innovation.
Innovation index 6.06 second best (USA has 6.41)
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Key issues:
Indian Institute of Technology HistoryThe history of the IIT system dates back to 1946 when a committee was setup by Hon'ble Sir Jogendra Singh, Member of the Viceroy's Executive Council,Department of Education, Health and Agriculture to consider the setting up ofHigher Technical Institutions for post war industrial development in India.
The 22 member committee headed by Sri N.R.Sarkar, in its report,recommended the establishment of four Higher Technical Institutions In the Eastern, Western, Northern and Southern regions, possibly on thelines of the Massachusetts Institute of Technology, USA, with a number ofsecondary institutions affiliated to it.
The committee also felt that such institutes would not only produceundergraduates but they should be engaged in research, producing researchworkers and technical teachers as well. The standard of the graduates shouldbe at par with those from first class institutions abroad. They felt that theproportion of undergraduates and postgraduate students should be 2:1
INDIA
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NASSCOM estimates that in 2001-04 some 25,000
Indian techies returned home, and the number is risingrapidly.
68% of Indian executives living in the US were looking
for opportunities to return home, and 12% had alread
decided to do so.
1. What is GDP of India in 1980 and in 2005?
GDP recorded in USD-Billions, based on Purchasing-Power-Parity [1]1980 => 434.28 2005 => 3602.89
[1] http://www.econstats.com/weo/C075V013.htm
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2. Was there a national strategy to promote industrialdevelopment?
Two Stages of Economic Reforms [2]:
The pro-business measures of 1980, initiated by Gandhis (Indiraand Rajiv) removed price controls and reduced corporate taxes.
The economic liberalization of 1991, initiated by then Indian primeminister P. V. Narasimha Rao and his finance minister ManmohanSingh. It removed restrictive license policies, initiated
disinvestments and ended many public monopolies. It alsofacilitated the foreign direct investment in many sectors includinginfrastructure and technology.
[2] http://en.wikipedia.org/wiki/Economy_of_India
Brief summary about the technological developmen
in India
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3. Is there an strategy to promote start up companies?
Some Incentives [3]
Setting up of Special Economic Zones (SEZ) in the countrywith a view to provide an internationally competitive andhassle free environment for exports.
Giving early tax incentive to technological companies.
Relaxing rules about Foreign Direct Investment in certainsectors.
[3] http://www.sezindia.nic.in/
Brief summary about the technological development
in India
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Was there a national strategy to promote industrial
development?India's industrial economy continues to invest heavily in advanced
technology initiatives such as digital communications and spaceresearch.
India's energy requirements are met by oil, most of which is importeddespite the growth of indigenous production and hydroelectric
schemes, mostly based amid the powerful northern rivers. Mining isa relatively small sector, but does produce iron ore and cut diamondsfor export. India's main industrial development has been inengineering, especially transport equipment (a major export earner),iron and steel, chemicals, electronics and textiles.
Economic reforms have been underway since the beginning of the1990s, under which trade has been liberalized, the public sectorscaled back, and state-owned industries privatized. These reformswere developed with and approved by the IMF, which has suppliedsubstantial credits to India.
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Key Strategies and reforms taken by the government in 1991:
- The reservation of many areas of economic activity for the state wasabolished.
- The restrictions on the inflow of foreign capital and technology transferwere significantly relaxed. Foreign participation in companies up to51% was permitted automatically in 34 industries. Clearance for higherlevels or in industries outside the 34 were processed speedily, and
foreign equity inflows jumped rapidly after 1991.- The restrictions on the large industrial houses (designed to curb
monopoly) were significantly relaxed, and large companies becameable to expand existing units and construct new ones.
- Quantitative restrictions on imports of raw materials, intermediates andcapital goods were abolished. Considerable restrictions on the import
of consumer goods remained, although by 1995 an increasing numberwere being put on Open General License, albeit subject to tariffs.
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Is there an strategy to promote start up companies?
Technopreneur Promotion Programme (TePP)
IntroductionAs a new initiative during 1998-99, the Ministry of Science & Technology
has launched a novel programme, known as Technopreneur
Promotion Programme (TePP) jointly operated by the Department of
Scientific & Industrial Research (DSIR) under its plan schemeProgramme Aimed at Technological Self-Reliance (PATSER) and the
Department of Science and Technology (DST) under its Home GrownTechnology Programme (HGTP) of Technology InformationForecasting and Assessment Council (TIFAC) to tap the vast existinginnovative potentials of the citizen of India.
Objectives
To promote and support untapped creativity of individual innovatorsTo assist the individual innovators to become technology based
entrepreneursTo assist the technopreneur in networking and forge linkages with other
constituents of the innovation chain for commercialization of theirdevelopments.
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Is there an strategy to promote start up companies?
Activities
The activities under TePP includes providing financial support to selected& screened Individual innovators having original ideas for convertingthem into working models, prototypes etc.
The assistance under TePP includes to undertake the activities like,R&D / engineering consultancy,Small equipment, tools etc.
Raw Material / Accessories (for prototype/process trials),Fabrication cost (for prototypes)Patent guidance and supportManpowerTesting & TrialsAny other relevant costs
TePP support to the innovators is limited to 90% of the total cost of theproject & remaining 10% is to be borne by the innovator/inventor.
Software Technology Parks of India (STPI) are also helping to promotestart-ups.
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How many engineers are produced per year in your
country?
According to the All India Council for Technical Education, Indiaproduced 401,791 engineers in 2003-04, 35 per cent being
computer engineers. In 2004-05, the number of engineering
graduates increased to 464,743, of which 31 per cent were
computer engineers.
Compared to India and China, the United States produces only
70,000 engineering graduates every year. All of Europe produces
just 100,000.
India currently has 113 universities and 2,088 colleges, many of
which teach various engineering disciplines. Engineering
colleges in the country have been growing at 20 per cent a year,
while business schools have grown at 60 per cent.
(Engineering education: Can India overtake China? George Iype | June
09, 2006)
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Recent news from India 2007
Cellular phones pay about 5 US cents per minute. Special phones for
illiterate people use special codes so they can dial with one button.Itcosts 10cents per minute to dial from India to US. From Internet to a USAphone is 1.7 cents per minute, access to broadband cost $5 US permonth.
GSM is the dominant standard but new local standard are being
proposed. India has the largest railway network in the world, one of the primarymeans of transportation for long distances for people and cargo.
It has 3 (10) domestic airlines in 2005 (2007)
The Medical tourisms as well as Dental tourism continue growing.
Very cheap medical cost, i.e, $500 brain surgery and hospital.
Initial salaries for undergraduate, MS and Ph D are $8K-10K, $10K-$12K, $15K-$18K , respectively.
After 8 years salaries could reach $40K ( for management ladder)
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Who was the leader (s) that promote the industrialization in
your country?
J. R. D. Tata (1904-1993) Most famous industrial pioneer ofmodern India. Father of Indian civil aviation. He foundedIndia's first commercial airline, Tata Airlines, in 1932, which in1946 became Air India, now India's national airline. Tata
directed the Tata Group of Companies, with major interests inmany industries in India, including steel, engineering,hospitality and electrical companies.
G. D. Birla (1894-1983) Founded BITS, Pilani. In
collaboration with Caesar, an American friend, he set up anAluminum Plant 'Hindalco'. He also started many educationalInstitutions. To his credit go many temples, planetariums andhospitals. During the decades of 70's and 80's, The Birlas
were among the topmost Industrial Houses of India.
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Another important factors in the industrial development
and university-industry cooperation in your country?
Traditionally, this used to be a niche area involvinggovernment educational institutions and government projectsin the past
With the liberalisation of the economy in the recent years,
there are more such cases involving private industrialestablishments and universities as well.
e.g. OLAB in BITS is a semiconductor R&D lab and is the firstcampus based VLSI Design facility in India.
http://eetimes.com/news/semi/showArticle.jhtml;jsessionid=ASETUTI3TRYL4QSNDLOSKHSCJUNN2JVN?articleID=18402777&_requestid=394263
Texas Instruments sets up second development facility in India
(proximity to IIT, Chennai).http://www.networkworld.com/news/2006/071306-ti-sets-up-second-develo ment.html
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4. What is the percentage of the industrial output of theSemiconductor industry?
Direct Impact of Semiconductor Technology Driven Industries on
Output of Indian Economy [4]-[5]:14.25 billion USD => 2% of GDP =>6.8% of industrial output
[4] Economic data from ISA,Frost and Sullivan[5] http://www.answers.com/topic/list-of-countries-by-industrial-output
5. How many engineers are produced per year inIndia?
284,000 in 2005 [6]
6. Who was the leader (s) that promoted theindustrialization in India?
No single leader, venture capitalists or individual investors thoughsome pro- business policy makers are highlighted in Q-2
[6] http://www.sunmediaonline.com/indiachronicle/infotech.html
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7. Other important factors in the industrial development anduniversity-industry cooperation in your country?
Industry growth in IT sector seems to be mainly driven by low-costOutsourcing and availability of large English speaking engineeringworkforce. University Industry relation is still weak in IT sector. [7]
[7]http://www.hindu.com/edu/2006/09/04/stories/2006090400580100.htm
Observe that the driving force for industrial growth, in India, has beenprivate companies and local natives returning from abroad andputting ideas, creativity and money.Recently the government isadding strength and efforts for this economical growth
Brief summary about the technological development in India
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SOUTH KOREAKorean GDP between 1970 and 2005
GDP
0
100
200
300
400
500
600
700
800
900
1970 1975 1980 1985 1990 1995 2000 2005
year
billion
Innovation Index : 7th, 4.62
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Korean national strategy topromote industrial development
The major national strategy is Select and Concentrate
Background:
very limited natural resources limited financial resources
small domestic market small land highly educated human resources
Korea has
Can not invest for every field.
Select major fields that is suitable for Korea
Invest all the national resources for the selected fields Concentrate and speed-up
Globalization : be the world best in the selected field in 10 years
Success in the selected field will power other fields in the future
Strategy:
Now, this philosophy has been spread over almost everything
and been being a part of Korean culture
Growth Engine
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The percentage of the industrialoutput of the Semiconductor industry
GDP per head $12,690
Electronics product
2003: 23% of GDP, 40% of total export
Semiconductor 2001: 5% of GDP, 15% of total export
Current : even higher
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TOP UNIVERSITIES IN LATINAMERICA 2006World Ranking
2 UNIVERSITY OF SAO PAULO 112
1 UNIVERSITY NACIONAL AUTONOMA DE MEXICO ** 110
3 STATE UNIVERSITY OF CAMPINAS 192
4 UNIVERSITY OF CHILE 230
7 TECNOLOGICO DE MONTERREY 374
8
UNIVERSITY OF BUENOS AIRES 376
5 FEDERAL UNIVERSITY OF SANTA CATARINA 342
6 FEDERAL UNIVERSITY OF RIO DE JANEIRO 366
9 FEDERAL UNIVERSITY OF RIO GRANDE DO SUL 379
11 PONTIFICAL CATHOLIC UNIVERSITY OF RIO DE JANEIRO 539
12 PONTIFICAL CATHOLIC UNIVERSITY OF CHILE 572
15 UNIVERSITY OF GUADALAJARA 692
http://www.webometrics.info/top200_latinamerica.asp
HOW CAN WE MAKE MEXICANUNIVERSITIES MORE COMPETITIVE ?
**UNAM has been ranked among the best 100 universities in the world by another rankingor anizations
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Top Universities Distribution by Continent
CONTINENT Top 200 Top 500
USA & Canada 118 228
Europe 67 209Oceania 6 23Asia 5 23Latin America 3 9Middle East 1 7Africa 1
Distribution by Country
RANK COUNTRY Top 200 Top 500
1 United States of America 101 2012 Germany 25 513 Canada 17 274 United Kingdom 13 405 Netherlands 8 10
6 Australia 6 197 Sweden 6 108 Switzerland 4 813 Brazil 2 520 Mexico 1 2
http://www.webometrics.info/Distribution_by_Country.asp
S di d 000 PPP
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0
2
4
68
10
12
14
16
18
20
United
States
Japan European
Union
pre-primary
primary
lower secondaryupper secondary
Tertiary
Source: OECD
Spending per student, 000,PPP
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What are some potential solutions to create (HT)High Technology industry in developing countries?Background
A maquiladora (or maquila) is a factory, that importsmaterials and equipment on a duty- and tariff-free basis
for assembly or manufacturing.
The maquila must be a temporary step towardsdeveloping high technology. It is not a final solution.
An own foundry of semiconductor is not needed todevelop HT.
Many successful semiconductor companies are fab less
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Indicators about Mexico 1/10
15th largest country 1,973,000 sq km
The economy
Economic freedom index 2.89 ( > 50 world position)
GDP per head $6,050 (61 world position)
GDP per head in purchasingPower parity (USA=100) 23.8 (~ 75 world position)
Human development index 80.2 ( 51 world position)
Origins of GDP % of totalAgriculture 4.0
Industry, of which: 26.4
Manufacturing & mining 19.5
Services 69.6
Indicators about Mexico
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Indicators about Mexico
Total expenditure on R&D % of GDP 2002
1. Israel 4.66 2. Sweden 4.27
4. Japan 3.12 6. USA 2.64
29. Brazil 1.04 31. Spain 0.95
43. Venezuela 0.45 44. Mexico 0.41
Largest market capitalization $m, end 20031 USA 14,266,266 15 South Korea 329,616
2 Japan 3,040,665 19 Brazil 234,560
6 Canada 893,950 27 Mexico 122,532
Most tourist arrivals 000
1 France 75,048 2. Spain 51,830
3. USA 41,212 4. Italy 39,604
8. Mexico 18,665 38. Brazil 4,091
Indicators about Mexico 10/10
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Indicators about Mexico 10/10
Largest tourist receipts $m
1. USA 64,509 2. Spain 41,770
3. France 37,038 12. Canada 10,579
14. Mexico 9,457 17. Japan 8,848
Daily newspaper per000 population
1 Japan 551 2 Norway 54412 Singapore 234 17 USA 188
20 Canada 157 29 Spain 110
Mexico is not in the top 30 countries my guess of newspaperper 1000 population is about 20
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Indicators about Mexico
Trade ($bn fob)
Principal exports Principal imports
Manufactured products 160 Intermediate goods 129.2
(Maquiladora 77.5 (Maquiladora 68.4)
Crude Oil& products 20.5 Consumer goods 21.5Agricultural products 5.2 Capital Goods 20.2Total incl. others 164.9 Total 170.5
Main export destinations (%) Main origins of imports(%)United States 88.8 United States 61.8
Canada 1.7 China 5.5
Spain 0.9 Japan 4.5
d b
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Indicators about Mexico
Health & educationHealth spending, % GDP 6.1 Education spending, %GDP 5.1
Doctors per 1,000 pop 1.6 Enrolment,%: primary 110
Hospital beds per 1000 pop 1.0 secondary 79
tertiary 21
Obesity (17M,16W in the world ) 19.4, 29 %Diabetes ( 1 in the world) 14.2 % 11th largest pop. 103.5 M
Highest tertiary enrolment in the world
1 Finland 86 5 Australia 74
2 South Korea 85 13 Estonia 64
3 United States 81 16 Denmark 63
4 Sweden 74 18 Poland 60
A mathematic study for 15 years olds placed Mexican students in the last place
29/29 in countries belonging to the OECD
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What are some potential solutions to create (HT)High Technology industry in developing countries?
Who are the players in this creation of a HT industry?
Who should lead and pay for this national initiative?
What should be provided to create a suitableenvironment to develop this industry?
What level of commitment is needed with theparticipants of this initiative?
What are some potential solutions to create (HT)
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p ( )High Technology industry in developing countries?
The players must be from university-industry-government
Government and industry should lead and pay for
this national initiative.
Make different regions and states compete to attractindustry by tax exempt and providing financial supportincluding real state. Improve infrastructure, roads, schools,and health
Facilitate importing and exporting permits for this industrialsector. Provide financial aid and simplify bureaucracy.
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What are some potential solutions to create (HT)High Technology industry in developing countries?
Serious long term level of commitment is needed with theparticipants of this initiative.
This should be an initiative at the national level andindependent of the government in office.
Put someone in charge based on experience, technically
capable and world recognized. Do not put in charge a politicianor someone without the credentials.
Increase the number of qualified undergraduate andgraduated students in science and engineering
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Remarks on creation of (HT) High Technology industryin developing countries.
There is no single approach to accomplish this goal and isadaptable to variation in the world market. Previousapproaches followed by Japan, India, China and Koreashould be studied and come with one that suits the local
culture and maturity of society.
The main national goals should be set independent ofgovernment in office and should have plans for 5 to 10
years.
Encourage the local industry to become a partner of thesegoals. This industry should move from being distributors,maintenance, assembly and manufacturers to world leaders
in some key high technology niches.
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The first group of people that will form thishigh tech industry could come from natives
working abroad at industry and academia.
Attract the best people from all over the worldwith experience to help to develop this industry,
provide the proper financial benefits with aconstructive and intellectual environment.
Creation of well educated and trained humanresources should become the highest priority ofthe national priorities. What is need to accomplishthis?
How to transform classical university environment into the current world
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An international survey offers two pieces of advice forcountries that are trying to create successful
higher-education systems, be they newcomers such as Indiaand China or failed old hands such as Germany and Italy.
First: diversify your sources of income.The bargain with the state has turned
out to be a pact with the devil.
Second: let a thousand academic flowers bloom. Universities,including for-profit ones, should have to compete for customers.
A sophisticated economy needs awide variety of universities pursuing a wide variety
of missions.
These two principles reinforce each other: the more that thestate's role contracts, the more educational variety will flourish.
http://www.economist.com/displaystory.cfm?story_id=4339960
situation?
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Undergraduate programs at university should be updated to reflect the needs of the international industry, notjust the local needs which often do not have a large market.
Faculty members at universities should have MSc andPh D. degrees. A drastic renovation program should bein place. They should have periodic stays at industry
supporting their research.
Salaries of professors must be competitive with industrysalaries. Promotion should be based on results andguided graduate students.
Talent resides in the brains of individual, but it is alsonurtured by organizations.
i l i h $ hl
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55From the Encuesta Nacional de Ingreso y Gastos de los Hogares 2005
http://www.cronica.com.mx/nota.php?id_nota=265296
A typical Mexican home earns $10,244 pesos monthly
The national income grew 0.8% per year in the last 5 years
The difference in income between the 10% richest and the
10% poorest is about 22 times
50% of the poorest Mexican population lives with less than
$ 3 US dollars per day
18.2% (19M) of the population leaves in extreme poverty,about $72 and $52 monthly in urban and rural areas,
respectively.
The World's Richest People
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Rank Name Citizenship Age Net Worth ($bil) Residence
1 William Gates III United States 50 50.0 United States2 Warren Buffett United States 75 42.0 United States3 CarlosSlimHelu Mexico 66 30.0 Mexico4 Ingvar Kamprad Sweden 79 28.0 Switzerland5 Lakshmi Mittal India 55 23.5 United Kingdom
6 Paul Allen United States 53 22.0 United States7 Bernard Arnault France 57 21.5 France8 Prince Alwaleed Bin Talal Alsau 49 20.0 Saudi Arabia9 Kenneth Thomson & family Canada 82 19.6 Canada10 Li Ka-shing Hong Kong 77 18.8 Hong Kong11 Roman Abramovich Russia 39 18.2 Unite Kingdom12 Michael Dell United States 41 17.1 United States
The World's Richest People
http://www.forbes.com/lists/2006/10/Rank_1.html
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http://www.businessweek.com
/pdfs/2005/0548_philsco.pdf
Many talented people not only create jobs and wealth,
They turn their hands to philantropy
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Promote philanthropy among the richest people in the
country.
Increase donations to private and public universitiescoming from former students and industry.
Provide an easy legal and financial path toestablish high tech start up companies.
Implement measurement for identifying the bestundergraduate students in the country. A nationalentrance exam?
Increase exchange of graduate students and faculty,
attract top foreign students to study in Mexico, of coursemake attractive Fellowship offers.
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Industrial growing must be accompanied by social
responsibility, continuing education, parental
support and encouragement, medical care,promotion for career development.
Modern companies to win the talent wars should
turn themselves into learning organizations.
The success of advanced economies is
increasingly dependent not on their physical capital
but on their capacity to mobilize their citizensbrainpower
Conclusions
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Conclusions As a society one can choose to shift the
responsibility or to choose to change the paradigm.
The preconditions for development and progress
involvebasic infrastructure ( ports, power and
roads) and human capital ( health and education)
Technology has been the main force behind the
long-term increases in income in the rich world,not exploitation of the poor. Consider the cases of
Korea and Japan. This not to say that human
exploitation has not occurred and is occurring.
Conclusions (continues)
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Conclusions (continues) Governments must invest heavily, especially in the
early stages of Research and Development andshould maintain the momentum as a part of a
permanent national strategy.
Break the cycle: The rich move from innovation to
greater wealth to further innovation; the poor do not.
Collective action, through effective governmentprovision of health, erase impunity and corruption,
enhanced and invest heavily on education and R&D.
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References
[1] F. Zakaria, How long will America lead the World Newsweek.http://www.msnbc.msn.com/id/13123358/site/newsweek/page/3/print/1/displaymode/1098/
[2]T. L. Friedman, The World is Flat, Farrar, Straus and Giroux, NewYork, 2005
[3] http://www.enchantedwebsites.com/maquiladora/
[4] http://www.iitkgp.ac.in/institute/history.php[5] The Economist, Pocket World in Figures, Profile Books, Ltd,London,Edition 2006
[6] J. D. Sachs, The End of Poverty ,Economic Possibilities of Our Time.Pinguin Books, New York, 2005.
[7] http://video.google.com/videoplay?docid=4237353244338529080
A di I
http://www.hindu.com/edu/2006/09/04/stories/2006090400580100.htmhttp://www.hindu.com/edu/2006/09/04/stories/2006090400580100.htmhttp://www.cronica.com.mx/nota.php?id_http://www.cronica.com.mx/nota.php?id_http://www.hindu.com/edu/2006/09/04/stories/2006090400580100.htmhttp://www.hindu.com/edu/2006/09/04/stories/2006090400580100.htm7/30/2019 Imp of Technology Esime-April 07l
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Appendix I
1. Top number of graduate students in different
universities at different levels
2. Tertiary education by field for OECD countries
Reading Comprehension
Finland 543.5
Korea 534.1
Mexico 399.7
Basic Sciences
Finland 548.2Japan 547.6
Mexico 404.9
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1. Pennsylvania State University 1,396
2. Georgia Institute of Technology 1,3723.Purdue University 1,261
4. North Carolina State University 1,240
5. Univ. of Illinois, Urbana-Champaign 1,198
6. University of Michigan 1,127
7. Virginia Tech 1,098
8. Texas A&M University 1,044
9. Ohio State University 892
10. University of California, San Diego 883
11. University of Florida 88212. Iowa State University 868
13. University of Texas, Austin 865
Bachelor's Degrees Awarded by School:
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1. University of Southern California 1,244
2. Stanford University 930
3. University of Michigan 894
4. Georgia Institute of Technology 838
5. Massachusetts Inst. of Technology 808
6. Johns Hopkins University 777
7. University of Texas, Arlington 661
8. San Jose State University 625
9. Univ. of Illinois, Urbana-Champaign 577
10. Purdue University 52511. Texas A&M University 522
12. University of Florida 503
13. Cornell University 490
Master's Engineering Degrees Awarded by School
Doctoral Engineering Degrees Awarded by School
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1. Massachusetts Ins. of Technology 273
2. Stanford University 251
3. Georgia Institute of Technology 250
4. University of Michigan 226
5. Univ. of Illinois at Urbana-Champaign 220
6. University of California, Berkeley 201
7. Purdue University 1658. Pennsylvania State University 151
9. Texas A&M University 148
10. University of Florida 145
11. University of Texas, Austin 143
12. Univ. of California, Los Angeles 137
13. Univ. of Maryland, College Park 131
14. Cornell University 116
15. University of Minnesota, Twin Cities 115
Doctoral Engineering Degrees Awarded by School
Life sc iences phys ical sc iences and agr icul ture Mathemat ics and computer sc ience
Chart A3.6. Tertiary graduates, by field of education (2004)
Graduates wit h tertiary-type A and advanced research qualifications
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0% 20% 40% 60% 80% 100%
Brazil6
Hungary5
Poland
United States
Norway
Iceland
Netherlands
Denmark1
New Zealand
Turkey
Canada
Australia
Portugal
Israel
Ireland
Italy
United Kingdom
Chile
Belgium4
Switzerland
Mexico3
Spain
Czech Republic
Japan2
Russian Federation2
Austria
France1
Greece
Slovak Republic
Sweden
Finland1
Germany
Korea
Life sc iences, phys ical sc iences and agr icul ture Mathemat ics and computer sc ience
Engineering, manuf acturing and construction Health and welfare
Humanities, arts and education Social sciences, business, law and serv ices
Other
1. Year of ref erence 2003.
2. Phys ical sciences, mathematics , statist ics and computing are included in life sciences.
3. Excludes tertiary-ty pe A second degree programmes.
4. Excludes tertiary -ty pe B second degree programmes (for the Flemish community in Belgium).
5. Excludes tertiary-ty pe B second degree programmes.
6. ISCED 5B programmes are included with ISCED 5A/6.
Countries are ranked in descending order of the proportion of qualifications in life sciences, physical sciences and
agriculture; mathematics and computer science; and engineering, manufacturing and construction.Source: OECD. Table A3.3. See Annex 3 f or notes (www.oecd.org/edu/eag2006).
Appendix II: Indicators about Mexico
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Appendix II: Indicators about Mexico
Color TVs per 100 households
1. USA 99.5 26 South Korea 93.339 Mexico 90 47 Russia 75.8
Computer per 100 people
1. Switzerland 70.9 8 South Korea 55.8
10 Canada 48.7 34 Spain 19.6
? Mexico < 19
Telephone lines per 100 people
8 Canada 65.1 17 South Korea 53.8
? Mexico < 28
Indicators about Mexico
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Indicators about Mexico
Book Sales $m
1 United States 32,264 2 Japan 20,8185 Mexico 3,567 15 South Korea 821
Nationality of asylum applications in indust. Countries ( in 000, 2003)
3 Turkey 29.2 11 Colombia 12.44 China 26.3 13 Mexico 10.7
Highest foreign debt $m, 2003
1 Brazil 235,431 25 Peru 29,857
2 China 193,567 39 Ecuador 16,8646 Mexico 140,004 47 Iran 11,601
Indicators about Mexico
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Indicators about Mexico
Agriculture Biggest producers 000 tonnes
Meat1 China 70,899 6 India 5,941
2 United States 38,911 9 Mexico 4,908
Fruit
1 China 76,893 6 Italy 15,7273 Brazil 34,298 7 Mexico 14,743
Sugar top ten producers top ten consumers
1 Brazil 26,000 1 India 18,600
2 India 21,700 2 EU15 14,1007 Mexico 5,400 7 Mexico 5,300
Coffee top producers top consumers
1. Brazil 1,729 1 USA 1,230
5. Mexico 273 2 Brazil 825
Indicators about Mexico
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Indicators about Mexico
Metals
Lead producers consumers1 China 955 1. USA 1,494
5 Mexico 135 7 Mexico 307
Zinc
4 Canada 788 3 Japan 6196 Mexico 427 5 South Korea 438
Silver
1 Peru 2,921
2 Mexico 2,551
6 Canada 1,309Oil 000 barrels per day producers consumers
1. Saudi Arabia 9,817 1 USA 20,071
3 USA 7,454 7 South Korea 2,303
5 Mexico 3,789 11 Mexico 1,864
Indicators about Mexico
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Innovation Indexis a measure of human resources skills, market
incentive structures and interaction between business and scientific
sectors.
1. USA 6.41 2. Taiwan 6.06
3 Finland 5.74 7. South Korea 4.62
11 Canada 4.36 20. France 3.81
Mexico is not in the top 44
Information and communication technology index
1 Iceland 6.36 2 Denmark 6.26
3 Sweden 6.23 7 USA 6.0715 Japan 5.79 18 South Korea 5.74
Mexico is not in the top 44
Appendix III Korean National Growth Engines
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Digital TV Broadcasting
standard, broadcasting system, TV, camera
Display
LCD, PDP, organic EL
Semiconductor
process, nano-device, memory, SOC
Mobile Communication
4G standard, system, cell phone, wireless network, telemetics,
Intelligent Home Networks home server/networking, intelligent consumer electronics, ubiquitous computing, USN
Digital Contents
contents development tool, digital contents, contents distribution
Robotics
home, medical, military application, intelligence, HCI
Automobile
electrical car, hybrid car, fuel cell, safety, sensors, intelligent driving assistant, part
Battery
fuel cell, next generation battery
Bio-technology
medicine, artificial organ, bio chip
K t t g t t
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Korean strategy to promotestart up companies
Various government funding programs are available Startup, research, manufacturing, marketing, office, equipment, consulting
Almost all the start-up companies take benefit from these funds
Fluent of government research fund especially for 10 growth engines(refer previous page)
Most of government research program require/encourage the participationof start-up companies by the law
Exemptions of mandatory military service for researchers who areemployed in a start-up company (limited for qualified researchers withMasters degree)
How many Korean engineers are produced per year?
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year 1997 1998 1999 2000 2001
BS. 79,908 82,442 82,129 85,546 96,979
MS. /Ph.D. 13,644 15,770 18,190 20,211 22,007
Science Engineering
Mathematics, ComputerScience
2,735 Mechanical / Aerospace 5,199
Physics 1,830 Material 2,471
Chemistry 2,272 Electrical 10,132Earth Science 745 Chemical. 1,546
Biology 2,681 Bio / Food 919
Others 597 Fabrics 357
Nuclear / Petroleum 400
Architect / Civil 4,663
Others 3,285
Total Industry University National Lab.
Korea 46,146 5,351 35,141 5654
USA 357,200 147,900 175,900 33,500
*total number of people in Korea: 50 million
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Who promoted the industrialization in Korea?
1960~1980 : President Junghee Park promoted/emphasized
- Social Overhead Capital deployment
- Heavy Industry
- Export
- Education/ cultural enlightenment
- prolonged one-man rule
- overemphasized uniformity
- too strong government control on industry
- infringement of human right
Thereafter : not a specific person, it runs by itself
Another important factors in the industrialdevelopment and university industry
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development and university-industrycooperation
Very little amount of money from the industry is donated to university
for pure research and education (example: Yonsei university only 10%out of 140million$ research fund comes from industry)
However, industrial research fund for practical application is active
The topic and specification are generated by industry need. (very shortterm research : around 1~2 years)
Almost all the government research fund requires participation ofindustry (even in the research/education program for university)
Technology that was developed by the university itself is rarelytransferred to the industry (Industry prefer to employ the student
rather than technology licensing)
However, the industry-initiated research outcome is easily integratedwith the product.
Naturally Industry have the initiative of research