Study on Technological Innovation Risk of China's e-Services

Technological innovation risks of China’s e-Services include such factors as policy, economy, technology, market and resources. Based on analyzing the above factors, the Article has designed the assessment system for technological innovation risk of China’s e-Services, discussed on the assessment method of analytical matrix and proposed the particular measures for preventing China’s e-Services technological innovation risk. Technological innovation of e-Services is the core power for e-Business. The development and the success in technological innovation of e-Services will bring huge interests for e-Business, but due to the systematic and complicated features of technological innovation for e-Services, it is also a high-risk activity [1]. The research group of the program for the National Natural Science Foundation of China (70573119), “Demonstrative Study on Technological Innovation of China’s Information Service” and New Century Excellent Talents in University (NCET-040049), “Theoretical Study and Case Analysis on Technological Innovation of China’s e-Services” had investigated 30 e-Business websites in China (e.g.,Alibaba.com, ebay.com, ChinaCCM.com, Made-in-China.com, joyo.com , etc.) during 2005-2006. The content of questionnaire comprises 4 respects (Table 1). Table 1. .Content of Questionnaire Types of investigation Objects of investigation Amount of questionnaire Explanation of questionnaire Technological innovation risks 30 e-Business websites in China 28 (available), 2 (no available) Main person in charge of e-Business websites The conclusions have been obtained on the basis of analysis of the content of questionnaire: 65% of e-Services technological innovation projects have made technological achievements, but only 9% of e-Services technological innovation projects have been marketed. Because of the high risk and the risk’s uncertainty, Study on Technological Innovation Risk of China’s e-Services1 933 complicity and objectiveness, when the enterprises undertaking e-Business carry out technological innovation of e-Services, failure has always been in companion. Consequently, many of the enterprises, especially small and medium enterprises fear excessively the risk that they shrink back at the sight of e-Services technological innovation and dare not to undertake e-Services technological innovation and thus lose the fine opportunity for development. The excessively high risk of e-Services technological innovation will not naturally determine the fate of the results of e-Services technological innovation, while they will depend on the effective management over the innovation process [2]. If we carry out the total analysis and investigation over all the segmental risk factors affecting the success and failure of e-Services technological innovation, have a full understanding of innovation risks and formulate better prevention measures for these possible risks, technological innovation risks of e-Services will be minimized. 1 Factor Analysis on Technological Innovations Risks of China’s e-Services 1.1 Policy risk factor China’s economic development target in different periods and changes of social demand will all influence the orientation of e-Services technological innovation. Changes in the government’s overall economic development planning, regional development planning and development planning for information industry and eBusiness will all cause risks to China’s e-Services technological innovation. Projects in compliance with the government’s development target, development planning and policy for information industry and e-business will be supported and sponsored by the government and enterprises; otherwise, they may be restructured by the government for development and may encounter the policy risk. The change of the government’s macro development target influences the change of social demand. It will be easy for those projects of e-Services technological innovation in compliance with the development demand of e-business to obtain social support and reduce the risks in commercialization of innovation [3]. 1.2 Economic risk factor Development of China’s economic circumstance has a major influence over the success or failure of e-Services technological innovation, as is mainly reflected in the people’s online shopping capacity and market demand. With the economy flourishing, the people’s online shopping capacity is strong and market demand is vigorous, as will promote the activities for e-Services technological innovation and reduce the risk in marketing the technological innovation of e-Services; otherwise, it