Study On Government's Conduct In Technical Standards Competition

Along with the rapid economic and technological development, a growing number of emerging industries show network-based industries characteristics. As a high-end strategy, wining the technical standards competition helps the establishment of market power through network effect and feedback mechanism. So enterprises with technical innovation as a core competency are eager to tip out and further, to control industrial rules. In developed countries, they often rely on their own strength and the strong support of their government in the formulation of international standards for the initiative in seeking industry competitive edge.According to the facts above, the author clearly points out that technical standards are the result of technical innovation and market choice. There should be selective interventions from the government and some things should be left undone in order to better achieve the policy objectives. Also, the author presents autonomy and openness for the government in setting clear principles and with the two objectives and in the behavior model of itself, the government conducts two effective ways. By analysis and feasibility studies, the author comes to the conclusion that technical union is preferred and proposes steps in developing it. Guidance to regulations on technical standards for the classification is provided, too. It is also pointed out that government procurement can play a special role. And on the current situation of 3G standard competition of China's telecommunications market, the author gives a practical response to government actions.