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Simplifying Business Regulations: Critical for Development of IT Dan Brody Managing Director

Simplifying Business Regulations: Critical for Development of IT Dan Brody Managing Director US Information Technology Office Beijing September 2001. USITO Introduction. Established in 1994 Voice of the US high tech industry in China

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Simplifying Business Regulations: Critical for Development of IT Dan Brody Managing Director

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  1. Simplifying Business Regulations: Critical for Development of IT Dan Brody Managing Director US Information Technology Office Beijing September 2001

  2. USITO Introduction • Established in 1994 • Voice of the US high tech industry in China • Representing 4 US high tech trade associations with an aggregate 7,000+ companies • Main message: • Gov’t should lead in trad’l areas; industry should lead new areas • E-government can improve gov’t coordination, processes

  3. Time is Golden • IT does not equal .com • Rapid CHANGE in IT markets, business models • All governments struggling to determine best methods • Many interests all seeking to promote ecommerce • Gov’ts seek to maintain leadership in traditional areas like IP, taxation, criminal acts, legal redress, etc • Business seek ability to experiment with new models, reach new customer, and develop new dev’t/distribution/partnership arrangements • IT-specific issues • E-commerce – and most IT – is by definition global • Most IT companies draw significant portion of revenues from int’l • IT products have faster product cycles

  4. Time is Golden • The challenge is to develop regulations appropriate in arenas where they are necessary, as recognized in OECD Ottawa Ministerial • Regulating • First, ask if new regulations are necessary or if existing can be adjusted • Second, if regs are necessary, work with industry • Third, outside traditional areas of govt reg, solutions should be industry-led, market-driven and consensus-based

  5. Governments are Complex • All governments have many different agencies, with complex inter-agency coordination processes • Coordination requires time, and can cause major delays to business • China • Stupendous growth over last 20 years • Large bureaucracy makes difficult for SMEs

  6. CIRC GAC SAT SCDRC SBQTS SAFE CSRC MOC NCAC SPPA SIPO MoST CASS CAS CAE SEIQB State Council SC LAO MOFTEC SETC SAIC SDPC MII SARFT SCIO

  7. Need to Administer Sector • Industry recognizes the need for government oversight • Administration of sector made more difficult if government bureaucracies are getting smaller, fiscal revenues are declining • Governments can improve efficiency and transparency by moving toward e-government • If a government were to ever go public and be subjected to shareholder scrutiny, maybe the CEO (President?) would roll out a plan for serving customers (citizens?) better by offering a ONE-STOP SHOP website where customers (businesspeople?) could fill out a single form at a single place and then the company (government?) would send copies to all the relevant departments internally

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