Skip to main content

Analysis sees U.S. falling behind on research gains

In another five years, China will be investing as much as twice as much as the United States on development research.

U.S. spending on research and development has led the country to become a global innovation powerhouse, but an analysis done by the Boston Consulting Group shows that the nation can do more to realize gains from such investment.

The United States remains dominant at the front end of R&D; the nation invests three times as much as any other economy in basic research, which focuses on the pursuit of scientific knowledge and applied research, which turns discoveries into technologies useful to industry.

But the United States looks different when it comes to the back end of the R&D chain — development research that translates new knowledge from basic and applied research into commercial products and new manufacturing processes.

China recently surpassed the United States as the biggest spender in that area. In another five years, China will be investing as much as twice as much as the United States on development research, assuming that both economies maintain their recent pace of spending growth.

“Our analysis indicates that there is significant potential for the U.S. to generate much more product and process innovation from its investments in basic and applied research by streamlining existing ‘adapters,’ such as universities, for linking government-funded academic research to private industry,” the firm said. “U.S. research universities can accelerate product innovation by reducing friction and serving as better bridges between academia and industry.”

The private sector in the United States provides less funding for university research and development than other big manufacturing economies do, ranking fifth behind China (No.1), Russia (No.2), Germany (No.3) and South Korea (No. 4).

“We essentially are calling for improving the ‘software’ of the existing U.S. industrial innovation system, rather than adding expensive new ‘hardware’ in the form of new programs and bureaucracies,” the firm said.

Related

CRUISERS

Industry Mourns Cruisers Yachts Owner

K.C. Stock, who was 84, was known for his “commitment to the employees at Cruisers Yachts.”

GRANDBANKS

Grand Banks Purchases Florida Property

The parcel, which is opposite the company’s Stuart yard, has berths for up to nine boats and will increase service capabilities.

LIMESTONE-Q3

Limestone Boat Co. Posts Q3 Results

Unit production was down compared with the second quarter, and revenues decreased 33%.

SIREN-YAMAHA

Yamaha Dealers Now Carry Siren Systems

Siren Marine’s “Connected Boat” technology can be purchased and installed at more than 2,100 Yamaha outboard dealers.

Northpoint

Northpoint Expands Marine Presence

Northpoint Commercial Finance has partnered with Elite Recreational Finance to offer retail financing.

BRP

BRP Reports 71% Increase in Q3 Revenues

The Sea-Doo manufacturer had total revenue of $2.7 billion, but North American marine retail sales were down 47%.

Airmar

Airmar Announces Training Dates

Certified Installer and SmartBoat system classes are being held this month in New Jersey and next year in New Hampshire.

Norm

The Survey Says …

Surveying customers to find out what they think about your business has never been more important.

1_MDI

Marine Development Inc. Changes Hands

Mick Webber, the former president/CEO and owner of HydroHoist, has purchased the company from its founders.