Innovation and Technological Diffusion of Sino-Foreign Firms: Analysis Based on DII´s Patent Citations of Cisco and Huawei

Patent citation is one of indicators surveying innovation. By analogizing patent citations of two top enterprises Cisco and Huawei in communications equipments industry, innovation and technology diffusion in both the Chinese and foreign enterprises is explored. Results argue, through long-term innovation some Chinese high-tech. firms efficiency in R & D has caught up with top multinationals; Technological diffusion of Chinese enterprises mainly distributes domestic firms, fewer and Primary in other countries and small Influence, and the multinational technological diffusion is global and top influence; technological innovation of the pursuing enterprise is the awl-shaped distribution, technological innovation of the advanced enterprise is the dumbbell distribution; the distribution of technological innovation more serious affects the direction of technological diffusion; the distribution of technological innovation and diffusion in Chinese enterprise´s width is very high, but its top technologies are few, the low level of technical specialization, and multinational corporation has more superior technologies, technological innovation and diffusion´s depth is more high, and has a relatively high degree of technical specialization.