European companies need to act fast to define the best strategies to connect, partner or compete against Chinese players. Often unnoticed by business leaders in Europe, Chinese technology companies are on the move. Hardly a week goes by without news that Alibaba has acquired a company in Southeast Asia, Tencent has invested in an Israeli startup or that Baidu is entering a new industry. Western onlookers may think that this is unlikely to have a direct impact on their businesses. And if they are concerned or interested, often the deals are more complex and opaque than first imagined. But, there are three important reasons why the rise of digital China cannot be ignored: the scale and speed of Chinese tech investments in Europe; the unique Chinese approach to organization; and the innovation imperative for Chinese companies leveraging a comparative advantage in technology rather than cost.
Read more: LSE Business Review