Basics of investigation -- Conceptualization of market-driving behavior in emerging firms -- Measurement of market-driving behavior in emerging firms -- Empirical study of market-driving behavior in emerging technology firms -- Discussion -- Summary

Introduction: China's emerging innovators -- Pioneers: giants from the East -- Hidden champions: unknown global market leaders -- Underdogs: technology ventures under the radar -- Change makers: nextgen entrepreneurs -- The Chinese innovators' way -- China's innovators going global -- China's...

We propose a novel mechanism through which established firms contribute to the startup ecosystem: the allocation of R&D tax credits to startups via the M&A channel. We show that when established firms become eligible for R&D tax credits, they increase their R&D and M&A activity. In particular,...