ABSTRACT
The emergence of the spin-off enterprises has proved critically important for the economic development and economic reforms in China. The experience of Chinese policy makers during the spin-off restructuring has been an important source of the new ideas applied in reforming industrial firms. The creation of spin-off enterprises has led to the birth of the Chinese computer software industry which, in turn, has been functioning as a major supportive capacity for the explosively increasing applications of computer and information technology in China in the 1990s. Spinning-off has proved to be a fruitful approach to the institutional restructuring of the R&D system, which is indispensable for various economic reforms, not least because it offers a way of making good use of accumulated capabilities to contribute to the widespread dissemination of computer and information technology.
