In 2011 China’s patent office received more patent applications than any
other patent office in the world. While explanations for this patent surge focus on
some relevant factors such as the use of subsidies for application fees, what is
missing from the literature is an analysis of how China turns its fragmented levels of
government into an efficient system for obtaining compliance with patent targets set
by the higher levels of government. Drawing on the governance literature from
China we introduce the concept of the pressure driving mechanism and show how
this mechanism enables China to reach the goals and targets that it sets for its patent
system. We discuss goal and target-setting at the higher levels of government and
show how these are then transmitted to lower levels of government. We explain how
performance evaluation and peer transparency are used to generate pressure on
Chinese officials to comply with patent targets. Provincial-level patent data are
presented to show how well compliance works, as well as to demonstrate how the
mechanism operates to make the patent system responsive to changes in targets.
Through the application of the pressure driving mechanism, China is developing a
unique tool of patent regulation.

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• How China Built the World’s Biggest Patent Office – The Pressure Driving Mechanism