1, Developed technology is the core to win. This is very true in the market. However, As I have already pointed out:
A, There are tons of small and medium-size companies in China. I bet most of them would not be willing to or able to invest a ridiculous amount of money for scientific research.
B, Since it will cost a lot to invent new things, who will pay for it? Chinese Government? The bank? Yes China Telecom, China Mobil get tons of help from the government and the banks, so who benefit the most from it? The government, and banks and the enterprises themselves, of course. Dose it help the development of the country? Yes! Dose it help the market to grow? Since they share the same name "Monopoly".
2. As to the IPR. Oh come on, we all know it is important and necessary. No one would like to spend his whole life to do such research if his invention gets no protection. It is not that China dose not have the written regulations for that, but I doubt the Chinese government wants to execute those strictly. IPR makes knowledge more expensive.
A, For example, in the US, A class Universities normally cost more than a pubic school. If a student from a poor family without gaining any scholarship, it is very difficult for him/her to go to a good university. Same thing, why do books cost so much in the US? It is because of the IPR.
So from this point, a child from a rich family accesses to higher education much easier than the one from the poor.
However, the shortcut for the poor to be rich is through education or getting knowledge. Thanks to the IPR, the rich's getting richer by purchasing the knowledge but the poor getting poorer and having no idea how to break out the situation.
B, Take a look at the population in China. How many people need a job to raise a family? If IPR was strictly carried out, only a small part of people being Billionaires, but thousands of the poor would loose their jobs, now what would happen? Drug, Anger to the rich and society, hatred or even revolution? Will the Chinese government would risk to do that? No, they would rather loose one billionaire to keep the more stable.
So, IPR to China is just like, a young Chinese lady with the American dream in her head and asks her promising American boyfriend: "Let's get married now"!