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China’s
Entrepreneurship
   Ecosystem
  ZhenFund 2012
Startup culture exploding in China

  “It’s dynamic, messy, and very different. But Silicon Valley aside, there’s
  no better place on earth for tech right now.”
                                                  - Kai Lukoff, TechCrunch



            “Every year another wave of “sea turtles”—Chinese who have studied or
            worked abroad—returns home. Many have mixed with the world’s best
            engineers at MIT and Stanford. Many have seen first-hand how Silicon
            Valley works.”
                                                    - The Economist, March 2012



                            “China is home to nearly half a billion internet users, twice the online
                            population in the US. Already home to two of the world’s top five
                            internet firms by market valuation, China is giving birth to innovative
                            start-ups and powerhouse billion dollar firms in social networking,
                            games, media, and e-commerce. “
                                                                                       - Stanford GSB

                                                                                                        2
VC Funding: USA
                                                  VC Landscape in the USA



                                                                            $28.4 billionin VC funding
                                                                                 for 3,673deals


                                                                             ~1000 internet deals in
                                                                             2011, representing $6.9bn in
                                                                                              funding
                                                                                          Highly active in

                                                                                        healthcare &
                                                                                          biotech
Source: PricewaterhouseCoopers/National Venture Capital Association MoneyTree™ Report
Data: Thomson Reuters                                                                                        3
VC Funding: China
                                         VC Landscape in China


   $13 billionin VC funding for
        1,500deals

     ~268 internet deals in
    2011, representing $3.2bn in
                         funding


 Industrial/energy focus,
  with booming TMT sector



Source: Zero2IPO Database January 2012
www.zdbchina.com                                                 4
Chinese startup scene at inflection
 point
                         Comparison of Investments in China’s VC Market from 2003 - 2011
      $14,000                                                                                       1600
                     Inv ($mm)                                                             1401
      $12,000        # deals                                                                        1400


                                                                                                    1200
      $10,000

                                                                                                    1000
       $8,000                                                                      817
                                                                                                    800
       $6,000                                                     607                      11,725
                                                                                                    600
                                                                          477
                                                          440
       $4,000
                                                  324                                               400
                             253        228                                       5,387
       $2,000     177                                             4,210
                                                          3,247                                     200 Available
                                                                          2,701                         funding
                            1,269      1,178      1,777                                                 growing
                  992
          $0                                                                                        0    rapidly
                 2003        2004       2005      2006    2007    2008    2009     2010     2011


       2011: Early stage represented 25% of deals and 18% of amount invested

Source: Zero2IPO Research Center, December 2011
www.zdbchina.com                                                                                            5
China’s 2011 internet investments
                                            E-commerce particularly active….
       $5,000                                                                                         100
                    93
       $4,500                                                                    Inv ($mm)            90

       $4,000                                                                    # deals              80

       $3,500                                                                                         70

       $3,000                                                                                         60

       $2,500                                                                                         50
                  4,691
       $2,000                                                                                         40
                                  29
       $1,500                                      25        23                                       30

       $1,000                                                                                 15      20
                                                                       11
        $500                                                                    6                     10
                                  483                       417        551
                                                  262                          308
          $0                                                                                  29      0
                E-commerce        SNS             Games   Marketing   Travel   Video         Others


      ~10 companies represented the bulk of the e-commerce investments
Source: Zero2IPO Research Center, December 2011
www.zdbchina.com                                                                                            6
Startup challenges in China: “3C, 2E”
 Copycat pervasiveness
 C-level: Lack of experienced talent, especially CXO types. Battle
   for engineering talent

 Cultural difference – lower appetite for risk, intolerance of
   failure, unwillingness to share, lack of serial entrepreneurs

 Exit environment different: 69% exits IPOs (vs. ~90% M&A in US)
 Ecosystem…
     – Innovative environment, education, and mentorship
     – Lack of services/infrastructure for China
     – Not as many angels/VCs in China versus US (per capita)


                                                                     7
Why so many copycats?
 1   Growing available capital – more than doubled 2010-2011, in
     some categories, investors have been willing to fund the
     10th, 11th, 12th, etc. followers

 2   Low hanging fruit – copying pure internet models is cheap and
     easy, many teams believe that executing the fastest and grabbing
     market share will lead to funding. E.g.
     Groupons, Pinterests, Paths, Shopkicks.

 3   Risk Aversion - Both domestic VC’s and foreign capital markets
     are more receptive to Chinese start ups who have direct corollary
     in the US. Copying a model is perceived as less risky.




                                                                         8
VC’s willing to fund the 5000thGroupon
 Lashou      Raised $165M
                                           1. Saw App store stats/read article on
                                                           TechCrunch
Dianping     $100M                            2. It worked in the U.S., low risk
                                        3. No barrier to entry, costs little time and $
                                        4. If I can move fast enough will be market
 55tuan      $200M                            leader, can easily get funding OR I’m
                                            already a huge company and this takes
                                           only a fraction of my resources to attempt

 Meituan     $50M

 F Tuan      $60M


       According to Tuan800, an online portal charting group-buying
       websites in China, the number of websites in the sector has
       dropped to around 3,907 from its peak of 5,058 last September.



                                                                                          9
Cultural dynamics: Chinese less risk
 tolerant
                           Lack of startup talent
                             b’c:
                               – Chinese cultural
                                  attitude of risk
                                  aversion…
                               – Inability to offer
                                  competitive
                                  salary, residency
                                  permits (户口)
                                  that allow access
                                  to social
                                  services, nor
                                  additional perks
                                  (福利)
                               – Stock options an
                                  ineffective
                                  method of
Source: TechRice
                                  incentivizing 10
                                  employees
U.S. Exit Profile: M&A dominated




                                   11
China’s Exit Profile: Primarily IPO

                                                             36
                     58



                                             IPO                             IPO

                                             M&A                             M&A



                                330
                                                                  299




             Chinese Exits 2010                         Chinese Exits 2011

                           M&A mostly limited to non-Internet sectors




Source: Zero2IPO Research Center, Dec 2011
                                                                                   12
Why have acquisitions been so weak for
internet in China?




                                         13
China’s Internet Giants want to do it all




                                            Source: CIC
                                                  14
Acquisition Psychology
                             US                                              China


                                                              Your fear is that due to regulatory
Speed




          Your fear is that if you don’t acquire rising    complexities and barriers for M&A, while
                  star, your competitors will                you are acquiring a company your
                                                                 competitor will just copy it




                                                             IP has low perceived value, software
             IP can be acquired as defensive or                  patents in China virtually non-
IP




          offensive tactic, or for strategic purposes     existent, penalties for patent violation non-
                                                                           deterrents




          In the war for talent, acquire companies to        Most first-time start up teams are not
 Talent




           gain valuable developers, managers and         perceived as valuable. Fear that acquired
                         entrepreneurs                    teams will quickly move on to next project.

                                                                                                   15
But attitudes are changing
      Internet giants holding on to major cash reserves, some have set aside
      acquisition funds, testing the market with majority stake investments
        Cash Reserves of Chinese Internet Companies

         Name                          Cash ($USD)
         NetEase (NASDAQ: NTES)        1.7 billion
         Baidu (NASDAQ: BIDU)          1.6 billion
         Alibaba (HKEX: 1688)          1.5 billion
         Tencent(HKEX: 0700)           1.25 billion
         Renren (NASDQ: RENN)          1.23 billion
         Giant Interactive(NYSE: GA)   966 million
         Sina (NASDAQ: SINA)           826 million
         Sohu(NASDAQ: SOHU)            811million
         Youku(NYSE: YOKU)             631million
         cTrip(NASDAQ: CTRP)           611 million
         Focus Media(NASDAQ: FMCN)     591 million    “Baidu to invest $306 Million in
         Shanda (NASDAQ: GAME)         589 million    Qunar, Aptly opens travel portal”
Source: TechRice
                                                                                          16
Ecosystem Differences
                US                                       China
• Abundant knowledge                       • Knowledge guarded as
  sharing, open source                       power, suspicion of copying
  education                                  preventing sharing
  – Angel List model widely accepted          – Angel List model still early
    in Silicon Valley -- easy to share /      – Emerging media and
    browse ideas and deals.                     entrepreneurial network
• VC’s mentor and share




                                                                               17
Ecosystem: Culture of Trust

                      “The culture of Silicon Valley
                      encourages people with diverse skills
                      and experiences to meet and trust each
                      other and take a chance together.”

                      Victor Hwang




                       Ecosystem of trust slowly
                       developing for investors
                         and
                       entrepreneurs in China.




                                                               18
Ecosystem: Infrastructure/Services, US
                                                              Major social platforms are
                                                            open, reduces marketing spend



                                                           Extensive services make startups
                                                            more efficient and cheaper to
                                                                       operate



                                                         Trustworthy, scalable infrastructure
                                                                      providers


     “Startup costs have come down dramatically in the last 5-10 years, and online distribution
     via Search, Social, Mobile platforms (aka Google, Facebook, Apple) have become mainstream
     consumer marketing channels.” – Dave McClure, 500Startups

                                                                                                  19
Ecosystem:
Infrastructure/Services, China
      Major social platforms do not
   completely share social graph, viral
      growth more difficult, search
       engines have monopoly on
    acquisition channels available to
     entrepreneurs, driving up costs

          SaaS services still
   underdeveloped, many trust issues
              with data


   Most infrastructure services offered
   by large companies, startups do not
    trust internet giants to host data

                                          20
China’s Angel Funds


    Est. 2006, Invest in people,         Est. 2008, Incubate +
    network effect, as-needed         ideate, hands on, consumer
          problem solving                       internet
                       • Yong Che
    • ShijiJiayuan                         • Lashou
                       • RYB
    • Light in the Box                     • VIPStore
                       Kindergarten
    • Jumei                                • Ushi




   Est. 2009, Incubate + Seed +
                                      Early stage TMT investments
  VC, large resource base, hands            • Jumei     • Centaur
                 on• PhotoWonder            • Meilele   • JIaThis
    • Wonderpod • AppChina                  • Buding
    • Tapas
    • Buding

                                                                    21
China’s Angels
 Edward   Charles                 Xu
                    Li Kaifu              Lei Jun
  Tian     Xue                 Xiaoping




                                                22
China’s Angels (cont’d)

CaiWenSheng   He Boquan   Bao Fan   JiQi   Lu Tanping   Ni Zhengdong   ZengLiqing




                                                                            23
China’s Incubators



                                       Dalian

                     Beijing




                             Shangha
                                i
                         Hangzho
                            u


                                          Taipei
                           Shenzhen




                                                   24
China’s Government Programs

Mission
Raise profile of domestic entrepreneurship and incentivize potential
  entrepreneurs
Benefits
• No string attached, funds, matching funds, cheaper office
  space, registration help, tax benefits, etc. (specifics depend on the
  program)
Risks
• Tedious, relationship driven application process
• Bureaucratic reporting requirements
• Separate departments responsible for recruiting versus
  implementation, sometimes resulting in empty promises
• Outcomes often measured in quantity and not quality.
                                                                          25
In sum…
Copycat pervasiveness
C-level: Lack of experienced talent, especially CXO types. Battle
  for engineering talent

Cultural difference – lower appetite for risk, intolerance of
  failure, unwillingness to share, lack of serial entrepreneurs

Exit environment different: 69% exits IPOs (vs. ~90% M&A in US)
Ecosystem…
    – Innovative environment, education, and mentorship
    – Lack of services/infrastructure for China
    – Not as many angels/VCs in China versus US (per capita)


                                                                    26
ZhenFund 2.0

• One of China’s leading angel funds
• ZhenFund believes in one principle
  above all others: Integrity
• Founded by Xu Xiaoping in 2006
• Recent fund is a collaboration with
  Sequoia Capital China
• Fund size: US $30MM fund (half RMB
  and USD)
• Investment size: Up to $500k USD
• Over 80 angel investments in China
• www.zhenfund.com for more
• Contact: zhenfund@zhenfund.com



                                        27

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China's Entrepreneurship Ecosystem

  • 1. China’s Entrepreneurship Ecosystem ZhenFund 2012
  • 2. Startup culture exploding in China “It’s dynamic, messy, and very different. But Silicon Valley aside, there’s no better place on earth for tech right now.” - Kai Lukoff, TechCrunch “Every year another wave of “sea turtles”—Chinese who have studied or worked abroad—returns home. Many have mixed with the world’s best engineers at MIT and Stanford. Many have seen first-hand how Silicon Valley works.” - The Economist, March 2012 “China is home to nearly half a billion internet users, twice the online population in the US. Already home to two of the world’s top five internet firms by market valuation, China is giving birth to innovative start-ups and powerhouse billion dollar firms in social networking, games, media, and e-commerce. “ - Stanford GSB 2
  • 3. VC Funding: USA VC Landscape in the USA $28.4 billionin VC funding for 3,673deals ~1000 internet deals in 2011, representing $6.9bn in funding Highly active in healthcare & biotech Source: PricewaterhouseCoopers/National Venture Capital Association MoneyTree™ Report Data: Thomson Reuters 3
  • 4. VC Funding: China VC Landscape in China $13 billionin VC funding for 1,500deals ~268 internet deals in 2011, representing $3.2bn in funding Industrial/energy focus, with booming TMT sector Source: Zero2IPO Database January 2012 www.zdbchina.com 4
  • 5. Chinese startup scene at inflection point Comparison of Investments in China’s VC Market from 2003 - 2011 $14,000 1600 Inv ($mm) 1401 $12,000 # deals 1400 1200 $10,000 1000 $8,000 817 800 $6,000 607 11,725 600 477 440 $4,000 324 400 253 228 5,387 $2,000 177 4,210 3,247 200 Available 2,701 funding 1,269 1,178 1,777 growing 992 $0 0 rapidly 2003 2004 2005 2006 2007 2008 2009 2010 2011 2011: Early stage represented 25% of deals and 18% of amount invested Source: Zero2IPO Research Center, December 2011 www.zdbchina.com 5
  • 6. China’s 2011 internet investments E-commerce particularly active…. $5,000 100 93 $4,500 Inv ($mm) 90 $4,000 # deals 80 $3,500 70 $3,000 60 $2,500 50 4,691 $2,000 40 29 $1,500 25 23 30 $1,000 15 20 11 $500 6 10 483 417 551 262 308 $0 29 0 E-commerce SNS Games Marketing Travel Video Others ~10 companies represented the bulk of the e-commerce investments Source: Zero2IPO Research Center, December 2011 www.zdbchina.com 6
  • 7. Startup challenges in China: “3C, 2E” Copycat pervasiveness C-level: Lack of experienced talent, especially CXO types. Battle for engineering talent Cultural difference – lower appetite for risk, intolerance of failure, unwillingness to share, lack of serial entrepreneurs Exit environment different: 69% exits IPOs (vs. ~90% M&A in US) Ecosystem… – Innovative environment, education, and mentorship – Lack of services/infrastructure for China – Not as many angels/VCs in China versus US (per capita) 7
  • 8. Why so many copycats? 1 Growing available capital – more than doubled 2010-2011, in some categories, investors have been willing to fund the 10th, 11th, 12th, etc. followers 2 Low hanging fruit – copying pure internet models is cheap and easy, many teams believe that executing the fastest and grabbing market share will lead to funding. E.g. Groupons, Pinterests, Paths, Shopkicks. 3 Risk Aversion - Both domestic VC’s and foreign capital markets are more receptive to Chinese start ups who have direct corollary in the US. Copying a model is perceived as less risky. 8
  • 9. VC’s willing to fund the 5000thGroupon Lashou Raised $165M 1. Saw App store stats/read article on TechCrunch Dianping $100M 2. It worked in the U.S., low risk 3. No barrier to entry, costs little time and $ 4. If I can move fast enough will be market 55tuan $200M leader, can easily get funding OR I’m already a huge company and this takes only a fraction of my resources to attempt Meituan $50M F Tuan $60M According to Tuan800, an online portal charting group-buying websites in China, the number of websites in the sector has dropped to around 3,907 from its peak of 5,058 last September. 9
  • 10. Cultural dynamics: Chinese less risk tolerant Lack of startup talent b’c: – Chinese cultural attitude of risk aversion… – Inability to offer competitive salary, residency permits (户口) that allow access to social services, nor additional perks (福利) – Stock options an ineffective method of Source: TechRice incentivizing 10 employees
  • 11. U.S. Exit Profile: M&A dominated 11
  • 12. China’s Exit Profile: Primarily IPO 36 58 IPO IPO M&A M&A 330 299 Chinese Exits 2010 Chinese Exits 2011 M&A mostly limited to non-Internet sectors Source: Zero2IPO Research Center, Dec 2011 12
  • 13. Why have acquisitions been so weak for internet in China? 13
  • 14. China’s Internet Giants want to do it all Source: CIC 14
  • 15. Acquisition Psychology US China Your fear is that due to regulatory Speed Your fear is that if you don’t acquire rising complexities and barriers for M&A, while star, your competitors will you are acquiring a company your competitor will just copy it IP has low perceived value, software IP can be acquired as defensive or patents in China virtually non- IP offensive tactic, or for strategic purposes existent, penalties for patent violation non- deterrents In the war for talent, acquire companies to Most first-time start up teams are not Talent gain valuable developers, managers and perceived as valuable. Fear that acquired entrepreneurs teams will quickly move on to next project. 15
  • 16. But attitudes are changing Internet giants holding on to major cash reserves, some have set aside acquisition funds, testing the market with majority stake investments Cash Reserves of Chinese Internet Companies Name Cash ($USD) NetEase (NASDAQ: NTES) 1.7 billion Baidu (NASDAQ: BIDU) 1.6 billion Alibaba (HKEX: 1688) 1.5 billion Tencent(HKEX: 0700) 1.25 billion Renren (NASDQ: RENN) 1.23 billion Giant Interactive(NYSE: GA) 966 million Sina (NASDAQ: SINA) 826 million Sohu(NASDAQ: SOHU) 811million Youku(NYSE: YOKU) 631million cTrip(NASDAQ: CTRP) 611 million Focus Media(NASDAQ: FMCN) 591 million “Baidu to invest $306 Million in Shanda (NASDAQ: GAME) 589 million Qunar, Aptly opens travel portal” Source: TechRice 16
  • 17. Ecosystem Differences US China • Abundant knowledge • Knowledge guarded as sharing, open source power, suspicion of copying education preventing sharing – Angel List model widely accepted – Angel List model still early in Silicon Valley -- easy to share / – Emerging media and browse ideas and deals. entrepreneurial network • VC’s mentor and share 17
  • 18. Ecosystem: Culture of Trust “The culture of Silicon Valley encourages people with diverse skills and experiences to meet and trust each other and take a chance together.” Victor Hwang Ecosystem of trust slowly developing for investors and entrepreneurs in China. 18
  • 19. Ecosystem: Infrastructure/Services, US Major social platforms are open, reduces marketing spend Extensive services make startups more efficient and cheaper to operate Trustworthy, scalable infrastructure providers “Startup costs have come down dramatically in the last 5-10 years, and online distribution via Search, Social, Mobile platforms (aka Google, Facebook, Apple) have become mainstream consumer marketing channels.” – Dave McClure, 500Startups 19
  • 20. Ecosystem: Infrastructure/Services, China Major social platforms do not completely share social graph, viral growth more difficult, search engines have monopoly on acquisition channels available to entrepreneurs, driving up costs SaaS services still underdeveloped, many trust issues with data Most infrastructure services offered by large companies, startups do not trust internet giants to host data 20
  • 21. China’s Angel Funds Est. 2006, Invest in people, Est. 2008, Incubate + network effect, as-needed ideate, hands on, consumer problem solving internet • Yong Che • ShijiJiayuan • Lashou • RYB • Light in the Box • VIPStore Kindergarten • Jumei • Ushi Est. 2009, Incubate + Seed + Early stage TMT investments VC, large resource base, hands • Jumei • Centaur on• PhotoWonder • Meilele • JIaThis • Wonderpod • AppChina • Buding • Tapas • Buding 21
  • 22. China’s Angels Edward Charles Xu Li Kaifu Lei Jun Tian Xue Xiaoping 22
  • 23. China’s Angels (cont’d) CaiWenSheng He Boquan Bao Fan JiQi Lu Tanping Ni Zhengdong ZengLiqing 23
  • 24. China’s Incubators Dalian Beijing Shangha i Hangzho u Taipei Shenzhen 24
  • 25. China’s Government Programs Mission Raise profile of domestic entrepreneurship and incentivize potential entrepreneurs Benefits • No string attached, funds, matching funds, cheaper office space, registration help, tax benefits, etc. (specifics depend on the program) Risks • Tedious, relationship driven application process • Bureaucratic reporting requirements • Separate departments responsible for recruiting versus implementation, sometimes resulting in empty promises • Outcomes often measured in quantity and not quality. 25
  • 26. In sum… Copycat pervasiveness C-level: Lack of experienced talent, especially CXO types. Battle for engineering talent Cultural difference – lower appetite for risk, intolerance of failure, unwillingness to share, lack of serial entrepreneurs Exit environment different: 69% exits IPOs (vs. ~90% M&A in US) Ecosystem… – Innovative environment, education, and mentorship – Lack of services/infrastructure for China – Not as many angels/VCs in China versus US (per capita) 26
  • 27. ZhenFund 2.0 • One of China’s leading angel funds • ZhenFund believes in one principle above all others: Integrity • Founded by Xu Xiaoping in 2006 • Recent fund is a collaboration with Sequoia Capital China • Fund size: US $30MM fund (half RMB and USD) • Investment size: Up to $500k USD • Over 80 angel investments in China • www.zhenfund.com for more • Contact: zhenfund@zhenfund.com 27

Editor's Notes

  1. Internet was not included as a separate category in the US VC Investment data, accounting for the seeming discrepancy between Software (20% of the pie chart) and internet deals (about 24% of the total funding amount), it is likely included not only in software but in IT Services, media and entertainment, consumer, etc.
  2. Note: some industry stats different depending on how “VC” is defined, for example:http://blogs.wsj.com/deals/2012/02/02/venture-capitalists-flock-to-china-leave-europe-behind/
  3. Additional Resourceshttp://tech2ipo.com/23804/http://ec.iresearch.cn/17/20110427/138112.shtmlhttp://tech.163.com/special/lasoipo/http://industry.caijing.com.cn/2011-09-28/110878279.htmlhttp://www.forbes.com/fdc/welcome_mjx.shtmlhttp://techrice.com/2011/09/02/groupon-china-is-crumbling-why-do-foreign-internet-companies-fail-in-china/http://www.techinasia.com/top-groupon-clones-in-china/http://techcrunch.com/2010/06/27/making-sense-of-chinas-100-groupon-clones/http://www.pedaily.cn/Item.aspx?id=218493
  4. Source:http://techrice.com/2011/07/21/50-of-top-chinese-engineering-students-want-to-startup-3-do-survey/Source: TechRice
  5. Big Chinese internet giants discourage innovation by copying instead of acquiringSource: CIC
  6. *Many Chinese entrepreneurs perceive acquisition as a strategy of last resort, synonymous with failure.
  7. Note: Companies like Tencent are still conflicted internally as to whether adopt open platform strategy or contiCash Reserves of Chinese Internet Companiesnue to buy the best applications (particularly games) it sees on its platform, we may see contradictory behavior from them in the acquisition space. Sources:http://techrice.com/2011/10/02/chinas-internet-companies-ranked-by-cash-on-hand/http://www.techinasia.com/baidu-invests-306-million-in-qunar/
  8. http://venturebeat.com/2012/03/22/the-opposite-of-goldman-sachs-is-silicon-valley/
  9. Other challenges:- In China is ICP registration approval can take 2-3 weeks, sties will be inactive during registration, so entrepreneurs need to plan in advance with multiple domain names so that can shift users to alternate site while registration for main site occurs- Beijing has some of the most expensive commercial real estate in the world, and internet is expensive in commercially zoned buildings meaning many teams work in small residential buildings, often having co-living work spaces for employees
  10. Other Early Stage Funds:Chinese Founder’s Fund: http://www.cffpartners.com/portfolio.htmlDaD Asia:http://www.dad-asia.com/
  11. A brief sketch of some of China’s emerging personalities in angel investing天使会: Influential Group of China’s Top Angels (Founded March 2011, http://angel.cyzone.cn/forum/2012/)包凡 BaoFan、蔡文胜CaiWensheng、何伯权 He Boquan、季琦JiQi、雷军 Lei Jun、李开复 Li Kaifu、吕谭平LvZhangping、倪正东 Ni Zhengdong、徐小平XuXiaoping、薛蛮子XueManzi、杨向阳 Yang Xiangyang、曾李青ZengLiqing
  12. Incubators are becoming increasingly popular, Innovation Works has shown good early traction, many are very new.清华大学启迪创新研究员(Beijing)www.tri-tuspark.comInnovation Works (Beijing & Shanghai)Founder: Li Kaifuhttp://www.chuangxin.com/Cloud Valley (Beijing)Founder: Edward Tianhttp://www.cloud-valley.com/ChinAccelerator(Dalian)Founder: Cyril Ebersweilerhttp://chinaccelerator.com/HAXLR8R (Shenzhen and Bay Area)Founder: Cyril Ebersweilerhttp://www.haxlr8r.com/Tisiwi (Hangzhou)Founder: 庞小伟 Long Xiaoweiwww.tisiwi.comYuanfen Flow (Beijing)Founder: David Ben Kayhttp://yuanfenflow.org/incubator/portfolio/China Entrepreneurs Incubation Center (Beijing)Founder: Eric Schmidt (not the Google one)http://www.ce-online.cn/content/incubation-centeriStart(Shanghai)www.istartvc.comMap Source: http://hua.umf.maine.edu/Chinese/maps/chinese_map.gif