At first blush, it seems odd to group Taiwan and Israel together. They have different races, religions, and histories, and are on opposite ends of the farthest geographic limits of Asia.
Yet, in the Innovation Economy, Taiwan and Israel are kindred lands and spirits. Both have:
Defied circumstances of history and achieved physical survival and economic prosperity despite great adversity. They are in perpetual danger from larger, cumbersome enemies (mainland China for Taiwan and the Arab societies for Israel).
Created through wars in the mid-20th century. Because each society was developed through immigration in the last half of the 20 th century, they do not have entrenched long-standing "sunset" industries to hold them back. Each is welcoming to change and innovation to a remarkable degree.
Learned to be nimble , flexible, and courageous in the face of hostility . They have a special relationship for their very survival with the United States on a military basis, and special ties economically through their transnational Diaspora communities.
Excelled at conducting business with an American edge, linking to the high-tech industries of U.S. multinational companies. While each country has its distinctive personality and character, they easily integrate into multilocation company strategies. Both economies are externally focused, seeking to transcend their limited internal national markets.
Depended upon and have leveraged Diaspora social and professional linkages of engineers and venture capitalists who create wealth at home and in American high-tech communities where their compatriots live and work. Their extended Diaspora communities provide a great advantage to these countries in the development of start-ups as well as in the sharing of best practices and techniques. To a large degree, both Taiwan and Israel have become world-class high-tech regions because they have benefited from joint knowledge sharing and enterprise creating with these Diaspora communities.
Developed societies that are entrepreneurial and free wheeling. They share a spirit of "anything goes" and constant innovation to stay ahead of the technology curve.
Derived from ancient religions and peoples, who venerate knowledge and education. Neither have significant natural resources, but look to their human knowledge capital as the source of their well-being. Both have utilized their university systems as engines for societal and economic benefit to ensure that regional wealth will continue to be created by tapping into their great reservoir of human intelligence and ingenuity.
