China’s Next Miracle by Pascal Coppens, Foreword by Andrea Kates

Early in 2025, right in the middle of a debate over which AI model would win the race—OpenAI or Anthropic—in walks DeepSeek’s R1, a free, open-source, high-performing large language model. Jaws dropped. Nvidia stock dropped 18%. Investors were rattled. How could it be that a Chinese company using a much less expensive approach than the frontrunners in the West performed so beautifully?

At the time, we in the West called it a “Sputnik moment” because the appearance on the scene of an unanticipated AI tech competitor reminded everyone of the days when we were blindsided by Russian space technology that seemed to appear out of nowhere.

How should companies respond? Everyone wondered: If China could truly produce DeepSeek, what other surprises might be coming next? Was this a one-time miracle or a peek into a culture we’d been interpreting in a way that was out of step with reality?

Some people had no idea where to turn to evaluate this DeepSeek moment. That’s because they weren’t lucky enough to know Pascal Coppens - the author of this groundbreaking book China’s Next Miracle. But I was lucky. I knew exactly who to call.

I’d met Pascal during COVID when a small mastermind group gathered regularly to make sense of the world. Despite a calm tone, Pascal was a radical voice in the group. I pride myself on being tuned in to global business strategy. After all, I’d been CEO of a Silicon Valley tech startup, am serving as Entrepreneur in Residence at MIT, had worked with dozens of international companies on strategy, and had even worked with GM and Ford on projects in China for ten years.

Listening to Pascal during the mastermind groups, I was startled. He had a consistently different read on where China was heading, how innovative their companies were, and how much momentum they were about to unleash in industries from pharmaceuticals to logistics to robotics.

To be honest, I was skeptical.

But starting with that DeepSeek moment, I started to pay more attention to what Pascal had to say, watched his podcasts, and saw mounting evidence that Pascal was right. While many of us were convinced that there was only one way to build our companies, commercialize technologies, and innovate, China had a whole different model that hadn’t yet come into full view for the rest of us.

But now it has.

And now every executive, manager, and decision maker in every company and every industry needs to stop and read what Pascal has to say about the consistent long game that China is playing. Corporates and entrepreneurs around the world need to recalibrate our reading of the facts and decide exactly what our business strategy should look like in this shifting landscape.

Here are some of the headlines we must insert into our next strategy sessions.

1. China’s Next Miracle explains a radically different business mindset

China’s business mindset is less focused on profit and more interested in market embedding – where they concentrate on building their customer base in the short term and bet on the long game. “Step by step, often quietly and without notice—Chinese are building their fortunes with discipline and perseverance with a long-term vision deeply embedded in their culture.”

2. China has hit the tipping point of success in multiple industries. Success velocity is increasing and talent is being cultivated locally in China

●  The pharmaceutical sector just experienced its “DeepSeek moment.” In 2018 there was no major licensing for drug testing. In 2025, China accounted for 42% of licensing deals with global pharma companies.

●  Level 4 self-driving robot taxis are available in 54 cities in China.

●  BYD sales of electric vehicles just outpaced Tesla’s global sales.

●  65% of the humanoid robot components are produced in China

●  The training grounds for the next generation are in place. China today has 5 times the number of science students as compared to the United States.

3. Classic business models and assumptions about innovation are about to be challenged

The “blue ocean” mindset at the core of today’s innovation strategy - where companies look to advance in the market starting with creativity and uniqueness stands in contrast to what China’s Next Miracle presents as The Red Ocean Strategy—where companies begin with rapid entry to solve big customer needs, survive the “red” ocean that’s full of competitors, and only then advance to uniqueness. [Think of Xiaomi evolving from an iPhone copy for Android to the SU7 ultra car that matches Porsche capabilities.]

4. Geopolitical musical chairs are rearranging

In a world of new political forces and policies on everything from tariffs to immigration, alliances are being redrawn. Trade, supply chains, and the use of natural resources are shifting, with potential for dramatic implications. We have no time to waste in crafting our next moves.

I won’t spoil the ending of the story, but encourage you to read China’s Next Miracle with a notebook beside you. Prepare to be uncomfortable. Expect to ignite debates when you share the models, frameworks, and facts presented in the book.

But don’t despair. Pascal has not written a doomsday scenario.

The book is packed with practical tips on how to recalibrate our perceptions, shift our strategies, and keep our business edge.

As a person deeply attached to the questions of corporate strategy, innovation, and getting “unstuck”, I view China’s Next Miracle as a must-read for every manager.

You’ll have everything you need to avoid being blindsided by China’s next moves - whether you consider them to be miracles or not.

Get ready for an eye-opening ride.

Get a copy of Pascal's book