Frankly having the design and production rights including the turbofan and possibly the sparrow missile would have been far better in the long run for Pakistan's defense industry. Yes it would have meant no f-16, and that situation has for the most part remied itself, but in the 90s, unfettered ability to produce F-20s and with French and possibly chinese help, being able tobuild and upgrade new airframes would have put the defense industry far ahead of where it is at currently. Possibly where turkey is with the right management.Unfortunately the outcome would have been no different than what happened with the F-16 and soybean saga. Instead of the F-16s, it would have been the F-20s and soybean.
JF-17 program remains the most prudent thing to have happened for Pakistan Air Force. Hopefully the same focus and single-minded effort is being applied to what is to come next.