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Catching Up in the Face of Technological Discontinuity: Exploring the Role of Demand Structure and Technological Regimes in the Transition from 2G to 3G in China

Author

Listed:
  • Peili Yu

    (Northeastern University)

  • Junguo Shi

    (Jiangsu University)

  • Bert M. Sadowski

    (Eindhoven University of Technology)

  • Önder Nomaler

    (Eindhoven University of Technology
    UNU-MERIT)

Abstract

During technological discontinuity based on the transition from second-generation (2G) to third-generation (3G) mobile telecommunications, Chinese manufacturing firms were catching up with leaders in the global industry. Using computer simulation, the paper examines the extent to which heterogeneous demand structures and competitive regimes affect technological catching up. The paper shows that - during technological discontinuity - a slightly higher technological opportunity in combination with low appropriability and heterogeneous demand are vital for technological catching up. The complementary effects of demand within different regimes of Schumpeterian Mark I and Mark II models are discussed.

Suggested Citation

  • Peili Yu & Junguo Shi & Bert M. Sadowski & Önder Nomaler, 2020. "Catching Up in the Face of Technological Discontinuity: Exploring the Role of Demand Structure and Technological Regimes in the Transition from 2G to 3G in China," Journal of Evolutionary Economics, Springer, vol. 30(3), pages 815-841, July.
    • Handle: RePEc:spr:joevec:v:30:y:2020:i:3:d:10.1007_s00191-020-00673-9
    DOI: 10.1007/s00191-020-00673-9
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    2. Majidpour, Mehdi & Saber, Ali & Elahi, Shaban & Shayan, Ali & Sahebkar Khorasani, Seyed Mohammad, 2021. "Technological catch-up in the biopharmaceutical sector: Evidence from Iran," Technology in Society, Elsevier, vol. 67(C).
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    4. Thakur-Wernz, Pooja & Bosse, Douglas, 2023. "Configurational framework of learning conduits used by emerging economy firms to improve their innovation performance," Journal of Business Research, Elsevier, vol. 157(C).

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    More about this item

    Keywords

    Technological catch-up; Technological regimes; Demand structure; History friendly model; Chinese telecommunications manufacturing industry;
    All these keywords.

    JEL classification:

    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
    • B52 - Schools of Economic Thought and Methodology - - Current Heterodox Approaches - - - Historical; Institutional; Evolutionary; Modern Monetary Theory;
    • L63 - Industrial Organization - - Industry Studies: Manufacturing - - - Microelectronics; Computers; Communications Equipment
    • P23 - Political Economy and Comparative Economic Systems - - Socialist and Transition Economies - - - Factor and Product Markets; Industry Studies; Population
    • O14 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Industrialization; Manufacturing and Service Industries; Choice of Technology

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