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Innovation, Institutions and Entrepreneurs: The Case of ‘Cool Japan’

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  • CORNELIA STORZ

Abstract

The Japanese innovation system is said to possess distinct weaknesses. One indicator is that in most new key industries, Japan is underrepresented on the world market. Given Japan's success until the beginning of the 1990s, this development was quite unexpected and has induced comprehensive reforms of the Japanese innovation system. Apparently, those institutions that were responsible for the economic success of the 1980s now hinder Japan's ability to adapt to and create new industries. This paper argues that while some reforms of the Japanese innovation system may be necessary, a paradigm change is not. Mainly one argument is provided for a more optimistic stance towards the sustainability of Japan's competitiveness: the plasticity of innovation systems. With reference to one new and ‘cool’ industry, the Japanese game software sector, the relevance of the concept of plasticity is illustrated.

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  • Cornelia Storz, 2008. "Innovation, Institutions and Entrepreneurs: The Case of ‘Cool Japan’," Asia Pacific Business Review, Taylor & Francis Journals, vol. 14(3), pages 401-424, July.
    • Handle: RePEc:taf:apbizr:v:14:y:2008:i:3:p:401-424
    DOI: 10.1080/13602380802116823
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    1. Storz, Cornelia, 2008. "Dynamics in innovation systems: Evidence from Japan's game software industry," Research Policy, Elsevier, vol. 37(9), pages 1480-1491, October.
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    Cited by:

    1. Galina Besstremyannaya & Richard Dasher & Sergei Golovan, 2018. "Growth through acquisition of innovations," Working Papers w0247, New Economic School (NES).
    2. Andrea Caragliu & Camilla Lenzi & Rudolf Pástor & Miroslav Šipikal & Štefan Rehák, 2013. "Knowledge creation and knowledge acquisition in the software industry in Slovakia: the case study of Košice region," Regional Science Policy & Practice, Wiley Blackwell, vol. 5(4), pages 401-415, November.
    3. Bjol R FRENKENBERGER, 2023. "Ties of Possibility: Selecting Future Founders in Tokyo’s Start-up Ecosystem," Social Science Japan Journal, University of Tokyo and Oxford University Press, vol. 26(1), pages 93-112.
    4. Galina Besstremyannaya & Richard Dasher & Sergei Golovan, 2019. "Growth through acquisition of innovations," Working Papers w0247, Center for Economic and Financial Research (CEFIR).

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