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Growth of the Firm and Economic Backwardness: A Case Study and Analysis of China's Mobile Handset Industry

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Author Info
Kimura, Koichiro
Abstract

Economic backwardness often influences the growth of firms in developing countries. In this paper, we investigate the growth conditions and paths available for latecomers competing with first movers. Employing the concepts of boundaries of the firm and the disadvantage of backwardness, we present a case study of China's mobile handset industry and proceed to develop a simple model. We find that although significant disadvantage does not allow latecomers to grow, there are possibilities for changing the conditions of growth if latecomers can utilize outside resources and/or indigenous advantages.

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File URL: http://ir.ide.go.jp/dspace/bitstream/2344/700/1/ARRIDE_Discussion_No.130_kimura.pdf
File Format: application/pdf
File Function: First version, 2007
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Publisher Info
Paper provided by Institute of Developing Economies, Japan External Trade Organization(JETRO) in its series IDE Discussion Papers with number 130.

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Date of creation: Dec 2007
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Publication status: Published in IDE Discussion Paper. No. 130. 2007.12
Handle: RePEc:jet:dpaper:dpaper130

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Related research
Keywords: Boundaries of the Firm Backwardness Mobile Handset China Telephone Information services industry Business enterprises

Find related papers by JEL classification:
D23 - Microeconomics - - Production and Organizations - - - Organizational Behavior; Transaction Costs; Property Rights
L63 - Industrial Organization - - Industry Studies: Manufacturing - - - Microelectronics; Computers; Communications Equipment
O12 - Economic Development, Technological Change, and Growth - - Economic Development - - - Microeconomic Analyses of Economic Development
O53 - Economic Development, Technological Change, and Growth - - Economywide Country Studies - - - Asia including Middle East

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This page was last updated on 2008-6-28.

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