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Technological capabilities and late shakeouts: industrial dynamics in the advanced gas turbine industry, 1987-2002

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  • Anna Bergek
  • Fredrik Tell
  • Christian Berggren
  • Jim Watson

Abstract

This article focuses on technological discontinuities and late shakeouts in mature industries. The empirical case is combined cycle gas turbine technology in the power generation industry, where two of four main incumbents (GE, ABB, Siemens, and Westinghouse) exited the industry after several years of competition. We show that the vast differences in firm performance are strongly related to variation in technological capabilities, such as sourcing and integration of knowledge from related industries and after-launch problem solving. The findings from this case may also be of general interest for studies of dynamics in other mature, complex industries. Copyright 2008 , Oxford University Press.

Suggested Citation

  • Anna Bergek & Fredrik Tell & Christian Berggren & Jim Watson, 2008. "Technological capabilities and late shakeouts: industrial dynamics in the advanced gas turbine industry, 1987-2002," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 17(2), pages 335-392, April.
  • Handle: RePEc:oup:indcch:v:17:y:2008:i:2:p:335-392
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    File URL: http://hdl.handle.net/10.1093/icc/dtn005
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    Cited by:

    1. Roger Hayter & Klaus Edenhoffer, 2016. "Evolutionary Geography of a Mature Resource Sector: Shakeouts and Shakeins in British Columbia's Forest Industries 1980 to 2008," Growth and Change, Wiley Blackwell, vol. 47(4), pages 497-519, December.
    2. Lopez-Vega, Henry & Tell, Fredrik, 2021. "Technology strategy and MNE subsidiary upgrading in emerging markets," Technological Forecasting and Social Change, Elsevier, vol. 167(C).
    3. Anna Cabigiosu, 2018. "When do modular dominant designs emerge? A theoretical framework," Working Papers 05, Department of Management, Università Ca' Foscari Venezia.
    4. Bergek, Anna & Bruzelius, Maria, 2010. "Are patents with multiple inventors from different countries a good indicator of international R&D collaboration? The case of ABB," Research Policy, Elsevier, vol. 39(10), pages 1321-1334, December.
    5. Bergek, Anna & Berggren, Christian & Magnusson, Thomas & Hobday, Michael, 2013. "Technological discontinuities and the challenge for incumbent firms: Destruction, disruption or creative accumulation?," Research Policy, Elsevier, vol. 42(6), pages 1210-1224.
    6. Gilbert, Brett Anitra, 2012. "Creative destruction: Identifying its geographic origins," Research Policy, Elsevier, vol. 41(4), pages 734-742.
    7. Dosi, Giovanni & Nelson, Richard R., 2010. "Technical Change and Industrial Dynamics as Evolutionary Processes," Handbook of the Economics of Innovation, in: Bronwyn H. Hall & Nathan Rosenberg (ed.), Handbook of the Economics of Innovation, edition 1, volume 1, chapter 0, pages 51-127, Elsevier.
    8. Schriber, Svante & Löwstedt, Jan, 2020. "Reconsidering ordinary and dynamic capabilities in strategic change," European Management Journal, Elsevier, vol. 38(3), pages 377-387.
    9. Onufrey, Ksenia & Bergek, Anna, 2021. "Transformation in a mature industry: The role of business and innovation strategies," Technovation, Elsevier, vol. 105(C).
    10. Kelly A. Stevens, 2020. "Analysis of the Advanced Turbine System Program on Innovation in Natural Gas Technology," Energies, MDPI, vol. 13(19), pages 1-17, September.
    11. Gross, Robert & Hanna, Richard & Gambhir, Ajay & Heptonstall, Philip & Speirs, Jamie, 2018. "How long does innovation and commercialisation in the energy sectors take? Historical case studies of the timescale from invention to widespread commercialisation in energy supply and end use technolo," Energy Policy, Elsevier, vol. 123(C), pages 682-699.
    12. Jafari-Sadeghi, Vahid & Amoozad Mahdiraji, Hannan & Alam, Gazi Mahabubul & Mazzoleni, Alberto, 2023. "Entrepreneurs as strategic transformation managers: Exploring micro-foundations of digital transformation in small and medium internationalisers," Journal of Business Research, Elsevier, vol. 154(C).
    13. Watson, Jim & Scott, Alister, 2009. "New nuclear power in the UK: A strategy for energy security?," Energy Policy, Elsevier, vol. 37(12), pages 5094-5104, December.
    14. Wu, Shang-Ho & Lin, Feng-Jyh & Perng, Chyuan, 2022. "The affecting factors of small and medium enterprise performance 11The authors thank Kunhuang Huarng, National taipei University of Bussiness, and Fang-Yi Lo, Feng Chia University for their careful re," Journal of Business Research, Elsevier, vol. 143(C), pages 94-104.
    15. Löhr, Meike & Mattes, Jannika, 2022. "Facing transition phase two: Analysing actor strategies in a stagnating acceleration phase," Technological Forecasting and Social Change, Elsevier, vol. 174(C).
    16. Nelson, Sarah & Allwood, Julian M., 2021. "The technological and social timelines of climate mitigation: Lessons from 12 past transitions," Energy Policy, Elsevier, vol. 152(C).
    17. Kenichiro Takeishi, 2022. "Evolution of Turbine Cooled Vanes and Blades Applied for Large Industrial Gas Turbines and Its Trend toward Carbon Neutrality," Energies, MDPI, vol. 15(23), pages 1-35, November.
    18. Majidpour, Mehdi, 2017. "International technology transfer and the dynamics of complementarity: A new approach," Technological Forecasting and Social Change, Elsevier, vol. 122(C), pages 196-206.
    19. Magda M. Smink & Marko P. Hekkert & Simona O. Negro, 2015. "Keeping sustainable innovation on a leash? Exploring incumbents’ institutional strategies," Business Strategy and the Environment, Wiley Blackwell, vol. 24(2), pages 86-101, February.
    20. Martin Junginger & Wilfried van Sark & André Faaij (ed.), 2010. "Technological Learning in the Energy Sector," Books, Edward Elgar Publishing, number 13741.

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