Epilogue: Implications from industrializing East Asia's innovation and learning experiences

This conclusion provides a summary of the learning and innovation experiences of selected East Asian economies, as well as using the evidence to draw implications for theory and policy. The cross-country East Asian study of automotive parts provided the starting block that underscored the importance of the embedding institutions and organizations in driving innovation and learning in firms. Although local firms showed higher R&D intensity levels than foreign firms thus reflecting the significance of home country advantages, intensity levels were higher in countries with a stronger high-tech infrastructure regardless of ownership differences. The subsequent cases address broad macro innovation policies, for example in Thailand and Korea, and micro economic and technological catch up successes such as those in the button city of Qiaotou. Contrary to the neoclassical logic of leaving it to the markets, the evidence amassed shows that a combination of markets, government and cooperation has been instrumental in successful innovation and learning outcomes in East Asia.