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From mass production to complex production: case of the Korean telecom equipment sector

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  • Tae-Young Park
  • Illyong Ji

Abstract

This study addresses the following question: why did Samsung and LG fail to transition from the mass-produced goods sector production to complex product system sector production? In general, there are four necessary factors to facilitate successful operation in complex product systems: research and development capability, organic networking among various actors, the capability to leverage suitable support from government and the establishment of a large demand base. Samsung and LG has strong R&D capabilities and engaged in useful networking and their failure to succeed in the complex product system sector can be attributed to inappropriate support from government and their failure to establish a large demand base. We conclude that technological factors are necessary but insufficient to facilitate the successful transition from a mass-produced goods sector to a complex product system.

Suggested Citation

  • Tae-Young Park & Illyong Ji, 2015. "From mass production to complex production: case of the Korean telecom equipment sector," Asia-Pacific Journal of Accounting & Economics, Taylor & Francis Journals, vol. 22(1), pages 78-102, March.
    • Handle: RePEc:taf:raaexx:v:22:y:2015:i:1:p:78-102
    DOI: 10.1080/16081625.2015.1010271
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