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Political Context Conditions: The Role of Government in East Asian Startup Ecosystems

In: Unleashing Innovation the East Asian Way

Author

Listed:
  • Ying Cheng

    (Chongqing University, School of Economics and Business Administration)

  • Adam Cross

    (Xi’an Jiaotong-Liverpool University)

  • Martin Hemmert

    (Korea University, School of Business)

  • Agata Kapturkiewicz

    (Sophia University)

  • Masahiro Kotosaka

    (Keio University, Faculty of Policy Management)

  • Franz Waldenberger

    (German Institute for Japanese Studies)

Abstract

This chapter analyses government support policies as an important contextual factor for startup ecosystem development in East Asia. Historically, policies have been crafted to address specific national conditions: for example, Japan’s rigid institutional boundaries and aging society, Korea’s chaebol-dominated industrial structure, and China’s reliance on state-led technology transfers. While differing in tools and emphasis, governments have implemented comprehensive measures to foster startup ecosystems, including regulatory sandboxes in Japan, hybrid venture capital programmes like Korea’s Tech Incubator Program for Startups, and China’s mass entrepreneurship campaigns. These interventions represent either a continuation (China) or a revival (Japan and Korea) of developmental state policies. As a consequence, entrepreneurship has become firmly integrated into the broader economic strategies of the three countries.

Suggested Citation

  • Ying Cheng & Adam Cross & Martin Hemmert & Agata Kapturkiewicz & Masahiro Kotosaka & Franz Waldenberger, 2026. "Political Context Conditions: The Role of Government in East Asian Startup Ecosystems," Springer Books, in: Unleashing Innovation the East Asian Way, chapter 9, pages 149-169, Springer.
    • Handle: RePEc:spr:sprchp:978-981-95-6513-9_9
    DOI: 10.1007/978-981-95-6513-9_9
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