Post-Catch-Up Strategy for Medium-Sized South Korean Firms: Improving Technological Capabilities by Balancing R&D Intensity and Open Innovation

2015 ◽  
Vol 27 (4) ◽  
pp. 164-176 ◽  
Author(s):  
Jiwon Paik ◽  
Hyun Joon Chang
Keyword(s):  
Open Innovation ◽  
Technological Capabilities ◽  
South Korean ◽  
Catch Up

scholarly journals Is the Eurozone disintegrating? Macroeconomic divergence, structural polarisation, trade and fragility

2020 ◽  
Vol 44 (3) ◽  
pp. 647-669 ◽  
Author(s):  
Claudius Gräbner ◽  
Philipp Heimberger ◽  
Jakob Kapeller ◽  
Bernhard Schütz
Keyword(s):  
Firm Performance ◽  
Current Account ◽  
Public Investment ◽  
Aggregate Demand ◽  
Technological Capabilities ◽  
Industrial Policies ◽  
Current Account Imbalances ◽  
Catch Up ◽  
Sectoral Composition ◽  
Substantial Heterogeneity

Abstract This paper analyses macroeconomic developments in the Eurozone since its inception in 1999. In doing so, we document a process of divergence and polarisation among those countries that joined the Eurozone during its first two years. We find evidence for a ‘core–periphery’ pattern among Eurozone countries, that is, however, marked by substantial heterogeneity within these two clusters. We show how the polarisation process underlying this pattern first manifested in increasing current account imbalances, before it translated unto the level of general macroeconomic development when the crisis hit. Empirically, we demonstrate how this macroeconomic divergence is tied to a ‘structural polarisation’ in terms of the sectoral composition of Eurozone countries; specifically, the emergence of export-driven growth in core countries and debt-driven growth in the Eurozone periphery can be traced back to differences in technological capabilities and firm performance. Pushing for convergence within Europe requires the implementation of industrial policies aiming at a technological catch-up process in periphery countries in combination with public investment and progressive redistributional policies to sustain adequate levels of aggregate demand in all Eurozone countries.

From Learning to Creating: Biotechnology and the Postindustrial Developmental State in Korea

2004 ◽  
Vol 4 (3) ◽  
pp. 491-517 ◽  
Keyword(s):  
South Korea ◽  
Price Competition ◽  
Developmental State ◽  
Information And Communications Technologies ◽  
South Korean ◽  
Communications Technologies ◽  
Manufacturing Sectors ◽  
Catch Up ◽  
Transformative Process ◽  
Capital Development

South Korea is currently undergoing a process of industrial restructuring. As competitors in the Asian region have begun to catch up—in terms of technological know-how, investment mobilization, price competition, and human capital development—advanced Asian economies such as South Korea's have had to shift their industrial focus away from conventional manufacturing sectors toward postindustrial sectors including biotechnology, nanotechnology, and advanced information and communications technologies. As such, the ongoing processes of postindustrial restructuring in South Korea have involved a transition from the industrial learning paradigm to a new knowledge creation paradigm where technology innovation, rather than technology borrowing, is key. This article examines this transformative process in the area of biotechnology and bioindustry development. It specifically looks at how the South Korean developmental state has begun to reinvent itself in order to meet the challenges of innovation-driven industrialization.

Burying the Hatchet for Catch-Up: Open Innovation among Industry Laggards in the Automotive Industry

2017 ◽  
Vol 60 (2) ◽  
pp. 17-42 ◽  
Author(s):  
Marcelo Cano-Kollmann ◽  
Snehal Awate ◽  
T.J. Hannigan ◽  
Ram Mudambi
Keyword(s):  
Automotive Industry ◽  
Open Innovation ◽  
Global Alliance ◽  
Collaborative Relationships ◽  
Key Technology ◽  
The Road ◽  
Automotive Technology ◽  
Catch Up ◽  
Study Context ◽  
Innovation Processes

What happens when firms in an oligopolistic industry find themselves lagging behind in a potentially dominant technology? If R&D costs are significant and catch-up is key, technology laggards must turn to each other and open up their innovation processes in order to survive. This article uses a real options framework to explain the motives of bitter rivals to engage in collaborative relationships in order to catch up with industry leaders in specific technologies. It shows that ex ante, their interests converge and this lays the foundation of “catch-up alliances”: competitors open up to catch up. However, they often bring vastly different resources to the alliance and, in the process of cooperation, what they learn may cause their interests to diverge. Furthermore, some participants may discount a technology trajectory on the basis of what they learn, and terminate efforts in that area. Therefore, the “road not taken” may be a valuable outcome of the open innovation alliance. This article uses the case of a global alliance in hybrid electric drivetrain automotive technology as the study context, and it analyzes the implications for managers facing similar decisions.

Huawei’s Leapfrogging to Overtake Ericsson

2021 ◽  
pp. 172-192
Author(s):  
Keun Lee
Keyword(s):  
Strong Evidence ◽  
Basic Research ◽  
Cost Advantage ◽  
Technological Capabilities ◽  
Knowledge Source ◽  
Technological Trajectory ◽  
Catch Up ◽  
Technological Leapfrogging ◽  
Technological Strength

Chapter 8 explores how Huawei was able to emerge as the leader in the telecommunications system sector, overtaking the incumbent Swedish giant Ericsson. It answers this question by focusing on whether a latecomer firm trying to catch up uses technologies similar to or different from those of the forerunners. The study investigated patents by Huawei and Ericsson and found that Huawei relied on Ericsson as a knowledge source in its early days but subsequently reduced this reliance and increased its self-citation ratio to become more independent. The results of mutual citations, common citations, and self-citations provided strong evidence that Huawei caught up with or overtook Ericsson by taking a different technological trajectory. Huawei developed its technologies by relying on more recent and scientific knowledge; in terms of citations to scientific articles and citation lags, Huawei extensively explored basic research and up-to-date technologies to accomplish its technological catch-up. This study suggests that leapfrogging by exploring a new technological path is a possible and viable catch-up strategy for a latecomer. Moreover, Huawei’s case re-confirms the hypothesis that catch-up in technological capabilities tends to precede that in market share. Huawei overtook Ericsson in terms of quantity and quality of patents before annual sales. In summary, the results suggest that Huawei’s catch-up with Ericsson in the telecommunications equipment market is owing not only to its cost advantage, the large domestic market, or the Chinese government’s support but also more importantly to its technological leapfrogging based on its technological strength and independence.

Upgrading Non-Technological Capabilities

2021 ◽  
pp. 268-302
Author(s):  
Jae-Yong Choung ◽  
Hye-Ran Hwang
Keyword(s):  
Conceptual Framework ◽  
Technology Policy ◽  
Technological Development ◽  
Financial Innovation ◽  
Science And Technology Policy ◽  
Technological Capabilities ◽  
Technological Aspect ◽  
New Approach ◽  
Catch Up

In recent years, Korean firms have struggled with slowdowns of both these world-first developments and their export to overseas markets. Despite technological development process, however, important questions remain with respect to how non-technological capabilities such as organizational, regulatory, and financial innovation affect accumulation and failure. To address these concerns, the key components of a conceptual framework for investigating non-technological capabilities for transition consist of the existing government, R&D organizations, and inter-firm relations. We analyze the performance and limitations of non-technological capabilities in the process of transition from the catch-up system to the innovation-based system in Korea. Using the case study of system rather than mass products, we hope that this research can contribute to the understating of non-technological features of energy-sector transitional dynamics in Korea. Finally this research would provide a new approach to the challenges from a non-technological aspect and can also provide differentiated science and technology policy strategies for the catch-up economies.

MECHANISMS FOR THE DEVELOPMENT OF SCIENTIFIC AND INNOVATIVE ACTIVITIES OF THE REGIONS OF THE RUSSIAN FEDERATION IN PANDEMIC CONDITIONS

2021 ◽  
Vol 0 (4) ◽  
pp. 83-89
Author(s):  
T.R. AKHMETOV T.R.1 ◽  
Keyword(s):  
Russian Federation ◽  
Open Innovation ◽  
Intangible Assets ◽  
Information Resources ◽  
Investment Model ◽  
Development Model ◽  
Evolutionary Development ◽  
The Russian Federation ◽  
Catch Up

The article is devoted to the mechanisms of development of scientific and innovative activities of the territories of the Russian Federation in the context of a pandemic. As a result of the conducted review of literature, statistics, factology, the development of scientific and innovative activities in the regions of the Russian Federation in the context of a pandemic is analyzed. Comparative analysis of regional statistics made it possible to typologize them according to the quality of development of information resources of the economy. The article compares the foreign experience in the development of scientific and innovative activities and the methodology of the catch-up development model used in the USSR. All this made it possible to typologize territories for the development of scientific and innovative activities in the context of a pandemic.The study compares the successes of Russia in confronting the pandemic and the scenarios for the development of these successes in various models of the development of information resources of the economy in the form of knowledge, competencies, OIC, intangible assets. The purpose of the article: typologization of the territories of the Russian Federation according to the qualitative characteristics of innovative growth and the evolutionary development of information resources of the economy, the effectiveness of the measures used to combat the pandemic, in order to develop patterns and contradictions in the development of scientific and innovative activities in the regions of Russia. The research objectives are: Typology of the territories of the Russian Federation by the quality of innovative growth; Conclusions of the research: The USSR had extensive experience in the methodology for the development of scientific and innovative activities known as the "catch-up development model". Japan in the 50-80s, South Korea in the 80-2000s and today's China and their regions and territories successfully apply it and achieve significant success in the development of scientific and innovative activities. This leads to evolutionary changes in the countries themselves and their regions, they evolve each time the following groups, higher in terms of development. This methodology using open innovation methods can be perceived in Russia and its regions. For a more detailed demonstration, the article developed the patterns and contradictions of the existing model for the development of scientific and innovative activities in a pandemic. Which showed that the reached limits of economic growth in the 90-2000s by type, exclusively related to the investment model, as well as the introduced elements of the transitional type of the model to catch-up have their solution through the use of the open innovation method. This method makes it possible to deeply and thoroughly process foreign intangible assets in order to obtain, on their own technological basis, their own IP, the introduction of which and transformation into intangible assets takes place in TNCs and state corporations. Thus, the protection of the exclusive rights obtained by the method of open innovation is carried out by big business, which has all the necessary resources for this, especially in the countries of the global center and catching-up development.

Late Industrialization and Technological Capabilities Building

2005 ◽  
Author(s):  
Michael T. Rock ◽  
David P. Angel
Keyword(s):  
Developing Economies ◽  
East Asian ◽  
Technological Capabilities ◽  
Industrial Upgrading ◽  
Environmentally Sustainable ◽  
Industrial Competitiveness ◽  
Catch Up ◽  
Product And Process ◽  
Governmental Institutions ◽  
The 1960S

How can governments and indigenous manufacturing firms in the rapidly industrializing economies of developing Asia take advantage of the opportunities afforded by the region’s openness to trade and investment and its late industrialization to insure that urban industfrial development is more environmentally sustainable? As was argued in Chapter 1, our initial entry point for addressing this question is an understanding of the dynamics of technological upgrading and industrial capability building within the region. We begin here in large part because improvements in the energy, materials, and pollution intensity of industrial activity are fundamentally (though clearly not exclusively) an issue of technological change, of developing, deploying, and using product and process technologies that are less polluting. In addition, we anticipate that lessons learned from the ways in which the East Asian NIEs achieved rapid technological catch-up will be transferable to the problem of improving the environmental performance of industries within the region and within other developing economies. Specifically, we consider the institutional conditions and types of policy interventions that supported technological upgrading of firms and industries among the East Asian NIEs. We begin with a review of what is known about industrial upgrading and technological catch-up as a development strategy, especially as practiced by the East Asian NIEs from the 1960s onwards. Our central conclusion is that institutions mattered. Through a review of existing studies, and through statistical analysis, we demonstrate that institutional effectiveness is a critical determinant of industrial competitiveness of developing economies. We also demonstrate that while there was no standard blueprint through which governmental institutions supported the work of firms, the institutional frameworks put in place within the East Asia NIEs were critical to their success in achieving rapid technology catch-up and industrial upgrading, and through these processes improved industrial competitiveness and industry-led economic growth. We begin, however, with the work of firms. Because most technological capabilities building requires effort, trial and error, and gaining tacit experience with particular technologies, it is primarily a task that only firms can undertake (Lall 1992: 166). As is now known, there are significant differences in the willingness of firms to undertake and succeed in these tasks.

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