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Competitiveness analysis of coal industry in China: A diamond model study

Yunna Wu, Xinli Xiao and Zongyun Song

Resources Policy, 2017, vol. 52, issue C, 39-53

Abstract: Under the effects of environmental pollution, macro-economical conditions, markets downturn, and squeeze of clean energy, the operation condition of China's whole coal industry attracts more attentions in recent years. This study aims to investigate the comprehensive competitiveness of coal industry in Chinese policy and economy environment. Then, this paper adopts diamond model to analyze internal and external factors that have significant influences on the competitiveness of China's coal industry, namely resource condition, demand condition, industry structure and enterprise strategy, related and support industries, the government, technology and chance. The research indicates that Chinese coal industry suffers from excessive capacity, low coal price and substitute of clean energy, etc. The current performance of Chinese coal industry is not optimistic. Fortunately, Chinese government unceasingly issues policies to support and regulate coal industry, and coal enterprises actively participate in industrial structure adjustments to deal with pressure of downturn. Furthermore, some national strategies, such as Ultra High Voltage transmission and ‘One Belt And One Road’, will greatly promote the recovery of domestic coal industry. In order to survive the downturn and sustain its fundamental position, coal industry should attach importance to these key factors in diamond model for each of them has crucial influences on the comprehensive competitiveness of Chinese coal industry.

Keywords: Coal industry; Competitiveness analysis; Diamond model; China (search for similar items in EconPapers)
Date: 2017
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (13)

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Persistent link: https://EconPapers.repec.org/RePEc:eee:jrpoli:v:52:y:2017:i:c:p:39-53

DOI: 10.1016/j.resourpol.2017.01.015

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