Catching Up in the Face of Technological Discontinuity: Exploring the Role of Demand Structure and Technological Regimes in the Transition from 2G to 3G in China

Peili Yu, Junguo Shi (), Bert M. Sadowski and Önder Nomaler
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Peili Yu: Northeastern University
Junguo Shi: Jiangsu University
Bert M. Sadowski: Eindhoven University of Technology
Önder Nomaler: Eindhoven University of Technology

Journal of Evolutionary Economics, 2020, vol. 30, issue 3, No 8, 815-841

Abstract: Abstract During technological discontinuity based on the transition from second-generation (2G) to third-generation (3G) mobile telecommunications, Chinese manufacturing firms were catching up with leaders in the global industry. Using computer simulation, the paper examines the extent to which heterogeneous demand structures and competitive regimes affect technological catching up. The paper shows that - during technological discontinuity - a slightly higher technological opportunity in combination with low appropriability and heterogeneous demand are vital for technological catching up. The complementary effects of demand within different regimes of Schumpeterian Mark I and Mark II models are discussed.

Keywords: Technological catch-up; Technological regimes; Demand structure; History friendly model; Chinese telecommunications manufacturing industry (search for similar items in EconPapers)
JEL-codes: B52 L63 O14 O33 P23 (search for similar items in EconPapers)
Date: 2020
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Citations: View citations in EconPapers (4)

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DOI: 10.1007/s00191-020-00673-9

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