Institutional environment and complementary assets: Business strategy in China’s 3G development |
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Written by zeezom
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Monday, 31 January 2011 15:15 |
Institutional environment and complementary assets: Business strategy in China
’s 3G development
Abstract__
This paper develops a framework to assess the influences of institutions and markets on the business strategy of firms in transition economies. We argue that regulatory systems and markets in transition economies are interdependent. Their changing conditions will interact and influence the types of partnerships in new market entry. Using a case study approach based on historical data and interviews, we show how China’s telecommunications industry evolved between 1987 and 2007, and led to the development of a 3G (third generation mobile telecommunications) standard and networks. Our analysis based on the framework explains how regulative elements and market conditions shape the strategic choices of partnerships between domestic and foreign firms when entering China’s 3G market.
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