Adaptive Innovation in the Evolution of a Latecomer Firm: The Case of AsiaInfo, China
Main Article Content
Abstract
This paper is based on a case study of AsiaInfo, a latecomer telecommunications
software and service firm in China. It examines whether and how adaptive innovation
can enable the latecomer firms in developing countries to accumulate technological
advantages and gain competitiveness to emerge as multinational enterprises (MNEs)
Data for this study is obtained from a series of interviews with managers in AsiaInfo and
China Mobile. This study applied an evolutionary approach to analyse complex and
dynamic developments within AsiaInfo and found that the firm (AsiaInfo) has: (i)
gradually obtained its competitive advantages through continuous accumulations of
adaptive innovations over 20 years; (ii) accumulated adaptive innovations and its
competitive advantage co-evolved with the rapidly growing demands of the Chinese
telecommunication industry; and (iii) the ability to continuously generate adaptive
innovations depended not only on its ability to accumulate technological innovations, but
also social and organisational innovations. These factors were instrumental in enabling
AsiaInfo to eventually emerge as a multinational enterprise and catch-up with other
multinationals. This case study makes a significant contribution to the growing body of
literature on latecomer firms’ characteristics and strategies, particularly in East Asia. It
makes a theoretical contribution by modifying Michael Porter’s diamond model and
integrating it with latecomer strategies that treat adaptive innovation as central for
achieving competitive advantages.
Downloads
Article Details
Submission of a manuscript implies: that the work described is original, has not been published before (except in the form of an abstract or as part of a published lecture, review, or thesis); that is not under consideration for publication elsewhere; that its publication has been approved by all co-authors, if any, as well as tacitly or explicitly by the responsible authorities at the institution where the work was carried out. Transfer of copyright to the University of Malaya becomes effective if and when the article is accepted for publication. The copyright covers the exclusive right to reproduce and distribute the article, including reprints, translations, photographic reproductions, microform, electronic form (offline and online) or other reproductions of similar nature.
An author may self-archive the English language version of his/her article on his/her own website and his/her institutions repository; however he/she may not use the publishers PDF version which is posted on www.ijie.um.edu.my. Furthermore, the author may only post his/her version, provided acknowledgement is given to the original source of publication and a link must be accompanied by the following text: The original publication is available at www.ijie.um.edu.my.
All articles published in this journal are protected by copyright, which covers the exclusive rights to reproduce and redistribute the article (e.g. as offprint), as well as all translation rights. No material published in this journal may be reproduced photographically or stored on microfilm, in electronic database, video disks, etc., without first obtaining written permission from the publishers. The use of general descriptive names, trade names, trademarks, etc., in this publication, even if not specifically identified, does not imply that these names are not protected by the relevant laws and regulations.
The copyright owners consent does not include copying for general distribution, promotion, new works, or resale. In these cases, specific written permission must first be obtained from the publishers.