INSTITUTIONAL BARRIERS AND INDUSTRY DYNAMICS

• 成果类型: Article
• 署名作者: Chang, Sea-Jin; Wu, Brian
• 署名单位: National University of Singapore; Korea Advanced Institute of Science & Technology (KAIST); University of Michigan System; University of Michigan
• 刊物名称: STRATEGIC MANAGEMENT JOURNAL
• ISSN/ISSBN: 0143-2095
• DOI: 10.1002/smj.2152
• 发表日期: 2014
• 页码: 1103-1123
• 关键词: industry dynamics; institutional barriers; INCUMBENTS; new entrants; LIBERALIZATION

摘要

This study demonstrates that new entrants exhibit higher productivity but also higher exit hazard than incumbents in post-liberalization China. We argue this seemingly paradoxical relationship is attributable to institutional barriers, defined as the hindrance in the institutional environment that prevents market selection forces to function. New entrants require higher productivity to compensate for those institutional barriers, which in turn implies a higher exit hazard after controlling for productivity. Our empirical findings support this argument and further show that the differences in productivity and exit hazard between new entrants and incumbents become smaller where and when institutional barriers recede. By integrating economic and institutional perspectives, we highlight the importance of institutional factors in shaping industry evolution. Copyright (C) 2013 John Wiley & Sons, Ltd.