Abstract

This article examines China’s largest textile industrial cluster in Shaoxing county as a case study of how developing countries could carry out industrial upgrading in the face of globalisation’s challenges. The authors argue that the local government could play a crucial role in transforming comparative advantages of the local economy into competitive advantages using various policy tools. The Shaoxing county government rewarded and subsidised local textile enterprises to carry out independent innovation and research and development (R&D), facilitated foreign investments and technology transfer, guided local enterprises to build up their own brands, introduced preferential policies to encourage local enterprises to participate in international competition and motivated local enterprises to expand export. This demonstrates that the county government’s guiding hand and policy measures are instrumental in leading textile enterprises to reshape their competitive advantage, integrate into the global market and upgrade the industry.

pdf

Additional Information

ISSN
0219-8614
Print ISSN
0219-7472
Pages
pp. 130-147
Launched on MUSE
2016-03-07
Open Access
No
Back To Top

This website uses cookies to ensure you get the best experience on our website. Without cookies your experience may not be seamless.