https://orcid.org/0000-0001-8119-6284
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ABSTRACT
Drawing upon the notion of lock-in in evolutionary economic geography perspective and concept of market imperative in global production network 2.0 theory, this study explores the role of market imperatives of local suppliers in the evolution of local industrial clusters in China. Through a case study of the furniture cluster in Shunde, this paper argues that market imperatives of furniture firms have changed dramatically, urging furniture firms to de-lock from previous low-end domestic markets in China and expand to different market segments in China as well as in other emerging economies. The changing market imperatives led to the breaking-out of lock-ins and the transformation of local clusters in the changing institutional context.
JEL:
ACKNOWLEDGEMENTS
The authors are grateful to two anonymous reviewers and the editors for useful comments made on an earlier version of this paper.
DISCLOSURE STATEMENT
No potential conflict of interest was reported by the authors.
ORCID
Tianlan Fu http://orcid.org/0000-0001-8119-6284
Chun Yang http://orcid.org/0000-0002-0169-3449
Lixun Li http://orcid.org/0000-0003-0775-6786
Notes
1. According to the China National Statistical Bureau, enterprises above a designated size refer to those whose main business revenues reach RMB20 million.
2. Most of these firms employed few workers (around five to 10) in their factories.
