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Regional Institutions and Organizational Capabilities --- An Analysis of the Solar PV Industry in Jiangsu and Shandong Regions in China
[Thesis]. Manchester, UK: The University of Manchester; 2015.
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Abstract
Studying organizational capabilities from the perspective of national institutions has been widely adopted in high tech industries in developed countries, but scarcely in developing countries. This research applies this framework into China to study the solar PV industry, but at the regional level. The solar PV industry in China has strongly developed in the global market in recent years, having been the biggest solar PV producer since 2007. However, there are contrast regional differences in the solar PV industry development between Jiangsu and Shandong. The solar PV producers in Jiangsu have stronger organizational capabilities to perform well compared to those in Shandong. Thus this research adopts the framework to explore the influence of regional institutions (the role of regional government, financial systems, inter-firm relations and education and labor systems) in building organizational capabilities (R&D capabilities in technology, capabilities in finance, managerial coordination and human resources) in solar PV industry in Jiangsu and Shandong regions. Comparative case studies are adopted in my research and the research has investigated six solar PV companies and several associated organizations. It is concluded that different regional institutions have different influences (to promote or hinder) in building organizational capabilities in the solar PV industry. Compared to Shandong, the regional institutions in Jiangsu can help solar PV companies to build organizational capabilities. The research findings indicate the importance of regional institutions in China.