Catching-up via network : Chinese case study of Huawei Technologies Co. Ltd

With China’s rapid economic growth in recent decade, many Chinese firms especially in high-tech industries have become the industry leaders in the international market. In this study, we aim to uncover the specific approach that Chinese firms use to catch up with the West. By studying Huawei Technologies Co. Ltd., we find that at different stages of catching up, partnership-based network play a critical role. At an early stage, a well-managed partnership network with universities can shorten a firm’s catching up path through knowledge accumulation; at a late stage, allying with universities and leading players in the network can facilitate a firm’s sustainable innovation production. Finally, we developed a conceptual framework for the catching up process of Chinese firms.