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The authors suggest that China's renewable energy system, the
largest in the world, will quickly supersede the black energy
system that has powered the country's rapid rise as workshop of the
world and for reasons that have more to do with fixing
environmental pollution and enhancing energy security than with
curbing carbon emissions.
Mathews examines a handful of multinationals from the "Periphery" that have globalized their operations extremely rapidly. These firms have utilized strategies of international linkage and leverage to speed their global coverage. Mathews contends that the new global business world will offer unprecedented opportunities for firms that know how to enmesh themselves in global networks.
"There has been a growing rebellion, both among economists and
analysts of business strategy, against the static view of the
competitive process contained in neoclassical economics, and
movement towards the very different picture of the competitive
environment within which firms operate put forth by Joseph
Schumpeter and developed in modern economic evolutionary theory.
This fine book places firms squarely within an environment marked
by Schumpeterian competition, and develops the implications
regarding business strategies that can work in such a context. This
reorientation of theorizing about business strategy is much needed,
and very well done."--Richard R. Nelson, Columbia University
"Unlike most books on the theory of the firm, this one takes
reality into account. Mathews has researched the semiconductor and
other leading-edge industries, studied both small and large
entrepreneurial firms, and analyzed trade agreements between
nations. His accumulated wisdom is woven into a simple yet elegant
framework, and his arguments for firm strategizing under conditions
of disequilibrium are compelling. Both economists and
organizational scholars will learn a great deal from this
refreshing work."--Charles Snow, Penn State University
Why has East Asia emerged as the global leader in green energy
industries but - until recently - lagged on carbon emission
reduction? What is new and distinctive about East Asia's approach
to the green energy transition? And what does this approach mean
for the world? Developmental Environmentalism provides the first
comprehensive account of East Asia's green energy shift. It
highlights the powerful and symbiotic role of state ambition,
geostrategic competition, and capitalist market dynamics in driving
forward the region's greening efforts. Through an analysis of the
ambitious national strategies of China and South Korea, the authors
show how state actors have pursued a distinctively East Asian
approach to transforming their energy systems, involving first the
rapid creation of new green energy industries and then the
coordinated destruction of fossil-fuel incumbencies. This approach
- described as 'Developmental Environmentalism' - is aimed at
establishing East Asian economies as leaders in the green
industries of the future, while at the same time addressing the
pressing environmental, social and political problems associated
with the carbon-intensive industries of the past. By developing
four detailed, longitudinal case studies of green industry creation
and fossil-fuel phase out in China and Korea, the authors identify
the key successes and failures of East Asia's green shift to date
and anticipate its most likely future trajectory. Based on their
findings, the authors reject the idea that East Asia's greening
strategies are mere exercises in 'greenwashing' or fossil-fuelled
'business as usual'. Rather, there is something fundamentally
transformative underway in the region at the level of elite
ideation, strategic ambition, and policy action; the green energy
shift represents much more than continuity in Asia's erstwhile
developmental states. To execute their analysis, the authors
synthesise insights from cutting-edge Developmental State and
Schumpeterian theorising. They show how state actors in East Asia
are engaging in a sophisticated kind of economic statecraft,
strategically harnessing the capitalist market dynamics of
'creative-destruction' to advance their transformative green
ambitions through green growth. They also assess the implications
of developmental environmentalism for developed and developing
countries, and the future of the global green shift in an era of
geostrategic rivalry.
"There has been a growing rebellion, both among economists and
analysts of business strategy, against the static view of the
competitive process contained in neoclassical economics, and
movement towards the very different picture of the competitive
environment within which firms operate put forth by Joseph
Schumpeter and developed in modern economic evolutionary theory.
This fine book places firms squarely within an environment marked
by Schumpeterian competition, and develops the implications
regarding business strategies that can work in such a context. This
reorientation of theorizing about business strategy is much needed,
and very well done."--Richard R. Nelson, Columbia University
"Unlike most books on the theory of the firm, this one takes
reality into account. Mathews has researched the semiconductor and
other leading-edge industries, studied both small and large
entrepreneurial firms, and analyzed trade agreements between
nations. His accumulated wisdom is woven into a simple yet elegant
framework, and his arguments for firm strategizing under conditions
of disequilibrium are compelling. Both economists and
organizational scholars will learn a great deal from this
refreshing work."--Charles Snow, Penn State University
As China, India, and other industrializing giants grow, they are
confronted with an inconvenient truth: They cannot rely on the
conventions of capitalism as we know them today. Western
industrialism has achieved miracles, promoting unprecedented levels
of prosperity and raising hundreds of millions out of poverty. Yet,
if allowed to proceed unencumbered, this paradigm will do
irreversible harm to the planet.
By necessity, a new approach to environmentally conscious
development is already emerging in the East, with China leading the
way. Positioning its argument against zero-growth advocates and
free-market environmentalists, "Greening of Capitalism" charts this
transformation and sketches out a framework for more sustainable
capitalism.
State-mandated changes in energy use (as opposed to carbon taxes),
a circular flow of resources (as opposed to emissions standards),
and the introduction of new financial instruments that support
green growth are cornerstones of China's framework. John A. Mathews
argues that these tenets will be emulated around the world--first
in India and Brazil. In light of this emerging shift, Mathews
considers core debates over national security, international
relations, and economic policy, ultimately addressing the question
of whether these measures will be far-reaching or timely enough to
prevent further damage.
This book grows out of a five-year collaborative research project
undertaken by the authors in East Asia. They have worked with firms
and institutions in Korea, Taiwan, Singapore and Malaysia, to
inquire into the micro-processes of firm-level organizational
learning that underpin technology leverage in an industry such as
semiconductors. The processes investigated are not specific to
microchips, but can be seen working in one knowledge-intensive
sector after another. Mathews and Cho argue that indeed these are
the processes that will shape industrial evolution in the
twenty-first century, not just in East Asia but in the developed
world as well. Tiger Technology concludes with an important
observation - that wealth can be generated just as much through
management of technology diffusion as through conventional concerns
with innovation, provided the institutions of leverage are
carefully constructed.
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