Abstract

Introduction: the article examines the impact of hybrid organizations on the economic dynamics of Eastern Asian countries. Objectives: to assess the effectiveness of hybrid organizations as intermediate institutions that promote economic development, to describe the transformation of hybrids as they are modernized. Methods: dialectical method, system analysis, case study method, induction method. Results: the positive role of hybrid organizations in catching-up economic development is revealed; it is shown that hybrids serve as intermediate institutions that either transform or hinder economic growth as modernization progresses; possible economic policies to support hybrids are described. Conclusions: hybrid organizations are common in many countries and regions with a predominance of traditional regulators which have managed to reach the development path of developed countries. Thus, hybrids are country specific for the “Asian tigers” – Japan (in the form of keiretsu), South Korea (in the form of chaebols), Taiwan (in the form of clusters) as well as for China (in the form of industrial areas). At the same time, in most cases, hybrid institutional agreements serve as intermediate institutions – relying on existing social ties, they promote economic growth, but as they modernize, they either undergo changes or hinder subsequent development. The analysis of the presented cases also shows that the state can contribute to the formation of hybrids in various ways – from creating infrastructure to supporting the export activities of firms.

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