Competition and Cooperation among Asian Enterprises in China

Abstract

The Asian economy has experienced tremendous changes since the late 1980s, such as the serious stagnation of the Japanese economy, the rise of many non-Japanese Asian firms, particularly in Taiwan and South Korea, and the emergence of China as an economy endowed with abundant low-cost production resources as well as a huge market. This special issue explores how Asian enterprises interact with one another amid these structural changes, with China as the arena. First and most importantly, our studies illustrate many cases of competitive and cooperative relationships among Asian firms, various kinds of cooperation in particular, which reflects the narrowing gaps among Japanese, Taiwanese, and Korean firms. Second, we also demonstrate the evolutionary process of resource/capacity building and strategic choices. Third, mutual trust built up through long-term association plays a crucial role in the collaboration between Japanese and Taiwanese firms. Fourth, although we focus on Asian enterprises, our research also shows that the multinationals from America and Europe continue to be important actors in the regional economy. Fifth, China is both a facilitator of cooperation and a stage providing opportunities for the latecomers to challenge firms from advanced countries.