Exploring the mechanisms of platform empowered cluster development: evidence from the case of Taobao villages in rural China

Abstract

ABSTRACT By studying a Chinese characteristic phenomenon, the expansion of Taobao villages at the county level, we coin the term ‘platform empowered cluster development’ (PECD). Based on cluster theory and empirical knowledge of Taobao villages, we analyse the pre-existing context, the process forces and outcome of Taobao village expansion in 50 counties with a fuzzy-set qualitative comparative analysis (fsQCA). The following four patterns of PECD are finally identified: A: local government driven without pre-existing context; B: pre-existing advantages driven without process forces; C: first-mover advantage, grassroots driven with locational advantage and D: dual driven without pre-existing context.