Going beyond the sectoral boundary: a key stage in the development of a regional industrial ecosystem

Abstract

A regional industrial ecosystem faces the challenge of boundaries, which are barriers to its evolution and development. Crossing various boundaries is necessary in order to achieve extension of industrial ecosystems. This article described and analyzed the case of going beyond the sectoral boundary practice of the Hai Hua industrial ecosystem (HHIE) in China. In this case, the traditional planned economic system of China was the main reason for the existence of the sectoral boundary in HHIE. The sectoral boundary restricted the establishment of potential symbiotic linkages between companies. Going beyond the sectoral boundary was necessary in order to promote industrial ecosystem development. The government played a crucial role in breaking the sectoral boundary. It was “a key stage” in the development of HHIE. Breaking the sectoral boundary was achieved through the approach of establishing a salt-soda combination, i.e., establishing the Hai Hua Group (HHG). From this case, some conclusions on development of industrial ecosystems were drawn.