Transnational Networks and Institutional Embeddedness: Reengagement of the New Generation of Malaysian Chinese Entrepreneurs with China

Abstract

The new generation of Southeast Asian Chinese society, who were locally born and grew up, have largely weakened their interaction with China. However, the growing business opportunities presented from the Belt and Road Initiative (the BRI), which was launched in 2013, serve as a big impetus for the new generation entrepreneurs to reengage China. Drawn upon an empirical case study of the new generation of Malaysian Chinese entrepreneurs, this paper argues that, the entrepreneurs regard institutional embeddedness as a critical channel to enhance their abilities to accumulate transnational social capital and strengthen their socio-economic networks with China. The transnational networks facilitate them to seize business opportunities from the BRI, and simultaneously reinforce their Malaysian national identity. Moreover, this study demonstrates the emergence of knowledge networks in the transnational space. It not only reflects the increasing interests of the new generation entrepreneurship in China's innovation and technology, but also reveals the developmental strategies of both the Malaysian and Chinese states.