Innovative capabilities of Chinese private entrepreneurs:Hangzhou's software industry

摘要

Why are Chinese private entrepreneurs able to develop indigenous innovations in China's transitional economy? The paper tries to answer this question through a detailed comparative case study of 45 software enterprises in Hangzhou, Zhejiang Province. Combining resource-based and institutional perspectives we argue that Chinese private enterprises in Hangzhou were able to develop unique innovative capabilities to overcome resource constraints and manage technical -and market risks while respecting the location and sectorspecific constraints.