The developmental path of networking capability of catch‐up players in Korea's semiconductor industry

Abstract

With respect to technological learning, networking and globalization, and the subsequent development of technological capability, this study examines the developmental path of catch‐up players in Korea's semiconductor industry. It in particular deals with the important aspects of local and global networking of catch‐up players accumulating technological capability. This paper also argues that networking capability plays a critical role in the development of the technological capability of catch‐up players in developing countries, and that their networking patterns are changed along the global technological trajectory that they face. That is, on the basis of the Korean case analysis, this study reveals that global hierarchical networking with global leaders is provoked in the vertical cooperative phase when global mature technologies are involved in international technology transfer. Next, the quasi‐global networking with overseas sister companies and their professionals is strengthened in the discordant phase when growing technologies are involved. Reciprocal networking with global players is encouraged in the strategic phase when emerging technologies are involved. In addition, this paper addresses the development path of other aspects of technological capability, i.e., production, investment, and innovation capability, of Korea's semiconductor players. Furthermore, it discusses the relevance of Korea's development path to other countries and firms.

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