The role of domestic markets in international technological innovation systems

Abstract

This paper explores how countries in non-leadership positions can couple onto globally developing technological innovation systems (TISs) for renewable energy. The paper contributes to recent debates on relations between TISs and context, with a focus on how industries located in one country relate to the international TIS. Based on a survey of 102 firms in the offshore wind industry in Norway and semi-structured interviews, we find that even though Norwegian firms link up with international TISs, the lack of a domestic market represents a barrier. However, firms with activities in related industries and large firms are less exposed to this barrier. This poses a challenge as the offshore wind industry in Norway mainly consists of smaller firms. We therefore suggest that policies should aim to stimulate interaction between smaller suppliers and larger firms that potentially can act as intermediaries and provide access to international markets.

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