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Stages of development of industrial technology in a developing country: A model
Authors:Linsu Kim
Institution:Korea Developmwent Institute, Seoul, Korea
Abstract:This article presents a model of development stages that shows when and why local firms in a developing country acquire foreign technologies, how they assimilate and improve imported technologies to strengthen their competitiveness, and what and when external influences affect the process of technological change in these firms. Industrial technology in Korea's electronics industry has developed through three salient stages. Initially established through the implementation of imported foreign technology, local firms in the industry then accumulated experience in product design and production operation which provided a basis for limited indigenous efforts for the assimilation of imported technology. Finally, increased market competition in local and international markets and increasing capability of local personnel, together with assimilation of foreign technology, led to gradual improvements of foreign technology. This pattern is also evident in the history of manufacturing industries not only in Korea but also in other countries. The article also presents several propositions for future research.
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