Catch-up in nanotechnology industry in China from the aspect of process-based innovation

Nanotechnology is frequently heralded as an emerging strategic industry in developed anddeveloping countries. However, little is known about the catch-up of companies in emergingindustries like the nanotechnology industry in developing countries, such as China. Fromthe perspective of process-based innovation proposed by Linton and Walsh, this paperexplores the catch-up process and role of process-based innovation in nanotechnologycompanies. The research reveals the catch-up process in emerging industries in developingcountries is different from the original Utterback and Abernathy (U –A) model and Kim’smodel, the reverse U –A model, and confirms the model proposed by Linton and Walsh. Innovation in the catch-up process in emerging industries in developing countries followsthe same stages as that in advanced countries, but there is a time delay in the start ofcommercialisation. The research showcases a large role for competitiveness derived fromowning critical technology in the production process (process-based innovation) in thecatch-up process. This research contributes to the catch-up theory and catch-up in emergingindustries, such as nanotechnology industry.