Institutional change and regional development in China: the case of commodity trading markets
With this paper we explore how institutional changes have influenced the regional development of Yiwu City, East China. The regional development in Yiwu City can be regarded as constituting a specific model in transitional China, which revolves around the establishment, growth, and internationalizat...
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| Format: | Article |
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SAGE Publications
2013
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| Online Access: | https://eprints.nottingham.ac.uk/32590/ |
| _version_ | 1848794443914674176 |
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| author | Wang, Jinming Gooderham, Paul |
| author_facet | Wang, Jinming Gooderham, Paul |
| author_sort | Wang, Jinming |
| building | Nottingham Research Data Repository |
| collection | Online Access |
| description | With this paper we explore how institutional changes have influenced the regional development of Yiwu City, East China. The regional development in Yiwu City can be regarded as constituting a specific model in transitional China, which revolves around the establishment, growth, and internationalization of the local commodity trading market. The success of the Yiwu model lies in the interaction between globalization, local institutions, and commodity trading markets. However, we argue that the strategic coupling perspective has its limitations in explaining the development trajectory of the Yiwu model. We develop an integrated paradigm of regional development located between new regionalism and global production networks by synthesizing Scott’s institutional framework. We identify a pronounced and long-established cultural–cognitive element in the entrepreneurial spirit of local people, which led to the establishment of a commodity trading market at the beginning of 1980s. However, the sustainable development of the Yiwu model needs to be supplemented by normative and regulative institutional pillars. We further argue that the developmental local state remains critical to the regional development in developing countries in terms of correcting market failure, encouraging entrepreneurship, and creating a competitive business environment to accommodate globalization. |
| first_indexed | 2025-11-14T19:16:17Z |
| format | Article |
| id | nottingham-32590 |
| institution | University of Nottingham Malaysia Campus |
| institution_category | Local University |
| last_indexed | 2025-11-14T19:16:17Z |
| publishDate | 2013 |
| publisher | SAGE Publications |
| recordtype | eprints |
| repository_type | Digital Repository |
| spelling | nottingham-325902020-05-04T16:38:18Z https://eprints.nottingham.ac.uk/32590/ Institutional change and regional development in China: the case of commodity trading markets Wang, Jinming Gooderham, Paul With this paper we explore how institutional changes have influenced the regional development of Yiwu City, East China. The regional development in Yiwu City can be regarded as constituting a specific model in transitional China, which revolves around the establishment, growth, and internationalization of the local commodity trading market. The success of the Yiwu model lies in the interaction between globalization, local institutions, and commodity trading markets. However, we argue that the strategic coupling perspective has its limitations in explaining the development trajectory of the Yiwu model. We develop an integrated paradigm of regional development located between new regionalism and global production networks by synthesizing Scott’s institutional framework. We identify a pronounced and long-established cultural–cognitive element in the entrepreneurial spirit of local people, which led to the establishment of a commodity trading market at the beginning of 1980s. However, the sustainable development of the Yiwu model needs to be supplemented by normative and regulative institutional pillars. We further argue that the developmental local state remains critical to the regional development in developing countries in terms of correcting market failure, encouraging entrepreneurship, and creating a competitive business environment to accommodate globalization. SAGE Publications 2013-08-29 Article PeerReviewed Wang, Jinming and Gooderham, Paul (2013) Institutional change and regional development in China: the case of commodity trading markets. Environment and Planning C: Government and Policy, 32 (3). pp. 471-490. ISSN 0263-774X Institutional changes regional development cultural–cognitive normative regulative commodity trading markets global production network http://epc.sagepub.com/content/32/3/471 doi:10.1068/c11254b doi:10.1068/c11254b |
| spellingShingle | Institutional changes regional development cultural–cognitive normative regulative commodity trading markets global production network Wang, Jinming Gooderham, Paul Institutional change and regional development in China: the case of commodity trading markets |
| title | Institutional change and regional development in China: the case of commodity trading markets |
| title_full | Institutional change and regional development in China: the case of commodity trading markets |
| title_fullStr | Institutional change and regional development in China: the case of commodity trading markets |
| title_full_unstemmed | Institutional change and regional development in China: the case of commodity trading markets |
| title_short | Institutional change and regional development in China: the case of commodity trading markets |
| title_sort | institutional change and regional development in china: the case of commodity trading markets |
| topic | Institutional changes regional development cultural–cognitive normative regulative commodity trading markets global production network |
| url | https://eprints.nottingham.ac.uk/32590/ https://eprints.nottingham.ac.uk/32590/ https://eprints.nottingham.ac.uk/32590/ |