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Journal Article Evolution Patterns and Network Structural Characteristics of Industry Convergence
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Authors
Pil Sun Heo, Duk Hee Lee
Issue Date
2019-12
Citation
Structural Change and Economic Dynamics, v.51, pp.405-426
ISSN
0954-349X
Publisher
Elsevier
Language
English
Type
Journal Article
DOI
https://dx.doi.org/10.1016/j.strueco.2019.02.004
Abstract
We measured industry convergence both as a supply-driven (technology) process and as a demand-driven (market) process, and we analyzed backbone networks of convergence to reveal the structural characteristics of inter-industry connections. By utilizing Korea's Input-Output Tables (IOTs), we analyzed inter-industry convergence for 29 industries (6 industry groups) in total. As a result, we discerned groups of industries having a high level of convergence with one another, designated as ?쁦ndustry convergence groups.?? Furthermore, industries were either dynamic or static in their relationships of convergence with other industries. At a global level, convergence increasingly tended to be concentrated in ?쁤roups of central industries.?? At a local level, the analysis of networking types showed that there is a trend of stagnation on internal-oriented convergence from both the demand-side and supply-side perspectives. We also discuss the importance of industries that mediate the convergence process. This study contributes to the body of theoretical knowledge on industry convergence by broadening the breadth of convergence research to the structural aspect of networks. In addition, important implications are presented for effective and differentiated future policies for effectively steering the industry convergence system as a whole as well as networking activity in individual industries.
KSP Keywords
Backbone Network, Convergence process, Demand side, demand-driven, input and output, structural aspect, structural characteristics, supply-driven, supply-side, the body