Study On The Mechanism Of Firm Growth Based On Embedding Industry Chain

With the global clean energy industry's rapid development, a number of clean energy enterprises in China enter the industry quickly to take this opportunity. After the development process they have made gratifying achievements. However, these clean energy enterprises and other domestic late-developing ones are facing the puzzle that how to break through the control of multinational companies to achieve sustained growth while embedding the industry chain.This paper lucubrates the process of China clean energy firms'embedding the industry chain and the growth mechanism based on this process. First, on the basis of describing the background, significance and basic concepts of this paper, it defines clearly the content, method, and innovations of this study. Secondly, through the literature search for related theories of firm growth mechanism and embedding industry chain and classified analysis, it demonstrates that the embedding industry chain is a reasonable research perspective of the study of firm growth mechanism. Then, it analyzes the structure, evolution process and general embedding models of the clean energy industry chain, puts forward upstream, midstream and downstream---the three kinds of embedding templates, and combining with the specific characteristics of China's clean energy industry, explores the selection of templates of embedding industry chain. Thirdly, it select typical growth cases of China's clean energy firms from each of the three embedding template for empirical research. Through the analysis of the key events during firm growth and the way to obtain key resource elements on different stages, it demonstrates the superiority of the use of the template of intermediate embedding industry chain for China's clean energy firms. The next part is the focus of this paper. With the help of Yingli Group's success case of the intermediate embedding growth, it analyzes the critical path and the effective mechanisms to the firm growth of the intermediate embedding industry chain, and structures the firm growth model based on the intermediate embedding industry chain. In the end of this paper, findings and conclusions of this study are summarized.