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Abstract We examine the convergence of innovation activity across Chinese provinces and untangle how such activity has evolved between 1987-2020. Our study reveals which factors matter for innovation and how the significance and relative importance of different factors changed over time. To capture this evolution, we distinguish between three key time-periods and identify the existence of temporal effects.
Introduction Intangible assets (IAs), such as technology and brands, are characterized by path dependency that makes their accumulation and imitation difficult (Dierickx and Cool, 1989), therefore helping firms to create sustained competitive advantages and rents in a market (Huang et al., 2015; Peteraf, 1993).
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