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Complementarity formation mechanisms in technology value chains

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  • Mäkitie, Tuukka
  • Hanson, Jens
  • Steen, Markus
  • Hansen, Teis
  • Andersen, Allan Dahl

Abstract

Recent literature has begun to discuss complementarities between sectors and technologies in the context of sustainability transitions. This paper contributes to this literature by theorizing complementarity formation mechanisms underlying such positive interactions within and across technology value chains. It pursues empirically founded theory building based on a case study of innovation in battery-electric, hydrogen and liquefied biogas technologies in Norwegian coastal shipping. Three complementarity formation mechanisms in technology value chains are identified: synchronization, amplification, and integration. Synchronization points to the need for co-development between the input and user sectors of a technology value chain. Amplification refers to the necessary expansion of input sectors to match the growing demand in user sectors. Finally, integration highlights the potential of convergence between different technology value chains in one or more user sectors. The paper concludes with a discussion of how policy may leverage such complementarity formation mechanisms to foster innovation in zero‑carbon technologies.

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  • Mäkitie, Tuukka & Hanson, Jens & Steen, Markus & Hansen, Teis & Andersen, Allan Dahl, 2022. "Complementarity formation mechanisms in technology value chains," Research Policy, Elsevier, vol. 51(7).
    • Handle: RePEc:eee:respol:v:51:y:2022:i:7:s004873332200083x
    DOI: 10.1016/j.respol.2022.104559
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    2. Huiwen Gong & Allan Dahl Andersen, 2022. "The role of natural resources in accelerating net-zero transitions: Insights from EV lithium-ion battery Technological Innovation System in China," Working Papers on Innovation Studies 20221001, Centre for Technology, Innovation and Culture, University of Oslo.
    3. Eduardo Hernandez-Rodriguez & Ron Boschma & Andrea Morrison & Xianjia Ye, 2024. "Functional upgrading and downgrading in global value chains: The role of complementary interregional value chain linkages in EU regions," Papers in Evolutionary Economic Geography (PEEG) 2432, Utrecht University, Department of Human Geography and Spatial Planning, Group Economic Geography, revised Oct 2024.
    4. Gong, Huiwen & Andersen, Allan Dahl, 2024. "The role of material resources for rapid technology diffusion in net-zero transitions: Insights from EV lithium-ion battery Technological Innovation System in China," Technological Forecasting and Social Change, Elsevier, vol. 200(C).
    5. Wilde, Kerstin & Hermans, Frans, 2024. "Transition towards a bioeconomy: Comparison of conditions and institutional work in selected industries," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 50, pages 1-1.

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