Unlocking Innovation: The Role of Third-Party Technology Providers in Escaping the Catch-Up Trap

Abstract

This research examines the pivotal role played by third-party technology providers in aiding firms to transcend the catch-up trap. Through a multidimensional analysis drawing from innovation management, technology transfer, and economic development literature, the study elucidates how third-party technology providers act as catalysts in facilitating access to cutting-edge technologies and knowledge. It investigates the mechanisms through which these providers bridge the technological gap between firms and global leaders, enabling them to leapfrog into higher levels of innovation and competitiveness. Furthermore, the research explores the characteristics and strategies employed by successful third-party technology providers, including their business models, partnerships, and ecosystem development efforts. By synthesizing theoretical frameworks and empirical evidence, this study offers valuable insights for policymakers, industry stakeholders, and researchers seeking to foster innovation ecosystems and enable firms to escape the catch-up trap.