Conceptualising the co-evolution of China’s industrial and institutional environment for cross-border e-commerce

This paper conceptualises the industrial and institutional co-evolution of the Chinese import cross-border e-commerce (CBEC) industry, led by digital platform firms, over the decade 2012–2022. By drawing on empirical interview data and extensive secondary material from industry and government sources, and applying Gong and Hassink’s (2019a) framework of industrial-institutional co-evolution, we develop a three-phase conceptualisation to assess how industrial and institutional dynamics have developed in tandem, leading to significant regional development through CBEC pilot zones. Contrasting with research that has implied limited agency of industrial actors in a Chinese state-led institutional environment, our analysis explores how leading platform firms have successfully legitimised their role in the sector through government engagement and lobbying activities. Further, and in contrast with recent regulatory tightening with respect to the wider activities of platform firms, the technological infrastructure and associated data transparency offered by the platforms has led the Chinese state to set aside oligopolistic antitrust concerns in its regulation of this industry.