The complex phenomena in which cooperation and conflict among key players as well as success and failure coexist emerged in the Korean IT industry since the 2000s. This study aims to explain why, despite the increase in conflicts and failure, key play...
The complex phenomena in which cooperation and conflict among key players as well as success and failure coexist emerged in the Korean IT industry since the 2000s. This study aims to explain why, despite the increase in conflicts and failure, key players in the IT industry tended to maintain the existing policy network. We argue that the self-reinforcing mechanism of the IT policy network such as learning effects and switching costs exiting from the existing policy network has substantially influenced the key players status-quo oriented tendency. Players within the current policy network turned out to be major beneficiaries of frequent re-organizations of the IT industry. Only firms that stayed in the existing network could successfully enter the next generation of IT businesses, while government agencies -in particular the MIC -could fend off challenges from other ministries that attempted to expand policy jurisdiction over the IT industry.