JOURNAL ARTICLE

The New Era of Industrial Policy Is Here.

  • Published In: Harvard Business Review, 2023, v. 101, n. 5. P. 66 1 of 3

  • Database: Business Source Ultimate 2 of 3

  • Authored By: Shih, Willy C. 3 of 3

Abstract

The article focuses on the resurgence of industrial policy, where governments worldwide increasingly intervene in private sectors to achieve strategic economic, technological, and societal goals. It outlines various forms of industrial policies—horizontal, vertical, supply-side, and demand-side—and highlights recent examples such as the U.S. CHIPS and Science Act, the European Green Deal, and China's Made in China 2025. The article emphasizes the challenges companies face in adapting to these policies, including navigating geopolitical tensions, supply chain realignments, and government incentives with attached conditions. It advises business leaders to understand government priorities, engage with policymakers, collaborate across supply chains, and plan for long-term competitiveness beyond subsidies in a more fragmented global economic environment.

Additional Information

  • Source:Harvard Business Review. 2023/09, Vol. 101, Issue 5, p66
  • Document Type:Article
  • Subject Area:Engineering
  • Publication Date:2023
  • ISSN:0017-8012
  • Accession Number:169856099
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