Understanding external drivers of technology transfer and diffusion through an extended multi-level perspective framework: the case of automotive electrification in China

This study examines the socio-technical transition of China’s automotive sector, focusing on developing new energy vehicles from 2000 to 2020. It introduces an extended framework based on the multi-level perspective, incorporating technological sector and geographical space dimensions to analyse how internal and external drivers shaped China’s new energy vehicle transition. By integrating cross-sectoral interactions and international influences, this study provides a structured approach to understanding longterm socio-technical transition and innovation diffusion. Using mixed data sources, including expert interviews, secondary data analysis, and the author’s eight years of industry experience, the study identifies key driving forces from the landscape and the roles of external socio-technical systems, examining how a niche innovation evolved into a mainstream technology. A comparative case study of iconic automakers, including XPeng, BYD, GAC, and Jeep, further extends the analysis to the firm level, illustrating how different automakers adapted to similar external pressures with distinct strategic responses. Findings refine sectoral transition frameworks, contributing to technology innovation and industrial transformation research. This study provides insights for policymakers and industry leaders to enhance technology diffusion and competitiveness in emerging industries by illustrating the interplay between policy interventions, firm strategies, and global market forces.