From the Perspective of Regional and Country Studies: "Mainland Policy" and the "Archipelago Gene" — A Case Study of Xingye Technology's Investment in Indonesia

Chenye Wang

doi:10.63944/rcsf.RCS

From the Perspective of Regional and Country Studies: "Mainland Policy" and the "Archipelago Gene" — A Case Study of Xingye Technology's Investment in Indonesia

Chenye Wang (Primary Contact)

Beijing Institute of Fashion Technology, China

DOI:https://doi.org/10.63944/rcsf.RCS

Keywords:

Cross-Border Mergers and Acquisitions (M&A), Archipelago Gene, Mainland Policy, Belt and Road Initiative (BRI), Indonesia, Regional and Country Studies

Published

31-12-2025

Abstract: This paper systematically examines the longitudinal evolution of Xingye Leather Technology Co., Ltd.'s Lianhua Leather Industry project in Indonesia (2022-2024) from the perspective of regional and country studies. The study reveals that the Belt and Road Initiative's inherent "Mainland Policy" logic—characterized by centralized planning and standardized implementation—undergoes profound strategic adaptation when operationalized in Indonesia, a country typified by the "Archipelago Gene" (deep structural features derived from geographical fragmentation, including decentralized governance, inconsistent policy enforcement, and logistical barriers). Case analysis demonstrates that Xingye Technology's micro-level behaviors—including governance localization through equity reduction from 90% to 55%, adoption of the advanced COD≤80mg/L environmental standard to hedge against regulatory fragmentation, utilization of "local production" to circumvent logistical bottlenecks, and ultimately construction of an "Indonesia + Vietnam" dual-base network—collectively document the strategic recalibration of the "Mainland Policy" mindset to accommodate and transcend the "Archipelago Gene." The study's dialogue with Archipelagic State theory, Indonesian decentralization research, and economic nationalism literature illuminates the distinctive methodological value of interdisciplinary integration in regional and country studies, providing empirical insights into the micro-level implementation mechanisms of the Belt and Road Initiative in complex national contexts.

References

[1] Peng M W, Sun S L, Pinkham B, et al. The institution-based view as a third leg for a strategy tripod[J]. Academy of Management Perspectives, 2009, 23(3): 63-81. DOI: https://doi.org/10.5465/amp.2009.43479264
[2] Uddin M, Shahbaz M. Evaluating the influence of Chinese investment, FDI and digitalization on renewable energy dynamics in Africa[J]. Renewable Energy, 2026, 256(PC): 124051-124051. DOI: https://doi.org/10.1016/j.renene.2025.124051
[3] Li J, Li S. Thailand's journey: Unveiling the interplay between population, FDI, carbon emissions, and renewable energy for building a sustainable future[J]. Renewable Energy, 2026, 256(PD): 124102-124102. DOI: https://doi.org/10.1016/j.renene.2025.124102
[4] Wan Y, Hu Y, Gao Y. Chinese FDI, political events in recipient countries, and the innovation of African firms[J]. Humanities and Social Sciences Communications, 2025, 12(1): 1885-1885. DOI:10.1057/S41599-025-06154-3. DOI: https://doi.org/10.1057/s41599-025-06154-3
[5] Tran T M T, To L N. Spillover Effects of Foreign Policy Uncertainty and their Impact on FDI Inflows in Asia–Pacific: A Panel Quantile Approach[J]. ECONOMICS, 2025, 13(4): 293-312. DOI:10.2478/EOIK-2025-0097. DOI: https://doi.org/10.2478/eoik-2025-0097
[6] Ali F, Ali R, Jahan M. Do FDI inflows reduces unemployment among youth: evidence from India[J]. SN Business & Economics, 2025, 5(12): 218-218. DOI:10.1007/S43546-025-00980-Y. DOI: https://doi.org/10.1007/s43546-025-00980-y
[7] Liu X, Zhou Z, Gu X. How does digital finance promote enterprise exports? An empirical analysis of FDI and trade structure[J]. Finance Research Letters, 2025, 86(PF): 108711-108711. DOI:10.1016/J.FRL.2025.108711. DOI: https://doi.org/10.1016/j.frl.2025.108711
[8] Can monetary and fiscal policy reduce CO2 emissions? Analysis of regional country groups[J]. China Finance Review International, 2025, 15(3): 509-525. DOI:10.1108/CFRI-09-2024-0564. DOI: https://doi.org/10.1108/CFRI-09-2024-0564
[9] Silva P E, Moreno R, Moralles F H. Technological content and institutional quality of FDI: Investigating the effects on the environment in Brazil[J]. International Business Review, 2025, 34(6): 102500-102500.DOI:10.1016/J.IBUSREV.2025.102500. DOI: https://doi.org/10.1016/j.ibusrev.2025.102500
[10] Sifat I A, Zare Z, Ridwan M. Forecasting Drivers of Green Economy in the United States: Role of FDI and Information Technology Using Machine Learning Approach[J]. Environment, Innovation and Management, 2025, 01.DOI:10.1142/S3060901125500231. DOI: https://doi.org/10.1142/S3060901125500231
[11] Gachino G G. Does Financial Development Shape the Energy–FDI–Growth Nexus? New Evidence from BRICS+ Countries Using Dynamic Panel Estimation[J]. International Journal of Financial Studies, 2025, 13(3): 163-163. DOI:10.3390/IJFS13030163. DOI: https://doi.org/10.3390/ijfs13030163
[12] Çelik Yusuf,Khan Mahmud,Hikmet Neşet. Achieving value for money in health: a comparative analysis of OECD countries and regional countries.[J]. The International journal of health planning and management, 2017, 32(4): e279-e298. DOI:10.1002/hpm.2375. DOI: https://doi.org/10.1002/hpm.2375
[13] Bi H, Jiang L, Guo M, et al.A study on the trade environments and efficiency of factor markets of The Belt and Road regional countries[C].
[14] Ge H, Chen Z, Gao P, et al. Going global, going green: How outward FDI enhances corporate green innovation[J]. Finance Research Letters, 2025, 82107554-107554. DOI:10.1016/J.FRL.2025.107554. DOI: https://doi.org/10.1016/j.frl.2025.107554
[15] Wu Y, Wu W, Tian S, et al. Foreign direct investment exerts heterogeneous impacts on the global ecosystem services values: Evidence from 62 countries globally[J]. Environmental Impact Assessment Review, 2025, 115107973-107973. DOI:10.1016/J.EIAR.2025.107973. DOI: https://doi.org/10.1016/j.eiar.2025.107973

From the Perspective of Regional and Country Studies: "Mainland Policy" and the "Archipelago Gene" — A Case Study of Xingye Technology's Investment in Indonesia

How to Cite