xiii TABLE OF CONTENTS ABSTRACT……………………………………………………………… .………i ABSTRAK…………………………………………………………… .……....…..iii APPROVAL SHEET……………………………………………………… .……..v THE GUIDANCE FOR USING THE DISSERTATION ..................................... vii STATEMENT OF AUTHORSHIP ....................................................................... ix ACKNOWLEDGEMENTS ................................................................................... xi TABLE OF CONTENTS ..................................................................................... xiii LIST OF APPENDICES ....................................................................................... xv LIST OF FIGURES ............................................................................................ xvii LIST OF TABLES ............................................................................................... xix Chapter I Introduction ........................................................................................ 1 I.1 Background ................................................................................. 1 I.2 Research objectives ................................................................... 10 I.3 Research questions .................................................................... 18 I.4 Research approach and methods ............................................... 18 I.5 Key Assumptions and Research Limitations ............................ 19 I.6 Novelty and originality ............................................................. 20 I.7 Writing Structure ....................................................................... 21 Chapter II Literature Review ............................................................................. 23 II.1 Island Entrepreneurs ............................................................. 23 II.2 The Competitive Advantages ................................................... 30 II.2.1. Industrial-organization School ....................................