The “Fox–Apple” Partnership in the Global Value Chain: How Did Foreign Direct Investment and Contract Manufacturing Reshape the Landscape of the Electronics Industry?

2015 ◽  
pp. 141-166
Author(s):  
Guoyong Liang
2020 ◽  
pp. 175-196
Author(s):  
Eric Thun

This chapter addresses the globalization of production. Although companies have been investing abroad for centuries, the most recent era of globalization has created an unprecedented range of possibilities for global firms to reorganize and relocate their activities. The chapter analyses how advances in transportation and technology allow a firm to divide up a global value chain — the sequence of activities that lead to the production of a particular good or service — and how these decisions create new opportunities and challenges for both companies and the societies within which they operate. It first reviews the rise of global production and the forces that have led to dramatic increases in foreign direct investment (FDI) and outsourcing. The central questions for any firm involved in global production involves how to govern the value chain and where to locate different activities. The chapter then provides a framework for understanding these issues and the implications of the various choices. It also applies these concepts to the case of East Asia, particularly China.


2018 ◽  
Vol 18 (1) ◽  
Author(s):  
Henri Bezuidenhout ◽  
Sonja Grater ◽  
Ewert P.J. Kleynhans

Orientation: African countries offer many investment opportunities and also urgently need global investment finance. Along the value chains of the agro-industrial sector there are many global challenges for African countries to attract foreign direct investment. This article investigates the investment flows in agro-industries and products to and from South Africa.Research purpose: This study evaluates the nature and dimensions of the agro-industrial sector that receive investment inflows in South Africa, as well as investigating South African investment patterns into Africa.Motivation for the study: Of particular interest is the relationship between foreign direct investment (FDI) flows, their integration into global value chains and sustainable investment options.Research design, approach and method: Qualitative data and visual techniques using available data for the period 2003–2014 disambiguate the linkages in FDI patterns with regard to regions, industries and specific companies. Flows between regions and the specific companies are identified and studied.Main findings: The results indicate that the United States, the United Kingdom and the Netherlands are the largest investors in South Africa, with a strong focus on agricultural input production and subsequent agro-processing industries. South African investment into Africa follows a similar, albeit narrower and more focused, pattern. The study concludes that foreign multinational enterprises are actively involved in global value chain expansion and South African firms are following suit.Practical/managerial implications: The lack of FDI in actual agricultural crop production in Africa offers future investment opportunities.Contribution/value-add: This study creates a better understanding of how FDI in agriculture is linked to the development of regional value chains in the Southern African region. The methodology applies a novel approach to an important field of study, of which little knowledge exists, and may contribute to the creation of wealth in the countries of the region and the welfare of its population.


2019 ◽  
Vol 75 (4) ◽  
pp. 490-509
Author(s):  
Durairaj Kumarasamy ◽  
Prabir De

Indo-Pacific construct has picked up a motivating pace in recent years. Several countries across the world have shown their interest in joining the Indo-Pacific region. Indo-Pacific region has been the world’s leading source and destination of foreign investment. This article analyses the trends in investment, bilateral and multilateral investment engagements and investment barriers and presents a way to promote foreign direct investment (FDI) in the Indo-Pacific region. It also examines India’s investment relations with some of the Indo-Pacific countries. Further, it looks into the inter-linkages between FDI and global value chain, given that multinational firms play a significant role in bringing international sourcing, technology sharing, and production networking across countries.


A foreign direct investment (FDI) is an investment in the form of controlling ownership in a business in one country by an entity based in another country. It is thus distinguished from a foreign portfolio investment by a notion of direct control. Foreign direct investment (FDI) is an investment made by a firm or individual in one country into business interests located in other country. Generally, Foreign direct investment (FDI) takes place when an investor establishes foreign business operations or acquires foreign business assets, including establishing ownership or controlling interest in a foreign company.Foreign direct investment (FDI) in India is a major monetary source for economic development in India. Foreign companies invest directly in fast growing private Indian businesses to take benefits of cheaper wages and changing business environment of India. Foreign Direct Investment (FDI) gives both positive and negative impacts on Indian economy in epoch of global value chain. The global value chain (GVC) describes the people and activities involved in the production of a good or service and its supply, distribution, and post-sale activities (also known as the supply chain) when activities must be coordinated across geographies. A supply chain is the network of all the individuals, organizations, resources, activities and technology involved in the creation and sale of a product from the delivery of source materials from the supplier to the manufacturer, through to its eventual delivery to the end user. International production, trade and investments are increasingly organized within so-called global value chains (GVCs) where the different stages of the production process are located across different countries. Industrialists are having different thoughts on impacts of Foreign Direct Investment (FDI) on Indian economy.


Author(s):  
Eric Thun

This chapter examines how advances in transportation and technology allow a firm to divide up a global value chain — the sequence of activities that lead to the production of a particular good or service — and how these decisions create new opportunities and challenges for both companies and the societies within which they operate. It first considers the rise of global production and the forces that have led to dramatic increases in foreign direct investment and outsourcing. It then describes two dimensions of a global value chain: governance (how to coordinate activities) and location (where to locate each activity). It also explores trends in the globalization of production by focusing on the case of China.


2021 ◽  
Vol 251 ◽  
pp. 01077
Author(s):  
Qiannan Zhang ◽  
Yiyin Huang ◽  
Miraj Ahmed Bhuiyan

Manufacturing industry is the leading industry in China’s national economy. The participation of global value chain (GVC) in China’s manufacturing industry is very high, whereas its GVC status is very low. The inward foreign direct investment (IFDI) and outward foreign direct investment (OFDI) are the main ways for China’s manufacturing industry to integrate into the global value chain. Previous studies mainly focused on the upgrading of GVC in China’s manufacturing industry from the perspective of single IFDI or single OFDI. This paper takes the perspective of “Two-Way FDI” as the starting point. Using the panel data of China’s manufacturing sub-industries, this paper analyzes the mechanism of IFDI, OFDI and two-way FDI influencing GVC. The Fixed Effect Model is established to analyze the impact of IFDI, OFDI and two-way FDI on GVC upgrading of China’s manufacturing industry.


Sign in / Sign up

Export Citation Format

Share Document