Growth path of industrial clusters embedded in global value chain from the perspective of knowledge transfer: A fuzzy game approach

2021 ◽  
pp. 1-10
Author(s):  
Bin He ◽  
Weidong Meng

How local industrial clusters break through the lock-in status of low end of value chains and realize industrial upgrading in the development process of embedded global value chain is the central topic of current industrial development research. To explore how industrial clusters achieve the enhancement of their innovation capability and value chains when they are embedded in the global value chain, from the perspective of knowledge transfer and according to the differences in the knowledge levels of the local industrial clusters, three fuzzy game models of knowledge transfer paths were constructed, and the model of the realization mechanism of knowledge transfer and its stability condition was analyzed, which make clear the path of cluster growth under different embedding modes. Results show that although the mode of embedding and the path of knowledge transfer is different, the local industrial clusters can obtain external knowledge transfer by embedding in the global value chain; the knowledge transformation ability of local industrial clusters is the determining factor that the knowledge transfer can smoothly achieve and become stable. The conclusion also shows that the feasibility of the cross-sectional growth of industrial clusters by actively embed the global value chain and acquiring external knowledge transfer if the industrial clusters want to enhance their technology accumulation, their innovation ability, and their position in the global value chain.

2019 ◽  
Vol 20 (6) ◽  
Author(s):  
CRISTINA L. L. CALEGARIO ◽  
NÁDIA C. P. BRUHN ◽  
MARIANE FIGUEIRA ◽  
JUCIARA N. ALCÂNTARA

ABSTRACT Objective: The objective of this study is to identify the effects of the insertion in local and global value chains as a determinant of company innovation, identifying the main characteristics of the nature of the interactions that arise in the value chain, as well as the relationship between innovation, internal resources to the company and their insertion in value chains. Originality/value: This paper combines insights from different streams of literature to develop a more comprehensive framework for the analysis of firms’ innovation in emerging countries. We consider relationships among partners in the local and global value chain and the influence of the internal resources as crucially important for the access to external knowledge. Design/methodology/approach: Econometric analysis were performed using generalized linear models (GLM). The period of analysis covers the years 1998 to 2011. We investigate our hypotheses using different models to relate firms’ innovation capacity to local and global value chains and the ownership of internal and external resources. Findings: Using data from Brazilian firms from 1998 to 2011, we found that the relationship with all partners in global value chain contributed to the increase of the Brazilian firm’s innovation. The internal resources had a positive influence in firm’s innovation, suggesting that the firm’s internal resources are crucially important in the access to external knowledge, which means that the ability of firms to make use of this knowledge depends, in turn, on their absorptive capacity.


2020 ◽  
Vol 16 (1) ◽  
pp. 95-117
Author(s):  
Anna Beckers

AbstractReviewing the burgeoning legal scholarship on global value chains to delineate the legal image of the global value chain and then comparing this legal image with images on global production in neighbouring social sciences research, in particular the Global Commodity Chain/Global Value Chain and the Global Production Network approach, this article reveals that legal research strongly aligns with the value chain image, but takes less account of the production-centric network image. The article then outlines a research agenda for legal research that departs from a network perspective on global production. To that end, it proposes that re-imagining the law in a world of global production networks requires a focus in legal research on the legal construction of global production and its infrastructure and a stronger contextualization of governance obligations and liability rules in the light of the issue-specific legal rules that apply to said infrastructure.


World Economy ◽  
2019 ◽  
Vol 42 (5) ◽  
pp. 1467-1494 ◽  
Author(s):  
Cosimo Beverelli ◽  
Victor Stolzenburg ◽  
Robert B. Koopman ◽  
Simon Neumueller

2021 ◽  
pp. 374-395
Author(s):  
Mike Morris ◽  
Justin Barnes ◽  
David Kaplan

This chapter focuses on the dynamics of global value chains (GVC) engagement and industrial development in South Africa through two case studies—the automotive and textiles/apparel sectors. The further industrialization and development of South Africa and of the Southern African region will depend heavily on further developing their engagement in GVCs and simultaneously upgrading their capacities into higher valued and more skill and intensive activities. The automotive industry is import and export intensive, offering the potential for technological advancement, increasing skill intensity and upgrading, and positive economic spillovers. Apparel is domestic market oriented, sourcing domestically, regionally in Southern Africa, and from Asia. It is an example of a low technology, labour intensive industry, exhibiting lower levels of managerial capabilities and skills. It is challenged by raising capabilities to meet new value chain requirements and extending the supplier base to increase value addition (and by implication employment) in the economy.


2021 ◽  
Vol 3 (2) ◽  
pp. 235-250
Author(s):  
Ketan Reddy ◽  
Subash Sasidharan

This article provides an overview of India’s participation in global value chains (GVCs). Using multiple databases at the aggregate and industry levels, this article documents the trends in GVC participation of India during the last three decades. Authors further differentiate between India’s backward and forward integration at the country level before evaluating the industry-specific dynamics of GVCs in India. In this study, authors also shed light upon the rising servicification of Indian manufacturing, and highlight the importance of services’ value addition in promoting GVC integration of India. JEL Codes: F1, F15, D57


2020 ◽  
pp. 102452942091448 ◽  
Author(s):  
Gideon Hartmann ◽  
Gilbert Nduru ◽  
Peter Dannenberg

Driven by the rapid adoption of Internet-based technologies amongst producers in the Global South, the question of how and whether global value chain arrangements are reconfigured remains open to debate. This article addresses the changing practices of export-oriented smallholders accompanying the transition from simple phone towards smartphone use. Our dynamic approach compares cross-sectional survey data from 2013 and 2017 to answer to what extent Kenyan smallholders have adopted the Internet, which digital practices in relation to agricultural value chains they use and how this affects the inter-firm coordination between smallholders and subsequent actors. Smartphones have gained broad importance for smallholders as they are used for digital practices in value chains. Contrary to the debated dark sides of Internet connectivity, we can however not confirm sweeping digital control or value appropriation by lead firms. So far, long-established, analogue practices widely persist in arrangements between smallholders and exporters. Nevertheless, smartphones are used to nurture multilateral knowledge networks of unprecedented reach and size and further allow for incipient experiments with marketing strategies on digital marketing platforms devoted to domestic markets. We argue that these practices resemble strategic niche seeking that has to be interpreted in relation to captive export arrangements. With qualitatively and quantitatively increasing options to access and share knowledge and to market commodities, the Internet can serve to navigate the multiplicity of chain alternatives (domestic production, informal export production). Such niches should be considered as creating leverage against the take it or leave it deal of captive export production.


Entropy ◽  
2020 ◽  
Vol 22 (10) ◽  
pp. 1068 ◽  
Author(s):  
Georgios Angelidis ◽  
Evangelos Ioannidis ◽  
Georgios Makris ◽  
Ioannis Antoniou ◽  
Nikos Varsakelis

We investigated competitive conditions in global value chains (GVCs) for a period of fifteen years (2000–2014), focusing on sector structure, countries’ dominance and diversification. For this purpose, we used data from the World Input–Output Database (WIOD) and examined GVCs as weighted directed networks, where countries are the nodes and value added flows are the edges. We compared the in-and out-weighted degree centralization of the sectoral GVC networks in order to detect the most centralized, on the import or export side, respectively (oligopsonies and oligopolies). Moreover, we examined the in- and out-weighted degree centrality and the in- and out-weight entropy in order to determine whether dominant countries are also diversified. The empirical results reveal that diversification (entropy) and dominance (degree) are not correlated. Dominant countries (rich) become more dominant (richer). Diversification is not conditioned by competitiveness.


2019 ◽  
Vol 43 (5) ◽  
pp. 1183-1218 ◽  
Author(s):  
Tristan Auvray ◽  
Joel Rabinovich

Abstract The financialisation of non-financial corporations has drawn the attention of many scholars who have identified two main channels through which financialisation occurs: a higher proportion of financial assets compared to non-financial ones and a higher amount of resources diverted to financial markets. A consequence of this process is a decrease in investment. Parallel to financialisation, many non-financial corporations have also engaged in an internationalisation of their productive activities, organising them under global value chains. Though offshoring may also explain the decrease in the level of investment of non-financial firms, the intersections between the literature on financialisation and the literature on global value chain remain surprisingly underdeveloped. This paper contributes to fill this gap using panel regressions for US non-financial corporations between 1995 and 2011. We find evidence that both offshoring and financialisation are determinants to the decrease in investment and that financialisation occurs mainly among firms belonging to sectors prone to offshoring.


2017 ◽  
Vol 20 (3) ◽  
pp. 307-319 ◽  
Author(s):  
Emily Ouma ◽  
Justus Ochieng ◽  
Michel Dione ◽  
Danilo Pezo

This paper analyses governance structures in Uganda’s smallholder pig value chains by applying the New Institutional Economics framework. It utilises cross sectional and qualitative survey data from randomly selected pig value chain actors in 4 districts. A multinomial logit model is applied to assess the determinants of vertical integration among pig traders. The findings indicate that most relationships at the pig production node of the value chain are based on spot market governance structures supported by personal relationships and trust. Live pig traders are mostly vertically integrated. High integration levels of the pig traders are positively influenced by access to market information, value of investments in the value chain, and dedicated asset specificity in terms of backyard slaughter premises. Upgrading opportunities in the value chain in the form of value addition strategies, policy implementation and promotion of business models that link producer organisations to quality inputs and service suppliers through contractual arrangements are identified.


Author(s):  
Gary Gereffi ◽  
Xinyi Wu

This chapter uses the global value chain (GVC) framework to analyse the shifting strategies of key lead firms and first-tier suppliers in the athletic footwear and electronics industries. Growing cost pressures for labour and raw materials, as well as the potential political disruption from the escalating ‘trade war’ between the United States and China and the accelerating technological disruption sparked by the digital economy on both the demand side (e.g. e-commerce) and the supply side (e.g. automation) of GVCs, are encouraging brand leaders and major suppliers in both GVCs (such as Adidas and Nike in footwear, and Apple and Foxconn in electronics) to pursue automation in select factories in their supply chains. However, the industrial hubs where athletic footwear and electronics production is concentrated remain overwhelmingly labour-intensive, both in China and elsewhere in Asia (such as Vietnam and Indonesia) where big suppliers are moving to diversify their options.


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