The Role of Institutions in the Economic Sustainability of Global Value Chains: A Transcendental Phenomenological Analysis of Pakistani Apparel Industry

2019 ◽  
Vol 3 (1) ◽  
Author(s):  
Amira Khattak ◽  
Christina Stringer

Until now the Global Value Chains (GVCs) literature has highlighted the role of lead firms in the greening of GVCs, leaving the role of supplier firms under-theorized. This chapter contributes to this gap in the literature by providing empirical evidence to support the role supplier firms play in environmental upgrading in the context of the apparel industry in Sri Lanka. The findings reveal that an understanding of the process of environmental upgrading remains incomplete if the capabilities and strategic intent of suppliers are not taken into consideration. The role of the lead firm and the capability of the supplier firm cannot collectively ensure upgrading. Capabilities in the supplier base determine the relationship between supplier and buyer (governance), whereas a suppliers' strategic intent allows firms to be more inventive in situations where there is a misfit between resources (knowledge) and ambition. Thus strategic intent, coupled with capabilities, can provide competitive advantage to firms and pave ways toward environmental upgrading.


2019 ◽  
Vol 3 (1) ◽  
pp. 1-14
Author(s):  
Ali Asghar ◽  
Rukhsana Kalim

The geographical spread of the global value chains (GVC) not only makes them complex structures but also raises the challenges of governance for them. Gereffi and Lee (2014) argued that such governance issues may arise from either the vertical (within the structure of the GVC) or the horizontal (from outside) governance of a GVC; and at times, bring the sustainability of GVCs at stake. This study explores the phenomenon in the domain of the horizontal governance, outlining the role of the local institutions and the effects they cast upon the sustainability of the GVCs. This study incorporates the findings derived from transcendental phenomenological analysis (TPA) of the in-depth interviews of twenty-three export managers, working in the apparel firms producing for the GVCs on a long-term basis. The study delivers an explanation of the phenomenon and highlights the role played by the government institutions in it. The essence of this study elaborates the mechanisms of cooperation and coordination between the government institutions and the industry, and the difference in the expected and actual performance of the institutions. It highlights that the government institutions in Pakistan, having rigid culture, are currently not fulfilling the requirements of the apparel production units linked with GVCs; and the behavior of government employees adds to it. The implications emerging from this study, directions for future research and limitations have also been discussed. Besides, the application of NVIVO software to perform the qualitative data analysis (QDA) while performing the TPA adds to the methodological innovation of this study.


2021 ◽  
Vol 24 (1) ◽  
pp. 214-236
Author(s):  
Christina Teipen ◽  
Fabian Mehl

Abstract The article compares social upgrading trends in four global value chains (apparel, automobiles, electronics and it services) and six developing and emerging economies (Bangladesh, Brazil, China, India, South Africa and Vietnam). It applies a framework, which combines analyses of industry-specific governance modes with recent theoretical approaches from the field of industrial relations. The empirical results show that prospects for social upgrading within similar segments of a particular value chain considerably depend on the national context. The article thus highlights the importance of integrating the role of national institutions into global value chain analysis in order to better explain variegated upgrading dynamics across different countries and industries.


2021 ◽  
Author(s):  
Ruchita Manghnani ◽  
Birgit Meyer ◽  
Sebastian Saez ◽  
Erik van Der Marel

2021 ◽  
pp. 123-145
Author(s):  
Kaleb G. Abreha ◽  
Woubet Kassa ◽  
Emmanuel K. K. Lartey ◽  
Taye A. Mengistae ◽  
Solomon Owusu ◽  
...  

Author(s):  
Michael Oluwaseun Olomu

The advents of GVCs and disruptive technologies have provided alternative paths to industrialization and economic development for African countries, and with the transformation to digitalization now well under way, another conceptual shift is required to understand the evolving role of disruptive technologies in GVCs. It is evident that technological breakthroughs in the global markets have a spillover effect in the structural settings of African economies value chains, as lower tariffs and rapid technological changes have fragmented production across borders, but some African countries remain marginalized in GVCs. This study, therefore, attempts to preliminarily explain how African economies and markets capture value from disruptive technologies and create their competitive advantages within the global value chains context from the perspective of business-model innovation practices in African markets. Thus, developing African firms should not ignore those disruptive growth opportunities within the large population of mass customers and non-consumers in emerging economies.


2019 ◽  
Vol 48 (3) ◽  
pp. 273-283 ◽  
Author(s):  
Hyelin Choi ◽  
Semin Kim ◽  
Taehwan Jung

2021 ◽  
Vol 93 ◽  
pp. 105053
Author(s):  
Danyang Zhang ◽  
Hui Wang ◽  
Andreas Löschel ◽  
Peng Zhou

2020 ◽  
Vol 23 (2) ◽  
pp. 141-158 ◽  
Author(s):  
Fang Su ◽  
Zaheer Khan ◽  
Yong Kyu Lew ◽  
Byung Il Park ◽  
Umair Shafi Choksy

This article examines the role of networks and global value chains (GVCs) and how they influence emerging economy small- and medium-sized enterprises’ (EE-SMEs) internationalization. Drawing on the insights, experiences, and perspectives of entrepreneurs and senior managers of small- and medium-sized enterprises (SMEs) that have originated from China, the study adopts qualitative approach and examines nine firms’ internationalization. We find that Chinese born-global manufacturing SMEs benefit from networks with quick insidership position into GVCs, but suffer from various obstacles that hinder their further development. The findings further indicate that network ties substantially facilitate EE-SMEs’ internationalization, but also restrict their future global development, as their low position within the GVCs impedes further business development and capability building. The case firms’ lower position within the GVCs weakens the networks’ influence on their GVC upgrading. The research identifies key enablers of GVC engagement and obstacles of GVC upgrading of the case firms which play an important role in the EE-SMEs’ internationalization. JEL CLASSIFICATION: M10; M16


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