From China to the West: why manufacturing locates in developed countries

Ancarani, Alessandro; Mauro, Carmela Di; Virtanen, Yuan; You, Weimu

doi:10.1080/00207543.2020.1824083

Cited by 20 publications

(15 citation statements)

References 92 publications

(146 reference statements)

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“…This is due to the in-house easier access to innovation and advanced technologies, rather than counting or depending on the limited offshore suppliers' innovative and technological potential [59]. In fact, companies tend to implement innovative digital solutions "in house, rather than seek external suppliers with automated facilities" [88] (p. 90). In this sense, research pointed out that digital innovations, such as those promoted by Industry 4.0, represent an important driver for reshoring, especially "when design and product innovation are involved" [88] (p. 93).…”

Section: "Why" Reshoringmentioning

confidence: 99%

“…In fact, companies tend to implement innovative digital solutions "in house, rather than seek external suppliers with automated facilities" [88] (p. 90). In this sense, research pointed out that digital innovations, such as those promoted by Industry 4.0, represent an important driver for reshoring, especially "when design and product innovation are involved" [88] (p. 93). In fact, companies often approach digital innovation as a driver of their reshoring strategies to make them able to challenge the competences' erosion caused by offshoring processes and to face the possible shortage of skilled workers [89].…”

Section: "Why" Reshoringmentioning

confidence: 99%

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Digital Innovation for the Sustainability of Reshoring Strategies: A Literature Review

Cosimato

Vona

2021

Sustainability

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Recently, some critical events (e.g., the economic decline, the growing socio-ecologic burden, even more demanding customers, etc.) have led several companies to re-think their “shoring” decisions. Therefore, many of them decided to reshore manufacturing or to bring back home production activities previously offshored. This phenomenon represents one of the current imperatives for research. In fact, the location where manufacturing takes place has a massive influence on the sustainability of firms on a local and global level. Therefore, to better understand what makes reshoring strategies sustainable as well as to identify the drivers that can boost it, further research is still needed. The explorative nature of this paper recognizes some motivations or drivers for making reshoring strategies sustainable. To this end, a structured and narrative literature review has been conducted to grasp and describe the main motivations and implementation characteristics that can make reshoring decisions sustainable. The achieved results better define reshoring and the influence that some drivers, especially digital innovation, can play on the related strategies and on their sustainability. In doing so, this work is one of the first contributions that jointly approaches reshoring, sustainability, and digital innovation.

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Section: "Why" Reshoringmentioning

confidence: 99%

Section: "Why" Reshoringmentioning

confidence: 99%

Digital Innovation for the Sustainability of Reshoring Strategies: A Literature Review

Cosimato

Vona

2021

Sustainability

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“…From a firm’s perspective, the reconfiguration of GVCs will not be easy due to pressure for cost reduction based on the asymmetric relations between the North and South actors, and the time needed to recreate regional supply chains (Ancarani et al, 2021; Boffelli et al, 2020). Moreover, nationalistic public policies may increase conflicts in GVC relations.…”

Section: The Future Of Healthcare Gvcsmentioning

confidence: 99%

Overcoming enduring inequalities in Global Value Chains? Interpreting the case of Brazil’s Covid-19 vaccine supply through a chess metaphor

Paiva

Miguel

2021

Organization

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This article draws on the Covid-19 vaccine supply chain to illustrate the structural inequalities characterising Global Value Chains. We show how the highly unequal vaccine distribution between the Global North and the Global South is shaped by the concentration of high-added value activities of vaccine development and production in the Global North and their nationalistic economic policies. These policies are short-sighted, as they fail to take account of the health risks that low vaccination rates in the Global South entail, not only for the North, but for the whole world. Using the metaphor of pawns moving in a chess game, we advance two possible scenarios. In the first, regional suppliers from low- and middle-income Global South countries will remain unimportant actors in the global vaccine supply chain, leaving inequalities intact. In the second, these suppliers will upgrade their activities in the vaccine supply chain, supported by public policies fostering industrial infrastructure, systems reforms and technological standardisation, leading to a more polycentric supply chain configuration. The persisting concentration of the governance of Global Value Chains in the Global North, we argue, will not only exacerbate current inequalities, but also likely lead to worldwide health, economic and social vulnerabilities.

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“…However, the landscape of global business is experiencing rapid and fundamental changes (Petricevic and Teece, 2019; Witt et al , 2021; Ancarani et al , 2020). Driven by the deteriorating cost advantages of some low-cost countries (Fang et al , 2010) and the “hidden costs of offshoring” (Larsen et al , 2013), firms from high-cost countries have relocated manufacturing back to their home countries, a phenomenon commonly known as backshoring (Fratocchi et al , 2016).…”

Section: Introductionmentioning

confidence: 99%

Modern mediators: intermediaries’ informational roles in sourcing from China

Virtanen

Salmi

Qin

2021

JBIM

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Purpose Sourcing intermediaries, commonly known as agents or trading companies, represent a useful organisational solution for assisting companies to manage supply risks and to overcome the liability of foreignness. However, the landscape of global business is experiencing rapid and fundamental changes, which leads us to ask whether intermediaries will continue to play a role in global sourcing. This paper aims to understand how sourcing intermediaries ensure a lasting position in the changing setting of global sourcing and information sharing. Design/methodology/approach This paper investigates the operations of both Chinese and Nordic (Finnish and Swedish) intermediaries in sourcing from China by analysing qualitative data collected over a period of four years. Findings Through the lens of information asymmetry, this paper identifies four distinct informational roles that are used by intermediaries to reduce information asymmetry between suppliers and buyers located in different countries. The paper also examines intermediaries’ signalling activities under these roles in a cross-border triad. Originality/value The paper contributes to the scientific debate on the usefulness of intermediaries by underlining intermediaries’ informational advantage, which provides a new explanation for the survival of intermediaries in a rapidly changing business context. Additionally, this study contributes to research on intermediation strategies by empirically examining both Chinese and Western intermediaries, highlighting the importance of institutional contexts in affecting intermediaries’ informational roles.

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From China to the West: why manufacturing locates in developed countries

Cited by 20 publications

References 92 publications

Digital Innovation for the Sustainability of Reshoring Strategies: A Literature Review

Digital Innovation for the Sustainability of Reshoring Strategies: A Literature Review

Overcoming enduring inequalities in Global Value Chains? Interpreting the case of Brazil’s Covid-19 vaccine supply through a chess metaphor

Modern mediators: intermediaries’ informational roles in sourcing from China

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