Global value chains, innovation and performance: firm-level evidence from the Great Recession

Brancati, Emanuele; Brancati, Raffaele; Maresca, Andrea

doi:10.1093/jeg/lbx003

Cited by 74 publications

(66 citation statements)

References 59 publications

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“…Our analysis takes advantage of the 2009, 2011 and 2013 waves of the MET survey on the Italian industry (details on the dataset are given in Section 2). Despite using the same dataset, our paper differentiates from Brancati et al () for several features. Beside diversities in the identification of different kinds of involvement in GVCs and the estimation techniques employed (see Section 3.3), the main difference concerns the key variable of our analysis and econometric investigation.…”

Section: Introductionmentioning

confidence: 93%

“…But neither all firms' transactions are alike, nor the benefits equally shared by all the firms involved in the chain. The type of transaction, the firm positioning (Agostino, Giunta, Scalera, & Trivieri, ) and the GVC governance modes are factors heavily affecting the firms' performance (Brancati, Brancati, & Maresca, ). Leveraging the literature on transaction costs, "a typology can be elaborated that highlights multiple ways in which the relationship between firms in GVCs could be coordinated" (De Marchi, Maria, & Gereffi, , p. 5).…”

Section: Introductionmentioning

confidence: 99%

“…Beside diversities in the identification of different kinds of involvement in GVCs and the estimation techniques employed (see Section 3.3), the main difference concerns the key variable of our analysis and econometric investigation. Indeed, while Brancati et al () study innovativeness and sales' growth of firms involved in GVCs, we specifically focus on firms' efficiency, a relevant performance indicator especially suitable to assess the effects of participation in GVCs. Second, unlike Brancati et al (), we allow for further differential sources of heterogeneity in the impact of GVCs by explicitly considering both the positioning of the firm in the GVC and the time length of participation.…”

Section: Introductionmentioning

confidence: 99%

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Firms' efficiency and global value chains: An empirical investigation on Italian industry

et al. 2019

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This paper investigates the effect of participation in global value chains (GVCs) on firms' efficiency and explores heterogeneity in this impact across different firms, according to GVC governance, positioning in the chain and time length of participation. Our analysis takes advantage of survey data providing information on involvement in GVCs for a large set of Italian industrial SMEs between 2008 and 2012. We employ Data Envelopment Analysis (DEA) to retrieve a measure of firms' technical efficiency (i.e., DEA efficiency scores) and estimate the impact of involvement in GVCs on firms' efficiency through propensity‐score matching techniques and truncated regression. Our results show that participation in GVCs induces significant efficiency premia, especially for suppliers, with stronger effects in the case of relational modes of participation.

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Section: Introductionmentioning

confidence: 93%

Section: Introductionmentioning

confidence: 99%

Section: Introductionmentioning

confidence: 99%

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Firms' efficiency and global value chains: An empirical investigation on Italian industry

et al. 2019

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“…The rationale for such decision is supported by the example of US data which show that nearly half of importer–exporter relationships entailing arm's‐length imports last at least three years (Monarch & Schmidt‐Eisenlohr, ). “Long‐lasting and significant relationship with foreign companies” represents one of the subjects of study in the survey by Brancati, Brancati, and Maresca () aimed at identifying quasi‐hierarchical and relational GVCs. Alternatively, Bolatto et al () differentiate intra‐firm and outsourcing organisational modes in GVCs by considering the main activity of the firm's affiliate.…”

Section: Empirical Analysismentioning

confidence: 99%

The DNA of the domestic value added (DVA) in exports: Firm‐level analysis of DVA in exports

Vrh

2019

World Economy

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This paper sheds light on the relationship between domestic value added in exports (DVA) and the different ways firms participate in GVCs by exploiting a detailed firm‐level data set for the whole population of Slovenian exporting firms for the period 2002–14. The paper draws attention to those firm characteristics that allow a greater share of DVA to be captured. Although reliance on industry‐level data from input–output tables is the most common way of doing this in the literature, this paper develops a method for estimating DVA in exports using firm‐level data by adapting the approach taken by Kee and Tang (2016). The paper finds that in terms of DVA, domestic‐owned exporting firms outperform more productive foreign‐owned firms and that firms not affiliated with permanent suppliers from abroad capture higher DVA in exports. Positive outcomes of DVA in exports can be observed, all else being equal, for firms with a larger share of intangible capital per worker and firms with a smaller share of exports based on imports of the same products. The results also show that when exporting more to less demanding markets, like the countries of former Yugoslavia, firms benefit more in terms of greater DVA gains in exports.

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“…Australia survived the global economic crisis well-reflecting sound macroeconomic policies and strong demand for raw materials from China. [46]. Of the seven largest economies in the world by GDP, only China grew by 9% in the third quarter of 2008 [47,48].…”

Section: Global Trends -Gf and Manda Activitiesmentioning

confidence: 99%

Fueling Global Energy Finance: The Emergence of China in Global Energy Investment

Gopal¹,

Pitts²,

Li³

et al. 2018

Preprint

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Global financial investments in energy production and consumption are significant since all aspects of a country's economic activity, and development require energy resources. In this paper, we assess the investment trends in the global energy sector during, before and after financial crises of 2008 using two data sources: (1) Dealogic database providing cross-border mergers and acquisitions (M&As), and (2) fDi Intelligence fDi Markets database providing greenfield (GF) foreign direct investments (FDIs). We highlight the changing role of China and compare its M&A and GF FDI activities to those of the United States, Germany, UK, Japan and others during this period. We analyze the investments along each segment of the energy supply chain of these countries to highlight the geographical origin and destination, sectoral distribution, and cross-border M&As and GF FDI activities. Our paper shows that while energy accounts for nearly 25% of all GF FDI, it only accounts for 4.82% of total M&A FDI activity in the period 1996-2016. China's outbound FDI in the energy sector started its ascent around the time of the global recession and had accelerated in the postrecession phase. In the energy sector, the development of China's outbound cross-border M&As is similar to USA or UK, located mostly in the developed countries in the west, while their outbound GF investments are spread across many countries around the world. Also, China's outbound energy M&As are concentrated in certain segments (extraction, and electricity generation) while their GF covers all segments of the energy supply chain.

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Global value chains, innovation and performance: firm-level evidence from the Great Recession

Cited by 74 publications

References 59 publications

Firms' efficiency and global value chains: An empirical investigation on Italian industry

Firms' efficiency and global value chains: An empirical investigation on Italian industry

The DNA of the domestic value added (DVA) in exports: Firm‐level analysis of DVA in exports

Fueling Global Energy Finance: The Emergence of China in Global Energy Investment

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