Spurred to Upgrade: A Review of Triggers and Consequences of Industrial Upgrading in the Global Value Chain Literature

Pipkin, Seth; Fuentes, Alberto

doi:10.1016/j.worlddev.2017.05.009

Cited by 120 publications

(82 citation statements)

References 86 publications

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“…Location considerations are linked to macro-level characteristics of host and home countries, including level of economic development and corresponding factors such as cost of labor, technological environment, and institutional quality. Among these factors, favorable business regulations, IP protection, and significant education spending typically attract technologically and functionally sophisticated activities (Amendolagine et al, 2019;Ascani et al, 2016;Pipkin & Fuentes, 2017). Control of the GVC resides in the hands of technology and/or market leaders, which are typically (although not always) located in developed economies and extract value from their GVCs through global orchestration capabilities (Buckley & Tian, 2017).…”

Section: Locationmentioning

confidence: 99%

Global value chains: A review of the multi-disciplinary literature

2020

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This article reviews the rapidly growing domain of global value chain (GVC) research by analyzing several highly cited conceptual frameworks and then appraising GVC studies published in such disciplines as international business, general management, supply chain management, operations management, economic geography, regional and development studies, and international political economy. Building on GVC conceptual frameworks, we conducted the review based on a comparative institutional perspective that encompasses critical governance issues at the micro-, GVC, and macro-levels. Our results indicate that some of these issues have garnered significantly more scholarly attention than others. We suggest several future research topics such as microfoundations of GVC governance, GVC mapping, learning, impact of lead firm ownership and strategy, dynamics of GVC arrangements, value creation and distribution, financialization, digitization, the impact of renewed protectionism, the impact of GVCs on their macro-environment, and chainlevel performance management.

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Section: Locationmentioning

confidence: 99%

Global value chains: A review of the multi-disciplinary literature

2020

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“…1 Since the 1990s, Global Value Chains (GVC) and Global Production Networks (GPN) scholarship has dominated the study of 'economic upgrading'countries and firms moving to higher-value activities in GVC/GPNs with improved skills, knowledge and technology. These influential frameworks have been used to illustrate examples of upgrading across several sectors in developing countries (Pipkin & Fuentes, 2017). As the GVC/GPN literature blossomed in its examination of the global market engagement of firms across national boundaries, it was regularly criticized for underestimating the role of the state (Cramer, 1999) and retaining an 'overly depoliticized upgrading narrative' (Vicol, Neilson, Hartatri, & Cooper, 2018, 26).…”

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confidence: 99%

The domestic political economy of upgrading in global value chains: how politics shapes pathways for upgrading in Rwanda’s coffee sector^*

Behuria

2019

Review of International Political Economy

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The Global Value Chains/Global Production Networks (GVC/GPNs) literatures have become the predominant international political economy frameworks to understand the challenge of economic upgrading under 21st century globalization. However, until recently, this literature has overlooked the role of the state (outside its regulatory responsibilities) and the explanatory power of domestic political economy. Meanwhile, literature on developmental states, industrial policy and political settlements has generally taken a methodologically nationalist perspective to examine economic transformation in developing countries. This article uses insights from the political settlements literature to contribute to the growing agenda within the GVC/GPNs literature to examine how the role of the state and domestic politics shape upgrading pathways in developing countries. Using the example of the Rwandan government's attempts to increase specialty coffee exports over the last two decades, the article shows how the public governance of the domestic value chain, combined with governance dynamics in the coffee GVC/GPN, has shaped upgrading pathways in Rwanda's coffee sector. By developing a domestic political economy approach within the GVC/GPN tradition, this article contributes to the growing attention within international political economy to focus on how multi-scalar pressures are shaping the outcomes of economic policy in developing countries. reviewers provided thoughtful comments that have improved this paper. Thanks also the RIPE editors and reviewers who provided extremely constructive comments. Early versions of this paper were presented in The

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“…From the perspective of firms, industrial structure upgrading implies the constellations of ways in which firms can move up the global value chain from low-value-added manufactures to high-value-added goods [20,38]. From the perspective of structural change, industrial structure upgrading refers to the process of constant change in the industrial structure's centre and the evolution of the primary industry into secondary and tertiary industries successively [39,40]. It is mainly measured by the unit prices, market shares, and overall intrinsic quality of the products [38,41,42].…”

Section: The Measurement Of Isementioning

confidence: 99%

Interaction between Higher Education Outputs and Industrial Structure Evolution: Evidence from Hubei Province, China

et al. 2019

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In China, the government has made great achievements in mass higher education and intended to promote sustainable economic and social development. However, China still lacks innovation today and is trapped in its low-value-added industrial dilemma. Therefore, this paper aimed to understand how higher education outputs and industrial structure evolution affect each other by analysing evidence from Hubei, China, from 2004 to 2013. This paper quantified higher education outputs into graduate scale, education advancement, and innovation outputs and quantified industrial structure evolution into industrial structure upgrading and industrial structure rationalisation. Next, we applied the Granger causality test, vector auto-regression model, impulse response function, and variance decomposition to explore the causal relationships, response styles, and contribution rates between the indicators. The findings are as follows: (i) industrial structure upgrading and rationalisation are the Granger reasons for education advancement, and innovation outputs and graduate scale are the Granger reasons for industrial structure rationalisation; (ii) industrial structure upgrading and rationalisation can promote education advancement both quickly and significantly, however, education advancement, in turn, does not contribute to industrial structure evolution; (iii) though the contribution of innovation outputs to industrial structure rationalisation is hysteretic, it is greater than that of the graduate scale.

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Spurred to Upgrade: A Review of Triggers and Consequences of Industrial Upgrading in the Global Value Chain Literature

Cited by 120 publications

References 86 publications

Global value chains: A review of the multi-disciplinary literature

Global value chains: A review of the multi-disciplinary literature

The domestic political economy of upgrading in global value chains: how politics shapes pathways for upgrading in Rwanda’s coffee sector^*

Interaction between Higher Education Outputs and Industrial Structure Evolution: Evidence from Hubei Province, China

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Spurred to Upgrade: A Review of Triggers and Consequences of Industrial Upgrading in the Global Value Chain Literature

Cited by 120 publications

References 86 publications

Global value chains: A review of the multi-disciplinary literature

Global value chains: A review of the multi-disciplinary literature

The domestic political economy of upgrading in global value chains: how politics shapes pathways for upgrading in Rwanda’s coffee sector*

Interaction between Higher Education Outputs and Industrial Structure Evolution: Evidence from Hubei Province, China

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The domestic political economy of upgrading in global value chains: how politics shapes pathways for upgrading in Rwanda’s coffee sector^*