A Review of Literature of Global Value Chains

Dutta, Sourish (2016): A Review of Literature of Global Value Chains.

Abstract

The phenomenon of global value chains (GVCs) indicates a division of labour type production structure in which tasks and business functions are distributed among several companies, globally, or regionally (Grossman and Rossi-Hansberg 2008). The critical features of GVCs are therefore the international dimension of the production process and the "contractualisation" of buyer and seller relationships, often across international borders (Antras 2016). As a result, these international production networks are highly complex regarding geography, technology, and the different types of firms involved (from large retailers and highly large-scale mechanised manufacturers to small home-based production). Sometimes it may be impossible even to identify all the countries that are involved or the extent of their involvement (Gereffi and FernandezStark 2016). However, the recent development of OECD-WTO’s Trade-in Value Added (TiVA) data represents a fundamental step forward in understanding GVC trade. Grossman & RossiHansberg (2008, 2012) rightly point out that the different tasks, rather than sectors, define the specialisation of countries in the value chains.

• Item Type: MPRA Paper
• Language: English
• Keywords: Global Value Chains, Global Production Network, International Trade
• Subjects: F - International Economics > F0 - General; F - International Economics > F1 - Trade; F - International Economics > F2 - International Factor Movements and International Business

References

ACET (2014), African transformation report: Growth with depth, Technical report, African Center for Economic Transformation, Accra, Ghana: ACET.

Antràs, P. & Chor, D. (2013), ‘Organizing the Global Value Chain’, Econometrica 81(6), 2127–2204.

Antràs, P. & Yeaple, S. R. (2015), ‘Multinational Firms and the Structure of International Trade’, Handbook of International Economics 4, 55–130.

Baldwin, R., Venables, A. J. & Bridgman, B. (2012), ‘Global supply chains: Why they emerged, why they matter, and where they are going’, Journal of International Economics 90(1), 245–254.

Calì, M., Francois, J., Hollweg, C. H., Manchin, M., Oberdabernig, D. A., Rojas-Romagosa, H., Rubinova, S. & Tomberger, P. (2016), ‘The labor content of exports database’, World Bank Policy Research Working Paper 7615.

Calì, M., Hollweg, C. et al. (2015), The labor content of exports in south africa and botswana, Technical report, The World Bank.

Cattaneo, O., Gereffi, G., Miroudot, S. & Taglioni, D. (2013), ‘Joining, upgrading and being competitive in global value chains: a strategic framework’, World Bank Policy Research Working Paper 6406 pp. 1–50.

Cattaneo, O. & Miroudot, S. (2013), ‘From global value chains to global development chains: An analysis of recent changes in trade patterns and development paradigms’, 21st Century Trade Policy: Back to the Past.

Christ, N. & Ferrantino, M. J. (2011), ‘Land Transport for Export: The Effects of Cost, Time, and Uncertainty in Sub-Saharan Africa’, World Development 39(10), 1749–1759.

Dunbar, M. et al. (2013), ‘Engaging the private sector in skills development’, Health & Education Advice and Resource Team. Oxford Policy Management, Oxford, England.

Ernst, D. & Kim, L. (2002), ‘Global production networks, knowledge diffusion, and local capability formation’, Research policy 31(8), 1417–1429.

Feenstra, R. C., Hong, C., Ma, H. & Spencer, B. J. (2013), ‘Contractual versus non-contractual trade: The role of institutions in China’, Journal of Economic Behavior and Organization 94, 281–294.

Gereffi, G. & Sturgeon, T. (2013), ‘Global value chain-oriented industrial policy: the role of emerging economies’, Global value chains in a changing world p. 329.

Hoekman, B. (2014), ‘Supply chains, mega-regionals and multilateralism: a road map for the wto’, Robert Schuman Centre for Advanced Studies Research Paper No. RSCAS 27.

Hummels, D., Minor, P., Reisman, M. & Endean, E. (2007), ‘Calculating tariff equivalents for time in trade’, USAID Report, March.

Lundvall, B., Jurowetzki, R. & Lema, R. (2015), ‘Combining the global value chain and the innovation system perspectives’, Aalb. Univ. Dep. Bus. Manag.

Malerba, F. & Nelson, R. (2010), Catching up in different sectoral systems: evidence from six industries, in ‘Globelics Conference, Kuala Lumpur, Malaysia’, p. 2010.

Milberg, W. (2004), ‘The changing structure of trade linked to global production systems: What are the policy implications?’, International Labour Review 143 (1-2),(1), 45–90.

Pietrobelli, C. & Rabellotti, R. (2011), ‘Global value chains meet innovation systems: are there learning opportunities for developing countries?’, World Development 39(7), 1261–1269.

Rodrik, D. (2000), ‘How Far Will International Economic Integration Go?’, Journal of Economic Perspectives 14(1), 177–186.

Szapiro, M. (2016), Global Value Chains and National Systems of Innovation: policy implications for developing countries, PhD thesis, Universidade Federal do Rio de Janeiro.

Taglioni, D. & Winkler, D. (2016), Making Global Value Chains Work for Development, Vol. Trade and Development series, Washington, DC: World Bank.

WEF (2013), Enabling trade: Valuing growth opportunities, in ‘World Economic Forum’.