Transformation Through Global Value Chains

This book will examine case studies from companies who have successfully navigated the new market environment, which presents complex challenges to the global value chain.

China is inevitably becoming a giant in the world economy. All international companies in the United States have a presence in China, and many international Chinese companies have a presence in the United States. These companies face complex challenges in their global value chain: strategy, sales and marketing, supply chain management, information technology, and production. This book examines case studies from companies who have successfully navigated this new market environment. The book starts with strategy as a fundamental stage in the value chain. It then proceeds to explore globalization of sales and marketing, logistics and supply chain challenges of supporting global operations, necessary changes to the IT system capabilities as firms begin to address new markets, and finally, efficient and competitive production processes. The book will be valuable to managers who are looking for tools that have been used successfully by industry leaders, as well as to instructors who would like to use real-world practice to educate future managers and decision makers.

Economic, technological, and political shifts as well as changing business strategies have driven firms to unbundle production processes and disperse them across countries. Thanks to these changes, developing countries can now increase their participation in global value chains (GVCs) and thus become more competitive in agriculture, manufacturing and services. This is a paradigm shift from the 20th century when countries had to build the entire supply chain domestically to become competitive internationally. For policymakers, the focus is on boosting domestic value added and improving access to resources and technology while advancing development goals. However, participating in global value chains does not automatically improve living standards and social conditions in a country. This requires not only improving the quality and quantity of production factors and redressing market failures, but also engineering equitable distributions of opportunities and outcomes - including employment, wages, work conditions, economic rights, gender equality, economic security, and protecting the environment. The internationalization of production processes helps with very few of these development challenges. Following this perspective, Making Global Value Chains Work for Development offers a strategic framework, analytical tools, and policy options to address this challenge. The book conceptualizes GVCs and makes it easier for policymakers and practitioners to discuss them and their implications for development. It shows why GVCs require fresh thinking; it serves as a repository of analytical tools; and it proposes a strategic framework to guide policymakers in identifying the key objectives of GVC participation and in selecting suitable economic strategies to achieve them.

Studies conceptual foundations of GVC analysis, twin pillars of 'governance' and 'upgrading', and detailed cases of emerging economies.

The book looks to address the following questions in a post-crisis world: How have lead firms responded to the crisis? Have they changed their traditional supply chain strategy and relocated and/or outsourced part of their production? How will those changes affect developing countries? What should be the policy responses to these changes?

Global value chains (GVCs) are a key feature of the global economy in the 21st century. They show how international investment and trade create cross-border production networks that link countries, firms and workers around the globe. This Handbook describes how GVCs arise and vary across industries and countries, and how they have evolved over time in response to economic and political forces. With chapters written by leading interdisciplinary scholars, the Handbook unpacks the key concepts of GVC governance and upgrading, and explores policy implications for advanced and developing economies alike. p.p1 {margin: 0.0px 0.0px 0.0px 0.0px; font: 10.0px Arial}

​This book examines the governance and institutional dimensions of the global value chain (GVC) and the barriers of local firms to participate in chains. Focusing on Latin America, this collection analyzes agribusiness and agri-food chains in order to evaluate the common challenges in the production and trade of coffee, cocoa, maize, sugar, Tequila and Mezcal in Mexico and Central America. Additionally, there are studies of knowledge-intensive industries of aerospace and automotive. Addressing the need for sustainable economic development in developing countries from the study of value chains, this work presents a conceptual framework and empirical cases that highlight the impact of GVC in the Latin American region and will appeal to international business and international trade researchers.

This report investigates the role of foreign direct investment (FDI) in helping developing countries participate in global value chains (GVCs). It aims to provide practical guidance for developing countries to develop strategies that use FDI to strengthen GVC participation and upgrading.