Making Global Value Chains Work for Development

By Daria Taglioni, Deborah Winkler. 2016

556 citations recorded by the source corpus.

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.

Subfields: Business and International Management, Economics and Econometrics, Strategy and Management

View Paper: https://www.semanticscholar.org/paper/8cd6191db06ee7079da32fab20364b9939548ae0

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Citations in the corpus

Poverty chains and global capitalism (2018, background): “…in Global Value Chains Problem-solving GVC approaches associates workers’ low wages with their employment in low-productivity economies (e.g., Taglioni and Winkler 2014).11 For example, Economists in the Employment Trends Unit of the International Labour Office contend that ‘poverty should…”
Do environmental provisions in trade agreements make exports from developing countries greener? (2020, background): “…standards, which can by promoted by environmental provisions in PTAs, are indeed a key factor for GVC upgrading (Kummritz, et al., 2017; Taglioni and Winkler, 2016) but whether environmental provisions can contribute to this upgrading has not been assessed and merits further attention.”
Local sourcing in developing countries: The role of foreign direct investments and global value chains (2019, background): “Our results show a high degree of complementarity between GVCs and FDI (UNCTAD, 2013; Farole and Winkler, 2014; Taglioni and Winkler, 2016), and suggest that policies to support entry to 17 In our sample, about 90 percent of foreign investors based in Vietnam are exporters (in the case of SSA, this ”
Economic upgrading through global value chain participation: which policies increase the value-added gains? (2017, background): “…the training of and demand for skilled labor; investments in infrastructure that would otherwise not be profitable (minimum scale achievements); and pro-competitive market restructuring effects that are not limited to GVC participants, but also extend to nonparticipants (Taglioni and Winkler 2016).”
Power in global value chains (2019, unknown): “In this context, GVC participation offered developing country firms access to knowledge, markets and other valuable competitive assets (Taglioni & Winkler, 2016).”
How should we understand the digital economy in Asia? Critical assessment and research agenda (2020, background): “It integrates global industries around the world from both the top-down and bottom-up perspectives based on job content, technology, standards, rules, products, processes and markets in specific industries and locations (Taglioni and Winkler, 2016).”
An integrative typology of global strategy and global value chains: The management and organization of cross‐border activities (2020, background): “For example, Taglioni and Winkler (2016) classified a country's position in GVCs based on the macrolevel trade data and the stage of GVC participation.”
Do Global Value Chains Enhance Economic Upgrading? A Long View (2020, background): “Exporting through global value chain (GVC) participation has recently been highlighted as a possible panacea for weak industrialisation trends (for example, Taglioni & Winkler, 2016; World Bank, 2017).”
Do Global Value Chains Offer Developing Countries Learning and Innovation Opportunities? (2017, background): “The organization of production in GVCs – based on intermediate goods and services traded via fragmented and internationally dispersed networks of suppliers – is now widespread and involves both advanced country firms (which are interested in more flexible and cheaper production) and developing count”
Intellectual monopoly in global value chains (2019, background): “…understanding of the global economy while tracking the international fragmentation of productive process and its socioeconomic consequences for both developing and developed countries (Bair, 2009; Gereffi et al., 2005; Milberg and Winckler, 2013; Taglioni and Winkler, 2016; Timmer et al., 2014).”
How important is GVC participation to export upgrading?* (2021, background): “The model has been a success in China, and today, the country is a global manufacturing powerhouse (Taglioni & Winkler, 2016).”
The Relationship Between Global Value Chains and Productivity (2017, background): “A small, but growing, body of work has begun to use these newer industry-level measures to examine links between GVC participation and productivity (e.g. Contantinecu et al., 2017; Kummritz, 2016; Taglioni and Winkler, 2016).”
Does vertical specialisation increase productivity? (2017, unknown): “…that initiate offshoring (Feenstra and Hanson 1996; Egger and Egger 2006; Amiti and Wei 2009; Winkler 2010), but also recent efforts that analyze the impact of vertical specialization on countries participating in GVCs (Formai and Vergara Caffarelli 2016, Kummritz 2016, Taglioni and Winkler 2016).”
Innovation Trajectories in Developing Countries: Co-evolution of Global Value Chains and Innovation Systems (2018, background): “In addition, GVC participation can stimulate investments in infrastructures and in the development of services that would otherwise not be profitable (Taglioni and Winkler, 2016).”