IDEAS home Printed from https://ideas.repec.org/a/eee/iburev/v33y2024i2s0969593123001488.html
   My bibliography  Save this article

Adaptive governance and resilience of global value chains: A framework for sustaining the performance of developing-country suppliers during exogenous shocks

Author

Listed:
  • Islam, Mohammad Tarikul
  • Chadee, Doren

Abstract

We draw from the composition-based view of firms to develop and test a framework of the influence of adaptive governance and resilience on the performance of a sample (n = 292) of Bangladeshi suppliers embedded in apparel global value chains (GVCs) at the height of the COVID-19 pandemic. Results confirm that adaptive governance provides the necessary conditions for suppliers to strengthen their resilience and sustain their performance during exogenous shocks. Results also show that suppliers disruption orientation and resource reconfiguration capabilities play important contingency roles on the extent to which resilience transforms adaptive governance into performance. The implications of our findings and directions for future research on GVC governance and performance in the context of exogenous shocks are fully discussed.

Suggested Citation

  • Islam, Mohammad Tarikul & Chadee, Doren, 2024. "Adaptive governance and resilience of global value chains: A framework for sustaining the performance of developing-country suppliers during exogenous shocks," International Business Review, Elsevier, vol. 33(2).
  • Handle: RePEc:eee:iburev:v:33:y:2024:i:2:s0969593123001488
    DOI: 10.1016/j.ibusrev.2023.102248
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0969593123001488
    Download Restriction: Full text for ScienceDirect subscribers only

    File URL: https://libkey.io/10.1016/j.ibusrev.2023.102248?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. David A Griffith & Matthew B Myers, 2005. "The performance implications of strategic fit of relational norm governance strategies in global supply chain relationships," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 36(3), pages 254-269, May.
    2. Parker, Hamieda & Ameen, Khadija, 2018. "The role of resilience capabilities in shaping how firms respond to disruptions," Journal of Business Research, Elsevier, vol. 88(C), pages 535-541.
    3. Roger Strange, 2020. "The 2020 Covid-19 pandemic and global value chains," Economia e Politica Industriale: Journal of Industrial and Business Economics, Springer;Associazione Amici di Economia e Politica Industriale, vol. 47(3), pages 455-465, September.
    4. Buckley, Peter J. & Craig, Thomas D. & Mudambi, Ram, 2019. "Time to learn? Assignment duration in global value chain organization," Journal of Business Research, Elsevier, vol. 103(C), pages 508-518.
    5. Gary Gereffi, 2014. "Global value chains in a post-Washington Consensus world," Review of International Political Economy, Taylor & Francis Journals, vol. 21(1), pages 9-37, February.
    6. Keith D Brouthers, 2013. "A retrospective on: Institutional, cultural and transaction cost influences on entry mode choice and performance," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 44(1), pages 14-22, January.
    7. Islam, Mohammad Tarikul & Polonsky, Michael Jay, 2020. "Validating scales for economic upgrading in global value chains and assessing the impact of upgrading on supplier firms’ performance," Journal of Business Research, Elsevier, vol. 110(C), pages 144-159.
    8. Armstrong, J. Scott & Overton, Terry S., 1977. "Estimating Nonresponse Bias in Mail Surveys," MPRA Paper 81694, University Library of Munich, Germany.
    9. Roger Strange & John Humphrey, 2019. "What lies between market and hierarchy? Insights from internalization theory and global value chain theory," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 50(8), pages 1401-1413, October.
    10. Rajneesh Narula, 2019. "Enforcing higher labor standards within developing country value chains: Consequences for MNEs and informal actors in a dual economy," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 50(9), pages 1622-1635, December.
    11. Verbeke, Alain & Hutzschenreuter, Thomas & Pyasi, Nishant, 2021. "The dark side of B2B relationships in GVCs – Micro-foundational influences and strategic governance tools," Journal of Business Research, Elsevier, vol. 135(C), pages 816-828.
    12. Yu, Wantao & Jacobs, Mark A. & Chavez, Roberto & Yang, Jiehui, 2019. "Dynamism, disruption orientation, and resilience in the supply chain and the impacts on financial performance: A dynamic capabilities perspective," International Journal of Production Economics, Elsevier, vol. 218(C), pages 352-362.
    13. Brenes, Esteban R. & Ciravegna, Luciano & Pichardo, Caleb A., 2019. "Managing institutional voids: A configurational approach to understanding high performance antecedents," Journal of Business Research, Elsevier, vol. 105(C), pages 345-358.
    14. Child, John & Rodrigues, Suzana B., 2005. "The Internationalization of Chinese Firms: A Case for Theoretical Extension?1," Management and Organization Review, Cambridge University Press, vol. 1(3), pages 381-410, November.
    15. Raphael Kaplinsky & Jeff Readman, 2005. "Globalization and upgrading: what can (and cannot) be learnt from international trade statistics in the wood furniture sector?," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 14(4), pages 679-703, August.
    16. Sun, Jinyun & Maksimov, Vladislav & Wang, Stephanie Lu & Luo, Yadong, 2021. "Developing compositional capability in emerging-market SMEs," Journal of World Business, Elsevier, vol. 56(3).
    17. Choksy, Umair Shafi & Ayaz, Muhammad & Al-Tabbaa, Omar & Parast, Mahour, 2022. "Supplier resilience under the COVID-19 crisis in apparel global value chain (GVC): The role of GVC governance and supplier’s upgrading," Journal of Business Research, Elsevier, vol. 150(C), pages 249-267.
    18. Gerschewski, Stephan & Xiao, Simon Shufeng, 2015. "Beyond financial indicators: An assessment of the measurement of performance for international new ventures," International Business Review, Elsevier, vol. 24(4), pages 615-629.
    19. Liena Kano & Eric W. K. Tsang & Henry Wai-chung Yeung, 2020. "Correction to: Global value chains: A review of the multi-disciplinary literature," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 51(8), pages 1353-1353, October.
    20. Chidlow, Agnieszka & Ghauri, Pervez N. & Yeniyurt, Sengun & Cavusgil, S. Tamer, 2015. "Establishing rigor in mail-survey procedures in international business research," Journal of World Business, Elsevier, vol. 50(1), pages 26-35.
    21. Sato, Akiko & Panibratov, Andrei, 2023. "Causal mechanisms of COVID-19 disruptive effects on liability of foreignness and the emergence of new firm-specific advantages," International Business Review, Elsevier, vol. 32(4).
    22. G Tomas M Hult & David J Ketchen & David A Griffith & Brian R Chabowski & Mary K Hamman & Bernadine Johnson Dykes & Wesley A Pollitte & S Tamer Cavusgil, 2008. "An assessment of the measurement of performance in international business research," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 39(6), pages 1064-1080, September.
    23. Lee, Yikuan & Cavusgil, S. Tamer, 2006. "Enhancing alliance performance: The effects of contractual-based versus relational-based governance," Journal of Business Research, Elsevier, vol. 59(8), pages 896-905, August.
    24. Luo, Yadong & Child, John, 2015. "A Composition-Based View of Firm Growth," Management and Organization Review, Cambridge University Press, vol. 11(3), pages 379-411, September.
    25. Emma Brandon-Jones & Brian Squire & Chad W. Autry & Kenneth J. Petersen, 2014. "A Contingent Resource-Based Perspective of Supply Chain Resilience and Robustness," Journal of Supply Chain Management, Institute for Supply Management, vol. 50(3), pages 55-73, July.
    26. McWilliam, Sarah E. & Kim, Jung Kwan & Mudambi, Ram & Nielsen, Bo Bernhard, 2020. "Global value chain governance: Intersections with international business," Journal of World Business, Elsevier, vol. 55(4).
    27. Stefan Stieger & Ulf‐Dietrich Reips & Martin Voracek, 2007. "Forced‐response in online surveys: Bias from reactance and an increase in sex‐specific dropout," Journal of the American Society for Information Science and Technology, Association for Information Science & Technology, vol. 58(11), pages 1653-1660, September.
    28. John Child & Suzana B. Rodrigues, 2005. "The Internationalization of Chinese Firms: A Case for Theoretical Extension?," Management and Organization Review, International Association of Chinese Management Research, vol. 1(3), pages 381-410, November.
    29. Luo, Yadong & Bu, Juan, 2018. "Contextualizing international strategy by emerging market firms: A composition-based approach," Journal of World Business, Elsevier, vol. 53(3), pages 337-355.
    30. Liena Kano & Eric W. K. Tsang & Henry Wai-chung Yeung, 2020. "Global value chains: A review of the multi-disciplinary literature," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 51(4), pages 577-622, June.
    31. Al-Atwi, Amer Ali & Amankwah-Amoah, Joseph & Khan, Zaheer, 2021. "Micro-foundations of organizational design and sustainability: The mediating role of learning ambidexterity," International Business Review, Elsevier, vol. 30(1).
    32. Liena Kano, 2018. "Global value chain governance: A relational perspective," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 49(6), pages 684-705, August.
    33. Sean M. Handley & Corey M. Angst, 2015. "The impact of culture on the relationship between governance and opportunism in outsourcing relationships," Strategic Management Journal, Wiley Blackwell, vol. 36(9), pages 1412-1434, September.
    34. Keith D Brouthers, 2013. "Institutional, cultural and transaction cost influences on entry mode choice and performance," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 44(1), pages 1-13, January.
    35. Constance E. Helfat & Margaret A. Peteraf, 2003. "The dynamic resource‐based view: capability lifecycles," Strategic Management Journal, Wiley Blackwell, vol. 24(10), pages 997-1010, October.
    36. Peter J. Buckley, 2021. "Exogenous and endogenous change in global value chains," Journal of International Business Policy, Palgrave Macmillan, vol. 4(2), pages 221-227, June.
    37. Laura Poppo & Kevin Zheng Zhou & Todd R. Zenger, 2008. "Examining the Conditional Limits of Relational Governance: Specialized Assets, Performance Ambiguity, and Long‐Standing Ties," Journal of Management Studies, Wiley Blackwell, vol. 45(7), pages 1195-1216, November.
    38. Luciano Ciravegna & Snejina Michailova, 2022. "Why the world economy needs, but will not get, more globalization in the post-COVID-19 decade," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 53(1), pages 172-186, February.
    39. Donald D. Bergh & Herman Aguinis & Ciaran Heavey & David J. Ketchen & Brian K. Boyd & Peiran Su & Cubie L. L. Lau & Harry Joo, 2016. "Using meta-analytic structural equation modeling to advance strategic management research: Guidelines and an empirical illustration via the strategic leadership-performance relationship," Strategic Management Journal, Wiley Blackwell, vol. 37(3), pages 477-497, March.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Islam, Mohammad Tarikul & Chadee, Doren, 2023. "Stuck at the bottom: Role of tacit and explicit knowledge on innovation of developing-country suppliers in global value chains," International Business Review, Elsevier, vol. 32(2).
    2. Zahoor, Nadia & Khan, Zaheer & Shenkar, Oded, 2023. "International vertical alliances within the international business field: A systematic literature review and future research agenda," Journal of World Business, Elsevier, vol. 58(1).
    3. Han, Xiaomin & Goxe, François & Freeman, Susan, 2024. "Internationalization through social networks: A systematic review and future research agenda," International Business Review, Elsevier, vol. 33(4).
    4. Torres de Oliveira, Rui & Nguyen, Tam & Liesch, Peter & Verreynne, Martie-Louise & Indulska, Marta, 2021. "Exporting to escape and learn: Vietnamese manufacturers in global value chains," Journal of World Business, Elsevier, vol. 56(4).
    5. Liena Kano & Eric W. K. Tsang & Henry Wai-chung Yeung, 2020. "Global value chains: A review of the multi-disciplinary literature," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 51(4), pages 577-622, June.
    6. Rengarajan, Srinath & Narayanamurthy, Gopalakrishnan & Moser, Roger & Pereira, Vijay, 2022. "Data strategies for global value chains: Hybridization of small and big data in the aftermath of COVID-19," Journal of Business Research, Elsevier, vol. 144(C), pages 776-787.
    7. Cuervo-Cazurra, Alvaro & Pananond, Pavida, 2023. "The rise of emerging market lead firms in global value chains," Journal of Business Research, Elsevier, vol. 154(C).
    8. Stephanie Lu Wang, 2023. "Digital technology-enabled governance for sustainability in global value chains: a framework and future research agenda," Economia e Politica Industriale: Journal of Industrial and Business Economics, Springer;Associazione Amici di Economia e Politica Industriale, vol. 50(1), pages 175-192, March.
    9. Lahiri, Somnath & Karna, Amit & Chittaranjan Kalubandi, Sai & Edacherian, Saneesh, 2022. "Performance implications of outsourcing: A meta-analysis," Journal of Business Research, Elsevier, vol. 139(C), pages 1303-1316.
    10. Choksy, Umair Shafi & Ayaz, Muhammad & Al-Tabbaa, Omar & Parast, Mahour, 2022. "Supplier resilience under the COVID-19 crisis in apparel global value chain (GVC): The role of GVC governance and supplier’s upgrading," Journal of Business Research, Elsevier, vol. 150(C), pages 249-267.
    11. Bodas Freitas, Isabel Maria & Gonçalves, Ricardo & Sousa, Rui, 2023. "Governance of new product design: The influence of national institutions," Journal of Business Research, Elsevier, vol. 165(C).
    12. Michelle Yang, K. & Tang, Jintong & Donbesuur, Francis & Adomako, Samuel, 2023. "Institutional support for entrepreneurship and new venture internationalization: Evidence from small firms in Ghana," Journal of Business Research, Elsevier, vol. 154(C).
    13. Rong (Ratchel) Zeng & Birgitte Grøgaard & Ingmar Björkman, 2023. "Navigating MNE control and coordination: A critical review and directions for future research," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 54(9), pages 1599-1622, December.
    14. De Beule, Filip & Van Assche, Ari & Nevens, Joren, 2022. "Additive Manufacturing and Production Internationalization: An Internalization Perspective," Journal of International Management, Elsevier, vol. 28(4).
    15. Wang, Yimin & Xin, Li, 2024. "Shadow of the giant: How global value chain participation influences the knowledge structure of SMEs," International Business Review, Elsevier, vol. 33(3).
    16. Peter J. Buckley & Michael Murphree & John Anderson, 2024. "Horizontal subcontracting and the global factory," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 55(7), pages 934-944, September.
    17. Lingling Qin & Sunny Li Sun, 2024. "Knowledge Collaboration in Global Value Chains: A Comparison of Supplier Selection between a Forerunner and a Latecomer," Asia Pacific Journal of Management, Springer, vol. 41(1), pages 51-79, March.
    18. Delios, Andrew & Li, Jiatao & Schotter, Andreas P.J. & Vrontis, Demetris, 2024. "Challenging the orthodoxy in international business research: Directions for “new” research areas," Journal of World Business, Elsevier, vol. 59(4).
    19. Xanthippe Adamoglou & Dimitris Kyrkilis, 2020. "MNEs Entry Strategies through a Distance Framework: A New Perspective," SPOUDAI Journal of Economics and Business, SPOUDAI Journal of Economics and Business, University of Piraeus, vol. 70(3-4), pages 83-105, July-Dece.
    20. Agnihotri, Arpita & Bhattacharya, Saurabh & Jafari-Sadeghi, Vahid, 2023. "Combatting global disruption through tertius iungens orientation of CEOs: A moderated-mediated mechanism," Journal of International Management, Elsevier, vol. 29(5).

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:iburev:v:33:y:2024:i:2:s0969593123001488. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/wps/find/journaldescription.cws_home/133/description#description .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.